Contractualization Essay

Contractualization, also known as the 5-5-5, is a habitual practice by companies to replace temporary workers who have low skills set every 5 months continuously. Basically, the employers intentionally hire workers then terminate their contracts after 5 months to prevent them being regularized. Under Article 106 of the Labor Code of the Philippines, an employee will be in probationary period before 5 months to allow employers to assess whether the employee fits the standards of the company or not. The employers have abused the said law by firing employees right before they hit the 5 month mark to avoid costs like Phil health, SSS, paid sick leaves, housing plans, and educational assistance. Therefore, employees never get any chance to be hired as a regular employee. By the practice of

With the emergence of contractualization, it has poured more salt into the wounds of employees who are seen mainly as factors of production and get paid only a minimum wage. The employees who already do not get enough to make ends meet are also the ones being terminated every 5 months. Some do not even get hired for a job right away, the capitalist does not notice the needs of its employees after they get terminated: how they are going to eat and how they are going to pay for their rents are left for the employees to find out by themselves. Capitalism already is a faulted system, but employees in the Philippines experience both the disadvantages of capitalism as well as contractualization. This goes to show why the crime rates of the Philippines are high because they are forced to steal for the sustenance of their families as well as themselves. Eradicating the capitalistic society may be impossible, but mitigating its effects by the understanding that the employees are not factors of production but also fellow human beings like the capitalist himself makes a lot of difference in the