Palace: Banning contractualization falls on Congress

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Metro Manila (CNN Philippines, April 2) — A month ahead of Labor Day, Malacañang Palace admitted it had no power to scrap short-term and unprotected temporary work arrangements or so-called contractualization.

"That draft EO (executive order) has been under study in our office for quite some time. The main problem there is 'yung mga gustong mangyari, ay (what people want to happen is) something that the Executive Department is not empowered to do," Senior Deputy Executive Secretary Menardo Guevara said in a Palace media briefing.

"Kailangan legislative action talaga because Labor Code 'yan eh, nandoon 'yung  provisions (It needs legislative action because we're talking about the Labor Code which has provisions) against contractualization but allowing in some areas," he said.

He noted that a law is needed to repeal these particular provisions.

"An executive order is meant only to supplement, to give the implementing details of what the law provides. But it cannot add or subtract or substantially offer what the law provides," Guevarra said. "I hope you could understand the limitations of an executive order."

The total ban on contractualization can only happen if the exemptions are  removed from the law, but Guevarra said there is, so far, no move to do this from the Executive branch.

"We're still trying to do our best to come up with an executive order that can be acceptable to the labor sector," he explained.