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Philippine Bar review · Question

Practice question: Employment Agency vs. Recruitment Entity

Multiple Choice Hard

Practice question

A placement operator advertises free recruitment to workers. Every employer must pay its affiliated collection unit a service fee for each successful placement, and the operator acknowledges that this is payment for its recruitment service. It claims to be a private recruitment entity because no worker pays it directly. Which is the best classification?
  1. Private recruitment entity because only worker-paid fees count
  2. Private recruitment entity because using an affiliate always defeats indirect charging
  3. Private fee-charging employment agency because direct or indirect employer-paid recruitment fees are covered
  4. Public employment office because the worker-facing advertisement says free
  5. Neither category because successful placement cannot be recruitment

Legal references

  • https://lawphil.net/statutes/presdecs/pd1974/pd_442_1974.html — Labor Code, Article 13(c)–(f), private fee-charging employment agency, license, private recruitment entity, and authority.

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