Practice question
Two private organizations refer applicants to local employers. Organization A receives no direct or indirect fees from either side. Organization B charges applicants a placement fee and calls its operating document an authority. Assuming each must obtain the document corresponding to its actual category, which pairing is correct?
- A needs a license and B needs an authority
- Both need an authority because both refer workers
- Both need a license because every referral is fee-charging
- A is a private recruitment entity requiring authority; B is a fee-charging agency requiring a license
- Neither requires a document because the placements are local
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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