Department Order No.

183 Series of 2017 (DO 183-17) or the Revised Rules on the

Administration and Enforcement of Labor Laws Pursuant to Article 128 amended Department
Order No. 7-a Series of 1995. DO 183-17 was issued to reinforce and strengthen the
implementation of the visitorial and enforcement power of the Secretary of Labor under Article
128 in relation to Article 303 of the Labor Code.

There are three modes of implementation covered by DO 183-17 namely, routine inspection
(covers labor standards violations and contracting and subcontracting arrangements), complaint
inspection (covers labor standard violations, contracting and subcontracting arrangements, and
unpaid benefits of the employees) and occupational safety and health standard investigation.
The Secretary of Labor would authorize labor inspectors to conduct the different modes of
implementation under DO 183-17. The department order also mandates all establishments to
keep and maintain employment records for at least three (3) years unless a centralized
recording system is implemented by the employer. Below is a discussion of the salient points in
the Department Order.

I. Routine Inspection

A routine inspection covers all private establishments and their contractors and subcontractors.
Moreover, establishments that are engaged in hazardous work, employ children, engaged in
contracting or subcontracting arrangements, employs ten (10) or more employees, and all other
establishments or industries identified by the Secretary of Labor would be prioritized for a
routine inspection under DO 183-17.

After the routine inspection, the labor inspector would issue a Notice of Results (Notice). The
employer’s representative may refuse to sign the Notice. The labor inspector shall attach
documentary proof in the Notice showing that an establishment is labor laws compliant.
Otherwise, the Notice would enumerate the violations committed. The establishment is given
ten (10) days to rectify any labor standards violations and violations of
contracting/subcontracting arrangements under the law. In case of Occupational Safety and
Health (OSH) Standards violations, the establishment is given one (1) day to correct such
infraction/s when it poses immediate danger to life and limb, three (3) days when the violation
pertains to Personal Protective Equipment (PPE), and a period of not more than ninety (90)
days when the offense does not fall under those mentioned.

Failure to remedy a labor standards violation within the period prescribed would convert the
findings into a Labor Standards case, which will lead to a mandatory conference within ten (10)
days after the lapse of the period to correct such infraction. On the other hand, there would also
be a mandatory conference when the establishment fails to submit proof of compliance due to
its violations of contracting or subcontracting arrangements under the law. The mandatory
conference would be held ten (10) days after the lapse of the period to remedy the findings of
the labor inspector.

As for OSH violations, the Regional Director would immediately issue a compliance order for
failure or refusal to correct the noted violations within the prescribed period or to submit a status
report within the five (5) day prescribed period.
 II. Complaint Inspection

A complaint inspection may be undertaken when there is a SEnA referral, an anonymous

complaint or a request for inspection of the establishment was raised by either party during a
conciliation-mediation hearing in the NCMB. The labor inspector would also issue a Notice,
which the employer or employee representative may also refuse to sign. The establishment is
given ten (10) days from receipt of the Notice or posting thereof to correct the labor standards
and/or contracting/subcontracting violations noted by the labor inspector.

Failure to remedy the labor standards, contracting/subcontracting, and OSH violations would
lead to a mandatory conference within ten (10) days after the lapse of the period to correct the
noted infractions.

Any person who shall refuse to grant access to the records and/or premises of the
establishment during the routine, complaint and OSHS investigation would result to the filing of
a criminal case against such person. Although, it is unclear what the specific criminal case
would be filed.

III. Compliance Inspection

The Regional Director will issue a compliance order (Order) within twenty days from submission
of the Hearing Officer’s recommendation. The following statements which is required to be
included in the Order would have a financial impact on the employer/establishment assessed:

1. computation for the unpaid wages and other benefits of the workers including the
formula used and the period covered by the computation; and
2. For the workers ordered to be regularized, a computation of unpaid wages and other
voluntary benefits given by the employer under the existing company rules and
regulation and/or CBA, including the formula used and the period covered.

Moreover, the order to regularize workers would be immediately executory pending appeal. The
employer is also prohibited from terminating these employees while it is appealing the Order
directing regularization of the workers.

Lastly, any employer who commits any unlawful acts contained in the Labor Code or DO 183-17
shall be punished with a fine of not less than One Thousand Pesos (Php 1,000.00) nor more
than Ten Thousand Pesos (Php 10,000.00) or imprisonment of not more than three (3) months
nor more than three (3) years or both such fine and imprisonment at the discretion of the court.