DOLE Cancels Work Permits of 6 Foreign Workers at Raided Pampanga Steel Firm

The Department of Labor and Employment canceled the Alien Employment Permits of six Chinese nationals on August 11, 2026, after authorities raided a steel facility in Magalang, Pampanga, and found alleged labor, safety and environmental violations.

Secretary Francis N. Tolentino announced the order during a hearing of the Lupong Pamagawa, or Labor Committee. He also directed the department to transfer the workers’ records to the Bureau of Immigration for deportation proceedings.

The case centers on Chuangxing Steel Incorporated, also identified as Chuangxin Steel Inc. The six workers are Chen Jinhao, Gong Wenbein, Zhou Xiaohuo, Wang Debao, Cheng Kai and Hu, whose full name remains pending.

Tolentino said the permits should be canceled immediately.

"I already ordered the immediate cancellation of the AEPs of the six Chinese as part of our mission to actively respond to the needs and concerns of the workforce and ensure their rights and welfare are fully protected."

The agency said the workers allegedly arrived from mainland China without valid employment permits or other required paperwork. Tolentino questioned how their records had been created.

"Ito yung sinasabi na dumating na lang, sinundo sa airport, pumunta roon, nagkaroon na lang ng AEP. Wala kaming records dito na meron silang AEP."

The six face deportation proceedings and a bar on returning to the Philippines. The Bureau of Immigration will handle the next stage after receiving the records.

The raid found labor violations and possible radioactive materials

The National Bureau of Investigation, the Presidential Anti-Organized Crime Commission and other law enforcement agencies conducted the raid on July 18, 2026. Authorities seized more than ₱3 billion worth of radioactive-bearing raw materials and substandard steel products.

The Philippine Nuclear Research Institute and labor officials identified potential nuclear waste and radioactive materials at the site. The materials included thorium isotopes. The findings raised concerns about exposure risks for workers and the public.

Investigators also found that the company could not present basic employment records. Workers allegedly did not receive overtime or holiday pay, while the company failed to provide mandatory SSS, PhilHealth and Pag-IBIG benefits.

The facility also lacked a Workplace Sexual Harassment Policy and a Committee on Decorum and Investigation, known as CODI. Those findings added workplace-policy violations to the allegations involving employment permits and wages.

Plant closure displaced hundreds of workers

The closure affected approximately 300 to 400 workers. The workforce was described as roughly 283 Filipinos and 40 foreign nationals.

About 300 Filipino employees lost work after operations stopped. The labor department instructed Bantayan Manpower Services to work with Regional Office 3 on unpaid wages and mandatory benefits.

The company’s steel products also drew wider public-safety concerns. Authorities warned that substandard material from the facility could have entered schools, hospitals and government buildings.

The enforcement action forms part of the government’s response to illegal industrial operations and what officials described as foreign malign influence. It also follows President Ferdinand Marcos Jr.’s directives to enforce labor laws and protect Filipino workers.

The investigation now involves separate tracks. Labor officials have canceled the six permits and are pursuing wage and benefits issues, while immigration authorities are expected to address the foreign nationals’ status.

The six names remain tied to the permit action. One worker, identified only as Hu, still lacks a full name in the information released about the case.

This article provides general information and is not legal advice. Consult a qualified immigration attorney about your specific case.