Managing Temporary Migration: Lessons from the Philippine Model. Dovelyn Rannveig Agunias Migration Policy Institute

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1 Managing Temporary Migration: Lessons from the Philippine Model Dovelyn Rannveig Agunias Migration Policy Institute

2 BOTTOM LINE Is the Philippine system of managing temporary migration a model for other developing countries? YES, but, the model has a fair number of flaws. Meeting the model s challenges requires concerted effort at many levels and at both origin and destination.

3 OUTLINE 1. How the Philippine Model Works 2. Challenges at Home and Abroad

4 The Philippine Overseas Employment Administration Created in 1982 manager of the overseas employment program Twin mandate: Maximize deployment Protect migrant s welfare

5 The POEA Within the Philippine Government

6 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors

7 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors Agencies Hard to Enter Policy Filipino citizen or 75 percent Filipino owned Clean criminal and derogatory record Since 1974, need to have sufficient capital, pay registration fees and post bonds Pass panel interview Co-employers integral tools of government control

8 Three Ways Out

9 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors Employers Hard to Enter Policy Have to be registered or accredited Must draft an employment contract Additional requirements in vulnerable/high risk/low-skilled sector

10 Registering Employers Abroad

11 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors Workers Hard to Enter Policy Medical and technical fitness Additional requirements in vulnerable/high risk sector Domestic workers : super maids

12 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors (2) Creating rules and regulations

13 Three Mechanisms for Government Intervention Fees and Costs Standard Contract (2) Creating Rules and Regulations

14 STANDARD SETTING Required Minimum Provisions for All Contracts guaranteed wages for regular working hours free transportation to and from the worksite or provision of offsetting benefits free food and accommodation or provision of offsetting benefits fair or authorized causes for termination of employment

15 STANDARD SETTING Standard Contract for Domestic Workers minimum US$400 monthly pay continuous rest of at least eight hours per day paid vacation of not less than 15 calendar days for every year of service employer assistance in remitting a percentage of salary through proper banking channels no salary deductions no confiscation of passport and work permit personal life, accident, medical, and repatriation insurance

16 Three Mechanisms for Government Intervention (1) Limiting participation to qualified actors (2) Creating rules and regulations (3) Ensuring compliance

17 Three Mechanisms for Government Intervention Monitoring of all actors at home and abroad Managing a grievance machinery (3) Ensuring Compliance

18 Challenges at Home and Abroad 1. crafting a balanced set of regulations that maximizes legal deployment without sacrificing protection

19 Deployment of Domestic Workers, New Hires, 2003 to 2007

20 A velvet hand in an iron glove? Are more stringent entry requirements necessarily better?

21 Challenges at Home and Abroad 1. crafting a balanced set of regulations that maximizes legal deployment without sacrificing protection 2. building state capacity

22 Disposition of Adjudication Cases, 2006 and 2007

23 Writs issued in 2007

24 Monitoring Agencies, Workers and Employers In 2007, six full-time inspectors employed 1,422 active agencies 479 agencies applied for new licenses one inspector for every 317 agencies. According to the Commission on Audit 2007 study: virtually impossible to monitor workers to monitor all Filipino workers; thus monitoring takes place during their community visits---coa Audit, 2007 foreign employers and their Filipino workers are not subjected to random and periodic inspection POLOs could not effectively monitor and protect the interests of Filipino workers abroad.

25 Number of Personnel at Filipino Resource Centers (FRCs) by Destination and Workload in Key Areas, 2006

26 Philippine Government s 2006 Budget Education % Defense 76 10% Interest expenses % Foreign affairs 5.8 1% Labor and employment 4.1 1% Others % Source: Commission on Audit, 2006 Annual Financial Report: National Government,

27 The Giving Tree?

28 Challenges at Home and Abroad 1. crafting a balanced set of regulations that maximizes legal deployment without sacrificing protection 2. building state capacity, and 3. addressing the limitations imposed by the international nature of migration.

29 Problem: Limited Control the OFWs only recourse is to escape and seek assistance of POLO. On the other hand, should they escape, their employers can file an absconding case with the police that will render them as illegal workers and be the basis for their detention. The Arabic version of the contract is the one legally binding in case of discrepancy between the Arabic original and the translated English version. ---Polo Report, Kuwait

30 Problem: Limited Control Solution: Expand Options 1. form strategic alliances with destination countries through bilateral agreements, MOUs, and other arrangements; 2. Increase deployment to migrantfriendly destinations; 3. shift deployment from low-skill to high-end or high-value occupations.

31 Migrantfriendly destinations

32 Praises abroad, criticisms at home Conclusion POEA s goal in 2008: Create a communication plan to remove negative perception about POEA. Beyond the three challenges: linking migration and development

33 For more information: Dovelyn Rannveig Agunias Migration Policy Institute (phone) (fax)

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