SM unfazed by calls to end ‘endo’

SM Investment Corp. (SMIC), the holding firm of the Sy family, is unfazed by the presidential candidates’ vow to end job contractualization, saying that they would abide by the law and find ways to survive.

SMIC President Harley Sy, speaking to reporters after the company’s annual stockholders’ meeting on Wednesday, said that the conglomerate is not in any way engaged in contractualization of employees, commonly known as “endo,” a scheme by which employees are hired for less than six months, and thereafter terminated to avoid their employment from ripening into regular employment.

“For the record, we deny that we are hiring on a contractual basis. That is purely speculative. In fact, we are one of the country’s biggest employers,” Sy said.

Under the law, “contractual employees” are those who render services under a contract, which particularly stipulates the period of employment and will not ripen into regular employment. Meanwhile, “seasonal” employees are those engage to work during a particular season in an activity that is usually necessary or desirable to the trade or business of employers.

Although hiring on a contractual basis is legally allowed, the Supreme Court, in a long line of cases, held that contractual hiring becomes “illegal and unconstitutional” when the same employee is repeatedly hired by the same employer and for the same purpose every after each employment contract expires.

Sy explained that SMIC does hire “seasonal” employees, which the holding company needs depending on the period of the year and demand for additional workforce, especially during Christmas season, other holidays, and during the opening of classes.

“Seasonal employment is actually a good opportunity for people who need flexibility,” he said.

“There is this speculation among many people that we do the five, five, five [i.e., five month employment contracts to avoid the six-month mandatory regularization]. We do not do that, we hire seasonal workers in addition to our regular employees,” Sy added.

“We need a lot of people, especially when the demand so requires like during the Christmas season and opening of the school year. Seasonal employment is validly allowed under our laws,” he added.

At present, SMIC has a total of 65,439 employees, regular and probationary combined, across SMIC, SM Retail, SM Prime, BDO and China Bank.

“In the event that the next government ends contractualization, we will abide by the law and find ways to survive,” Sy said.

On Sunday, during the last presidential debate, all five candidates vying for the country’s top post said they are against the practice of job contractualization, and vowed to end it if elected.

source:  Manila Times

Nagkaisa dares presidentiables to sign contract to stop ‘Endo’

THE NAGKAISA Labor Coalition said it would send out a contract to the presidential candidates to commit themselves to ending contractualization.

This “single, active contract” to be sent this week will “bind whoever wins rather than the five presidentiables dividing our ranks this coming election,” Nagkaisa in a statement on Wednesday said.

The labor coalition is composed of 49 federations and worker organizations, whose leaders joined a press conference yesterday.

The coalition said the candidates’ response to the contract would be released after May 1, in an effort to guide the electorate as to how the presidentiables stand on this matter which has become a key campaign issue.

Nagkaisa said if the candidates do not sign the contract, it would persuade people not to vote for them. But if they do sign, the respective positions on contractualization would still be checked if they are realistic.

The contract outlines eight points the next president should agree on: the end of contractualization, wages suitable to a reasonable standard of living, quality public services, reforming the labor compliance system, the poor’s right to the city including criminalizing demolitions, realization of full employment by the end of the next president’s term, regular political dialogues, and “an office... equivalent to a cabinet rank presidential adviser on labor concerns.”

Nagkaisa said it would no longer rely on Congress to pass a security of tenure bill and would instead count on the next president, with his or her authority to issue executive orders.

The group plans to pass two bills, one for the private sector and another for the public. They said the latter is still in the works.

Josua Mata, secretary-general of the Sentro ng mga Nagkakaisa at Progresibong Manggagawa, attributed Nagkaisa’s failed dialogue with the Aquino administration to the President’s opposition to the security of tenure bill.

“He was claiming that [with] the security of tenure bill, if passed into law, 10 million workers would lose their jobs,” Mr. Mata said in a phone interview.

For his part, Alan Tanjusay, spokesperson of Nagkaisa, said in a phone interview, said the coalition does not have the capacity to do the survey ourselves,” but estimates there are 25 to 30 million contractuals in the country.

“Naniniwala kami na [We believe that] the government has an official survey on the number of contractual workers in the country pero hindi nila binibigay sa amin, hindi nila shini-sharesa amin kasi [but they are not sharing it because] I think the picture is very, very alarming, very grave, or sa tingin namin [or as we see it,] it concerns a national security already,” he said.

source:  Businessworld