Contractual/Project Basis Employment

1. Does a Contractual/Project Basis Contract have a ceiling of 6 months? I know a company that releases an 8-month Contractual Employment Contracts. What are the legal issues to this?

2. Is it possible to renew the Contractual Employment Contract right after the end of the term? or should the employee be relieved and can only sign the same contract after at least 30days?

there is no illegality per se. but what is the nature of the company and what are the jobs they are offering on contractual basis.

whether it is continuous or broken, if the employee completes 1 year, then he is entitled to become a regular employee.

The nature of business is BPO. The company relies on seat lease from clients based in the USA. The company only hires agents dependent on client's demand. So employee contract is Co-terminus with the client's contract with the company. Should the client choose to terminate it's contract with the company, its agents will also lose employment.

The contracts were just amended. It is now "Contract/Job Order". It is to be renewed every 6 months and agents will not be regularized even if they complete 1 year of employment. Is this legal? Should they still be entitled to deductions such as withholding tax, sss, Pag-Ibig and PhilHealth?

Having a co-terminus clause applies to project employment. you should have security of tenure during the duration of the project, but will not achieve regular status.

when a company is using fixed term contracts, then the provision that when you reach 1 year applies, you can claim to be a regular employee

in all cases, employers are required to deduct for tax, sss, pagibig and philhealth

Hi,

I just wanted to follow up on this question.

1) If you stayed or work for just 15 days will you still be deducted for tax,sss, etc.?
2) and can they hold your salary for 1 month?
3) The company did not release or give a copy of the contract that I signed - is this legal?

Appreciate the advice.

Hello. My husband was hired as a project employee in a construction firm. He was given three continuous contract. He was hired last July 2011 and their HR gave him a termination notice until May 15, 2012 even if the project is still on-going. He was being terminated on the grounds that he was not able to have some documents signed by their HRD Manager. Its a very petty reason but isn't my husband is entitled to a so-called "due process'? He was not even asked to explain his side. I wanted to file a case against his employer, what chances do we have on this?

if he is really a project employee, then he should have security of tenure for the duration of the project or the completion of the phase where he was hired for. imo, he is entitled to be heard to defend himself.

the remedy is to file a complaint at nlrc.

Attorney may mga kakilala po kasi ako na almost 2 years na as a contractual employee, ang tanong ko lang,
rendering 1 year as a contractual employee as you stated above dapat ma-regular na, does this applies to ALL kind/nature of jobs, or meron din pong exemption?

attyLLL wrote:if he is really a project employee, then he should have security of tenure for the duration of the project or the completion of the phase where he was hired for. imo, he is entitled to be heard to defend himself.

the remedy is to file a complaint at nlrc.

In this scenario, what if it is stated in the contract that there is no employer-employee relationship, is the person who's contract was preterminated entitled still of due process?

mikan, yes

bbb, if he is actually an employee, then due process is required

Attorney, i have a friend din po na almost 3 years na syang nagwwork as HR assistant pero under agency sya. laging sinasabi sa kanya na walang budget kaya hindi sya ma-regular, but one time isa sa staff ng HR ang nag-resign, so it means pwedeng sya na ang pumalit para sa budget nung isang umalis. pero sadly, ngayon he is terminated by the HR Manager for the reason na wala na daw budget. pwede po ba ito i-file ng complain sa labor?

i think it can be argued that she should be considered a regular employee, especially if she would receive daily instructions from those in HR and not from her agency.

Hi Attorney, where is it written in the the Labor Code or Implementing Rules that completion of 1 year employment in fixed-term/contractual basis entitles the employee of regularization?

We would like to include this in our contracts for project-based employees. Thanks!

I was hired by a company and is under an agency with project-based position with contract date at the end of the year. Contract was renewed until the end of this year. And not sure if it will be renewed again since most project-based employees after end of contract for that year gets another extension.

That makes me more than a year working for the company as a project-based employee under an agency. Other project-based employee as well have been in the company for more than 2 years and close to 3 years.

Most likely, all our job description is the same as that of regular employees (not mentioning, we do most of their supposed to be responsibility).

My point here is that, after a year or 2 of service to this big company here in the Philippines, Are there any basis in labor code that we should demand regularization with all the benefits we should have just like those of regular employees? We don't have leaves and it sucks when you get sick, still, the no work no pay policy exists.

I hope you can give us insights on what to do with this state. Thanks.

where did the contract came from? Is it from the big company? or from an agency hired by the company to contract employees like you?

It was from the agency by the company who interviewed me and hired me. From the big company, they forward my application to an agency.

what is the nature of your work, and are you assigned to a specific project?

Basically, there is no difference as to what regular employees job description do. Most of the time, we have the same job. I can't clearly depict if there was really a project since daily routines are the usual routines I do together with the regular staffs. Are there grounds and by laws with regards to my situation that can make me qualify to become a regular employee? It's over a year already (and some workmates, more than 2 years) and still we are not regularized.

Hi Im also a project based employee of a BPO company. Since the our department and our project was transferred at the province.We here in Muntinlupa was noted this end of November we are FORCE LEAVE. Since the project is not dissolved or done. Does the company have the right to put us in FORCE LEAVE?.and wala pa talaga silang plano sa amin

inmyopinion, if they didn't specify a particular project in your contract, then there can be basis to say that you you should be considered regular.

zildian, if there are other positions available in the company, then imo, they should transfer you there asap

Yes, there is no specific job description or project stated on my contract. What should I do with this? I need an advice please..

1. Are there legal implications when an employer issues a contractual employment contract to a previously hired project-based employee, or vice versa?  The company is a construction firm and has employees who are either project-based (those located and working in project sites) and contractual employees (those who are mostly assigned in the main office.

2. Can a previously hired contractual employee who was re-hired for project site assignment as a project employee, be re-hired again as a contractual employee?

3. An employee whose designation is Carpenter was issued a contractual employment contract and was assigned under the HR Department to assist in recruitment works. He was later on terminated and was re-hired as project employee, assuming carpenter position and funtion.  He was then terminated after two months, and was again re-hired as contractual employee again as carpenter, to assist in HR recruitment works.  Are there legal implications on this scenario?

Please advise. Thanks you.