: Republic ofthe Philippines Department of Labor and Employment NATIONAL WAGES AND PRODUCTIVITY COMMISSION Yer RESOLUTION NO. 01 Series of 2014 RESOLUTION AMENDING NWPC GUIDELINES NO.02 SERIES OF 2007 AS AMENDED WHEREAS, thé National Wages and Productivity Commission (NWPC) is mandated under Article 121 (b) and (g) of the Labor Code as amended by Republic Act No. 6727 (the Wage Rationalization Act) to formulate policies and guidelines on wages, incomes and ¢ productivity improvement at the enterprise, industry and national levels and to exercise : technical and administrative supervision over thé Regional Tripartite Wages and Productivity Boards (RTWPBs); WHEREAS, under Article 122 (a) of the Labor Code, the RTWPBs are vested with the power to develop plans, programs and projects relative to wages, incomes and productivity for their respective regions; WHEREAS, NWPC GUIDELINES NO. 02 Series of 2007, Amended Rules on Exemption from Compliance with Prescribed Wage Increases/Cost of Living Allowances Granted By the Regional Tripartite Wages and Productivity Boards, identified the categories of establishments that may be exempted upon application with and as determined by the Board; in accordance with applicable criteria on exemption; WHEREAS, extreme weather and natural calamities and human-induced disasters affect business operations and results in establishments experiencing temporary difficulties due to losses necessitating government to step in and extend urgent assistance; RESOLVED THREFORE, as it is hereby resolved that in order to provide temporary relief to business establishments affected by natural calamities and human-induced disasters, the Guidelines are amended to include the following: © Section 1 - Definition of Terms ¢ AB, State of Calamity ~ refers to a condition involving mass casualty and/or major damages to property, disruption of means of livelihoods, roads and normal way of life of people in the affected areas as a result of the occurrence of natural or human- induced hazard. [Sec 3 of RA 10121, “Philippine Disaster Risk Reduction and Management Act of 2010} ee ES ‘20 & Fis DY Itematonal Bulking, San Vatclro St. Cot. Matar St, Malate, Manta, Phipines| Tel Nos 8278161) $27-5519/SZ7.SH71 Fax Nos: 827-5191 527-5522 Wobsio: www nape do gor phAC. Hazard - a dangerous phenomenon, substance, human activity or condition that may cause loss of life, injury or other health impacts, property damage, loss of livelihood or services, social and economic disruption, or environmental damage; any potential threat to public safety and/or public health; any phenomenon which has the potential to cause disruption or damage to people, their property, their services or their environment, i.e, their communities. The four classes of hazards are natural, technological; biological and societal hazards. (Natl. Disaster Risk Reduction and Management Council NDRRMC] AD. Disaster - a serious disruption of the functioning of a community or a society involving widespread human, material, economic or environmental losses and impacts, which exceeds the ability of the affected community or society to cope using its own resources; an actual threat to public health and safety where the local government and the emergency services are unable to meet the immediate needs of ‘the community; an event in which the local emergency management measures are insufficient to cope with a hazard, whether due to a lack of time, capacity or resources, resulting in unacceptable levels of damage or number of casualties. [NDRRMC] Section 2 - Categories of Exemptible Establishments xxx Wage orders without an exemption provision shall include a statement that in case, of a calamity, the Board may accept applications for exemption for establishments adversely affected by calamities such as natural and/or human-induced disasters Section 3 - Criteria for Exemption D. Establishments Adversely Affected by Calamities such as Natural and Human- Induced Disasters 2. The calamity must have occurred within 6 months prior to the effectivity of this order. However, if based on the assessment by a competent authority, the damage to properties is at least 50% and the period of recovery will exceed one (1) year, the 6-month period may be extended to one (1) year. Section 4~ Documents Required D. Establishments Adversely Affected by Calamities such as Natural and Human- Induced Disasters xxxIn case of severe damage to properties caused by the calamity, a Certification by the Barangay and pictures of the damaged property/ies may be submitted in lieu of the audited financial statements. XxX © Section 10— Procedures on Exemption ‘A. For Filing of Application 2. Applications for all categories shall be filed not later than 75 days from publication of the approved implementing rules of the Order, provided that all the required documents in support of the application must be filed within the said 75-day filing period and that no further extension of filing and submission of, required documents shall be allowed. However, in case of applications of establishments adversely affected by calamities where the calamity occurred after the expiration of the period for the filing of an application for exemption, the Board may re-open the same In case ‘the Wage Order does not allow exemption or has no exemption provision, the Board may accept applications for exemption on the basis of the effects of the occurrence of the calamity provided that the applicants shall comply with the documentary requirements provided under Section 4.0 of the Guidelines. Applicants under the last two preceding paragraphs shall also submit a certification that general assembly to explain to its workers and employees its intent to file an application for exemption, has been conducted prior to the filing of the application and an undertaking to conduct another general assembly informing its workers and employees of the decision of the Board on its application. The NWPC Secretariat shall ensure compliance and implementation by the RTWPB of this Resolution. 31 March 2014, Manila, Philippines.C4L(q — CEDRIC R. BAGTAS Member, Labor Sector Liz zy DAVID L-BAWA, 18 Member, Labor Sector CIRIACO A. LAGUNZAD III Chairperson-Designate A—. (> ARSENIO M. RALISACAN Vice-Chairperson FRANCISCQ/R. FLORO Member, Employer Sector EDUARDO T. RONDAIN Member, Employer Sector