EMPLOYER-EMPLOYEE

RELATIONS WITH LABOR

LAWS AND CBA
Lecture Notes IV

EMPLOYMENT OF NONRESIDENT ALIENS

EMPLOYMENT OF ALIENS

Non resident aliens must secure employment permit. (Alien

Employment Registration Certificate AERC)

The Anti-Dummy Law (C.A. No. 108 amended by P.D. No. 715)
prohibits employment of aliens in entities that own or control a right,
franchise, privilege, property or business whose exercise or enjoyment

is reserved by law only to Filipinos or corporations or associations

whose capital should be at least 60% Fil owned. EXCEPTIONS: (1)
When the Sec of Justice specifically authorizes the employment of
foreign technical personnel; (2) Where the aliens are elected members
of the BOD in the entities in proportion to their allowed capital
shareholdings

Who are required to get AEP (D.O. No. 75-06)?

1.All foreign nationals who intend to engage in gainful employment in the
Philippines.
2. All foreign nationals who intend to engage in gainful employment in the
Philippines;
3. Foreign professionals who are allowed to practice their profession in the
Philippines under reciprocity and other international agreements and in
consultancy services pursuant to Section 7(j) of the PRC Modernization Act of 2000.
4. Holders of Special Investors Resident Visa (SIRV), Special Retirees Resident Visa
(SRRV), Treaty Traders Visa (9d) or Special Non-Immigrant Visa (47(a)2) for as
long as they occupy any executive, advisory, supervisory, or technical position in any
establishment.

Who are exempted from securing AEP?

Members of the diplomatic services and foreign government officials

accredited by the Philippine government;

Officers and staff of international organizations of which the Philippine

government is a cooperating member, and their legitimate spouses

desiring to work in the Philippines;

Foreign nationals elected as members of the Governing Board who do

not occupy any other position, but have only voting rights in the
corporation;

All foreign nationals granted exemption by special laws and all other
laws that may be promulgated by the Congress;

Who are exempted from securing AEP?

Owners and representatives of foreign principals, whose companies are

accredited by the Philippine Overseas Employment Administration (POEA), who
come to the Philippines for a limited period solely for the purpose of
interviewing Filipino applicants for employment abroad;

Foreign nationals who come to the Philippines to teach, present and/or conduct

research studies in universities and colleges as visiting, exchange or adjunct

professors under formal agreements between the universities or colleges in the
Philippines and foreign universities or colleges; or between the Philippine
government and foreign government; provided that the exemption is on a
reciprocal basis; and

Resident foreign nationals and temporary or probationary resident visa holders

employed or seeking employment in the Philippines.

The employment permit may be

issued to a non-resident alien or
to the applicant employer after a
determination of the nonavailability of a person in the
Philippines who is competent,
able and willing at the time of
application to perform the
services for which the alien is
desired.

Gen. Milling Corp v Torres, G.R. No.

93666, April 22, 1991

The hiring of a foreign basketball

coach (Earl Timothy Cone) has no
legal basis as that there was no
showing that there is no person in
the Philippines who is competent,
able and willing to perform the
services required nor that the hiring
of petitioner Cone would redound to
the national interest.

REFERENCES

Abad, Jr., Antonio H. (2011). (4th ed). Compendium on labor law.

4th ed. Manila: Rex.

Azucena, Jr. A. C. (2010). (7th ed.). The labor code with comments
and cases. Manila: Rex.

Azucena, C.A., Jr. (2007). (5th ed.). Everyone's Labor Code.

Manila:Rex.

Rex case digest. (2006). Labor law and social legislation, legal

ethics, mercantile law. Quezon City: Rex.

Salao, Ernesto C. (2009). Law dictionary. Manila: Rex.