Rep. France L. Castro raised concerns about the “no-pay, no-work” scheme issued by the Manila Economic and Cultural Office (MECO) in Taiwan during the Department of Migrant Workers (DMW) budget hearing on 9 September.
The memorandum, released on 27 August, mandates overseas Filipino workers (OFWs) in Taiwan to pay regular membership fees and contributions to the Overseas Workers Welfare Administration, Social Security System, and PhilHealth as a requirement for obtaining employment contracts.
The congresswoman said that the scheme,which took effect on 1 September, exploits OFWs. In response, DMW Secretary Hans Cacdac assured that his office will coordinate with the labor attaché responsible for issuing the memorandum.
“I stand with you in unlinking any DMW authorization or clearance from any payments to any government or private entity or agency,” he added.
While Cacdac acknowledged that the law mandates membership and contributions, he emphasized that these payments should not be tied to any DMW transaction or issuance of clearances.