ACTIVITY 1:
Contractualization refers to the outsourced hiring of employees through third-party
agencies, typically for short-term employment. According to the Labor Code, employees
are given a probationary six months on the job, after which they become regularized.
But some companies in the Philippines practice Endo, which takes its name from the
term “end of contract,” wherein employees are fired after five months to avoid
regularization — allowing the companies to cut costs and generate more revenue.
Contractualization works by given those employee a five months job or work and before
five months the company will end its contract or called “endo”. Workers are actually
affected by the contractualization because they have no assurance that they will be
fulltime worker. And some of them have limited benefits that every worker deserved to
have. But thanks to House Bill No. 4444, that they have the rights to have benefits that
every fulltime worker has. There is two effect of it and it is positive and negative. It was
positive to the company, because contractualization will lessen their cost to its
employee while negative to the employee or worker, because they will have no
assurance to have a decent job. And some benefits they will never have it.
As for our research, workers were opposing to it, because it killed the rights of every
workers to have a decent job. And the amount or the salaries of their work aren’t fair
compared to a full-time worker even though they have the same job or work.
As expected, business groups such as the Employers’ Confederation of the
Philippines and individual business leaders are claiming that the epidemic of
contractualization plaguing the country is actually good for workers and for Filipinos.
They suggest that contractualization – or the practice of hiring workers as “contractuals”
rather than as “regular” workers so as to avoid giving them the benefits that they are
legally mandated to receive – allows capitalists to increase their profits, hire more
workers, contribute to economic growth and therefore benefit all Filipinos.
In order to be a legally binding contract, most contracts must contain two elements. All
parties must agree about an offer made by one party and accepted by the other.
Something of value must be exchanged for something else of value. This can include
goods, cash, services, or a pledge to exchange these items. A contractual employee
experience being regular employees enjoys benefit like 13th month pay, vacation leave
but the temporary worker would have not those benefits and they're paid below the
minimum wage. Contractualization was not ethically right because contractualization is
unjust treatment of contractual workers. It favors mostly the owner of the company and
the labor agency not of the contractual workers.
According to Herbert Docena, "If we ban or significantly limit contractualization, they
argue, many companies will either close down or not be able to open to begin with.
Their profits will fall, many workers will lose their jobs, the economy will contract, and all
Filipinos will consequently suffer. Hence, to ban or limit contractualization is not only
anti-worker but also anti-Filipino." This argument is not only self-serving, it is also
wrong. Also he said that "By allowing capitalists to intensify their exploitation of workers,
contractualization actually enables capitalists to pay workers less for the same work,
stunt economic development, and therefore harm the interests of all Filipinos – including
of capitalists themselves."
Ethicalness’ of Contractualization
Maximize profit and minimize cost, which is the most common goal of the vast majority
of business institution in the Philippines and with the emergence of a lot of BPO
companies and the concept of contractualization it is a lot easier now for companies to
minimize their labor cost through contractualization, even the government seems to
support contractualization. But just how bad or unethical contractualization exactly is?
Utilitarian
-Employs the most number of workers while minimizing cost.
-Regular and contractual employees will be employed and have wages.
Rights and Duties
-Right to work
-Right to proper wage
Justice and Fairness -Unfair due to unequal share of salary.
Care -Shows care for those that are already hired but not so much to those that are
contractually hired.
Virtue -Compassion of the regular employees to the contractual employees, by
allocating some of the benefits to the contractual.
Common Good -Only the regular employees’ human development and common
good are satisfied.
(Markkula Framework).
It seems that even though there are ethical issues pertaining to contractualization, there
are also some merits for it, especially in our country's current situation wherein there are
a lot of unemployed individuals, contractualization somehow provides a lot of people
with bare minimum wage job, thus providing more families with needed income to
survive. Also at some departments being practice that regular employees tend to share
their blessings (bonuses) by allocating a portion of that and giving them to the
contractuals. However, there are also some organizations who takes advantage of
contractualization wherein the contracts are only good for five months, avoiding the six
month regularization requirement by the law. As such those employees are always in
the lookout for new work, and their rights to gain employment and their human
development are impeded.
Contractualization connected in the economy, HB 6908 or “An Act Strengthening the
Security of Tenure of Workers” was approved on third reading by the House of
Representatives. It proposes “Endo” or end of contractualization. Endo was a political
promise of our president, Rodrigo Duterte. But he refrained from issuing an executive
order on Endo in favor of proclaiming his support for this bill. As per PSA data (ISLE,
2014), about 1.3 million workers or 30% of the 4.5 million workers employed in
establishments with 20 or more workers in 2014 are non-regulars. Of these about 50%
(630,000) are contractual/project-based workers. Non-regulars are most prevalent in
Construction (27%), Manufacturing (22%) and Wholesale and Retail Trade (11%). Non-
regular workers posted a growth rate of 16 % from the 2012 level. The Dominguez
economics has identified Manufacturing as the vehicle towards accelerated economic
growth and job creation. As the past four decades, for a low-income economy like the
Philippines this strategy is spot on. Manufacturing average growth outstripped Services
average growth in more successful in South Korea and Thailand than in our country.
Activity:2
In my opinion the role of the government to abolish the contractualization is they need to
pass a law of contractualization being illegal and there is punishment if it found to be
practiced by some of companies and the contractualization is not apply in some other
countries because I think it is not ethical and its unfair due to unequal share of salary
because regular employee enjoys benefits like 13 th month pay, vacation leave but the
temporary worker would have not those benefits and theyre paid below the minimum
wage if their short term contract runs out there simply rehired again and again and the
contractual workers never become regular employees its hard to find a job if the
contract runs out and they cannot claim benefits and in my belief I will not support
products or services of the companies if they have contractualization, If the
contractualization would not be abolished at least they should give like a severance
package just to help a little bit the temporary workers and the government should
provide more job opportunities because the population is growing every year so
population control is a must and to focus more on low cost education facility and skill
training centers that will help people to get a better job.
Activity: 3
The average looking man is able to make attractive women lose control and paid
attention to him through the usage of Axe product it also illustrates that a man can use
this product to get women to do almost whatever he wants the advertisement is a false
promise. Makers of Axe body spray sued for false advertising
An Indian man is suing the makers of Axe body spray, claiming that in seven years of
using the product he has yet to find a girlfriend. Vaibhav Bedi, 26, says that Axe’s racy
marketing campaign led him to believe the product had love-potion properties and is
seeking around $40,000 in damages. “The company cheated me,” said Bedi. “It says
women will be attracted to you if you use Axe. I used it for seven years but no girl came
to me.” In for my suggestion the product advertisement should more show on the
realistic effect of the product the benefits of it like boost your confidence by knowing that
you smell good, make you less stressed out and better hygiene or the advertisement should
show more of the ingredients where it came before making the product to better
understand how the product made than to give people idea that if you use that women
will come to you and/or do whatever you want.
Activity:4
Reflection/Life Learning
I sell yema cakes and at that time our roof is getting repaired so I sell the broken and
old roof to the junkshop and I also sell liptint and in christmas I got earphone gift I don’t
really use it because I already have one so I sell it to my old friend. I realized things I
have that have no value or not getting used anymore can make money and can be used
to help other people I learned that doing acts of kindness can make difference in
someone’s day and the gift giving im not one of the volunteers but I am happy because
the duty is successful and the medical mission I didn’t do much but I feel happy
because I realized it’s a great feeling helping others especially those that need it the
most.
