Sunday, July 6, 2025

Senator Villanueva refiles landmark bill to end contractualization

Living up to his steadfast commitment to Filipino workers, Senator Joel Villanueva announced the re-filing of his highly anticipated Security of Tenure and End of Endo (End of Contract) bill. The proposed measure, which aims to eradicate exploitative contractualization practices, stands as the senator’s top priority bill at the opening of the 20th Congress.

Senator Villanueva, who previously chaired the Senate Committee on Labor, Employment and Human Resources Development, underscored the urgency of the legislation. “Stop endo or stop contractualization has been the longstanding and resounding call of our workers,” Villanueva stated. “Endo, or the repeated short-term employment without the possibility of regularization, is oppressive and directly undermines the constitutional rights of workers.”

The bill seeks to amend crucial provisions of the Labor Code of the Philippines, explicitly prohibiting “labor-only contracting (LOC).” It defines LOC as existing when a contractor merely supplies workers to the principal, the supplied workers perform tasks directly related to the principal’s business of the contractee, and the contractor does not exercise direct control over the deployed workers.

Villanueva highlighted that the practice of wholesale outsourcing of core functions, particularly when it involves the mere supply of labor for directly related tasks, is a clear indicator of LOC and fundamentally erodes the constitutional guarantee of security of tenure.

“This provision has been favorably endorsed by the Department of Labor and Employment based on its practical experience with enforcement and litigation,” the senator revealed. He added that the Labor Department believes this amendment will significantly simplify the interpretation and implementation of the law, thereby reducing legal ambiguity and streamlining enforcement efforts.

Furthermore, the bill empowers industry tripartite councils – comprising representatives from labor, management, and government – to collectively determine which jobs are directly related to the main business of a contractee or principal. “Through the tripartite process, workers can voice their concerns about job outsourcing, while employers can present the operational realities and evolving demands of their business,” Villanueva explained. “This framework ensures that labor policy remains relevant, flexible, and balanced.”

Senator Villanueva expressed strong optimism for the bill’s swift passage, anticipating broad support from fellow lawmakers and Malacañang. “It’s high time for Congress to find a way to grant security of tenure to thousands of contractual workers in the private sector,” Villanueva asserted. “The grant of regular status will make our workers more productive, innovative, and driven. Investing in our human resources will be very well worth it.”

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