The Department of Labor and Employment (DOLE) directed telecommunications company PLDT Inc and its contractors to regularize 8,720 employees.
DOLE said on a statement on Thursday that PLDT’s nearly 9,000 employees were under contracting and sub-contracting arrangements but their jobs were “directly related” to the telcom company’s business.
DOLE’s order directed PLDT to immediately issue appointment letters and payroll reflecting the entitlements of the affected workers as regular employees.
DOLE urged PLDT and its 47 contractors to pay the P77.5 million monetary claims of 2,500 contractual employees on holiday, overtime, 13th month and other incentive pays.
Labor Secretary Silvestre Bello said: “PLDT and its contractors have been violating labor standards and they failed to refute the findings on the labor-only contracting activities. These employees must be regularized and entitled to security of tenure.”
PLDT said it was studying the directive, which it said was subject to appeal.
“We are reviewing the order, which is still subject to appeal, in consultation with our lawyers,” PLDT public affairs head Ramon Isberto said.
PLDT’s net income has declined in the last 3 years as it embarks on a costly shift to digital/online services from its traditional telephone business.