Teno rejects changes on nonresident workers law

Gov. Pedro P. Tenorio yesterday vetoed a measure revamping labor processing in the CNMI, noting the negative impact it would have on labor relations and its effect on the protection of the rights of both local and nonresident workers.

While acknowledging the need to change provisions of the decades-old Nonresident Workers Act, he said the proposal under HB 12-275 will have significant consequences on the current policy.

Passage of the bill would “radically alter” the structure and function of the Division of Labor as well as make changes to several recently-passed laws, according to Mr. Tenorio.

Sponsored by Rep. Dino M. Jones, the legislation sought revamp of existing policy on processing of labor permits for alien workers by diminishing government’s oversight on the contract forged with their employers on the islands.

It also proposed transferring jurisdiction on labor cases from the department to the courts, cutting the period of contract from one year to six months, opening restricted job categories to foreigners as well as making nonresident workers pay half of their medical expenses.

Mr. Tenorio, however, opposed these major provisions due to several concerns which he enumerated in his veto message to Senate President Paul A. Manglona and House Speaker Benigno R. Fitial.

Costly
The elimination of the Hearing Office at DOLI would remove the nonresident workers’ access to informal and affordable means of resolving justified claims against their employers, he said.

It could burden the courts with a large number of cases that are presently resolved through mediation or administrative hearings in place at the department.

“Due to the workload and more formal procedures of the court system, cases are likely to take longer to resolve as well as be more expensive for the litigants,” said the governor.

The reduction of the contract duration to six months would only serve those businesses involved in recruiting and processing work permits as it could bring up hiring costs for employers and disrupt their business operations.

Requiring nonresidents to leave the islands five days after the contract expires shorter than the 30 days allowed under existing laws could force some of them to overstay and become illegal aliens, said Mr. Tenorio.

The present system provides them to either secure new employment and wind up their affairs here before heading home, he added.

“By reducing the time to five days, the likelihood of the worker either filing a false labor complaint or entering into illegal employment and overstaying is greatly increased,” he explained, noting his would even be more likely if contract duration is cut to six months.

The amendment also failed to provide for pending labor disputes and temporary legal employment which is covered under existing laws.

Less opportunities

Concerning presently-restricted job categories such as receptionists and telephone operators, Mr. Tenorio said opening these to nonresidents would lessen employment opportunities for locals and lower wage standards.

“At a time of economic difficulty, this would have an especially adverse effect on our people,” he said.

In addition, the revision proposed in the bill eliminated provisions regarding limited hiring of nonresident workers in narrowly defined government positions, which would further limit opportunities for locals.

On medical expenses, Mr. Tenorio maintained shifting the burden from employer to employee would result in more uncollected bills and deficit spending at the Commonwealth Health Center.

“The attempt to place responsibility for unpaid medical bills on the nonresident workers’ surviving heirs would face both legal and practical challenges,” he pointed out.

HB 12-275 had drawn opposition from some lawmakers in fear that changing present policy, such as removing DOLI’s role in reviewing contracts, could lead to more disputes and labor problems here.

It sought to amend that in an effort to lessen government bureaucracy and provide relief to the business community with respect to badly-needed manpower and labor resources from abroad.

Under existing laws, the Department of Labor and Immigration reviews all contracts of guest workers before issuing permits to determine whether employers comply with the conditions of their employment.