Working in the Philippines- From the Web Site of The US Embassy, Manila

This information is reproduced here in its entirety under Creative Commons license for the information of all. The original publication can be found at http://manila.usembassy.gov/wwwha006.html#Work

Non-Resident Aliens Who Intend to Work in the Philippines

All foreign nationals seeking admission to the Philippines for the purpose of employment, all non-resident foreign nationals already working in the Philippines, and all non-resident foreign nationals admitted to the Philippines on on-working visas, who wish to work in the Philippines, regardless of the source of compensation and duration of employment are required by the Philippine Department of Labor and Employment (DOLE) to secure an Alien Employment Permit (AEP).

Where to Apply

Foreign nationals can apply for an AEP at the nearest Philippine Embassy or Consulate. Local employers who wish to hire the services of a foreigner can apply on behalf of the foreign national at the nearest Regional Office of the DOLE. Foreign nationals who are already in the Philippines should apply through their prospective employers with the nearest Regional Office of the DOLE. A DOLE AEP frequently-asked-question sheet is available here.

Validity of AEP

The period of validity of an AEP will depend on the nature of the position occupied by the foreign national, whether elective, technical, advisory or supervisory.

Exemptions

All members of the diplomatic services, foreign government officials accredited with the Philippine government, missionaries engaged in missionary work only, members of international organizations such as the Asian Development Bank (ADB), International Rice Research Institute (IRRI) and specialized agencies of the United Nations are exempted from securing an AEP.

NOTE: In support of the UN Spouse Employment Policy, the Philippine government has also exempted the spouses of members of international organizations from securing an AEP. Spouses however, are required to file an application for a Certificate of Exemption from the DOLE’s Bureau of Local Employment (BLE). Missionaries or religious workers who intend to engage in gainful employment are not exempted from securing an AEP.

Penalties

Aliens who are found working without an employment permit as required by law, are penalized with a fine ranging from one thousand pesos (P1,000.00) to ten thousand pesos (P10,000), or imprisonment ranging from three months to three years, or both. In addition to such penalties, any alien found guilty shall be summarily deported upon completion of service of sentence.

Resident Aliens and Immigrants Who Intend to Work in the Philippines

Resident Alien – refers to any foreign national who is allowed by law to reside indefinitely in the Philippines

All foreign nationals admitted to the Philippines as immigrants, who wish to seek employment, and all resident aliens already working in the Philippines, irrespective of the source of compensation and nature and duration of employment are required to secure an Alien Employment Registration Certificate (AERC) from the DOLE’s Regional Office.

Where to apply

The resident alien or the employer shall apply at the nearest Regional Office of the DOLE where the employer-establishment is located. Requirements for application of an AERC can be found at the Bureau of Local Employment website: www.ble.dole.gov.ph.

Validity of AERC

An AERC issued shall be valid only for the position and employer which it was issued, unless otherwise cancelled or revoked for cause.

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The visa gives the holder multiple entry and exit privileges similar to the SRRV (Special Retirement Resident Visa) but without the need to deposit large amounts of money with a local bank for six months. The SVEG holder is allowed to live in the Philippines as a permanent resident and can own and operate a business, according to the existing restrictions placed on all foreigners in business.

While this new visa doesn’t allow you to have 100% of a business that previously required 60% local ownership or gives you the ok to practise a profession on the foreign prohibited list, it does open the doors to those who don’t have a Filipina spouse or wish to get married again merely to live here.

Your business must employ the ten locals in non-domestic roles, so you can’t include your Yaya, maid, driver and yardboy on the payroll. If your employee numbers slip below ten you should contact the Bureau of Immigration immediately and discuss the matter. You won’t be deported in the middle of the night but it does pay to work with the BI proactively.

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The most important thing to have is the right mindset or attitude. There is work to be had. You do have skills someone will pay you for. Never lose track of these thoughts and you will be successful. To ensure success you might have to adapt what you consider as a suitable job, good conditions, fair pay etc.

The locals work longer for less and put up with more than we would ever suffer. In many ways we are spoilt back home as far as our working conditions are concerned. But you are not ‘back home’, are you? The whole reason for being here looking for a job is because you wanted to change your circumstances and take some chances.

The next important thing to have is a ticket home. Always have enough to get you back to where you came from and NEVER spend it. In 2004 I had to decide whether I hung in there a few more weeks and hopefully the man I was working for would come good with my salary and back pay… or cut and run back home for a few months to find a job, make some cash and keep the family alive. I took my airfare out of the bank and used it for that purpose before everyday living would have eaten into it and left me with far fewer options!

Look for a job long before you need it. People can sense when you are desperate and your chances of success drop dramatically for some reason. If you are in the fortunate position of wanting a job but not yet needing one, for some reason you get swamped with opportunities. It’s a bit like when you are single and can’t get a date then you meet a nice girl and all of a sudden every woman in town is after you.

Timing is everything and what usually happens to me is I get one job offer while still waiting to hear from the better job I applied for at the same time. You can avoid this by going for just the one position at a time, but then you need the luxury of not needing a job right away as mentioned above.

When you do have a job, don’t abuse it. Make sure you save at least 10% of your salary no matter how low the pay is. Pay yourself first, then your debts and then live with your means on what is left. Cut your cloth to suit and you are a free man. You can always resign when you want to and not fear being fired. I try to have three months living expenses stashed away so I can be flexible whether working for a salary or working for myself like I am doing now.

Finally, don’t be too proud to accept things are beyond your control and get the heck out of there. Get back to the States or wherever you can get a job, save up some money and then go back and give it another go if you feel you must. When I had to bail out and head home for four months in 2004 I copped a lot of nasty flak on the bulletin boards I posted on. So what? Remember, those that mind don’t matter and those that matter don’t mind.

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To find these types of roles you normally have to be very highly skilled in some specialized area, or experienced in management. These opportunities are also usually sourced outside of the Philippines so the place to look is where you are now. Another consideration is that these roles are often sourced from within a company meaning that you would need to be working for a large international company and wait for a suitable opportunity to arise for a posting to the Philippines.

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These professions include doctor, lawyer, dentist, psychiatrist, engineer, pharmacist and accountancy just to name a few. When it comes to investing in a business, there is a long list of prohibited businesses and then a large number of businesses which require 40% or more local ownership. This means Filipino partners which can be problematic if you prefer to be on your own.

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This advice was posted on one of the many well meaning but all too often simply wrong bulletin boards. In essence it is true, there is the Special Retirement Resident Visa and Special Investment Resident Visa and they do allow a person to reside in the Philippines and carry on approved income earning activities. They do require the deposit of a large sum of money in a local bank for a few months but you can always withdraw it, use it to fund the business or take it back with you when you leave.

If married to a citizen you can obtain a 13A Permanent Resident Non-Quota immigrant visa. There is also a 13B Quota visa that allows single people to reside here and in appropriate circumstances, work. However you are still subject to the 6th Foreign Investment Negative List that tells you what you can and can’t do.

If you are going to a pre-arranged position as an expatriate employee then the company will take care of he paperwork. You could consider trying a 9G visa, but those are for missionaries and they do check your bona fides. If you want up to date information and advice, check out “Making A Living In The Philippines”. It could be the best investment you make.

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