How the POEA Regulates the Overseas Recruitment of Filipinos

The Philippine Overseas Employment Administration (POEA) is well known locally since a quarter of our country’s workforce is practically located abroad.  However, the same could not be said in countries where we send our Overseas Filipino Workers (OFWs).

This of course has led to human resources professionals in companies that recruit Filipinos to study the intricacies, requirements, and process of the POEA.  And, at times there is a degree of hesitation among HR professionals when it comes to meeting the requirements and standards of the POEA.

So this brings us to the question: How does the POEA administer the Philippine overseas recruitment industry?
Before we answer that question, we need to investigate what are the requirements of the POEA and what may be the possible cause for HR practitioners to have reservations in meeting these prerequisites.  The POEA mainly requires that foreign employers of Filipino professionals and workers to submit to its minimum standards.  This means that foreign companies should adhere to the POEA Rules & Regulations which are based on Philippine House of Representatives’ Bill No. 14314 and Senate Bill No. 2077 signed on 07 June 1995 known as the Magna Carta of Overseas Filipinos.  Second to this, the POEA requires foreign employers to adhere to a policy of transparency, and this entails the HR Manager to submit thorough documentations about their company.

The documentary requirements would be:

1. Letter of Request / Manpower Request Letter
2. Letter of Authorization / Special Power of Attorney
3. Copy of Commercial Registration
4. Specimen of the standard Employment Contract
5. Company profile
6. Location Map

On top of this, based on the rules & regulations of the POEA, the said documents should be submitted before any recruitment activity is done by the foreign employer or its representative recruitment agent.

This has caused HR Managers to feel that the POEA has been too stringent, and has placed a high bar for companies to commit to recruiting Filipino professionals and workers. 

To balance this out, we need to ask why the POEA requires these prerequisites.  Aside that these are stipulated by the law, it could all be said that the logic and justification for these rules are based on the government’s policy of protecting its citizen from false opportunities and illegal recruitment activities.  The POEA also intends to uphold a minimum standard of employment program for Filipinos.

Now considering these policies and prerequisites, are there any absolute benefits that a company may get from this exercise with the POEA?

On the short-term, one might say that the benefits escape those who deal with the POEA.  A submission of the prerequisites and adherence to the POEA’s Rules & Regulations would primarily have a company accredited as a legitimate employer of Filipino expatriates.

A thorough examination of the POEA Rules & Regulations would clearly show that the policies upheld by our government balances the relation between the employer and employee, in accordance with international conventions and standards.  This is where we can find the absolute long-term benefits of dealing with the POEA – that all these prerequisites are non-financial investments of an employer in the employee relations and engagement programs.

At the end of the day, it all boils down to laying down the right foundations of engaging your Filipino employees for a long-term career with your company.  A progressive employment program begins with the right recruitment practice and policy, and the POEA’s process simply helps employers in positively engaging their future employees from the Philippines.

To know more on how to go about your engagement and dealings with the POEA, check EDI-Staffbuilders International, Inc. at www.edistaffbuilders.com, or email us sales@edistaffbuilders.com.

EDI-Staffbuilders International, Inc. is the premier international recruitment consultancy firm in the Philippines.  As an affiliate of the John Clements ConsultantsGroup (JCCI), EDI brings the standards of its esteemed parent company in the international recruitment practice.

EDI was started in 1978 by the Harvard-educated Mr. Leocadio Dominguez and renowned Australian psychologist, Mr.  John Clements.  Being one of the pioneering company in the industry has not only afforded EDI a tradition of leadership, but has set the bar on industry standards.

Over the past three decades EDI has gained the confidence of some of the top companies in the Middle East in the Asia-Pacific, primarily in the oil & gas, petrochemical, engineering, construction, telecommunications, IT, hospitality, services, and banking industries.