On 5 June 2025, the Department of Labor and Employment (DOLE) signed the DOLE Department Order No. 248-A which outlines the supplemental guidelines clarifying and amending the provisions of Department Order (DO) 248 series of 2025 that became effective on 10 February 2025, and which provides the new rules and regulations on the employment of foreign nationals in the Philippines. The DO 248-A is yet to be published, and will take effect only 15 days from the publication date.
DOLE Department Order No. 248-A provides amendments on the following provisions which may pose challenges to foreign nationals and their employers.
| Topic | What changed |
| Labor Market Test (LMT) | Mandatory publication of job advertisements in a newspaper of general circulation. PhilJobNet and PESO/JPO publications are optional. |
| Skills Development Program (SDP) or Understudy Training Programs (UTP) | UTP/SDP will apply to employers:
1) Registered under the Foreign Investment Act (FlA), and who enjoy fiscal incentives; 2) Engaged in the operation of public utilities or critical infrastructure under the Public Service Act, where foreign equity participation is allowed; or 3) Identified as a strategic investment, including those in key sectors outlined in the Strategic Investment Priority Plan (SIPP) or equivalent national development framework.’ Regardless if employers are covered by SDP/UTP, the following individuals may be exempt: 1) Foreign nationals excluded or exempted from Alien Employment Permits (AEP) 2) Equity holders/shareholders or foreign nationals who are owners or investors with equity participation as reflected and reported with the Securities and Exchange Commission (SEC); and 3) Foreign nationals occupying positions that have been determined by the Technical Working Group to be qualified for exemption, in accordance with established guidelines and criteria. |
| Requirement for renewal and additional positions | When renewing any AEPs issued prior to 10 Feb 2025, UTP/SDP shall be required, unless the individual is exempt.
The renewal application may be filed without a UTP or SDP, provided that the same will be complied within 60 days from filing. An Affidavit of Undertaking will be accepted in lieu of the UTP/SDP. |
| Reporting and other requirements | Based on the submitted UTP/SDP, employers must submit progress reports either on a semi-annual basis (for AEPs with 1 year validity) or an annual basis (for AEPs with 2-3 years validity) detailing implementation reports, attendance, and competencies gained by the Filipino employee/s. The report will need to be duly signed by the employer, the foreign national, and the Filipino employee/s. |
Vialto Partners is closely collaborating with the DOLE for further clarifications and updates regarding the DO. We will provide further updates as additional information is released.
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Larissa Dalistan-Levosada
Director
Kimberly Cantor
Senior Manager
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