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Philippines

Labor Inclusivity and Dispute Resolution (PH0063)

Overview

At-a-Glance

Action Plan: Philippines Action Plan 2019-2022

Action Plan Cycle: 2019

Status:

Institutions

Lead Institution: Department of Labor and Employment (DOLE)

Support Institution(s): ● DOLE Central Office, Regional Offices and Attached Agencies ● The following agencies may be invited, when necessary (As per DO 140-14): ○ Department of Trade and Industry (DTI) ○ National Economic and Development Authority (NEDA) ○ Department of Budget and Management (DBM) ○ Department of Foreign Affairs (DFA) ○ Department of the Interior and Local Government (DILG) ○ Department of Agriculture (DA) ○ Department of Environment and Natural Resources (DENR) ○ Department of Energy (DOE) ○ Department of Agrarian Reform (DAR) ○ Department of Tourism (DOT) ○ Department of Social Welfare and Development (DSWD) ○ Department of Transportation and Communication (DOTC) ○ Department of Science and Technology (DOST) ○ Department of Education (DepEd) ○ Commission on Higher Education (CHED) ○ Civil Service Commission (CSC) ○ Governance Commission for GOCCs (GCG); and ○ Other relevant government agencies

Policy Areas

Access to Justice, Capacity Building, Gender, Inclusion, Justice, Labor, Local Commitments, Private Sector, Public Participation

IRM Review

IRM Report: Philippines Results Report 2019-2022, Philippines Design Report 2019-2021

Early Results: Marginal

Design i

Verifiable: Yes

Relevant to OGP Values: Yes

Ambition (see definition): High

Implementation i

Completion:

Description

What is the problem the commitment addresses?

Tripartism, as a social dialogue mechanism, is institutionalized as a venue where the government, the labor groups, and the employer sector can come together to discuss and resolve labor and employment issues and concerns. Currently, the Department of Labor and Employment has institutionalized the National Tripartite Industrial Peace Council (TIPC) and the Regional TIPCs in all regions, as well as national and local Industry Tripartite Councils in specific industries. However, labor representation in tripartite councils is traditionally comprised of formal labor. Ensuring inclusivity of these existing tripartite structures poses a great challenge in our efforts to formulate and implement effective and responsive strategies, programs and reforms. Broad-based consultations and engagements involving all sectors and stakeholders equate to stronger developmental framework and better policy legislation that incorporates and addresses all sectoral interests and concerns.

The world of work is constantly evolving with globalization, migration, green jobs, digitalization and other emerging technologies, which lead to non-standard work arrangements and specific workplace/industry concerns. In this context, it is necessary to ensure that all workers and industry players in all sectors of society be fully represented in all social dialogue mechanisms that are institutionalized in order to serve as a venue for consultation and collaboration, with the end in view of formulating and implementing holistic policy reforms and programs that would address all cross-cutting and industry/sectoral concerns and engender a climate of industrial peace anchored on social justice.

The maintenance of a stable but dynamic and just industrial peace, apart from being a State policy, is recognized as a fundamental requisite of national growth and development and thus has always been at the core of the government’s plans and programs.

What is the commitment?

Considered as key instrument in the attainment and maintenance of industrial peace, Tripartism in labor relations is declared a State policy. Towards this end, the Department shall ensure Tripartism and social dialogue, which entails that workers and employers are, as far as practicable, represented in decision and policy-making bodies of the government, particularly in the National and Regional Tripartite Industrial Peace Councils. The Department shall further ensure that representations in these tripartite councils are inclusive by reconstituting the tripartite councils and expanding labor representations in these councils to include most representative
organizations in sectors of workers other than the formal labor. This is a deviation from the usual tripartite councils wherein labor representation is traditionally comprised of representatives of the formal labor. Through this commitment, the Department aims to have a more proactive engagement with the labor and employer sector, which signifies that their voices and inputs are heard and considered in the review of labor laws and other policies affecting their rights, duties, and welfare.

Inclusive and proactive participation of workers and employers in policy-making ensure that their concerns and inputs are being considered in the process, thereby promoting greater integration of objectives and circulation and processing of information. This would most likely result in more responsive policies that would truly address the needs and/or concerns of their respective sectors. Moreover, their participation in policy-making would also develop democratic ownership over policies, thus helping ensure acceptability and feasibility. It increases the possibility of the acceptance of outcomes and minimizes the possibilities for conflict

See Action Plan for milestone activities

IRM Midterm Status Summary

7. Inclusive Participatory Review of Labor and Employment Policies

"Considered as [a] key instrument in the attainment and maintenance of industrial peace, Tripartism in labor relations is declared a State policy. Towards this end, the Department shall ensure Tripartism and social dialogue, which entails that workers and employers are, as far as practicable, represented in decision and policy-making bodies of government, particularly in the National and Regional Tripartite Industrial Peace Councils.

The Department shall further ensure that representations in these tripartite councils are inclusive by reconstituting the tripartite councils and expanding labor representations in these councils to include most representative organizations in sectors of workers other than the formal labor. This is a deviation from the usual tripartite councils wherein labor representation is traditionally comprised of representatives of the formal labor. Through this commitment, the Department aims to have a more proactive engagement with the labor and employer sector, which signifies that their voices and inputs are heard and considered in the review of labor laws and other policies affecting their rights, duties, and welfare."

Main Objective

"Inclusive and proactive participation of workers and employers in policy-making ensure that their concerns and inputs are being considered in the process, thereby promoting greater integration of objectives and circulation and processing of information. This would most likely result in more responsive policies that would truly address the needs and/or concerns of their respective sectors. Moreover, their participation in policy-making would also develop democratic ownership over policies, thus helping ensure acceptability and feasibility. It increases the possibility of the acceptance of outcomes and minimizes the possibilities for conflict."

Milestones

  1. Reconstitution and/or expansion of labor representation in the National Tripartite Industrial Peace Council (NTIPC) and the Regional Tripartite Industrial Peace Councils (RTIPC) to include sectoral representatives.
  2. Deliberation of regional, industry and/or sectoral concerns on labor and employment by the RTIPCs.
  3. Review and amendment of labor relations policies, contributing to the attainment and maintenance of industrial peace: Implementing rules and regulations (IRR) of the Conciliation-Mediation Law (RA 10396); Existing guidelines governing the conduct of social partners and stakeholders during labor disputes; IRR of Telecommuting Law.
  4. Ensure representation of relevant sectors in OGP commitment activities.
  5. Capacity-building/Training materials workshop on Social Dialogue, Participatory governance, and Quality public services.
  6. Mindanao Regional workshop on Social Dialogue and Participatory governance.
  7. Visayas Regional workshop on Social Dialogue and Participatory governance.
  8. Luzon Regional workshop on Social Dialogue and Participatory governance.
  9. National Conference on Social Dialogue and Participatory Governance.

Editorial Note: For the complete text of this commitment, along with the updated version submitted in the revised action plan, please see the Philippine action plan at https://www.opengovpartnership.org/documents/philippines-action-plan-2019-2022/.

Commitment Analysis

This commitment aims to facilitate industrial peace through the proactive inclusion of formal and informal sector workers in the formation and review of labor policies. The Department of Labor and Employment (DOLE) and partners seek to achieve this through the reconstitution of the Tripartite Industrial Peace Council at national and regional levels to encourage social dialogue and participatory governance. The commitment revisits RA 10396 (the Conciliation-Mediation Law), which regulates labor dispute resolution. [84] By increasing labor representation, the government hopes to build better policies that respond to the demand and needs of workers and employers.

The Philippine constitution, the Philippine Labor Code, and several international treaties acknowledge the right to labor organizing, collective bargaining, and dispute settlement. [85] The Labor Code also provides for the right for informal sector workers to "form labor organizations for their mutual aid and protection." [86] By 2018, trade union density was only 7.5% in the Philippines, with many laborers in the informal sector. [87] However, DOLE states that as of June 2021, there are 85,748 registered workers associations nationwide. [88] Despite an established legal framework, union and labor leaders have face challenges such as police intimidation and restrictions on civil liberties. [89] According to a civil society member, restricted civic space and declining union membership have inhibited unions’ ability to effectively represent themselves in the national and regional TIPCs. [90]

The Tripartite Industrial Peace Council (TIPC) was formed in 1990 through EO 403 as the main consultative mechanism and advisory body of workers, employers and government on labor and employment. [91] Tripartite social dialogue allows negotiation among workers, employers, and governments of terms of employment and concerns regarding labor policy. [92] RA10395 (Strengthening Tripartism Act) further strengthened social dialogue and processes. TIPCs at the national and regional level monitor implementation and compliance with international conventions, codes of conduct, and social accords. They also review existing labor, economic, and social policies; evaluate local and international developments; and submit to the president or the Congress tripartite views, recommendations, and proposals on labor, economic, and social concerns, including tripartite positions on bills pending in Congress. More recently, TIPC has expanded engagement beyond unions to include all interested labor groups in social dialogue. [93] DOLE states that it maintains constant partnership and communications with unregistered labor organizations through tripartism and social dialogue. [94]

Through this commitment, the government seeks to reinvigorate the practice of tripartite social dialogue in maintaining industrial relations as well as increase the representation of both formal and informal workers in those processes. This commitment is relevant to the OGP value of civic participation. Tripartism and social dialogue provides workers and employees an equal opportunity to participate in decision-making processes on employment policies. Expanded representation that includes greater presence of informal workers will broaden the discussion, better align policies with realities of the Philippines’ labor force and enable informal workers to advocate for their rights. According to Annie Enriquez-Geron, this commitment could strengthen unionization in the public sector in particular. [95] DOLE states that "tripartism and social dialogue are mechanisms through which the labor, employer, and government sectors can jointly discuss labor and employment issues and work together to come up with solutions." [96] This commitment aligns with the government’s Decent Work Agenda and obligations under the International Labor Organization’s core labor standards. [97]

This commitment has moderate potential impact. This commitment promises to significantly broaden participation in the councils to include representatives from the public and informal sectors, as well as women, youth, and migrant workers. If fully implemented, this commitment will ensure that a more representative swath of workers will evaluate and provide recommendations on labor policies. This is important given the recent decline in unions’ power as well as government restrictions on labor organizing. [98] The ultimate open government impact of this commitment will be determined by whether reforms to TIPCs result in policies that better reflect realities of the labor sector and workers’ rights. Additionally, it is important that including non-unionized workers in social dialogue does not come at the expense of further undermining unions.

Next Steps

Workers' rights advocates, organizations, and unions currently face a challenging environment in the Philippines. DOLE's commitment to a reevaluation of labor policies and dispute resolution mechanisms, in partnership with workers, is an important step toward a stronger workers' rights legal framework. DOLE's aim to for broader inclusion of informal and marginalized workers in policy review, making, and monitoring is also significant given the high percentage of workers in the informal sector. In addition to the reforms above, the government should continue to work towards a safe environment for organized labor by ensuring fair treatment by the security and judicial branches of government. [99]

[84] Note that the Philippines submitted a revised OGP national action plan that removed the specific milestone to review and amend the Conciliation-Mediation Law (RA 10396). This report analysis the initial action plan submitted by the Philippines rather than the amended text. The original and amended action plan may be found here: https://www.opengovpartnership.org/documents/philippines-action-plan-2019-2022/
[85] Maragtas Amante, “Philippine Unionism: Worker Voice, Representation, and Pluralism In Industrial Relations” (Institute of Developing Economies, 2019), shorturl.at/ehCKP
[86] Government of the Philippines. Labor Code of the Philippines. 1974. https://blr.dole.gov.ph/2014/12/11/labor-code-of-the-philippines/
[87] Dept. of Labor and Employment Bureau of Labor Relations, “2018 Labor Organization Statistics” (2019), https://blr.dole.gov.ph/wp-content/uploads/2019/09/2018_Labor-Relations-Landscape_.pdf.
[88] Information provided by the Department of Labor and Employment to the IRM during the report's public comment period. September 2021.
[89] ITUC, 2020 ITUC Global Rights Index: The World's Worst Countries for Workers. accessible at: shorturl.at/BFH07; Alliance of Workers in the Informal Economy/ Sector et al., "2019 Philippine Workers' and Trade Union Report on the SDGS” (31 May 2019), 10, https://tinyurl.com/tw5ddt6d.
[90] Enriquez-Geron, email.
[92] ILO and OECD, Thematic Brief: Achieving Decent Work and Inclusive Growth: The Business Case for Social Dialogue (The Global Deal, 2017), https://www.theglobaldeal.com/resources/Thematic-Brief-Achieving-Decent-Work-and-Inclusive-Growth_The-Business-Case-for-Social-Dialogue.pdf.
[93] Government of the Philippines. Department of Labor and Employment. "About TSD." https://www.dole.gov.ph/tsd-contents/
[94] Information provided by the Department of Labor and Employment to the IRM during the report's public comment period. September 2021.
[95] Id.
[96] Information provided by the Department of Labor and Employment to the IRM during the report's public comment period. September 2021.
[97] Annie Enriquez-Geron (Gen. Sec., Public Services Labor Independent Confederation: National Public Workers Congress), email with IRM researcher, 5 Mar. 2021.
[98] Alliance of Workers in the Informal Economy/ Sector et al., "2019 Philippine Workers' and Trade Union Report on the SDGS” at 10.
[99] ITUC, 2020 ITUC Global Rights Index: The World's Worst Countries for Workers at 29.

IRM End of Term Status Summary

Commitment 7. Inclusive Participatory Review of Labor and Employment Policies

Verifiable: Yes

Does it have an open government lens?

Yes

Potential for results: Moderate

Completion: Limited

Did it open government? Marginal

Only one of the commitment’s five milestones was fully completed. To widen the composition of the National and Regional Tripartite Industrial Peace Councils (NTIPC and RTIPC) beyond existing labor representation, the Department of Labor and Employment introduced migrant, youth, women’s representatives as well as representatives from the public, formal, and informal sectors (9 new representatives in the NTIPC and 271 in all 16 RTIPCs). Originally, these councils were mainly composed of workers’ and employers’ federation representatives (20 representatives each for the worker and employer sectors for the NTIPC), [72] with representatives from government agencies directly involved in labor-related and specific industry issues. The milestones on sectoral engagement in OGP activities and deliberation by RTIPCs were ongoing by the end of the implementation period, with delays in the reporting of RTIPC resolutions. The Department reported that NTIPC reviewed at least 16 labor relation policies, but it is unclear whether this resulted in amendments to the policies. [73] The commitment did not result in the intended executive order institutionalizing social dialogue in the public sector, and PSLINK-PUBLIK was not able to schedule the necessary dialogues with the Office of the President on the issuance of an executive order and with the DBM because of the agencies’ unresponsiveness. However, PSLINK-PUBLIK conducted 15 learning fora and dialogues with public sector unions and facilitated two public- and private-sector surveys on alternative work arrangements and support for health workers. [74] Beyond the commitment, PSLINK-PUBLIK reported involvement in deliberations for bills on Public Service Labor Relations [75] and the Magna Carta for Non-uniformed Personnel as well as for a local government ordinance on social dialogue.

[73] Accomplished IRM questionnaire by the Policy and Program Development Division of the Department of Labor and Employment (DOLE), received via e-mail August 8, 2022.
[74] Interview with Dr. Annie Enriquez-Geron (President), Public Services Labor Independent Confederation–National Public Workers Congress (PSLINK-PUBLIK), July 21, 2022, via Zoom meeting.
[75] This bill institutionalizes Convention 151 of the International Labor Organization (ILO): https://www.ilo.org/dyn/normlex/en/f?p=NORMLEXPUB:12100:0::NO::P12100_INSTRUMENT_ID:312296

Commitments

Open Government Partnership