Gig work deemed threat to worker interests
By Kenneth Christiane L. Basilio, Reporter
HIRING for short-term roles exposes workers to unstable income and limited access to benefits, labor leaders and analysts said on Thursday.
They said the growing preference among employers for gig-based hiring could undermine job security and worker protections, and called for updated labor policies protecting short-term workers.
A Jobstreet report released earlier this week said the Philippines had the most active job market in Southeast Asia last year, in combination with high workforce reductions as companies turned to flexible and temporary employment.
“Yes, the job market is active… But mostly with short-term, no-security, no-benefit jobs,” Jose G. Matula, president of the Federation of Free Workers, said via Viber.
“Revolving-door jobs won’t build a stable nation,” he added.
The workforce consisted of 50 million people in May, up from 48.67 million a month earlier and 48.87 million a year earlier, according to government data.
Of those working, about 6.6 million were still looking to work additional hours in May, with the underemployment rate averaging 12.9% in the first five months from 12.3% a year earlier.
The prevalence of gig work exposes workers to financial insecurity, according to Benjamin Velasco, assistant professor at the UP Diliman School of Labor and Industrial Relations.
“That is why despite robust economic growth and low unemployment, surveys reveal self-rated poverty as high,” he said via Facebook Messenger.
A March poll by the Social Weather Stations indicated that around 12.9 million households rated themselves as poor.
Temporary hiring is leaving many workers with unpredictable career paths and limited access to long-term employment opportunities, labor group Sentro ng mga Nagkakaisa at Progresibong Manggagawa (SENTRO) said via e-mail.
“There is no career growth for contractual workers, because the nature of their employment remains temporary,” it said. “There’s no room for their careers to develop, because contracted workers are not given the right to regular and secure jobs.”
“Contractual workers do not receive a livable wage, and since they are not regularized after six months, these same workers are not provided with benefits such as medical insurance, paid leaves, and security of tenure,” it added.
Labor contractualization, also known as “end-of-contract” or endo, denies workers a pathway to permanent employment via five-month contracts. Workers by law are required to be granted permanent status after six months.
Permanent workers are entitled to 13th month pay, health insurance, and annual leave once regularized.
“Even though the job market has increased in activity, it does not necessarily mean that the workers themselves are safe from temporary and contractual work,” SENTRO said.
Gig workers should be granted security of tenure despite flexible work arrangements, as many businesses rely on them for core operations, Renecio S. Espiritu, national president of the Bukluran ng Manggagawang Pilipino, said via Viber.
“If the job is regularly needed for the business of the employing company, then the worker should be regular and not treated as people doing gigs,” he said.
Legislators should look at amending labor law to halt the trend towards contractualization and short-term work setups, he added.
He called for “specific protections (leading to) security of tenure,” Mr. Espiritu said. He also called for “the total abolition of manpower agencies. That will be a huge step in strengthening the security of tenure.”
“It is vital that the 20th Congress prioritize security of tenure and the end of contractualization for the genuine economic and professional development of our workers,” SENTRO said.
