In the Philippines, a common labour contract system involves the use of short-term contracts wherein workers are repeatedly hired for periods less than six months, thereby denying them of regular employment status and the accompanying security of tenure and other monetary and social protection benefits which legally accrue to an employee after six months. This widespread practice affects millions of Filipino workers, with some groups claiming that there are around 35 million contractual employees in the country at present.

Ending all forms of contractualization was one of President Rodrigo Duterte's campaign promises.