Business process outsourcing (BPO) firms are exempted from the new Department of Labor and Employment (DOLE) order that aims to put an end to contractualization. Labor Undersecretary Dominador Say said BPO firms are exempted from the order because they hire their employees directly. The order seeks to further regulate the operations of labor contractors. Under the new department order, labor contractors need to be legitimate and must have capital of P5 million before they will be given a license to operate. It also requires the contractor to find a job for its workers within three months once it finishes its contract with its principal. Labor groups have asked President Rodrigo Duterte to reject the new department order.
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