Although there are legal implications of endo because a company cannot just practice labor contracting

wittingly or unwittingly without having in their company a roster of regular employees, it has nonetheless
contributed a lot to the total employment and national income by way of short-term employment
opportunities. While endo has deprived many laborers of the opportunity to enjoy the full benefit of being
a regular employee, the stringent measure normally applied to a regular applicant is relaxed in favor of an
endo worker, resulting in a bigger participation of the entire employment sector.
Cancellation of endo would most likely post stringent requirements for the employers before new regular
employees may be hired. Hiring regular employees in favor of contractual employees, we have to admit,
entails a lot of costs perhaps more than double than what a contractual employee will get sans benefits.
Although this author would not favor a full implementation of contractualization, but the thought of full
cancellation of the same would accelerate the unemployment statistics that we currently have.

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Logic tells us that you cannot force the employers to give what they do not have. Much less force them to
hire regular employees to fill in job vacancies. To escape from the responsibility of carrying the load and
additional cost of hiring regular manpower, firms would rather overload their current roster of regular
employees with work in lieu of hiring regular employees.
To escape from the responsibility of carrying the load and additional cost of hiring regular manpower,
firms would rather overload their current roster of regular employees with work in lieu of hiring regular
employees.

This is the most plausible scenario that may transpire if the government will go for the full prohibition of
contractualization. Prudence dictates that contractualization should still exist in a case to case basis but
with government regulation to avoid abuses by the employers. Firms in the infancy stage should be
allowed to some extent to hire contractual employees until such time that firms can exist on its own and
be stable enough to weather the challenges of investment risks.
Firms in the infancy stage should be allowed to some extent to hire contractual employees until such time
that firms can exist on its own and be stable enough to weather the challenges of investment risks.

Advantages of Contractual Employment

The Ministry of Labor, in cooperation with the private sector, was able accelerate
local employment opportunities and to find a solution to unemployed and out-of-schoolyouth. There were a total of 22,327 apprentices and learners graduated in these
informal trainings and 21,766 were absorbed into regular work force of various

industries (Domingo, 1983). It may seem that contractual employment provides

temporary jobs for the people but it also means that it gives them the opportunity to
learn and perform well enough to be worthy of being a regular employee in the
company. The local labor market will always be a major source of employment for the
annual jobseekers coming from the formal and non-formal educational systems. The
labor market information system will be strengthened to support police and program
formulation and labor mobility to labor-short areas will be encouraged (Domingo, 1983).

The employment relationship is based on a series of expectations that employers

and employees have of each other and these commonly relate to compensation,
reliable support for performing the job, and opportunities for training and career mobility
(George, 2003). This is similar to the case for the rapid growth of customer service
representatives in retailings in the Philippines. retailings provide attractive compensation
and training and others install career development systems to motivate their employees
to stay (Hechanova, Franco, & Reyes, 2007).

According to Kunda, Barley, & James (2002), encounters with contractual

workers were crucial for informants because they modeled a way to escape discontent
while gaining benefits that seemed more attractive than those associated with full-time
work. Of the various advantages of contracting, the most frequently and compellingly
expressed was the belief that contractors made more money. In addition to that, the
decision to enter contracting often required exposure to people or opportunities that

made contracting seem more viable than taking another full-time job. Exposure to
contracting could occur through encounters with contractors, staffing firms, and potential
clients. Most contractual workers also mentioned that they decided to enter the
contracting because they wanted to work for a specific firm but found that the firm would
only hire them on contingent basis. In fact, some firms appeared to have an explicit
policy of hiring people as contractors to assess whether to offer a full-time job.
Therefore, a contractual job may be an aid or a stepping stone for those who are
looking for opportunities to actually get into a certain company as a regular employee.
Contractual workers are also granted the freedom to express professional opinions and
offered the least illusion of more control over their own time, in part because they have
less invested organization and less enmeshed in social relationships at work.

There were also anticipations and expectations from people before they decided
to become contractual workers such that they will have more autonomy in work, they
are exposed to many different work environments and they will develop new skills in
their experience

(Kunda, Barley, & James, 2002). The skills and experiences that

contractual workers gain from different working environments serve as a practice for
them to be able to look for a new job and adapt immediately into a new working
environment. Regarding the issue of security or job stability, contractual workers believe
that security is not about keeping a job but about how easily one could find another job
when ones current job ended.