Philippine Manpower

The Philippines has a population of over 115 million, with a year-on-year population growth of approximately 1 million, and a young, expanding workforce. The country places a strong emphasis on education, with a high literacy rate and a large pool of English-speaking graduates across various fields. Most Filipinos are Christian and are known for their strong work ethic and motivation, making them highly sought-after in the international labour market.

Filipino workforce is highly sought after as visible by the fact that The Philippines deploys several hundred thousand workers each year to various countries on various continents. To create a clear cooperation framework for both employers and employees, the Philippine government established a government-controlled and regulated deployment system.

The Philippines is a very reliable sourcing country for both skilled and unskilled labour for countries like the United States, Asian countries like Japan & South Korea, Middle Eastern countries like Saudi Arabia, Qatar & the UAE. However, every year more and more Filipino workers get deployed to European countries.

For the year 2024 in Central Europe there were ≈435,000 approved work permit applications for third-country nationals, including ≈49,800 for PH nationals. Philippine nationals already account for ≈11.5% of total processed work permits in the region. The share of PH workers across Europe is expected to increase exponentially.

Philippine Workforce Regulations

At the national level, the Philippines operates a highly structured and tightly regulated overseas employment system. Overseas recruitment and deployment are regulated and overseen by the Department of Migrant Workers (DMW).

The DMW is responsible for regulating overseas recruitment and deployment, including licensing recruitment agencies, granting employer/principal accreditation for overseas hiring pathways, and safeguarding the rights and welfare of Overseas Filipino Workers (OFWs).

POLO / MWO Procedure

The POLO procedure, now administered through the Migrant Workers Office (MWO) under the DMW, is a prerequisite for DMW registration and deployment processing. Its purpose is to validate:

• Legal existence and registration of the employer
• Financial capacity of the company
• Authenticity of the job order (and, where applicable, supporting work authorization)
• Compliance of employment terms with Philippine standards

The process typically includes document submissions, employer accreditation, and contract/document review, and in certain jurisdictions may include interview and worksite inspection/on-site verification.

Deployment processing cannot proceed without completed accreditation/verification, and workers will not be issued the required DMW departure clearance without it. Non-compliance may result in employer/principal disqualification or delisting from the overseas employment program, denial of future recruitment requests, and administrative sanctions affecting the Philippine agency.

For more detailed information, please see our dedicated page on POLO / MWO Procedure.

Employer and Manpower Agency Limitations

A foreign employer may be accredited with up to a maximum of five licensed Philippine recruitment agencies, subject to applicable DMW rules and relevant MWO post requirements. Each agency requires a separate accreditation under the POLO or MWO process. Approval granted to one agency does not automatically extend to others.

Recruitment agencies must be licensed by the DMW and remain in good standing. Under Philippine law, agencies are jointly and severally liable (solidarily liable) with the employer/principal for covered contractual violations and monetary claims.

Further information about the Overseas Employment Certificate (OEC) can be found on our dedicated POLO/MWO procedure page.

Direct Hiring Restrictions

Direct hiring by foreign employers is generally restricted. As a rule, recruitment must be conducted through a DMW-licensed Philippine agency, unless the hiring falls under authorized exceptions processed by the DMW.

Direct hiring outside the exemptions can delay deployment and stop the issuance of the required departure clearance.

Working Contract

Employment terms must follow both host-country labor laws and Philippine overseas employment standards. Philippine authorities only verify compliance with Philippine laws; ensuring compliance with the host country’s laws is the employer’s responsibility.

Contracts must clearly define:

• Position and job scope
• Salary and payment schedule
• Working hours and overtime provisions
• Leave entitlements
• Insurance coverage (where applicable under the deployment track)
• Repatriation conditions
• Duration of employment

Contract substitution after deployment is strictly prohibited. The contract verified under the POLO/MWO procedure must not be altered or replaced to the worker’s prejudice and must match the employment terms implemented in the host country.

Overseas Employment Certificate

A Filipino worker cannot depart the Philippines for overseas employment without the required DMW clearance document (commonly referred to as the Overseas Employment Certificate/OEC, and officially transitioned to OFW Clearance / OFW Pass).

This clearance enables the worker to clear immigration controls for overseas employment travel. A valid visa alone is not sufficient for departure processing as an OFW.

Airfare

The employer is required to cover (unless otherwise provided by law, regulation, or a bilateral arrangement):

• Initial airfare from the Philippines to the host country
• Return airfare upon contract completion or lawful termination
• Repatriation airfare in case of emergency

These costs must not be charged to the employee as recruitment/placement expenses.

Visa and Work Permit Sponsorship

Visa and/or work permit fees and other principal-side processing costs are chargeable to the employer under DMW/POEA rules (unless otherwise provided by law, regulation, or a bilateral arrangement).

Passing principal-side recruitment/placement costs to the worker—directly or via salary deductions, may be treated as a violation of Philippine overseas employment regulations.

Medical Examination Requirements

Workers must undergo a medical examination at a DOH-accredited medical clinic in the Philippines and be certified fit to work before deployment processing is completed.

In many host countries, an additional medical examination is required upon arrival, subject to host-country rules and employer arrangements.

Medical clearance is a prerequisite in standard deployment processing and clearance issuance.

Mandatory Insurance Coverage

For agency-hired workers, compulsory insurance coverage is required under Philippine rules, and the licensed recruitment agency is responsible for paying the premium. The premium must not be charged to the worker, directly or indirectly.

Coverage typically includes:

• Life insurance
• Disability insurance
• Medical coverage
• Repatriation benefits
• Subsistence allowance in case of dispute

Insurance compliance may be reviewed as part of deployment processing and verification requirements, depending on the recruitment track and the responsible MWO.

No Placement Fee

As a European employer, charging placement fees to Philippine workers is generally prohibited. Any fees related to recruitment or placement must comply with Philippine regulations, which strictly limit what can be charged to the worker.

Workers may only pay for legitimate documentation or processing costs (e.g., passport, clearances, medical exams) as allowed under Philippine law. Charging any unauthorized placement fees may result in legal penalties, including administrative sanctions for recruitment agencies and potential disqualification or blacklisting of the employer under the Philippine overseas employment program.

Some host countries may have additional rules, so employers should ensure compliance with both Philippine regulations and local laws.

Injury or Death

In the event of serious injury or death during employment, the employer/principal (in coordination with the recruitment agency and the Philippine Embassy/MWO, as applicable) must ensure compliance with repatriation, reporting, and benefit/claim processes.

In the event of death, Philippine law places responsibility for repatriation of remains and related costs on the employer and/or local agency.

Failure to comply may result in legal claims filed in the Philippines, in addition to administrative consequences.

Labour Disputes

Filipino workers may file complaints through the MWO abroad and through DMW/Philippine adjudication channels, including money claims mechanisms under Philippine law.

Because recruitment agencies are jointly liable with the employer/principal, monetary awards may be enforced through Philippine legal channels.

Claims may include unpaid wages, damages, reimbursement of expenses, and repatriation costs.

Deployment Bans

The Philippine government may impose deployment bans or suspend deployment to certain countries when conditions are not protective of migrant workers or when public welfare/national interest requires it.

Such bans apply irrespective of individual employer compliance and can immediately suspend recruitment activity.

Compliance Imperative

The Philippines treats overseas employment as a matter of public policy, and recruitment is tightly supervised and procedurally controlled.

For employers, this means:

• Early planning is essential
• Documentation must be accurate and complete
• Costs must be calculated beyond salary
• Legal exposure extends beyond the host country

When properly managed, the framework provides transparency, worker protection, and a reliable channel for sourcing Filipino workforce.