PHILCONGEN-HK

POEA Issues Guidelines on the Temporary Suspension of Contract Processing for Hong Kong-Bound Domestic Helpers

In view of the decision of the Government of the Hong Kong Special Administrative Region (HKSAR) to slash the minimum allowable wage for foreign domestic helpers (FDHs) by HK$400.00 per month for employment contracts signed on or after 1 April 2003, Philippine President Gloria Macapagal-Arroyo announced on 05 March 2003, the temporary suspension of processing of all contracts for domestic helpers in Hong Kong.

Prior to the decision of the HKSAR Government, President Macapagal-Arroyo sent a personal plea to HKSAR Chief Executive Tung Chee-Hwa appealing that HK not proceed with the planned wage reduction. This was followed by top-level representations from the Department of Foreign Affairs, the Department of Labor and Employment, and the leaders of the Senate and Congress.

However, in view of the decision to cut the minimum wage, considered unjust and unfair by the RP Government, the President directed the Philippine Overseas Employment Authority Board to draw up the implementing guidelines for the temporary suspension of contract processing and instructed the Secretary of Labor and Employment to conduct a review of existing policies on the deployment of Filipino domestic helpers in Hong Kong and other areas around the world.

In compliance with the instructions of the President, the POEA Board issued today the following guidelines:

1.	Temporarily suspend the processing of all NEW contracts for domestic helpers bound for Hong Kong, effective 10 March 2003 until further orders.
2.	The employment of all Filipino domestic helpers presently employed in Hong Kong will NOT BE AFFECTED provided there is no diminution in their wages and benefits. This means that renewals of contracts in Hong Kong will continue to be accepted and processed at the Philippine Consulate General provided the minimum allowable wage (MAW) stipulated therein is HK$ 3,670 and all the benefits under Philippine and Hong Kong laws are included.
3.	All contracts which have already been processed by the POEA prior to March 10, 2003 will be honored and the parties subject of said contracts will be allowed to depart for Hong Kong accordingly.
4.	The POEA will submit its recommendations to the Secretary of Labor and Employment concerning the review of working conditions in Hong Kong and other countries within the next thirty (30) days.

All concerned parties, namely, employers of foreign domestic helpers, foreign domestic helpers, and recruitment agencies are to be guided by the abovementioned points in conducting any employment-related transactions both in the Philippines and at the Philippine Consulate General in Hong Kong SAR.

The Philippine Consulate General likewise urges members of the general public who may have some concerns and/or questions about the guidelines on the temporary suspension of contract processing to direct these to the Philippine Consulate General hotlines at 9332-7451 (ATN hotline) and 9102-0840 (Labor hotline) to avoid any misinformation of confusion regarding these matters.