Authority to Employ Foreign Nationals

Looking to work in the Philippines? Then, you willneed to secure an Alien Employment Permit (AEP) from the Department of Labor and Employment (DOLE). This document allows non-resident foreigners to be employed and to work in the Philippines.

Aside from the foreign employee, an authorized representative and the employer can also apply for the AEP.

Who are exempted

  • Members of the diplomatic service and foreign government officials
  • Ownersand representatives of foreign-owned companies that have been accredited by Philippine Overseas Employment Authority (POEA)
  • Permanent resident foreign nationals and probationary temporary resident visa holders
  • Foreigners providing/supplying services in the country but their employers are located abroad
  • Members of a corporate governing board with voting rights only, corporate officers as provided under theCorporation Code of the Philippines, intra-corporate transferees and contractual service suppliers who are managers, executives or specialists

How to Apply for an Alien Employment Permit

The following documents must be submitted to the DOLE Regional or Field Offices nearest to the intended place of work:

  • Accomplished Application Form
  • Photocopy of Passport, with Visa or Certificate of Recognition for refugees
  • Contract of Employment/Appointment or Board Secretary’s Certificate of Election
  • Photocopy of Mayor’s Permit to operate business ORin case of locators in economic zones,Certification from the PEZA or the Ecozone Authority that the company is located and operating within the ecozone
  • Photocopy of current AEP (if for renewal)

There is an Php8,000 permit fee or a fraction thereof plus Php3,000.00 for every additional year of validity or a fraction thereof, which shall not exceed five years.

An AEP is only valid for a specific company and position within the company. The permit lasts for a period of one year, unless the employment contract provides a longer period that does not exceed three years.

Employees in industries that require registration and licensure would need an additional Special Temporary Permit from the Professional Regulation Commission.

What about employers?

Employers are only required to obtain an Authority to Employ Alien permit from the Department of Justice (DOJ) onlyif the employer is in a nationalized or partly-nationalized industry.

A nationalized industry is one where no foreign ownership of an enterprise is allowed, while a partlynationalized one allowsonly 40% foreign ownership.These industries include: mass media, pharmacy, law, cooperatives, private security agencies, small-scale mining, advertising, public utilities, gambling, and any other industries listed in E.O. No. 148 of 2015.

In accordance with M.O. 210 the employer must submit the following to the DOJ:

  • Three copies of the accomplished and notarized application form
  • A certified true copy of the employment contract
  • A certified true copy of a written undertaking that the foreign employee will train at least two Filipino understudiesin the foreigner’s technical expertise
  • Identification of the alien-employee, including a curriculum vitae and certification from a previous employer of the alien-employee’s expertise
  • Employer’s Articles of Incorporation and Certificate of Registration
  • The Alien Employee Permit
  • Immigration admission papers of the employee
  • Affidavit of the employee to leave the Philippines upon the employment contract’s expiry
  • Affidavit of support and guarantee of return fare by employer

Also, there can only be one AEP issued per foreign national.The Authority to Employ Alien permit lasts for two years, but can be extended to up to three years upon the discretion of the Secretary of Justice.

Contact Duran & Duran-Schulze Law at (+632) 478 5826 or send an email to info@duranschulze.com for more information.