Hiring for Short-Term Projects? Here’s How to Structure Contract-Based Engagements Legally
Project timelines don’t always align with long-term headcount plans. Whether you’re expanding into a new market, testing a service line, or need extra hands for a seasonal campaign—short-term hires can be a smart move.
But in the Philippines, even temporary arrangements must follow local labor laws. Without the right structure, what starts as a quick project can turn into a legal and financial liability.
Here’s how to hire project-based or part-time workers legally—and how Sabio Advisory helps you do it safely, fast, and at scale.
Freelance, Project-Based, or Part-Time: What’s the Difference?
Let’s break down the key terms:
Freelancer / Independent Contractor
- Self-employed, issues invoices
- No employer-employee relationship
- Not covered by Philippine labor protections
- ⚠️ Risk: Misclassification if they work like a full-time employee
Project-Based Employment
- Hired for a specific task or timeframe
- Covered under DOLE rules with a clear start & end date
- Must be documented in a compliant employment contract
- Entitled to some benefits (e.g. final pay, certificates)
Part-Time Employee
- Works fewer than 8 hours/day
- Entitled to proportional benefits (13th-month pay, government contributions)
- Cannot be deprived of protections due to reduced hours
Why Compliance Still Matters for Short-Term Roles
Some assume that short-term means low risk. In reality, the Department of Labor and Employment (DOLE) in the Philippines is very clear:
If the role meets the conditions of an employer-employee relationship—regardless of duration—then labor protections must apply.
Failure to comply can result in:
- Back payments of benefits
- Penalties and interest on unremitted contributions
- Legal disputes from terminated project hires
How Sabio Advisory Structures Short-Term Hiring Safely
Whether you need someone for 3 months or 3 days, we help you stay fully compliant without setting up a local company.
Here’s how our Project-Based Employer of Record (EOR) works:
- We legally hire the project-based employee on your behalf
- We issue a fixed-term employment contract aligned with Philippine labor codes
- We manage SSS, PhilHealth, Pag-IBIG contributions as required
- We calculate final pay, issue certificates, and handle offboarding
- We maintain proper documentation for DOLE audit readiness
- Optional add-ons: HMO, time tracking, workspace, equipment
You maintain full control over the day-to-day work. We handle all the paperwork and compliance behind the scenes.
When to Use Project-Based Hiring Through Sabio
- Marketing campaigns
- Customer support for peak season
- Pre-launch sales outreach
- Admin/data projects
- Short-term business process outsourcing (BPO)
Whether you need one person or ten, we scale with you.
Final Thoughts
- Short-term projects deserve long-term thinking—especially when it comes to legal protection and operational efficiency.With Sabio Advisory, you get a safe, structured, and fully compliant approach to project-based hiring in the Philippines—without the admin stress.📩 Planning a short-term hire? Let’s make it seamless.Email us at consultants@sabio-advisory.com🔗 Or visit www.sabio-advisory.com
