1. Migrant Workers and Overseas Filipinos Act of 1995 (Republic Act No.

8042), as amended by Republic Act

No. 10022, as well as its Implementing Rules and Regulations
- With emphasis on the following:
a. Recruitment
DEFINE RECRUITMENT. It is any act of canvassing, enlisting, contracting, transporting, utilizing,
hiring, or procuring workers and includes referring, contract services, promising or advertising for
employment locally or abroad, whether for profit or not.
b. Illegal Recruitment (Sec. 6, R.A. No. 10022)
DEFINE ILLEGAL RECRUITMENT. It is any act of canvassing, enlisting, contracting,
transporting, utilizing, hiring, or procuring workers and includes referring, contract services,
promising or advertising for employment abroad, whether for profit or not, when undertaken by a
non-licensee or non-holder of authority.
WHAT ARE THE ACTS CONSIDERED ILLEGAL RECRUITMENT?
It shall likewise include the following acts, whether committed by any person, whether a
non-licensee, non-holder, licensee or holder of authority:
"(a) To charge or accept directly or indirectly any amount greater than that specified in the schedule
of allowable fees prescribed by the Secretary of Labor and Employment, or to make a worker
pay or acknowledge any amount greater than that actually received by him as a loan or
advance;
"(b) To furnish or publish any false notice or information or document in relation to recruitment or
employment;
"(c) To give any false notice, testimony, information or document or commit any act of
misrepresentation for the purpose of securing a license or authority under the Labor Code, or
for the purpose of documenting hired workers with the POEA, which include the act of
reprocessing workers through a job order that pertains to nonexistent work, work different
from the actual overseas work, or work with a different employer whether registered or not
with the POEA;
"(d) To include or attempt to induce a worker already employed to quit his employment in order to
offer him another unless the transfer is designed to liberate a worker from oppressive terms
and conditions of employment;
"(e) To influence or attempt to influence any person or entity not to employ any worker who has not
applied for employment through his agency or who has formed, joined or supported, or has
contacted or is supported by any union or workers' organization;
"(f) To engage in the recruitment or placement of workers in jobs harmful to public health or
morality or to the dignity of the Republic of the Philippines;
"(h) To fail to submit reports on the status of employment, placement vacancies, remittance of
foreign exchange earnings, separation from jobs, departures and such other matters or
information as may be required by the Secretary of Labor and Employment;
"(i) To substitute or alter to the prejudice of the worker, employment contracts approved and verified
by the Department of Labor and Employment from the time of actual signing thereof by the
parties up to and including the period of the expiration of the same without the approval of
the Department of Labor and Employment;
"(j) For an officer or agent of a recruitment or placement agency to become an officer or member of
the Board of any corporation engaged in travel agency or to be engaged directly or indirectly in
the management of travel agency;
 "(k) To withhold or deny travel documents from applicant workers before departure for monetary or
financial considerations, or for any other reasons, other than those authorized under the
Labor Code and its implementing rules and regulations;
"(l) Failure to actually deploy a contracted worker without valid reason as determined by the
Department of Labor and Employment;
"(m) Failure to reimburse expenses incurred by the worker in connection with his documentation
and processing for purposes of deployment, in cases where the deployment does not actually
take place without the worker's fault. Illegal recruitment when committed by a syndicate or in
large scale shall be considered an offense involving economic sabotage; and
"(n) To allow a non-Filipino citizen to head or manage a licensed recruitment/manning agency.
IF A NON-LICENSEE OFFERS EMPLOYMENT TO ONLY ONE PERSON, IS IT STILL
CONSIDERED ILLEGAL RECRUITMENT? Provided, That any such non-licensee or non-holder
who, in any manner, offers or promises for a fee employment abroad to two or more persons shall
be deemed so engaged.

WHEN IS ILLEGAL RECRUITMENT COMITTED BY A SYNDICATE?

Illegal recruitment is deemed committed by a syndicate if carried out by a group of three (3) or more
persons conspiring or confederating with one another.
WHEN IS ILLEGAL RECRUITMENT COMITTED IN LARGE SCALE?
It is deemed committed in large scale if committed against three (3) or more persons individually or
as a group.

c. Prohibited Acts (Sec. 6, R.A. No. 10022)

WHAT ARE THE 7 PROHIBITED ACTS?
"(1) Grant a loan to an overseas Filipino worker with interest exceeding eight percent (8%) per
annum, which will be used for payment of legal and allowable placement fees and make the
migrant worker issue, either personally or through a guarantor or accommodation party,
postdated checks in relation to the said loan;
"(2) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is
required to avail of a loan only from specifically designated institutions, entities or persons;
"(3) Refuse to condone or renegotiate a loan incurred by an overseas Filipino worker after the latter's
employment contract has been prematurely terminated through no fault of his or her own;
"(4) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is
required to undergo health examinations only from specifically designated medical clinics,
institutions, entities or persons, except in the case of a seafarer whose medical examination
cost is shouldered by the principal/shipowner;
"(5) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is
required to undergo training, seminar, instruction or schooling of any kind only from
specifically designated institutions, entities or persons, except foAn or recommendatory
trainings mandated by principals/shipowners where the latter shoulder the cost of such
trainings;
"(6) For a suspended recruitment/manning agency to engage in any kind of recruitment activity
including the processing of pending workers' applications; and
 "(7) For a recruitment/manning agency or a foreign principal/employer to pass on the overseas
Filipino worker or deduct from his or her salary the payment of the cost of insurance fees,
premium or other insurance related charges, as provided under the compulsory worker's
insurance coverage.

d. Overseas Filipino Worker (Sec. 2, R.A. No. 10022)

WHO IS AN OVERSEAS FILIPINO WORKER?
"Overseas Filipino worker" refers to a person who is to be engaged, is engaged or has been engaged in a
remunerated activity in a state of which he or she is not a citizen or on board a vessel navigating the
foreign seas other than a government ship used for miliatry or non-commercial purposes or on an
installation located offshore or on the high seas; to be used interchangeably with migrant worker."

e. Money Claims (Sec. 10, R.A. No. 10022)

CASE ANALYSIS NO. 1:
Sulpecio filed a complaint against the Stolt Transportation Company for illegal dismissal for failure
to deploy him for overseas vessel under a contract. He prayed for actual, moral and exemplary
damages as well as attorneys fees for his illegal dismissal and in view of the Petitioners bad faith in
not complying with the Contract.
The POEA Standard Employment Contract provides that employment shall commence upon the
actual departure of the seafarer from the airport or seaport in the port of hire.
QUESTION #1: Is there an employer-employee relationship? NO.
QUESTION #2: Is Sulpecio entitled to damages? YES.
"SEC. 10. Money Claims. - Notwithstanding any provision of law to the contrary, the Labor Arbiters of
the National Labor Relations Commission (NLRC) shall have the original and exclusive jurisdiction to
hear and decide, within ninety (90) calendar days after the filing of the complaint, the claims arising
out of an employer-employee relationship or by virtue of any law or contract involving Filipino workers
for overseas deployment including claims for actual, moral, exemplary and other forms of damage.
Consistent with this mandate, the NLRC shall endeavor to update and keep abreast with the
developments in the global services industry.

CASE ANALYSIS NO. 2: During his employment abroad, Sulpecio signed another contract to extend
his employment for another two years. In the new contract, Sulpecio’s monthly salary will be $200, which
is lower than the salary specified in his original contract with the amount of $250. However, Sulpecio
cannot anymore ask for the payment of damages from his principal or owner of the vessel to whom he
worked for.
Is Sulpecio entitled to the difference of $50 per month? YES. "Such liabilities shall continue
during the entire period or duration of the employment contract and shall not be affected by any
substitution, amendment or modification made locally or in a foreign country of the said contract.
What is the remedy of Sulpecio to claim and receive the damages to which he is entitled?"The
liability of the principal/employer and the recruitment/placement agency for any and all claims under
this section shall be joint and several.

CASE ANALYSIS NO. 3: His contract of employment abroad will end on June 30, 2021 with a monthly
salary of $250. He paid a placement fee of P200,000. In March 15, 2021, Sulpecio was informed that his
employment is terminated, he was given his salary and an airplane ticket going back to the Philippines.
 QUESTION #1: Is the termination valid? NO.
QUESTION #2: What is the amount to which he is entitled caused by his termination? "In case
of termination of overseas employment without just, valid or authorized cause as defined by law or
contract, or any unauthorized deductions from the migrant worker's salary, the worker shall be
entitled to the full reimbursement if his placement fee and the deductions made with interest at
twelve percent (12%) per annum, plus his salaries for the unexpired portion of his employment
contract.
QUESTION #3: Assuming that there was a compromise agreement that the total amount will be
$2,000 which was approved by the NLRC on 31 January 2021, what are the effects if the same was
still unpaid as of today? "Any compromise/amicable settlement or voluntary agreement on money
claims inclusive of damages under this section shall be paid within thirty (30) days from approval of
the settlement by the appropriate authority.
"Noncompliance with the mandatory periods for resolutions of case provided under this section
shall subject the responsible officials to any or all of the following penalties:
"(a) The salary of any such official who fails to render his decision or resolution within the
prescribed period shall be, or caused to be, withheld until the said official complies
therewith;
"(b) Suspension for not more than ninety (90) days; or
"(c) Dismissal from the service with disqualification to hold any appointive public office for
five (5) years.
"Provided, however, That the penalties herein provided shall be without prejudice to any liability
which any such official may have incured under other existing laws or rules and regulations as a
consequence of violating the provisions of this paragraph."
QUESTION #4: Assuming that there was a final judgment against the principal of Sulpecio that
the latter will pay the total amount of $2,000, what happens to the permit of the principal?
"In case of a final and executory judgement against a foreign employer/principal, it shall be
automatically disqualified, without further proceedings, from participating in the Philippine
Overseas Employment Program and from recruiting and hiring Filipino workers until and unless it
fully satisfies the judgement award.

f. Compulsory Insurance Coverage (R.A. No. 10022)

WHAT SHOULD BE INCLUDED IN THE COMPULSORY INSURANCE COVERAGE OF
OFWS?
"SEC. 37-A. Compulsory Insurance Coverage for Agency-Hired Workers. - In addition to the
performance bond to be filed by the recruitment/manning agency under Section 10, each migrant
worker deployed by a recruitment/manning agency shall be covered by a compulsory insurance
policy which shall be secured at no cost to the said worker.
Such insurance policy shall be effective for the duration of the migrant worker's employment and
shall cover, at the minimum:
"(A) ACCIDENTAL DEATH, with at least Fifteen thousand United States dollars
(US$10,000.00) survivor's benefit payable to the migrant worker's beneficiaries;
"(C) PERMANENT TOTAL DISABLEMENT, with at least Seven thousand five hundred
United States dollars (US$7,500.00) disability benefit payable to the migrant worker. The
following disabilities shall be deemed permanent: total, complete loss of sight of both
eyes; loss of two (2) limbs at or above the ankles or wrists; permanent complete paralysis
of two (2) limbs; brain injury resulting to incurable imbecility or insanity;
"(D) REPATRIATION COST OF THE WORKER when his/her employment is terminated
without any valid cause, including the transport of his or her personal belongings. In case
of death, the insurance provider shall arrange and pay for the repatriation or return of
the worker's remains. The insurance provider shall also render any assistance necessary in
the transport including, but not limited to, locating a local licensed funeral home,
mortuary or direct disposition facility to prepare the body for transport, completing all
documentation, obtaining legal clearances, procuring consular services, providing
necessary casket or air transport container, as well as transporting the remains including
retrieval from site of death and delivery to the receiving funeral home;
"(E) SUBSISTENCE ALLOWANCE BENEFIT, With at least One hundred United States
dollars (US$100.00) Per month for a maximum of six (6) months for a migrant worker
who is involved in a case or litigation for the protection of his/her rights in the receiving
country;
"(F) MONEY CLAIMS arising from employer's liability which may be awarded or given to the
worker in a judgment or settlement of his or her case in the NLRC. The insurance
coverage for money claims shall be equivalent to at least three (3) months for every year of
the migrant worker's employment contract;
"In addition to the above coverage, the insurance policy shall also include:
"(G) COMPASSIONATE VISIT. When a migrant worker is hospitalized and has been
confined for at least seven (7) consecutive days, he shall be entitled to a compassionate
visit by one (1) family member or a requested individual. The insurance company shall
pay for the transportation cost of the family member or requested individual to the major
airport closest to the place of hospitalization of the worker. It is, however, the
responsibility of the family member or requested individual to meet all visa and travel
document requirements;
"(H) MEDICAL EVACUATION. When an adequate medical facility is not available
proximate to the migrant worker, as determined by the insurance company's physician
and/or a consulting physician, evacuation under appropriate medical supervision by the
mode of transport necessary shall be undertaken by the insurance provider; and
"(I) MEDICAL REPATRIATION. When medically necessary as determined by the attending
physician, repatriation under medical supervision to the migrant worker's residence shall
be undertaken by the insurance provider at such time that the migrant worker is
medically cleared for travel by commercial carrier. If the period to receive medical
clearance to travel exceeds fourteen (14) days from the date of discharge from the hospital,
an alternative appropriate mode of transportation, such as air ambulance, may be
arranged. Medical and non-medical escorts may be provided when necessary.
2. Revised POEA Rules And Regulations governing the Recruitment and Employment of Landbased Overseas
Filipino Workers of 2016
- With emphasis on the following:
a. Private Sector Participation in the Overseas Employment Program
RULE I Private Sector Participation in the Overseas Employment Program
SECTION 1. Participation of the Private Sector.— The private sector shall participate in the recruitment of
Filipino workers for overseas employment in accordance with these Rules and any subsequent guidelines that
may be issued by the POEA Governing Board and the Administration.
SECTION 2. Who may participate; Required Capitalization. — Any Filipino citizen acting as a sole proprietor
or a partnership, or a corporation at least seventy-five percent (75%) of the authorized and voting capital stock
of which is owned and controlled by Filipino citizens, may engage in the business of recruitment and
placement of Filipino workers.
The sole proprietor and partnership shall have a minimum capitalization of Five Million Pesos
(PhP5,000,000.00) and a minimum paid up capital of Five Million Pesos (PhP5,000,000.00) in case of a
corporation.
Those with existing licenses shall, within four (4) years from effectivity hereof, increase their capitalization or
paid up capital, as the case may be, to Five Million Pesos (PhP5,000,000.00) at the rate of Seven Hundred Fifty
Thousand Pesos (PhP750,000.00) every year.
SECTION 3. Who are Disqualified. — The following persons and entities are disqualified to participate or
engage in the recruitment and placement of workers for overseas employment:
a. Travel agencies and sales agencies of airline companies;
b. Officers or members of the Board of any corporation or partners in a partnership engaged in the business of
a travel agency;
c. Corporations and partnerships, where any of its officers, members of the board or partners is also an officer,
member of the board or partner of a corporation or partnership engaged in the business of a travel agency;
d. Individuals, partners, officers or directors of an insurance company who make, propose or provide an
insurance contract under the compulsory insurance coverage for agency-hired Overseas Filipino Workers;
e. Sole proprietors, partners or officers and members of the board with derogatory records, such as, but not
limited to the following:
1. Those convicted, or against whom probable cause or prima facie finding of guilt is determined by a
competent authority, for illegal recruitment, or for other related crimes or offenses committed in the course of,
related to, or resulting from, illegal recruitment, or for crimes involving moral turpitude;
2. Those agencies whose licenses have been revoked for violation of RA 8042 (Migrant Workers and Overseas
Filipinos Act of 1995), as amended, PD 442 (Labor Code of the Philippines), as amended, and RA 9208
(Trafficking in Persons Act of 2003), as amended, and their implementing rules and regulations;
3. Those agencies whose licenses have been cancelled, or those who, pursuant to the Order of the
Administrator, were included in the list of persons with derogatory record for violation of recruitment laws
and regulations; and
f. Any official or employee of the DOLE, POEA, OWWA, DFA, DOJ, DOH, BI, IC, NLRC, TESDA, CFO,
NBI, PNP, Civil Aviation Authority of the Philippines (CAAP), international airport authorities, and other
government agencies directly involved in the implementation of RA 8042, as amended, and/or any of his/her
relatives within the fourth civil degree of consanguinity or affinity.
b. Issuance of License (Grounds for Denial, Provisional License, Regular License)
SECTION 8.Grounds for Denial of Application.— An application for license shall be denied when the
applicant fails to satisfy any of the requirements or gives any false information or documents.
B. PROVISIONAL LICENSE
SECTION 11.Issuance and Validity of a Provisional License. — Within five (5) working days from satisfaction
of the post-qualification requirements, the Administration shall issue a provisional license which shall be valid
within a non-extendible period of two (2) years from date of issuance.
SECTION 12.Prohibition.— The agency granted with a provisional license shall not deploy domestic workers
during the validity of the provisional license.
C. REGULAR LICENSE
SECTION 13.Application for Upgrading of Provisional License to a Regular License.— Upon application, a
provisional license may be upgraded to a regular license at any time during its validity upon deployment of one
hundred (100) workers to its new principal/s, and upon submission of the following:
a. Quality Management System (QMS) manual, defining the scope of the agency’s quality management system
that includes, among others, the quality policy and objectives, organizational structure and management
responsibilities, and documented recruitment and deployment processes;
b. Updated bank certificate stating that the escrow deposit remains at One Million Pesos (PhP1,000,000.00);
c. Certificate of no pending case or any substantiated adverse report during the validity of the provisional
license;
d. Certificate of attendance to the Continuing Agency Education Program (CAEP) of all its officers and staff;
and
e. Latest audited financial statement.

SECTION 14.Validity of a Regular License.— The regular license shall be valid up to the full term of four (4)
years from the date of issuance of the provisional license.
The application for upgrading of the provisional license shall be filed within three (3) months before the
expiration of the provisional license.
3. Department of Labor and Employment Department Order No. 216, Series of 2020

- With emphasis on the following (For No. 3 and 4, Note that :

a. Private Employment Agency (PEA) (Definition, Qualifications, Disqualifications)
e. Requirements for Application as PEA
b. License

c. Authority to Recruit (Definition, Requirements, Grounds for Denial)

d. Contracts (Recruitment, Employment, Service)

f. Illegal Recruitment