Republic of the Philippines: Employers to Face New Labor Market Testing Requirements

April 30, 2021

The Department of Labor and Employment of the Philippines has announced that employers seeking to employ foreign national employees will be required to follow new policies under the Alien Employment Permit (AEP) program. The new rules are set to take effect May 5, 2021.

Key Points

  • The Department of Labor and Employment (DOLE) of the Philippines announced new rules under the Alien Employment Permit (AEP) program.
  • Beginning May 5, 2021, employers in the Philippines must publish job vacancies in a local newspaper at least 15 days before applying for an AEP. The publication must include the following:
    • Name of the foreign national
    • Position vacancy, job description, and qualifications
    • Salary range and other applicable benefits
    • Name of the employer and address
    • Notice that any person in the Philippines who meets the qualifications and can perform the position for which the foreign national is to be hired may file an objection at the Department of Labor and Employment Regional Office within 30 days after the vacancy was published.
  • As part of a labor market test, employers will also be required to submit a notarized affidavit to the DOLE Regional Office that proves no applications were received for the vacancy and no national of the Philippines was eligible for the position.
  • After May 5th, foreign nationals working in the Philippines under a valid AEP who change employers or positions will be required to terminate their current AEP and apply for a new AEP under their new employer or updated position.
  • Employers and foreign national employees who do not adhere to these new rules could face penalties such as fines and being prohibited from filing AEP applications for five years.

What Are the Changes?

The DOLE of the Philippines has added new rules for employers to follow as part of their labor market testing. Starting May 5, 2021, employers in the Philippines will be required to post job vacancies in a local newspaper at least 15 days prior to submitting an AEP application. Employers will still need to publish the job vacancy with the Regional Labour Office as well.

Employers will also be required to submit a notarized affidavit to the DOLE Regional Office as evidence that no other applications were received for the position and no national of the Philippines was eligible for the position.

Employees are also facing changes under new AEP rules. Beginning May 5, 2021, foreign national employees with AEPs who change their positions or employers will need to terminate their current AEP and apply for a new one under their new employer or position.

Looking Ahead

Employers should contact the DOLE Regional Office if they have questions regarding these new AEP policies or how to publish job advertisements in a local newspaper of general circulation. Employers must comply with the new rules, or they will face fines and be prohibited from filing AEP applications for five years.

Content in this publication is not intended as legal advice, nor should it be relied on as such. For additional information on the issues discussed, consult an Envoy-affiliated attorney or another qualified professional.

Previous Article
[UPDATED] UK: Right to Work Checks Rules Updated
[UPDATED] UK: Right to Work Checks Rules Updated

Starting on September 1, 2021, employers must check the employee’s physical documents to verify right to wo...

Next Video
Canada: Talent Strategies for Employers in 2021
Canada: Talent Strategies for Employers in 2021

U.S. companies are looking at Canada in greater numbers. This webinar breaks down everything you need to kn...

Check out Our Extensive On-Demand Webinar Library

Explore Now