Labor: Lay off guest workers first before US citizens

Friday, 17 April 2009 00:00 By Emmanuel T. Erediano - Variety News Staff
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THE Department of Labor yesterday said it will “vigorously” enforce the policy that gives U.S. citizens preference when companies have to reduce their workforce.

Citing Public Law 15-108, Employment Service and Training Division Director Alfred Pangelinan in a statement said every employer must lay off foreign workers before U.S. citizens in the same job classification.

The regulations also provide that every employer must lay off foreign workers who arrived more recently before laying off foreign workers who have been in the CNMI for a long time.

The only exceptions to this job preference in layoffs are those in consular operations and students on work/study assignments.

All other employers are covered by the layoff provisions.

“We have some discretion under our regulations,” Pangelinan said adding that Labor can agree with the employer under certain circumstances to vary the job preference in layoffs for important business reasons, “but we must be notified and agree in advance.”

“We cannot provide any flexibility after the fact,” he added.

Pangelinan said if an employer has not yet established classifications with Labor when hiring workers, the department will apply the broadest applicable classification for layoff job preference for U.S. citizens.

He added that the regulations recognize that economic necessity may require layoffs.

Employers, he said, must give Labor 60 days before laying off their workers so the department can ensure that U.S. citizen employment rights are protected and foreign worker transfers are arranged.

An employer who has laid off a foreign workers is barred for 90 days from hiring any on-island foreign worker in the same job classification.

Such employer is also barred for six months from hiring any off-island foreign workers.

On the other hand, an employer who lays off U.S. citizens before terminating foreign workers in the same job classification is subject to the revocation of foreign worker employment contracts.