The Philippine Overseas Employment Administration (POEA) has suspended the implementation of the expanded compulsory insurance for rehired and direct hire overseas Filipino workers (OFWs) upon the directives of Migrant Workers Secretary Susan Toots Ople.
In its advisory dated Augusy 5, POEA cited the improving global health situation and high vaccination rates among OFWs.
“The suspension will save our ‘balik-manggagawa’ workers and those directly hired by foreign employers at least $35 (P1,700.00) worth of mandatory insurance coverage, while reducing the number of requirements imposed by government. Malaking ginhawa ito para sa ating OFWs,” Ople said in a statement.
The DMW chief said she had received complaints from OFWs regarding the confusion on whether they are required to pay the expanded compulsory insurance when the country is under Alert Level 1.
The DMW Secretary, however, clarified that the mandatory insurance coverage for newly hired OFWs remains valid and in place because this was set by law.
“Para malinaw, may dalawang uri ng compulsory insurance. Yung para sa mga bagong OFW na bunga ng naipasang batas, at itong expanded compulsory insurance para sa mga balik-manggagawa at direct hires na nakasaad sa isang lumang department order ng DOLE. Yung itinatakda ng batas ay ating patuloy na ipatutupad dahil ito naman ay sagot ng mga foreign employers,” Ople said.
Ople added that the benefits of such an insurance scheme for rehired and directly hired OFWS remain to be seen.
“The order to suspend will be followed by a series of formal consultations with all stakeholders most especially our OFWs in different parts of the world via online meetings since they were meant to be the primary beneficiaries of DO No. 228,” Ople said.
