Title I – RECRUITMENT AND PLACEMENT OF • A worker who is employed on a ship or

WORKERS Chapter I – GENERAL PROVISIONS vessel that travels on water (maritime

navigation).
ART. 13. Definitions. – (a) "Worker" means any • They work on cargo ships, cruise ships,
member of the labor force, whether employed or fishing boats, or other sea vessels.
unemployed.
6. Overseas Employment
Recruitment and placement refer to the process
of hiring workers for a job. This includes finding
• A job that is outside the Philippines.
workers, selecting them, and placing them in • Any Filipino working in a foreign country
suitable positions. It can be done locally (within falls under overseas employment.
the Philippines) or for jobs abroad (overseas
employment). 7. Emigrant
1. Private Fee-Charging Employment Agency
• A person who moves to another country
permanently.
• This is a company or person that helps • They usually have an immigrant visa or a
workers find jobs but charges a fee for resident permit, meaning they plan to
their service. live there for a long time (not just for
• The fee can be collected from the work).
worker, the employer, or both.
Articles 14 & 15 – Employment Promotion &
2. License Bureau of Employment Services

• A legal permit given by the Department These sections explain how the government
of Labor to a person or company. helps people find jobs and ensures fair
• This allows them to legally operate as a recruitment in the Philippines and overseas.
private employment agency (meaning
they can recruit and place workers).

3. Private Recruitment Entity

Article 14 – Employment Promotion
• A person or group that helps workers
find jobs without charging any fees to The Secretary of Labor has the power to:
the workers or employers.
• Unlike a fee-charging agency, these 1. Set up new employment offices
entities provide their services for free. o If needed, the government can
open more job offices to help
4. Authority Filipinos find work.
2. Create a national job information
• A special permit from the Department system
of Labor allowing someone to recruit o This system helps job seekers
workers as a private recruitment entity find work in other parts of the
(without charging fees). country or even abroad.
3. Assist workers in moving to other
5. Seaman locations for jobs
o If workers need to move to a
different city or province for
 work, the government can help 7. Maintain a registry of Filipino workers
with relocation.
4. Require companies to provide o A database of skilled Filipino
employment data workers, except for seamen.
o Businesses may be asked to
submit job-related reports so
the government can monitor
employment trends. Additional Points:

• Regional labor offices handle disputes

between overseas workers and
Article 15 – Bureau of Employment Services employers (except seamen).
(BES) • The Bureau can collect fees for job
services, and this money is used for
This government office develops and monitors employment programs.
employment programs to help Filipinos get jobs.
Simplified Explanation of Articles
The Bureau's Main Responsibilities:
16-19
1. Create job plans & programs ✅ These sections explain the rules on private
o Develop strategies to improve recruitment, overseas employment, direct
employment opportunities. hiring bans, and support for Filipino
2. Regulate private recruitment agencies emigrants.
o The government licenses and
monitors private agencies that
help people find jobs in the
Philippines and abroad. Article 16 – Private Recruitment
o They ensure Filipino workers get
the best job conditions. • Only public employment offices
3. Help disadvantaged groups (government-run job agencies) can
o Special job programs for poor recruit and place workers unless
communities, people with otherwise stated in Chapter II of this
disabilities, and others in need. law.
4. Regulate the hiring of foreign workers • This means private agencies must get
proper authorization before recruiting
o Ensure that foreigners working workers.
in the Philippines follow legal
requirements.
5. Develop a labor market information
system Article 17 – Overseas
o Keep track of job trends to help Employment Development Board
with workforce planning. (OEDB)
6. Set up vocational guidance & testing
o Help match people's skills with
the right jobs.
 • The OEDB is created to help Filipinos • Other special employers allowed by the
find jobs abroad while protecting their Secretary of Labor.
rights.

Its Responsibilities:
Article 19 – Office of Emigrant
1. Promote overseas employment Affairs
o The government actively
markets Filipino workers to • A government office is created to help
other countries. Filipinos who move abroad.
2. Negotiate the best job conditions
Responsibilities:
o Ensures Filipino workers get fair
pay, good working conditions, 1. Stay connected with Filipinos
and legal protection.
overseas 🇵🇭
3. Recruit and place workers abroad
o Helps maintain close ties with
Filipino migrant communities.
o The government can directly
2. Protect their welfare
recruit workers for overseas
o Supports emigrants with legal,
jobs under certain agreements.
social, and economic concerns.
4. Manage worker welfare & training
3. Create a database of Filipinos
funds
abroad
o Acts as a secretariat for
o Collects information to help
programs that support training
with manpower planning and
and benefits for overseas
policy-making.
workers.
• Initially, the office will use available
funds, but later, it will have a regular
budget under the government's
Article 18 – Ban on Direct Hiring General Appropriations.

• Employers cannot hire Filipinos directly

for overseas jobs. They must go
through:
o The Overseas Employment
Development Board (OEDB)
Article 19 – Office of Emigrant
o Other authorized recruitment Affairs
agencies
This office helps Filipinos who migrate
✅ Exceptions: abroad and keeps them connected to the
Philippines.
• Diplomatic corps (embassies,
consulates) What it does:
• International organizations (UN, WHO,
etc.) 1. Connects with overseas Filipino
communities
 2. Provides welfare & cultural services 4. Studying job markets abroad and
(e.g., events, support programs) giving recommendations.
3. Helps returning migrants reintegrate 5. Providing employment data and trends
into society .
4. Strengthens ties between Filipinos 6. Performing other tasks assigned by the
abroad and the Philippines 🇵🇭 government.
5. Conducts programs to enhance
cooperation with migrant communities

Article 22 – Mandatory
Remittance of Foreign Earnings
Article 20 – National Seamen
Board (NSB) • Filipino workers abroad are required to
send part of their income to their
This board is created to support Filipino families in the Philippines.
seafarers working abroad. • The Secretary of Labor will set the rules
and regulations for this.
Responsibilities:
Why?
1. Provides free job placement This ensures that families of overseas
2. Regulates hiring of Filipino seamen Filipino workers (OFWs) receive financial
(ensures fair contracts & pay) support and helps strengthen the Philippine
3. Keeps a registry of all Filipino seamen economy.

The NSB handles labor disputes

involving seamen and its decisions can be Article 23 – Composition of the
appealed to the National Labor Relations Boards
Commission (NLRC), whose ruling is final.
These boards oversee overseas employment
and seafarers' welfare.

Article 21 – Foreign Service Role (a) Overseas Employment Development Board

& Participation (OEDB) Members

Philippine labor attachés and diplomats • Chairman: Secretary of Labor

• Vice-Chairman: Undersecretary of
abroad are responsible for:
Labor
• Members: Representatives from
1. Helping Filipino workers with any
various government agencies (e.g., DFA,
work-related problems.
DND, Central Bank, DepEd), employer
2. Ensuring workers are not exploited or
and worker organizations, and the
discriminated against . Executive Director of OEDB.
3. Checking if employment contracts
follow Philippine labor laws .
(b) National Seamen Board (NSB) Members individuals or companies can hire workers
legally.
• Chairman: Secretary of Labor
• Vice-Chairman: Undersecretary of
Labor
• Members: Representatives from the Article 25 – Private Sector
Coast Guard, DFA, DepEd, Central
Bank, Maritime Industry Authority,
Participation in Recruitment
Bureau of Employment Services, a
shipping association, and the Executive • The private sector is allowed to
Director of NSB. help recruit and place workers
(both local and overseas) but must
follow rules set by the Secretary of
Board members receive allowances of
Labor.
up to ₱2,000 per month.
• This ensures fair hiring practices
and prevents exploitation of
(c) Boards are under the Department of Labor
workers.
• The President of the Philippines
appoints the Executive Director based
on recommendations from the
Secretary of Labor. Article 26 – Travel Agencies
• The Auditor General appoints an Prohibited from Recruiting
auditor to oversee financial matters.
• Travel agencies and airline sales
agencies CANNOT engage in
recruitment or job placement,
Article 24 – Boards' Authority to whether for profit or not.
• This rule prevents scams where
Issue Rules & Collect Fees
workers might be charged excessive
fees under the guise of "travel
• The Boards create rules to
arrangements."
implement their duties.
• They collect fees from employers ,
which are used only to fund their
programs.
Article 27 – Citizenship
Requirement

Chapter II – Regulation of • Only Filipino citizens or companies

Recruitment and Placement at least 75% Filipino-owned are
allowed to recruit and place workers.
Activities • This ensures that foreign interests
do not control the recruitment
This chapter of the Labor Code of the
process and protects Filipino
Philippines outlines the rules and
workers.
regulations for recruitment and placement
of workers, ensuring that only authorized
 Article 28 – Capitalization • This acts as financial protection for
Requirement workers in case of violations.

• Companies applying for a

recruitment license must have
sufficient capital (as determined by Article 32 – Fees Workers Must
the Secretary of Labor). Pay
• This ensures financial stability and
prevents recruitment agencies from • Recruitment agencies CANNOT
scamming workers. charge workers any fees until they
have actually started working.
• All fees must have a proper receipt
and must follow the allowable fee
Article 29 – License/Authority is schedule set by the Secretary of
Non-Transferable Labor.
• This prevents exploitation and
excessive charges.
• A recruitment license or authority
CANNOT be transferred to another
person or company.
• It must only be used by the original
holder and at the location specified Article 33 – Employment Reports
in the license.
• If the agency wants to change • The Secretary of Labor can require
addresses, hire new representatives, recruitment agencies and
or open more offices, they must get companies to submit reports about:
approval from the Department of o Job vacancies
Labor. o Worker recruitment details
o Salary conditions
o Employment status updates
• This helps the government monitor
Article 30 – Registration Fees labor trends and protect workers.

• The Secretary of Labor will set fees

for recruitment agencies that apply
for a license. Article 34 – Prohibited Practices
in Recruitment

It is illegal for any agency, recruiter, or

Article 31 – Bond Requirement individual to:

• Recruitment agencies must provide 1. Overcharge fees – Agencies

a cash or surety bond to guarantee cannot charge workers more than
that they will follow the rules and the allowed amount.
terms of employment contracts.
 2. Give false information – Chapter III – Miscellaneous
Posting fake job ads or providing Provisions
misleading information is illegal.
3. Commit fraud – Using fake This chapter contains additional regulations
documents or lying to get a regarding recruitment and placement to
recruitment license is prohibited. ensure fair practices and protect workers
4. Poach workers – Trying to steal from illegal recruitment activities.
workers from an existing job unless
it’s to help them escape unfair
conditions.
5. Blacklist workers – Preventing Article 36 – Regulatory Power
workers from getting jobs because
they didn’t apply through a certain • The Secretary of Labor has the
agency. authority to regulate and control
6. Hire for illegal work – Placing recruitment and placement activities.
workers in dangerous or immoral • The Secretary can issue rules,
jobs. guidelines, and restrictions to
7. Obstruct government inspections ensure fair recruitment and
– Preventing labor officials from employment practices.
checking recruitment activities.
8. Change contract terms without ✅ Purpose:
approval – Altering contracts
without the worker’s knowledge or • To prevent abuse, illegal
government approval. recruitment, and exploitation of
9. Own a travel agency & workers.
recruitment agency at the same
time – To prevent conflicts of
interest and scams.
10. Hold a worker’s travel documents Article 37 – Visitorial Power
– Agencies cannot confiscate
passports or visas for financial gain. • The Department of Labor (DOLE)
has the power to inspect recruitment
agencies at any time.
• DOLE officials can check business
premises, financial records, and
Article 35 – License Suspension recruitment practices to ensure
or Cancellation compliance.
• Agencies are required to submit
• If a recruitment agency violates the regular reports about their
rules, the Secretary of Labor can recruitment and employment
suspend or cancel its license. activities.
• This ensures agencies follow legal
and ethical recruitment practices. ✅ Purpose:
 • To monitor recruitment agencies syndicate or a large-scale
and prevent fraudulent activities. operation), the penalty is:
▪ Life imprisonment
▪ ₱100,000 fine
2. For Licensed Recruitment
Article 38 – Illegal Recruitment Agencies That Violate Rules
o If a licensed agency commits
• Any recruitment done by a person violations, the penalty is:
or agency without a license is ▪ Imprisonment of 2
considered illegal recruitment. to 5 years
• This includes any of the prohibited ▪ Fine of ₱10,000 to
practices listed under Article 34 ₱50,000
(e.g., overcharging fees, providing ▪ The court decides
false job information, altering whether the violator
contracts, etc.). will receive either or
• The DOLE and law enforcement both penalties.
agencies can investigate, file 3. For Unauthorized Individuals or
complaints, and take legal action Companies
against illegal recruiters. o If a person or company
operates without a license,
the penalty is:
Illegal recruitment is considered
▪ Imprisonment of 4
economic sabotage if:
to 8 years
▪ Fine of ₱20,000 to
1. It is committed by a syndicate (if
₱100,000
three or more people are involved).
▪ The court decides
2. It affects multiple victims (three or
whether the violator
more people are recruited illegally).
will receive either or
both penalties.
4. For Corporations, Partnerships, or
Associations
Article 39 – Penalties o If a corporation or business
entity is guilty of illegal
Article 39 outlines the penalties for recruitment, the responsible
violations of the recruitment and placement officers (such as the owner,
regulations under the Labor Code of the president, or manager) will
Philippines. face the penalties.
o If the offender is a
foreigner, they will be
deported after serving their
Penalties for Illegal Recruitment sentence.
5. Revocation of License &
1. Economic Sabotage Cases Forfeiture of Bonds
o If illegal recruitment is o Any conviction under this
considered economic law will automatically
sabotage (involving a
 cancel the recruitment Article 41: Prohibition Against
license. Transfer of Employment
o The convicted agency's cash
and surety bonds will be
• Can't switch jobs: Once a foreign
forfeited and used for
programs under the Overseas worker gets the employment
Employment Development permit, they cannot change their
Board (OEDB) or National job or switch employers without
asking for prior approval from the
Seamen Board (NSB)【
25:0†Reference_Labor-Code- Secretary of Labor . This helps
of-the-Philippines-2022-1.pdf ensure that foreigners stay in jobs
they were originally hired for.
】.
• Punishments for breaking the rule:
If a foreign worker works illegally
without following the rules ❌, they
Article 40: Employment Permit of will face punishment (in line
with Articles 289 and 290 of the
Non-Resident Aliens Labor Code) and can be deported
after serving their sentence.
• Who needs the permit: Any
foreigner (a non-resident alien)
who wants to work in the
Philippines 🇵🇭 or any employer Article 42: Submission of List of
who wants to hire a foreign worker
needs to apply for an employment Foreign Workers
permit from the Department of
• What employers must do: If an
Labor .
employer already has foreign
• Why is the permit needed?: The
permit is granted only if there is no workers , they must submit
a list of these workers to the
qualified Filipino worker 🇵🇭 who is
ready, willing, and able to do the job Secretary of Labor within 30
days of the rule coming into effect.
. This is to make sure Filipinos
This list should include:
have the first chance at employment.
o Names of foreign workers
• Special condition for certain
businesses: If the business is in a
preferred investment area (a o Citizenship (where they
special area where the government come from )
wants to encourage investment), the o Addresses (both foreign and
employment permit can be issued local )
after the recommendation of the o Type of employment (what
government agency in charge of that job they’re doing )
area . o Status of stay (are they
allowed to stay in the
country? ❌)
• Why submit the list?: The
Secretary of Labor will use this list
to check if the foreign workers are
eligible for an employment permit
✅. If not, they may be asked to
leave or not allowed to work.