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PHIL. ASSO. OF SERVICE EXPORTERS VS.

TORRES
Political Law; Administrative Law; Quasi-legislative and quasijudicial powers; The vesture of quasilegislative and quasi-judicial powers in administrative bodies is not unconstitutional, unreasonable and oppressive !t has been necessitated b" #the growing comple$it" of the modern societ" %&The vesture of quasi-legislative and quasi-judicial powers in administrative bodies is not unconstitutional, unreasonable and oppressive !t has been necessitated b" #the growing comple$it" of the modern societ"% '(olid )omes, !nc vs Pa"awal, *++ (,-A +., +/0 1ore and more administrative bodies are necessar" to help in the regulation of societ"2s ramified activities #(peciali3ed in the particular field assigned to them, the" can deal with the problems thereof with more e$pertise and dispatch than can be e$pected from the legislature or the courts of justice% '!bid 0 (ame; Labor Law; Police power; The power to restrict and regulate conferred b" Art 45 of the Labor ,ode involves a grant of police power &It is noteworthy that the assailed circulars do not rohi!it the etitioner "ro# en$a$in$ in the recruit#ent and de loy#ent o" Fili ino land!ased wor%ers "or o&erseas e# loy#ent. A care"ul readin$ o" the challen$ed ad#inistrati&e issuances discloses that the sa#e "all within the 'ad#inistrati&e and olicin$ owers e( ressly or !y necessary i# lication con"erred) u on the res ondents *Peo le &s. +aceren, -. SCRA /012. The ower to 'restrict and re$ulate con"erred !y Article 34 o" the La!or Code in&ol&es a $rant o" olice ower *City o" 5a$a &s. Court o" A eals, 6/ SCRA 7.72. To 'restrict) #eans 'to con"ine, li#it or sto ) * . 46, Rollo2 and whereas the ower to 're$ulate) #eans 'the ower to rotect, "oster, ro#ote, reser&e, and control with due re$ard "or the interests, "irst and "ore#ost, o" the u!lic, then o" the utility and o" its atrons) *Phili ine Co##unications Satellite Cor oration &s. Alcua8, 971 SCRA 6972. (ame; (ame; Administrative ,irculars; Publication; Administrative rules and regulations must be published if their purpose is to enforce or implement e$isting law pursuant to a valid delegation &6nce more, we advert to our ruling in Ta7ada vs Tuvera, *85 (,-A 885 that9 #$ $ $ Administrative rules and regulations must also be published if their purpose is to enforce or implement e$isting law pursuant also to a valid delegation % 'p 88+ 0 Interpretative regulations are those merely internal in nature, that is, regulating only the personnel of the administrative agency and not the public, need not be published. Neither is publication required of the so-called letters of instructions issued by administrative superiors concerning the rules or guidelines to be followed by their subordinates in the performance of their duties.% 'p 88: 0 #;e agree that publication must be in full or it is no publication at all since its purpose is to inform the public of the content of the laws % 'p 88: 0 <or lac= of proper publication, the administrative circulars in question ma" not be enforced and implemented P>T!T!6? for prohibition to review the order of the (ecretar" of the @epartment of Labor and >mplo"ment The facts are stated in the opinion of the ,ourt This petition for prohibition with temporar" restraining order was filed b" the Philippine Association of (ervice >$porters 'PA(>!, for short0, to prohibit and enjoin the (ecretar" of the @epartment of Labor and >mplo"ment '@6L>0 and the Administrator of the Philippine 6verseas >mplo"ment Administration 'or P6>A0 from enforcing and implementing :OLE :e art#ent Order 5o. 94, Series o" 9..9 and POEA +e#orandu# Circulars 5os. 31 and 3-, Series o" 9..9, te# orarily sus endin$ the recruit#ent !y ri&ate e# loy#ent a$encies o" Fili ino do#estic hel ers "or Hon$ ;on$ and &estin$ in the :OLE, throu$h the "acilities o" the POEA, the tas% o" rocessin$ and de loyin$ such wor%ers. PA(>! is the largest national organi3ation of private emplo"ment and recruitment agencies dul" licensed and authori3ed b" the P6>A, to engage in the business of obtaining overseas emplo"ment for <ilipino landbased wor=ers, including domestic helpers 6n Aune *, *//*, as a result o" u!lished stories re$ardin$ the a!uses su""ered !y Fili ino house#aids e# loyed in Hon$ ;on$, :OLE Secretary Ru!en :. Torres issued :e art#ent Order 5o. 94, Series o" 9..9, te# orarily sus endin$ the recruit#ent !y ri&ate e# loy#ent a$encies o" 'Fili ino do#estic hel ers $oin$ to Hon$ ;on$) * . 31, Rollo2. The :OLE itsel", throu$h the POEA too% o&er the !usiness o" de loyin$ such Hon$ ;on$<!ound wor%ers. #!n view of the need to establish mechanisms that will enhance the protection for <ilipino domestic helpers going to )ong Bong, the recruitment of the same b" private emplo"ment agencies is hereb" temporaril" suspended effective * Aul" *//* As such, the @6L> through the facilities of the Philippine 6verseas >mplo"ment Administration shall ta=e over the processing and deplo"ment of household wor=ers bound for )ong Bong, subject to guidelines to be issued for said purpose

#!n support of this polic", all @6L> -egional @irectors and the Cureau of Local >mplo"ment2s regional offices are li=ewise directed to coordinate with the P6>A in maintaining a manpower pool of prospective domestic helpers to )ong Bong on a regional basis #<or compliance % '!talics ours; p 4D, -ollo 0 Pursuant to the a!o&e :OLE circular, the POEA issued +e#orandu# Circular 5o. 31, Series o" 9..9, dated =uly 91, 9..9, ro&idin$ >?I:ELI5ES on the >o&ern#ent rocessin$ and de loy#ent o" Fili ino do#estic hel ers to Hon$ ;on$ and the accreditation o" Hon$ ;on$ recruit#ent a$encies intendin$ to hire Fili ino do#estic hel ers. #(ubject9 Euidelines on the Temporar" Eovernment Processing and @eplo"ment of @omestic )elpers to )ong Bong #Pursuant to :e art#ent Order 5o. 94, series o" 9..9 and in order to o erationali8e the te# orary $o&ern#ent rocessin$ and de loy#ent o" do#estic hel ers *:Hs2 to Hon$ ;on$ resultin$ "ro# the te# orary sus ension o" recruit#ent !y ri&ate e# loy#ent a$encies "or said s%ill and host #ar%et, the following guidelines and mechanisms shall govern the implementation of said polic"9 #! Creation o" a @oint POEA<OAAA Household Aor%ers Place#ent ?nit *HAP?2 #An ad hoc, one stop )ousehold ;or=ers Placement Fnit Gor );PFH under the supervision of the P6>A shall ta=e charge of the various operations involved in the )ong Bong-@) industr" segment9 #The );PF shall have the following functions in coordination with appropriate units and other entities concerned9 #* ?egotiations with and Accreditation of )ong Bong -ecruitment Agencies #. 1anpower Pooling #4 ;or=er Training and Criefing #8 Processing and @eplo"ment #I ;elfare Programs #!! @ocumentar" -equirements and 6ther ,onditions for Accreditation of )ong Bong -ecruitment Agencies or Principals 'Recruit#ent a$encies in Hon$ ;on$ intendin$ to hire Fili ino :Hs "or their e# loyers #ay ne$otiate with the HAP? in +anila directly or throu$h the Phili ine La!or AttacheBs O""ice in Hon$ ;on$. #$$$ $$$ $$$

#J !nterim Arrangement #All contracts stamped in )ong Bong as of Aune 4D shall continue to be processed b" P6>A until 4* Aul" *//* under the name of the Philippine agencies concerned Thereafter, all contracts shall be processed with the );PF #-ecruitment agencies in )ong Bong shall submit to the Philippine ,onsulate Eeneral in )ong Bong a list of their accepted applicants in their pool within the last wee= of Aul" The last da" of acceptance shall be Aul" 4* which shall then be the basis of );PF in accepting contracts for processing After the e$haustion of their respective pools the onl" source of applicants will be the P6>A manpower pool #<or strict compliance of all concerned % 'pp 4*-4I, -ollo 0 On Au$ust 9, 9..9, the POEA Ad#inistrator also issued +e#orandu# Circular 5o. 3-, Series o" 9..9, on the rocessin$ o" e# loy#ent contracts o" do#estic wor%ers "or Hon$ ;on$. #T69 All Philippine and )ong Bong Agencies engaged in the recruitment of @omestic helpers for )ong Bong #<urther to 1emorandum ,ircular ?o 4D, series of *//* pertaining to the government processing and deplo"ment of domestic helpers '@)s0 to )ong Bong, rocessin$ o" e# loy#ent contracts which ha&e !een attested !y the Hon$ ;on$ Co##issioner o" La!or u to 31 =une 9..9 shall !e rocessed !y the POEA E# loy#ent Contracts Processin$ Cranch u to 90 Au$ust 9..9 only.

#>ffective *5 August *//*, all )ong Bong recruitment agentKs hiring @)s from the Philippines shall recruit under the new scheme which requires prior accreditation with the P6>A #-ecruitment agencies in )ong Bong ma" appl" for accreditation at the 6ffice of the Labor Attache, Philippine ,onsulate Eeneral where a P6>A team is posted until 4* August *//* Thereafter, those who failed to have themselves accredited in )ong Bong ma" proceed to the P6>A-6;;A )ousehold ;or=ers Placement Fnit in 1anila for accreditation before their recruitment and processing of @)s shall be allowed #-ecruitment agencies in )ong Bong who have some accepted applicants in their pool after the cut-off period shall submit this list of wor=ers upon accreditation 6nl" those @)s in said list will be allowed processing outside of the );PF manpower pool #<or strict compliance of all concerned % '>mphasis supplied, p 45, -ollo 0 On Se te#!er 6, 9..9, the etitioner, PASEI, "iled this etition "or rohi!ition to annul the a"ore#entioned :OLE and POEA circulars and to prohibit their implementation for the following reasons9 9. that the res ondents acted with $ra&e a!use o" discretion andDor in e(cess o" their rule<#a%in$ authority in issuin$ said circularsE . that the assailed @6L> and P6>A circulars are contrar" to the ,onstitution, are unreasonable, unfair and oppressive; and 4 that the requirements of publication and filing with the 6ffice of the ?ational Administrative -egister were not complied with There is no #erit in the "irst and second $rounds o" the etition. Article 34 o" the La!or Code $rants the La!or Secretary the recruit#ent and lace#ent acti&ities. ower to restrict and re$ulate

#Art 45 -egulator" Power &The (ecretar" of Labor shall have the power to restrict and regulate the recruitment and placement activities of all agencies within the coverage of this title G-egulation of -ecruitment and Placement ActivitiesH and is hereb" authori3ed to isssue orders and promulgate rules and regulations to carr" out the objectives and implement the provisions of this title % '!talics ours 0 6n the other hand, the scope of the regulator" authorit" of the P6>A, which was created b" >$ecutive 6rder ?o +/+ on 1a" *, */:. to ta=e over the functions of the 6verseas >mplo"ment @evelopment Coard, the ?ational (eamen Coard, and the overseas emplo"ment functions of the Cureau of >mplo"ment (ervices, is broad and far-ranging for9 * Among the functions inherited b" the P6>A from the defunct Cureau of >mplo"ment (ervices was the power and dut"9 # L. To establish and maintain a registration andKor licensing s"stem to regulate private sector participation in the recruitment and placement of wor=ers, locall" and overseas, $ $ $ 2 'Art *I, Labor ,ode, italics supplied0 % 'p *4, -ollo 0 . !t assumed from the defunct 6verseas >mplo"ment @evelopment Coard the power and dut"9 # L4 To recruit and place wor=ers for overseas emplo"ment of <ilipino contract wor=ers on a government to government arrangement and in such other sectors as polic" ma" dictate $ $ $ 2 'Art *+, Labor ,ode 0% 'p *4, -ollo 0 4 <rom the ?ational (eamen Coard, the P6>A too= over9 #. To regulate and supervise the activities of agents or representatives of shipping companies in the hiring of seamen for overseas emplo"ment; and secure the best possible terms of emplo"ment for contract seamen wor=ers and secure compliance therewith % 'Art .D, Labor ,ode 0 The vesture of quasi-legislative and quasi-judicial powers in administrative bodies is not unconstitutional, unreasonable and oppressive !t has been necessitated b" #the growing comple$it" of the modern societ"% '(olid )omes, !nc vs Pa"awal, *++ (,-A +., +/0 1ore and more administrative bodies are necessar" to help in the regulation of societ"2s ramified activities #(peciali3ed in the particular field assigned to them, the" can deal with the problems thereof with more e$pertise and dispatch than can be e$pected from the legislature or the courts of justice% '!bid 0

It is noteworthy that the assailed circulars do not rohi!it the etitioner "ro# en$a$in$ in the recruit#ent and de loy#ent o" Fili ino land!ased wor%ers "or o&erseas e# loy#ent. A care"ul readin$ o" the challen$ed ad#inistrati&e issuances discloses that the sa#e "all within the 'ad#inistrati&e and olicin$ owers e( ressly or !y necessary i# lication con"erred) u on the res ondents *Peo le &s. +aceren, -. SCRA /012. The ower to 'restrict and re$ulate con"erred !y Article 34 o" the La!or Code in&ol&es a $rant o" olice ower *City o" 5a$a &s. Court o" A eals, 6/ SCRA 7.72. To 'restrict) #eans 'to con"ine, li#it or sto ) * . 46, Rollo2 and whereas the ower to 're$ulate) #eans 'the ower to rotect, "oster, ro#ote, reser&e, and control with due re$ard "or the interests, "irst and "ore#ost, o" the u!lic, then o" the utility and o" its atrons) *Phili ine Co##unications Satellite Cor oration &s. Alcua8, 971 SCRA 6972. The (olicitor Eeneral, in his ,omment, aptl" observed9 #$ $ $ (aid Administrative 6rder Gi e , @6L> Administrative 6rder ?o *5H merel" restricted the scope or area of petitioner2s business operations b" e$cluding therefrom recruitment and deplo"ment of domestic helpers for )ong Bong till after the establishment of the Lmechanisms2 that will enhance the protection of <ilipino domestic helpers going to )ong Bong !n fine, other than the recruitment and deplo"ment of <ilipino domestic helpers for )ong=ong, petitioner ma" still deplo" other class of <ilipino wor=ers either for )ong=ong and other countries and all other classes of <ilipino wor=ers for other countries #(aid administrative issuances, intended to curtail, if not to end, rampant violations of the rule against e$cessive collections of placement and documentation fees, travel fees and other charges committed b" private emplo"ment agencies recruiting and deplo"ing domestic helpers to )ong=ong GThe" are reasonable, valid and justified under the general welfare clause of the ,onstitution, since the recruitment and deplo"ment business, as it is conducted toda", is affected with public interest #$$$ $$$ $$$

#The alleged ta=eover Gof the business of recruiting and placing <ilipino domestic helpers in )ong=ongH is merel" a remedial measure, and e$pires after its purpose shall have been attained This is evident from the tenor of Administrative 6rder ?o *5 that recruitment of <ilipino domestic helpers going to )ong=ong b" private emplo"ment agencies are hereb" Ltemporaril" suspended effective Aul" *, *//* 2 #The alleged ta=eover is limited in scope, being confined to recruitment of domestic helpers going to )ong=ong onl" #$$$ $$$ $$$

#$ $ $ the justification for the ta=eover of the processing and deplo"ing of domestic helpers for )ong=ong resulting from the restriction of the scope of petitioner2s business is confined solel" to the unscrupulous practice of private emplo"ment agencies victimi3ing applicants for emplo"ment as domestic helpers for )ong=ong and not the whole recruitment business in the Philippines % 'pp 5.-5I, -ollo 0 The Fuestioned circulars are there"ore a &alid e(ercise o" the e(ecuti&e !ranch o" >o&ern#ent. olice ower as dele$ated to the

5e&ertheless, they are le$ally in&alid, de"ecti&e and unen"orcea!le "or lac% o" ro er u!lication and "ilin$ in the O""ice o" the 5ational Ad#inistrati&e Re$ister as reFuired in Article 6 o" the Ci&il Code, Article 0 o" the La!or Code and Sections 3*92 and /, Cha ter 6, Coo% VII o" the Ad#inistrati&e Code o" 9.7- which ro&ideG #Art . Laws shall ta=e effect after fifteen '*I0 da"s following the completion of their publication in the 6fficial Ea3ette, unless it is otherwise provided $ $ $ % ',ivil ,ode 0 #Art I -ules and -egulations &The @epartment of Labor and other government agencies charged with the administration and enforcement of this ,ode or an" of its parts shall promulgate the necessar" implementing rules and regulations (uch rules and regulations shall become effective fifteen '*I0 da"s after announcement of their adoption in newspapers of general circulation % '>mphasis supplied, Labor ,ode, as amended 0 (ection 4 <iling &'*0 >ver" agenc" shall file with the Fniversit" of the Philippines Law ,enter, three '40 certified copies of ever" rule adopted b" it -ules in force on the date of effectivit" of this ,ode which are not filed within three '40 months shall not thereafter be the basis of an" sanction against an" part" or persons % '!talics supplied, ,hapter ., Coo= M!! of the Administrative ,ode of */:+ 0

#(ection 8 >ffectivit" &!n addition to other rule-ma=ing requirements provided b" law not inconsistent with this Coo=, each rule shall become effective fifteen '*I0 da"s from the date of filing as above provided unless a different date is fi$ed b" law, or specified in the rule in cases of imminent danger to public health, safet" and welfare, the e$istence of which must be e$pressed in a statement accompan"ing the rule The agenc" shall ta=e appropriate measures to ma=e emergenc" rules =nown to persons who ma" be affected b" them % '>mphasis supplied, ,hapter ., Coo= M!! of the Administrative ,ode of */:+0 6nce more, we advert to our ruling in Ta7ada vs Tuvera, *85 (,-A 885 that9 #$ $ $ Administrative rules and regulations must also be published if their purpose is to enforce or implement e$isting law pursuant also to a valid delegation % 'p 88+ 0 #!nterpretative regulations and those merel" internal in nature, that is, regulating onl" the personnel of the administrative agenc" and not the public, need not be published ?either is publication required of the socalled letters of instructions issued b" administrative superiors concerning the rules or guidelines to be followed b" their subordinates in the performance of their duties % 'p 88: 0 #;e agree that publication must be in full or it is no publication at all since its purpose is to inform the public of the content of the laws % 'p 88: 0 <or lac= of proper publication, the administrative circulars in question ma" not be enforced and implemented ;)>-><6->, the writ of prohibition is E-A?T>@ The implementation of @6L> @epartment 6rder ?o *5, (eries of *//*, and P6>A 1emorandum ,irculars ?os 4D and 4+, (eries of *//*, b" the public respondents is hereb" (F(P>?@>@ pending compliance with the statutor" requirements of publication and filing under the aforementioned laws of the land (6 6-@>->@ GPhil Association of (ervice >$porters, !nc vs Torres, .*. (,-A ./:'*//.0H

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