This research paper determined the status of compliance to the Department of Labor and Employment (DOLE) Department Order (D.O.) 174 of selected fast-food establishments in Cabanatuan City, Nueva Ecija, Philippines. The researchers find this important, especially to the large fast-food corporation, as this will be able to eliminate possible penalties that the DOLE may impose on them once proven violating the said D.O. with regards to labor contractualization. The methodology used in this research is an evaluative-descriptive survey with a guided questionnaire as the main instrument. The study involved 15 purposively chosen respondents. Findings of the study indicated that some of the fast food restaurants in Cabanatuan were still non-compliant to some o f the requirements under D.O. 174. This stemmed fro m duplication of work between regular employees and 3 rd party employee arising from the agency, in terms of directing and controlling 3 rd party employees as stated in the DOLE Department order which prohibits the principal on direct involvement for non-regular employees. The study recommends that the management of selected fast-food establishments should conduct a thorough review of the content of Department Order-174 and develop and empower their team leaders through capability building programs so that they will be firm in their designation and can perform their duties and responsibilities effectively.
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