Practice question
A company describes itself as a business-process provider but merely dispatches workers whom its client directs in daily tasks and methods. It argues that using 'BPO' in the contract automatically establishes DC 01 noncoverage. Which is best?
- Every BPO label creates an irrebuttable exemption.
- The contract title replaces investigation of the relationship.
- A client's instruction on methods can never be relevant.
- The actual nature and contractual relationship must be examined; a label does not establish a qualifying business-process arrangement.
- The arrangement is lawful whenever the client pays the invoices.
Legal references
- DOLE Department Circular 01 s. 2017, primary circular reproduced: https://palscon.org/public/assets/img/labor-laws-advisory/Department%20Circular%20No_%2001-17%20Clarifying%20the%20applicability%20of%20Department%20Order%20No_%20174%2C%20Series%20of%202017.pdf — PartsII–III.
- Borromeo v Lazada E-Services, G.R. 265610, April 3 2024, main opinion: https://lawphil.net/judjuris/juri2024/apr2024/gr_265610_2024.html
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