RECRUITMENT agencies catering to land-based workers have been ordered to submit their paid-in capital compliance reports by the end of April, the Philippine Overseas Employment Administration (POEA) said.
According to POEA Advisory No. 16 series of 2020, recruitment agencies and manning agencies are required to demonstrate that their paid-in capital meets the regulatory minimum of P5 million.
“All licensed agencies are required to submit proof of compliance to the required capitalization on or before 30 April 2020 for land-based sector and 04 September 2020 for the sea-based sector,” the POEA said.
The advisory is based on POEA Memorandum Circular No. 4 series of 2017, which required agencies to raise their capital to P5 million over four years.
Non-compliant agencies risk having their licenses suspended.
Corporations and partnerships are required to submit a Certificate of Corporate Filing/Information issued by the Securities and Exchange Commission (SEC), indicating that net capital or equity is not below P5 million.
Single proprietorships must submit an Audited Financial Statement and Income Tax Return for the current year from the Bureau of Internal Revenue (BIR) showing equity of at least P5 million. — Gillian M. Cortez