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All Jurisprudence based

0 tracked cards Labor and Social Legislation

JadeLink Recruitments, a licensed private recruitment agency in Pasig, arranges overseas employment for 42 Filipino workers as technicians for a hospital group in the United Kingdom. It collects from each applicant a nonrefundable processing and placement fee of 26,000 pesos before any deployment, claiming that the fee covers all predeployment processing. After payment, the UK posting is canceled, and JadeLink refuses to refund the fees, stating that the workers will be offered another overseas posting instead. Which statement best describes the controlling rule under Article 34 of the Labor Code and JadeLink’s conduct?

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Charging a nonrefundable processing and placement fee to applicants before deployment, and refusing a refund when the posting is canceled, is a prohibited practice under Article 34; the fee constitutes illegal recruitment; the workers are entitled to a refund and the agency and its officers may face administrative and civil liabilities. The cancellation by the UK posting means there is no enforcement; the workers must bear the loss; the law does not require refunds when the posting is canceled by the employer. The workers may seek refunds only if they can show that the fee was charged after deployment; since deployment never happened, Article 34 does not apply to the fee collection. DOLE/POEA has no jurisdiction to intervene in private fee disputes between applicants and recruiters, so the workers must pursue private remedies only.

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