THE Department of Labor and Employment (DOLE) in Central Visayas has ordered a Cebu-based business process outsourcing (BPO) company to stop operations after labor inspectors found multiple safety lapses that exposed workers to imminent danger.
The move comes several days after a BPO workers’ group decried alleged occupational safety violations in Cebu during a magnitude 6.9 earthquake last week.
The workers submitted to DOLE a list of companies that reportedly failed to follow emergency protocols and sought a formal dialogue with the agency to address their concerns.
In a statement, DOLE Region VII said they found that one BPO firm had no emergency and disaster preparedness and response plan as required under Section 14 of Department Order (DO) No. 252, Series of 2025.
Its hazard identification, Risk Assessment, and Control (HIRAC) also failed to include risks related to natural calamities such as earthquakes.
Inspectors noted inconsistencies in the composition and operation of the company’s safety and health committee, as well as the absence of a construction safety and health program for ongoing fit-out works in one of the floors it occupies.
‘The noted deficiencies taken together are indicative of the respondent’s laxity in implementing safety and health rules within the worksite which clearly exposed the workers to imminent danger,’ DOLE VII said.
The company was ordered to cease and desist operations until all unsafe conditions and violations have been corrected.
It was also told to submit proof of compliance to DOLE before reopening.
Failure to comply could lead to daily penalties of up to P100,000, as provided under Section 42 of DO 252, until the violations are rectified.
The regional office also reminded employers that under Section 38 of the same order, if a work stoppage results from the employer’s fault, workers must still be paid their wages during the suspension of operations.
DOLE VII also urged the building administrator where the company operates to secure clearance from authorities certifying the facility’s safety.
The agency also warned employers and building administrators that this is just the ‘initial shot.’
‘More and more vigorous inspections will happen onward,’ it added.
‘A problem within BPO itself’
Meanwhile, while the BPO Industry Employees Network (BIEN)-Cebu acknowledged DOLE’s issuance of a work stoppage order, the group said the problem runs deeper than individual violations.
‘More than just identifying companies involved in potential occupational safety and health (OSH) violations, we assert that it is not just a matter of a few bad apples but a problem within the BPO industry itself,’ BIEN-Cebu Spokesperson Kyle Enero said.
Enero said this development was made possible through collective worker action, noting that employees have become more vocal about safety and welfare concerns.
‘BPO workers uniting to assert their rights and welfare is what made this possible. We urge fellow BPO employees to continue speaking up and organize themselves to forward their interests both in and out of workplaces,’ he added.
He said game-changing reforms remain necessary to address long-standing issues in the sector such as livable wages, job security, non-discrimination, and safe working environments.
For the Inter-Call Center Association of Workers (ICCAW), the recent earthquake underscored the need for all BPO firms to establish active safety committees with worker representatives.
‘Workers must have voice and participation in the workplace, especially with regard to safety and health concerns,’ ICCAW Gilbert Romo said.
Dialogue over sanction
For his part, DOLE Secretary Bienvenido E. Laguesma said the agency is prioritizing dialogue and due process over immediate sanctions in handling labor complaints against BPO, saying that punitive action must be backed by a strong legal basis.
‘We don’t prioritize punishment. We will listen because we live in a free country. If workers have grievances or complaints, we should also hear the side of employers,’ he said in an interview on Monday.
Laguesma noted BPO’s large contribution to the country’s economy, citing the 1.8 to 1.9 million workers comprising the sector nationwide.
The figures, he added, benefits several programs of the labor department.
Last year, the BPO industry generated about $38 billion in revenue, a 7-percent growth from the previous year.
‘We also benefit from that. That’s why we need to be cautious and not act rashly in our decisions.’
The situation calls for a strong legal basis of punishment, as sanctions may being either benefit or harm, said Laguesma.
‘That’s why I encourage voluntary compliance. Employers are supposed to be our social partners,’ he said. ‘Everyone is given the chance to comply-they just need to meet the requirements of the law and DOLE issuances.’
The labor department has also began profiling affected workers two days after the earthquake, along with the implementation of temporary emergency and temporary employment assistance, Laguesma said.
He added that the period would last between 10 to 90 days, depending on the gravity of the recent disaster.