(PHILIPPINES) — The Clark Development Corporation (CDC) and the Department of Labor and Employment (DOLE) finalized measures on June 30, 2026, to implement a centralized Alien Employment Permit (AEP) system for foreign workers in the Clark Freeport Zone.

The streamlined process follows DOLE Administrative Order No. 199, Series of 2026, which transferred AEP processing from regional offices to the central office. CDC President Agnes Devanadera confirmed the alignment, stating it ensures continuity of services for locators in Clark Freeport.

Over 160 locators operating in the zone are affected by the change. The centralization aims to prevent delays in visa renewals and eliminate complications with downgrading requirements when foreign workers transition between employers or depart the country.

Previously, regional offices handled AEP applications, producing inconsistent timelines and documentation standards. Foreign workers in Clark must hold a valid AEP issued by DOLE before they can lawfully engage in employment. The permit functions as the prerequisite for obtaining or renewing a 9(g) Pre-Arranged Employee Commercial Visa through the Bureau of Immigration.

Under the centralized system, applications route directly to DOLE’s central office in Manila, standardizing review criteria and reducing administrative burden on locators. The shift arrives as the Philippines positions Clark as a competitive hub for foreign investment and remote work operations.

Clark’s Freeport Zone offers registered enterprises income tax holidays and duty-free importation of capital equipment. The streamlined foreign work permit process reduces friction for companies recruiting international talent.

• Completed AEP application form
• Foreign worker’s passport with at least six months validity
• Notarized employment contract specifying position and salary
• Locator’s certificate of registration with CDC
• Corporate secretary certificate attesting to the hiring decision

Companies sponsoring foreign workers should prepare several documents for AEP applications under the new centralized system. Required items include a completed AEP application form and the foreign worker’s passport with at least six months validity.

Employers must also submit a notarized employment contract specifying position and salary, the locator’s certificate of registration with CDC, and a corporate secretary certificate attesting to the hiring decision.

Processing under the centralized system is projected at 15 to 30 working days, though initial implementation may produce temporary backlogs as regional cases transfer to the central queue. The AEP fee remains at PHP 8,000 (approximately $140 USD) per year of validity. Permits are issued for one to five years depending on the employment contract duration.

⚠️ Tax Disclaimer: Tax obligations for foreign workers in the Philippines depend on residency status and the nature of income earned. Foreign nationals employed by Clark Freeport Zone enterprises may be subject to different tax rates than those working elsewhere. Consult a qualified Philippine tax professional before accepting employment.

U.S. Proposes Tighter Discretionary Work Authorization

On June 5, 2026, the Department of Homeland Security published a Notice of Proposed Rulemaking titled “Clarification of Discretionary Employment Authorization for Certain Aliens.” The proposed rule targets individuals paroled into the United States, those granted deferred action, and persons with final orders of removal.

Three core requirements anchor the regulation. Applicants must demonstrate economic necessity to justify employment authorization. Individuals with certain arrests or convictions face categorical bars from receiving work permits unless a significant public interest exception applies.

Employers of affected workers may be required to enroll in E-Verify and maintain enrollment to preserve the validity of employee work authorization. DHS processed approximately 978,308 applications in these discretionary categories during the previous fiscal year. The proposed rule, if finalized, would introduce new documentation demands and potential denials for a substantial portion of those applicants.

The proposed regulation remains open for public comment through the Federal Register. Employers who sponsor workers under parole or deferred action should monitor docket USCIS-2026-0067 on regulations.gov and consider submitting comments on operational impacts.

Supreme Court Decision Ends TPS for Syria and Haiti

The U.S. Supreme Court issued its ruling in Mullin v. Doe (consolidated with Trump v. Miot) on June 25, 2025, affirming broad authority for the DHS Secretary to terminate Temporary Protected Status designations without judicial review.

USCIS has directed employers to treat July 1, 2026 as the expiration date for work permits held by nationals of Syria and Haiti under the terminated TPS designations. Employers must reverify employment authorization for affected employees by that date.

Workers who cannot establish an alternative lawful status must be terminated from employment to avoid sanctions under 8 U.S.C. 1324a. Affected workers should consult an immigration attorney immediately. Potential options include applying for a different visa category, pursuing asylum if eligible, or departing the United States before the expiration date to avoid accruing unlawful presence.

Alien Registration Final Rule Takes Effect

DHS published a final rule on June 29, 2026, implementing Executive Order 14159. The rule reinforces mandatory registration and fingerprinting for all foreign nationals over 14 years old who remain in the United States for 30 days or longer.

Foreign nationals over 18 must carry evidence of registration at all times. Acceptable documents include a Permanent Resident Card, an Employment Authorization Document, or a Form I-94 bearing an admission stamp.

Failure to carry registration evidence constitutes a violation of 8 U.S.C. 1304(e) and carries criminal penalties including fines up to $100 and imprisonment up to 30 days for a first offense. The rule also requires fingerprinting at the time of registration for individuals who have not previously submitted biometrics to DHS.

USCIS has updated its intake procedures to flag noncompliant cases during benefit adjudication, meaning unresolved registration failures could delay or deny pending applications.

Next Steps for Employers and Workers

In the Philippines, foreign workers employed by Clark Freeport Zone companies should confirm with their HR departments whether existing AEP applications have transferred to the central office queue. New applicants should submit directly through the centralized DOLE process.

Companies should verify that all supporting documents reflect current employment terms and locator status before submission. Workers in the United States affected by TPS termination should review updated guidance at uscis.gov/policy-manual.

Employers should audit I-9 records for employees whose authorization expires on July 1, 2026, and initiate reverification procedures immediately. For the proposed discretionary work authorization rule, stakeholders can submit comments through regulations.gov under docket USCIS-2026-0067 before the comment period closes.