Practice question
Two local placement businesses both receive recruitment fees from employers. One distributes profits; the other devotes all surplus to charitable work. Under Article 13, is charitable use of surplus alone a reason to classify the second as a no-fee recruitment entity?
- Yes, charity conclusively erases every fee
- No; both receive the stipulated recruitment fees
- Yes, only distributed profit counts as a fee
- Yes, the employer’s payment is irrelevant
- Yes, surplus use alone supplies a license
Legal references
- Labor Code, Articles 13 and 29: https://lawphil.net/statutes/presdecs/pd1974/pd_442_1974.html
- DOLE Department Order No. 216-20, Articles II-III and VIII-IX, signed October 27, 2020, printed pages 5-8 and 14-17: https://batangmalaya.ph/wp-content/uploads/2025/11/DOLE-Department-Order-No.-216-Series-of-2020-min-1-with-cover.pdf
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