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Cebu News

DOLE to require bond for BPOs

- The Philippine Star

CEBU, Philippines - The Department of Labor and Employment (DOLE) will require call center firms to put up a bond equal to the number of their employees when operating their businesses.

This is to answer liabilities to employees should a case similar to Direct Access Corp. in Asiatown IT Park, Cebu City be repeated. The company shut down operations without giving workers a 30-day prior notice.

At the 888 News Forum at Marco Polo Plaza yesterday, Director Edmund Mirasol, of the National Conciliation and Mediation Board of DOLE-7, said that this measure came out from the consultation done with the call center firms after the incident.

Mirasol said that DOLE has yet to come out with the exact amount of bond as it has to look into the recommendation.

Additional recommendation Mirasol has bared is the continuous and close monitoring of all existing call center firms.

“There are some indicators that would give us some information that they might be experiencing the same experience with that of the Direct Access,” he said.

Mirasol cited some late or delayed payments of wages that would be an indicator that the firm is unstable.

About 200 of more than 600 displaced workers of DAC which was recently closed filed complaints at the DOLE.

Other workers were reportedly hired by other business process outsourcing firms that needed more staff.

Mirasol said that they tried to effect an amicable settlement but they were informed by Jeffrey Newman, DAC chief operating officer, that this is not possible.

What were left in the firm’s dollar account is only $2 while the peso account is less than P10,000 and the assets left are only computers, tables and the office that DAC had rented.

Mirasol said that it has already established the non-payment of salaries, wages and other benefits that would be the basis of DOLE’s further action.

In their complaint, the workers cited the firm for illegal shutdown of operations, non payment of their salaries, incentives, allowance, commissions; and the non-remittance of their Social Security Service contributions.

The call center agents were reportedly earning a monthly salary of P11,000 to P13,000.

DAC reportedly filed a notice of temporary closure/shutdown last July 31 for three to six months due to financial losses brought by high cost of operation, according to the DOLE.

(FREEMAN)

CEBU CITY

DEPARTMENT OF LABOR AND EMPLOYMENT

DIRECT ACCESS

DIRECT ACCESS CORP

DIRECTOR EDMUND MIRASOL

JEFFREY NEWMAN

MARCO POLO PLAZA

MIRASOL

NATIONAL CONCILIATION AND MEDIATION BOARD

NEWS FORUM

SOCIAL SECURITY SERVICE

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