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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
1st Regular Session 
House Bill No. ________ 
Introduced by Representatives PAOLO Z. DUTERTE, ERIC G. YAP, 
and EDVIC G. YAP 
EXPLANATORY NOTE 
Defining labor as the primary social economic force, the 1987 Constitution affirms the 
protection of the rights and promotion of welfare of workers. The said mandate 
encompasses not only workers in the country, but as well as the significant number of 
Filipinos working abroad.  
According to the International Labour Organization, 10 million Filipinos live abroad 
and more than 1 million Filipino leave the country each year to work abroad. Hence, 
while labor migration serves as a national thrust for economic growth, especially in 
the Philippines due to consistent increase in OFW remittances, Filipino migrants 
remain vulnerable to exploitation and abuse including contract violations, sexual 
harassment, violence and discrimination, and illegal recruitment.  
Republic Act No. 8042 or the Migrant Workers and Overseas Filipinos Act of 1995 defines 
illegal recruitment as “any act of canvassing, enlisting, contracting, transporting, 
utilizing, hiring, or procuring workers and includes referring, contract services, 
promising or advertising for employment abroad, whether for profit or not” that are 
deemed to be undertaken by non-licensee or non-holder of authority contemplated 
under the provisions of the Labor Code. However, despite recent legislations 
increasing penalty for the said crime, the Department of Migrant Workers still 
regarded illegal requirement as among the most pertinent issue in labor migration as 
May 25, 2023
9:00 am
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it highlights that “illegal recruiter could victimize an average of 500 aspiring overseas 
Filipino workers (OFWs) just in one day.” 
As a response, this proposed measure seeks to strengthen the definition of illegal 
recruitment in the Labor Code by providing a more stringent requirement to what 
constitutes illegal recruitment by syndicate. Instead of three (3) conspirators, the 
proposed measure currently proposes that at least two (2) conspirators would now 
correspond to an illegal recruitment syndicate, which is tantamount to economic 
sabotage, and eventually, stricter and stiffer penalties. 
In view of the foregoing, approval of this bill is earnestly sought. 
PAOLO Z. DUTERTE 
 ERIC G. YAP 
EDVIC G. YAP  


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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
1st Regular Session 
House Bill No. ________ 
Introduced by Representatives PAOLO Z. DUTERTE, ERIC G. YAP, 
and EDVIC G. YAP 
AN ACT 
REDEFINING THE CRIME OF ILLEGAL RECRUITMENT COMMITTED BY A 
SYNDICATE, AMENDING FOR THE PURPOSE ARTICLE 38 OF PRESIDENTIAL 
DECREE NO. 442, OTHERWISE KNOWN AS THE "LABOR CODE OF THE 
PHILIPPINES", AS AMENDED AND SECTION 6 OF REPUBLIC ACT 10022 
OTHERWISE KNOWN AS THE MIGRANT WORKERS ACT, AS AMENDED 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Article 38 of Presidential Decree No. 442, otherwise known as the 
"Labor Code of the Philippines," as amended is hereby further amended to read as 
follows: 
"Article 38. Illegal Recruitment. - (a) Any recruitment activities, including 
the prohibited practices enumerated under Article 34 of this Code, to be 
undertaken by non-licensees or non-holders of authority, shall be 
deemed illegal and punishable under Article 39 of this Code. Department 
of Labor and Employment or any enforcement officer may initiate 
complaints under this Article. 
"(b) Illegal recruitment when committed by a syndicate or in large scale 
shall be considered an offense involving economic sabotage and shall be 
penalized in accordance with Article 39 hereof. 
"Illegal recruitment is deemed committed by a syndicate if carried out by 
a group of TWO (2) [three (3)] or more persons conspiring and/or 
confederating with one another in carrying out any unlawful or illegal 
transaction, enterprise or scheme defined under the first paragraph 
hereof. Illegal recruitment is deemed committed in large scale if 
committed against three (3) or more persons individually or as group." 
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"(c) The Secretary of Labor and Employment or his duly authorized 
representatives shall have the power to cause the arrest and detention of 
such non-licensee or non-holder of authority if after investigation it is 
determined that his activities constitute a danger to national security and 
public order or will lead to further exploitation of job-seekers. The 
Secretary shall order the search of the office or premises and seizure of 
documents, paraphernalia, properties and other implements used in 
illegal 
recruitment: 
activities 
and 
the 
closure 
of 
companies, 
establishments and entities found to be engaged in the recruitment of 
workers for overseas employment, without having been licensed or 
authorized to do so." 
 
SEC. 2. Section 6 of Republic Act No. 8042. otherwise known as the 
"Migrant Workers and Overseas Filipinos Act of 1995," as amended by R.A. 
10022, is hereby further amended to read as follows: 
 
"SEC. 6. Definition. - For purposes of this Act, illegal recruitment shall 
mean c otherwise known as the Labor Code of the Philippines: Provided, 
That any such non-licensee or non-holder who, in any manner, offers or 
promises for a fee employment abroad to two or more persons shall be 
deemed so engaged. It shall likewise include the following acts, whether 
committed by any person, whether a non-licensee, non-holder, licensee 
or holder of authority: 
 
"(a) To charge or accept directly or indirectly any amount greater than 
that specified in the schedule of allowable fees prescribed by the 
Secretary of Labor and Employment, or to make a worker pay or 
acknowledge any amount greater than that actually received by him as a 
loan or advance; 
X X X 
 
"(m) Failure to reimburse expenses incurred by the worker in connection 
with his documentation and processing for purposes of deployment, in 
cases where the deployment does not actually take place without the 
worker's fault. Illegal recruitment when committed by a syndicate or in 
large scale shall be considered an offense involving economic sabotage; 
and 
 
"(n) To allow a non-Filipino citizen to head or manage a licensed 
recruitment/manning 
agency. 
 
"Illegal recruitment is deemed committed by a syndicate if carried out by 
TWO (2) [three (3)] or more persons conspiring or confederating with 
one another. It is deemed committed in large scale if committed against 
three (3) or more persons individually or as a group. 
 
X X X  
 


 
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"The filing of an offense punishable under this Act shall be without 
prejudice to the filing of cases punishable under other existing laws, rules 
or regulations." 
 
SEC. 3. Separability Clause. - If any provision or part hereof, is held invalid or 
unconstitutional, the remainder of the law or the provision not otherwise affected 
shall remain valid and subsisting. 
 
SEC. 4. Repealing Clause. - Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, rule or regulation contrary to or is 
inconsistent with the provision of this Act is hereby repealed, modified, or amended 
accordingly. 
 
SEC. 5. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in two (2) newspapers of general circulation. 
 
 
Approved,