Recruiter preventively suspended over high placement fees

A recruitment agency was slapped with a preventive suspension for allegedly collecting excessive placement fees from 20 Filipinos deployed to Taiwan as factory workers.

The Philippine Overseas Employment Administration said it issued an order of preventive suspension against Lexus Inc. for allegedly collecting fees higher than allowed.

POEA head Hans Leo Cacdac said the case stemmed from the separate complaints of overcharging lodged by 20 Filipino factory workers deployed by the company to Taiwan.

He said the Filipino workers filed their complaints separately before the Manila Economic and Cultural Office's Labor Affairs office in Kaohsiung in July.

"The workers alleged that Lexus charged each of them placement fees ranging from P90,000 to P130,000. They have signed employment contracts with a monthly salary of NT$18,000 to NT$19,000 or just equivalent to about P28,000," the POEA said.

It also said the agency did not issue the appropriate receipts to the Filipinos.

Cacdac said a recruitment agency may collect from workers an amount equivalent to one month salary, exclusive of documentation and processing costs.

But he said the 2002 POEA Rules and Regulations Section 2 b, Rule 1, Part 6 bars “charging or accepting directly or indirectly any amount greater than that specified in the schedule of allowable fees prescribed by the Secretary, or making a worker pay any amount greater than that actually received by him as a loan or advance.”

Following the development, Cacdac reminded Filipino jobseekers to avoid licensed recruiters who violate the government’s placement fee policy. —Joel Locsin/KBK, GMA News

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