OPhilippine Overseas Employment Administration (POEA)is responsible for issuing and renewing licenses for recruitment agencies, documentation and accreditation of maritime and land workers. These services were made available to recruitment agencies so that they would have the power to operate and recruit workers, which would later give them a license.
This article tells you how to obtain a POEA licenseoperate legallyin the Philippines. Necessary documents, fees to be paid, and processes on how to become a licensed personnel agency in the Philippines are included in this article.
So let's start!
What is a licensed recruitment agency?
A Licensed Recruitment Agency (LRA) is an agency that has received a license to operate and recruit from the POEA. This means that POEA has acknowledged that the agency in question has "authority" to recruit Filipino agricultural workers for jobs abroad.
Benefits
It's a win-win situation between the employment agency and the recruits. The company will run smoothly and Filipinos will have a job. Legal recruitment agencies ensure that the safety of recruits is their top priority.
Requirements
These are the requirements for a POEA licensed hiring/recruitment agency.
- Written request
- Candidate information sheet
- Proof of business registration and at least P2 million paid-in capital
- For the granting of the license, the following proof of financial capacity is required:
- A bank certificate reflecting a balance of at least P500,000 in a savings account
- A bank certificate with a balance of P2 million capitalization
- The authorized signatory of an authority signed a power of attorney to inspect bank deposits.
- Individual income tax return of the owner, partners or directors, as the case may be, with proof of payment for the last 2 (two) years.
- BIR Exemption Certificate if you are tax exempt
- In the case of an existing corporation/partnership, audited financial statements and corporate income tax returns for the past two (2) years
- If the petitioner is a corporate investor
- The Corporate Investor's Social Contract
- Designated Authorized Representative/Certification Secretary Decision
- Audited financial statements and corporate income tax returns for two (2) years with proof of payment
- proof of commercialization
- Board of Directors/Partners/Owners, Directors and Employees were
- Illegal Recruitment Branch and two (2) photocopies of passport photographs, NBI release (for foreigners) and Anti-Equality Recruitment Branch release of directors, partners/owners, officers and employees.
- Individual letters of appointment for workers with specific roles
- The owner/president/managing partner or executive director must have a bachelor's degree and three (3) years of professional experience.
- Owner/President/CEO or Chief Executive Officer Participation Certificate in Pre-License Orientation Seminar
- The owner/president/partner, founder and directors must all be named in the application notice.
- The office address and office space of at least one hundred (100) square meters must be stated in the lease agreement or building deed.
- staff development plan
- Declaration of commitment certification
- chart
- Duties and responsibilities of officers and employees included in personnel standards.
- A statement from the owner/president/partner with other skills is required for the application presenting foreign artists as a new market.
- Other conditions and evidence of funding sources that may be requested in the panel may be requested during the panel interview, including:
- A certificate of employment detailing salary, allowances and other benefits
- Account statements/savings books
- Evidence of mortgaged or refinanced properties
- Property deeds, old and new deeds in case of sale
- Copies of registered ownership of the owner, partners or directors
- License fee of P50,000.00 and application fee of P10,000.00
How to become a POEA licensed staffing agency
If you want to know how to obtain the POEA certification, follow the steps below:
1. Prepare a binder containing all required documents and submit it to the Licensing Branch Officer of the Day in Window 9 as proof of submission. Only applications that meet all the conditions will be considered. Wait until the proposed office is visually inspected.
2. After five (5) business days, return to Licensing Authority Window 9 to review the assessment results. Only POEA's authorized representative may contact or conduct business with the company.
3. Candidates will be called for a selection interview if all documentation is complete and in order. A copy of the notice of defects will be sent to the applicant together with the documents necessary to fulfill the requirements, if the documents are not in order.
4. To receive a payment order, go to Window 9, Licensing Department as soon as you receive notification of the interview. Pay the application fee of P10,000.00 to POEA Cash Division, POEA Bldg., 5th Floor.
5. Attend scheduled panel discussion with owner/partners/board. Provide the reviewer with an original scanned copy of the official receipt as proof of payment of the P10,000.00 application fee prior to the interview.
6. Meet the POEA respondent requirements. Wait for approval of the new license request when it is considered complete.
7. Submit the following upon application approval:
A. Three copies of a Deed of Trust for P1 million with bank certificate and proof of trust in a reputable bank
B. Original copy of a P100,000.00 guarantee and an official receipt from a guarantee company accepted by the POEA; the Certificate of Accreditation of the Guarantor Company issued by the Insurance Commission and the Certificate of Subscriber from the Secretariat of the Guarantor Company or the Resolution/Certificate of the Board of Directors. The bond must be valid for the period of validity of the license and meet the requirements of the POEA.
8. Pay license fee of P50,000.00 to POEA Cash Division, 5th Floor, POEA Bldg. with a money order from the Window 9, Licensing Branch.
9. Obtain the license certificate by presenting the original and a scanned copy of the official receipt.
land employment agencies
- In case there is no Philippine Work Overseas Office (POLO) at the workplace, the special power of attorney and/or employment contract must be validated by the nearest POLO or authenticated by the Embassy of the Philippines.
- In the absence of a POLO, a work application/order of at least one hundred (100) employees must be validated by the POLO or authenticated by the Embassy of the Philippines.
- The Pre-Employment Services Office (PSO) has confirmed that the client(s) is(are) a new market.
- Customer business registration
- If the client is a foreign placement agency
- Personnel application from direct employers to the foreign agency, which has been confirmed by the POLO or, in the absence of a POLO, authenticated by the Embassy of the Philippines
- PSO certification that direct employers are new markets
- Client license/registration to operate a placement agency
For shipping agencies:
- Review of special power of attorney and/or employment contract
- Authenticated by the Philippine International Labor Office (POLO) closest to the workplace, if there is no POLO at the workplace.
- The Philippine Consulate has confirmed or authenticated the Crew Agreement in the absence of a POLO Embassy/Philippines or is being reviewed by POLO.
- The POLO will verify crew disposition of 50 or more seafarers or be authenticated by the Philippine Embassy if no POLO is in the area.
- Pre-Employment Services Office (PSO) certification that will prove that customers and ships are new markets
- Customer business registration
Why should I get a licensed staffing agency?
The LRA is empowered by the POEA to legally recruit and refer job seekers looking for employment abroad. It is entrusted to the LRA as the representative of the employers and employees nationally and internationally, therefore they must be trusted and reliable.
They must also ensure that all standards are met before planning to submit them to their employers, both at home and abroad. This is very important as it determines whether you would come out as a successful recruiting agency or not!
Summary
In order for a recruitment agency to be licensed, it must go through a lot of processes and documentation. The applicant also has to pay a large sum to get licensed. They must go through these processes to ensure they are legitimate and have no reason to defraud or do it to Filipino workersillegal activities.