5/28/2020
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contracts; by establishing the responsible parties; and by providing the mechanisms for
their enforcement that imposes direct and primary liability to the foreign principal
employer.[18] Yet, Section 10 presents a hidden twist affecting the principal/employer’s
liability. As worded, the Act “simply limits the OFWs’ recovery in wrongful dismissal
situations. Thus, it redounds to the benefit of whoever may be liable, including the
principal/employer – the direct employer primarily liable for the wrongful dismissal.”[19]
From this perspective, Section 10 actually limits what is otherwise the foreign
principal/employer’s full liability under the Act and exceeds what the Act intended – to
grant incentives to recruitment/manning agencies.[20] “Section 10, in short, really
operates to benefit the wrong party and allows that party, without justifiable
reason, to mitigate its liability for wrongful dismissals.”[21] [Emphasis supplied]
“Because of this hidden twist, the limitation of liability under Section 10 cannot be an
“appropriate” incentive.”[22] [Underscoring supplied]
Second, the chosen mode of granting the incentive, i.e., the liability limitation for
wrongful dismissals of already deployed OFWs, effectively imposed, with legal
sanction, a partial condonation of the foreign principal/employer’s liability to
OFWs.[23] The incentive, therefore, “from a more practical and realistic view, is really
part of a scheme to sell Filipino overseas labor at a bargain for purposes solely of
attracting the market,”[24] a scheme that sadly reduces our OFWs to mere cash cows.
And third, the “incentive scheme” effectively benefits the recruitment/manning
agencies and foreign principal/employer at the expense of the OFWs from
whom the salaries for the unexpired portion of the contract are taken and to
whom these salaries rightfully belong.[25] In effect, “the principals/employers and
the recruitment/manning agencies profit from their violation of the security of tenure
that an employment contract embodies.”[26] The OFWs, on the other hand, are
afforded lesser protection because: (1) they are afforded reduced recovery by
operation of law; (2) the reduced recovery renders wrongful dismissal situations more
alluring, easier to facilitate and less onerous to undertake which foreign employers will
most certainly consider in termination of employment decisions.[27]
These inimical effects obviously will remain as long as the subject clause remains in
Section 10 of R.A. No. 8042, this time as reinstated by R.A. No. 10022. The
“inherently oppressive, arbitrary, confiscatory and inimical provision [under Section 10
of R.A. No. 8042 should, therefore,] be struck down for its conflict with the substantive
aspect of the constitutional due process guarantee.[28] Thus, I vote to declare as
unconstitutional the phrase “for three (3) months for every year of the
unexpired terms, whichever is less” in the fifth and final paragraph of Section
10 of R.A. 8042.”
In sum, given these considerations and conclusions, further testing the validity of the
assailed clause under the equal protection guarantee, particularly under the strict
scrutiny standard that the ponencia in the present case deemed appropriate to employ,
is clearly unnecessary.
elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/57319
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