Question & AnswerQ&A (MEMORANDUM CIRCULAR NO. 08, S. 2018)
No employer shall directly hire an Overseas Filipino Worker for overseas employment except for those exempted under the guidelines, such as members of diplomatic corps, international organizations, certain government officials, and others allowed by the administration.
Exemptions include members of the diplomatic corps, international organizations, heads of state and government officials with at least deputy minister rank, professionals and skilled workers with contracts over and above POEA standards (up to five hired for the first time by the employer), and workers hired by relatives who are permanent residents of the host country, except domestic workers.
The contract must include employer details, OFW's job position and site, salary (not less than host country's minimum wage or NCR wage), benefits including food and accommodation or monetary equivalent, contract duration, transportation provisions, work hours and day off, overtime pay, vacation and sick leaves, medical and dental treatment, causes for termination, dispute settlement, repatriation conditions and expenses in case of danger or death.
They may receive compensation above minimum wage, secured conveyance to/from work site, bonuses, annual vacation with pay and free airline tickets, gratuity pay, end of service awards, free education for OFW's children 18 years or younger, and stock option programs.
The employer is primarily responsible for providing compulsory insurance coverage, including repatriation insurance for the OFW and remains, covering actual repatriation costs, airfare, immigration fines, and other attendant costs.
Direct-Hire OFWs must undergo and pass a pre-employment medical examination in a DOH-accredited facility, or may be exempted if they have a medical certificate from visa issuance by the host country. A copy of the certificate must be submitted to the POEA.
They are required to undergo Pre-Employment Orientation Seminar (PEOS) and Pre-Departure Orientation Seminar (PDOS), including the Comprehensive Pre-Departure Orientation Program, and submit certificates thereof, except those with previous deployment in the same jobsite presenting valid certificates.
They must submit a verified employment contract with terms over POEA minimum standards, passport valid for at least six months, valid visa or work permit, medical fitness certificate, insurance coverage proof, notarized statement on how employment was secured with employer ID/contacts, and certificates of attendance for PEOS and PDOS.
The Direct Hire Assistance Division (DHAD) receives applications, evaluates employer eligibility and documents, recommends issuance of clearance, approves the employment contract, issues an OFW info sheet, inputs data into the system, endorses fee assessment and payment, and forwards processed records to the POEA Central Records Division.
No. Employers with previous or current accreditation with licensed Philippine recruitment agencies are not allowed to directly hire workers unless one year has elapsed after cancellation, revocation, or expiration of accreditation.