DoLE orders Japanese firms: Regularize workers

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THE Department of Labor and Employment (DoLE) has ordered two Laguna-based Japanese firms to give regular employment status to their over 1,000 workers after they were found to be engaged in the illegal labor-only contracting activities.

In a report submitted on Friday to Labor Secretary Silvestre Bello 3rd, DoLE Regional IV-A Director Zenaida Angara-Campita identified the erring companies as Terumo Philippines Corporation (Terumo) and Toyo Seat Philippines Corporation (Toyo), both based in Santa Rosa City, Laguna.

In a compliance order issued by DoLE Region IV-A, Terumo and its three contractors were directed to regularize 1,048 workers as its contractors do not have substantial capital and the employees use the principal’s equipment and tools in the performance of their outsourced services.

Other findings include non-compliance with the Occupational Safety and Health Standards, with the contactors lacking trained safety personnel.


The principal also does not have the permit to operate heavy equipment, including crane, internal combustion engines, pressure vessel and power piping.

Terumo is a global company engaged in the manufacture of medical supplies and equipment.

Toyo Corp. and its 14 contractors were ordered to regularize 284 of their workers after being barred from engaging in labor-only contracting and sub-contracting activities.

The Labor department has also ordered the cancelation of the Certificates of Registration of seven of its contractors and removal from the rosters of legitimate contractors.

Toyo Corp., formerly Automotive Interiors Corp., is in automotive interior parts related business, employing thousands of Filipino workers.

Earlier, the Labor department also ordered telecommunications giant Philippine Long Distance Telephone (PLDT) Inc. and its 45 contractors to regularize 8,720 employees who are under contracting and sub-contracting arrangements but are performing jobs that are directly related to PLDT’s business.

The compliance order, which was based on findings of the Special Assessment or Visit of Establishment (SAVE), also directed the PLDT and its 47 contractors to pay monetary claims including overtime pay, holiday pay, 13th month pay, service incentive leave pay and unauthorized deductions amounting to P77.5 million from 2,500 contractors’ employees.

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