News & Updates

Department of Labor and Employment Issues Advisories on the Implementation of Flexible Work Arrangement as a Remedial Measure Due to the Ongoing Outbreak of the Coronavirus Disease 2019 (COVID-19)

In view of the ongoing outbreak of COVID-19 worldwide and its impact on the business and economy of the Philippines, the Department of Labor and Employment (“DOLE”) issued on 04 March 2020 Labor Advisory No. 09, Series of 2020 (“Labor Advisory No. 09-2020”) to assist and guide the employers and employees in the implementation of various flexible work arrangements as alternative coping mechanisms and remedial measures.

Pursuant to Labor Advisory No. 09-2020, the following flexible work arrangements may be considered by the employers:

  1. Reduction of the employer’s normal work hours and/or work days per week;
  2. Rotation of workers, where the employees are rotated or alternatively provided work within the week; or
  3. Forced Leave, where the employees are required to go on leave for several days or weeks utilizing their leave credits, if there are any.

However, the employers and employees, aside from the flexible work arrangements enumerated above, are encouraged to explore other alternative work arrangements.

The flexible work arrangements that may be considered by the employers must: (1) be with prior consultation with its employees; (2) take into account the adverse consequences of the situation on the financial viability of the company; and (3) be temporary in nature.

Employers who opt to implement the flexible work arrangements pursuant to Labor Advisory No. 09-2020 shall post a copy of Labor Advisory No. 09-2020 in conspicuous locations in the workplace. Further, the employer shall notify the DOLE, through the Regional/Provincial/Field Office which has jurisdiction over the workplace of the adoption of any of the flexible work arrangements.

As the World Health Organization already declared the COVID-19 pandemic thereby raising the Code Alert System to Code Red Sub-Level 2 and pursuant to the directive of President Rodrigo Roa Duterte, the DOLE further issued Labor Advisory No. 11, Series of 2020 (“Labor Advisory No. 11-2020”) dated 14 March 2020 to supplement the earlier Labor Advisory No. 09-2020.

Pursuant to Labor Advisory 11-2020, as a better alternative to outright termination of the services or total closure of establishments, flexible work arrangements referred to under Labor Advisory No. 09-2020, including other work arrangements, such as telecommuting and work from home, are highly encouraged in establishments that continue to operate.

Further, all manufacturing, retail and service establishments are advised to remain in operation during the community quarantine period, provided that social distancing and other health measures are strictly observed.

The DOLE clarifies that the leaves of absences during the community quarantine period shall be charged against the employee’s existing credits, if any. The remaining unpaid leaves during the said period may be covered and be subject to the conditions provided in the DOLE’s proposed COVID-19 Adjustment Measures Program.

During the community quarantine period, residents of the nearby cities outside the National Capital Region (“NCR”) who work in Metro Manila, and residents in Metro Manila who work in nearby cities or municipalities outside NCR shall be allowed to report for work, provided that they present proof of their employment and residency in checkpoints such as: (1) identification card (ID”) showing the company address/place of work and employee’s place of residence; or (2) certification of employment issued by the employer which shall state of place of work.

For self-employed workers, they shall be allowed to travel to and from the NCR provided, they present proof of business or economic activity at border checkpoints. Likewise, those delivering goods such as food, raw materials, etc., shall have access in Metro Manila, provided they present proof of delivery receipts stating the address of the establishments to receive the goods.

Lastly, the DOLE stressed that all healthcare facilities shall be fully operational, and their employees shall be allowed to move from Metro Manila to other regions and vice versa.

The full text of Labor Advisory No. 09-2020 and Labor Advisory No. 11-2020 may be accessed here.