International Corporate Responsibility Series

Volume 2, 2005

Perspectives On International Corporate Responsibility

Exploring Organizational Determinants and Consequences of Contingent Employment in the Phillipines

This study looks into the factors that foster the use of contingent employment in the Philippines, and its consequences. It also explores the relationship between corporate social performance and the nature of contingent employment. Results indicate an inverse relationship between levels of social performance and utilization of contingent employment. There is a direct relationship between the size and intensity of utilization of temporary employees and the combined effects of unionization and total employment size. Publicly listed companies exhibit higher utilization of temporary employees. However, factors that foster the use of project employees need to be explored further. Benefits are influenced by the intensity of utilization of contingent employees. Formalization of the use of contingent employees tends to blur the difference between casual and regular employees. The use of subcontracting positively influences the number of benefits provided and diminishes the differential benefits between regular and project employees. Unionization, however, tends to increase the differential benefits between regular employees and project employees.