UPDATES/NOTES ON SOCIAL LEGISLATIONS

(Part 1)

DOMESTIC WORKERS ACT OR “BATAS KASAMBAHAY”

(RA No. 10361)

1. RA No. 10361 expressly repealed Chapter III (Employment of Househelpers) of the

Labor Code and excluded from coverage family drivers, whose rights are now
governed by the Civil Code provisions, particularly Articles 1689, 1697 and 1699,
Section 1, Chapter 3, Title VIII, Book IV thereof

Article 141, Chapter III, Book III on Employment of Househelpers of the Labor Code provides that
family drivers are covered in the term domestic or household service. It states:

ART. 141. Coverage. — This Chapter shall apply to all persons rendering services
in household for compensation.

“Domestic or household service” shall mean service in the employer's home which
is usually necessary or desirable for the maintenance and enjoyment thereof and
includes ministering to the personal comfort and convenience of the members of
the employer's household, including services of family drivers. (Emphasis and
underscoring supplied)

Thus, under the Labor Code, the rules for indemnity in case a family driver is terminated from the
service shall be governed by Article 149 thereof which provides:

ART. 149. Indemnity for unjust termination of services. — If the period of

household service is fixed, neither the employer nor the househelper may
terminate the contract before the expiration of the term, except for a just cause. If
the househelper is unjustly dismissed, he or she shall be paid the compensation
already earned plus that for fifteen (15) days by way of indemnity.

If the househelper leaves without justifiable reason, he or she shall forfeit any
unpaid salary due him or her not exceeding fifteen (15) days.

However, Section 44 of Republic Act No. 10361, otherwise known as the “Domestic Workers Act”
or “Batas Kasambahay” (Kasambahay Law), expressly repealed Chapter III (Employment of
Househelpers) of the Labor Code, which includes Articles 141 and 149 mentioned above.

The Kasambahay Law, on the other hand, made no mention of family drivers in the enumeration of
those workers who are covered by the law. This is unlike Article 141 of the Labor Code. Section
4(d) of the Kasambahay Law states:

SEC. 4. Definition of Terms - As used in this Act, the term: xxxx

(d) Domestic worker or “Kasambahay” refers to any person engaged in domestic

work within an employment relationship such as, but not limited to, the following:
general househelp, nursemaid or “yaya”, cook, gardener, or laundry person, but
shall exclude any person who performs domestic work only occasionally or
sporadically and not on an occupational basis.

The term shall not include children who are under foster family arrangement, and
are provided access to education and given an allowance incidental to
education, i.e.[,] “baon”, transportation, school projects and school activities.

Thus, Section 4(d) of the Kasambahay Law pertaining to who are included in the enumeration of
domestic or household help cannot also be interpreted to include family drivers because the latter
category of worker is clearly not included. It is a settled rule of statutory construction that the
express mention of one person, thing, or consequence implies the exclusion of all others — this is
expressed in the familiar maxim, expressio unius est exclusio alterius. Moreover, Section 2 of the
Implementing Rules and Regulations of the Kasambahay Law provides:

SEC. 2. Coverage. - This x x x [IRR] shall apply to all parties to an employment

contract for the services of the following Kasambahay, whether on a live-in or live-
out arrangement, such as but not limited to:

(a) General househelp;

(b) Yaya;
 (c) Cook;
(d) Gardener;
(e) Laundry person; or
(f) Any person who regularly performs domestic work in one household
on an occupational basis.

The following are not covered:

(a) Service providers;

(b) Family drivers;
(c) Children under foster family arrangement; and
(d) Any other person who performs work occasionally or sporadically and
not on an occupational basis. (Emphasis supplied)

The aforecited administrative rule clarified the status of family drivers as among those not covered
by the definition of domestic or household help as contemplated in Section 4(d) of
the Kasambahay Law. Such provision should be respected by the courts, as the interpretation of
an administrative government agency, which is tasked to implement the statute, is accorded great
respect and ordinarily controls the construction of the courts. Moreover, the statutory validity of the
same administrative rule was never challenged. This Court has ruled time and again that the
constitutionality or validity of laws, orders, or such other rules with the force of law cannot be
attacked collaterally. There is a legal presumption of validity of these laws and rules. Unless a law
or rule is annulled in a direct proceeding, the legal presumption of its validity stands. And while it is
true that constitutional provisions on social justice demand that doubts be resolved in favor of labor,
it is only applicable when there is doubt. Social justice principles cannot be used to expand the
coverage of the law to subjects not intended by the Congress to be included.

Due to the express repeal of the Labor Code provisions pertaining to househelpers, which includes
family drivers, by the Kasambahay Law; and the non-applicability of the Kasambahay Law to family
drivers, there is a need to revert back to the Civil Code provisions, particularly Articles 1689, 1697
and 1699, Section 1, Chapter 3, Title VIII, Book IV thereof. The Articles provide:

SEC. 1 — Household Service.

ART. 1689. Household service shall always be reasonably compensated. Any

stipulation that household service is without compensation shall be void. Such
compensation shall be in addition to the [househelper's] lodging, food, and medical
attendance.

xxxx

ART. 1697. If the period for household service is fixed neither the head of the family
nor the [househelper] may terminate the contract before the expiration of the term,
except for a just cause. If the [househelper] is unjustly dismissed, he shall be paid
the compensation already earned plus that for fifteen days by way of indemnity. If
the [househelper] leaves without justifiable reason, he shall forfeit any salary due
him and unpaid, for not exceeding fifteen days.

xxxx

ART. 1699. Upon the extinguishment of the service relation, the [househelper] may
demand from the head of the family a written statement on the nature and duration
of the service and the efficiency and conduct of the [househelper].

The reason for reverting back to the Civil Code provisions on household service is because, as
discussed earlier, Section 44 of the Kasambahay Law expressly repealed Articles 141 to 152 of
the Labor Code which deals with the rights of family drivers. Obviously, an expressly repealed
statute is not anymore binding for it has no more force and effect.

On the other hand, Article 302 of the Labor Code, its repealing clause, which provides:

ART. 302. Repealing clause. - All labor laws not adopted as part of this Code either
directly or by reference are hereby repealed. All provisions of existing laws, orders,
decrees, rules and regulations inconsistent herewith are likewise repealed.

did not repeal the said Civil Code provisions since they are not inconsistent with the Labor Code.
Besides, repeals by implication are not favored as laws are presumed to be passed with

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deliberation and full knowledge of all laws existing on the subject, the congruent application of
which the courts must generally presume.

Since what were expressly repealed by the Kasambahay Law were only Articles 141 to 152,
Chapter III of the Labor Code on Employment of Househelpers; and the Labor Code did not repeal
the Civil Code provisions concerning household service which impliedly includes family drivers as
they minister to the needs of a household, the said Civil Code provisions stand. To rule otherwise
would leave family drivers without even a modicum of protection. Certainly, that could not have
been the intent of the lawmakers.

Pursuant to Article 1697 of the Civil Code, respondent shall be paid the compensation he had
already earned plus that for 15 days by way of indemnity if he was unjustly dismissed. However, if
respondent left his employment without justifiable reason, he shall forfeit any salary due him and
unpaid for not exceeding 15 days. Given that there is neither dismissal nor abandonment in this
case, none of the party is entitled to claim any indemnity from the other. Verily, in a case where the
employee's failure to work was occasioned neither by his abandonment nor by a termination, the
burden of economic loss is not rightfully shifted to the employer; each party must bear his own loss.
Otherwise stated, the respondent's act of not reporting to work after a verbal miscommunication
cannot justify the payment of any form of remuneration. (Atienza v. Saluta, G.R. No. 233413, June
17, 2019)

MIGRANT WORKERS AND OVERSEAS FILIPINOS ACT OF 1995

(RA No. 8042, as amended by RA Nos. 10022 and 11227)

1. RA No. 8042 a police power measure

R.A. No. 8042 is a police power measure intended to regulate the recruitment and deployment of
OFWs. It aims to curb, if not eliminate, the injustices and abuses suffered by numerous OFWs
seeking to work abroad. In Sameer, we explained that the provision on joint and several liability in
R.A. No. 8042 is in line with the state’s policy of affording protection to labor and alleviating workers’
plight. It assures overseas workers that their rights will not be frustrated by difficulties in filing money
claims against foreign employers. Hence, in the case of overseas employment, either the local
agency or the foreign employer may be sued for all claims arising from the foreign employer’s labor
law violations. This way, the overseas workers are assured that someone — at the very least, the
foreign employer’s local agent — may be made to answer for violations that the foreign employer
may have committed. By providing that the liability of the foreign employer may be “enforced to the
full extent” against the local agent, the overseas worker is assured of immediate and sufficient
payment of what is due them. The local agency that is held to answer for the overseas worker’s
money claims, however, is not left without remedy. The law does not preclude it from going after
the foreign employer for reimbursement of whatever payment it has made to the employee to
answer for the money claims against the foreign employer. (Gopio v. Bautista, G.R. No. 205953,
June 6, 2018, 864 SCRA 463, 485-486)

2. Illegal recruitment undertaken by a non-licensee or non-holder of authority defined

Under Section 6 of R.A. No. 8042, illegal recruitment, when undertaken by a non-licensee or non-
holder of authority as contemplated under Article 13(f) of the Labor Code, shall mean any act of
canvassing, enlisting, contracting, transporting, utilizing, hiring, procuring workers, and including
referring, contract services, promising or advertising for employment abroad, whether for profit or
not. (People v. Estrada, G.R. No. 225730, February 28, 2018, 857 SCRA 84, 98-99)

3. Elements to sustain conviction for illegal recruitment under RA No. 8042, in relation
to the Labor Code; additional element to constitute large scale

Further, to sustain a conviction for illegal recruitment under R.A. No. 8042 in relation to the Labor
Code, the prosecution must establish two (2) elements: first, the offender has no valid license or
authority required by law to enable one to lawfully engage in the recruitment and placement of
workers; and second, the offender undertakes any of the activities within the meaning of
recruitment and placement defined in Article 13(b) of the Labor Code, or any of the prohibited
practices enumerated under Section 6 of R.A. No. 8042. Further, in case the illegal recruitment was
committed in large scale, a third element must be established, that is, the offender commits the
illegal recruitment activities against three or more persons, individually or as a group. (People v.
Estrada, G.R. No. 225730, February 28, 2018, 857 SCRA 84, 99)

4. Conviction for illegal recruitment does not preclude conviction for estafa; elements
for conviction under Art. 315(2)(a) of the RPC

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A conviction for illegal recruitment whether simple or committed in large scale would not preclude
punishment for estafa under Article 315(2)(a) of the RPC. This is because no double jeopardy could
attach from the prosecution and conviction of the accused for both crimes considering that they are
penalized under different laws and involved elements distinct from one another. Conviction under
Article 315(2)(a) requires the concurrence of the following elements: (1) the accused defrauded
another by abuse of confidence or by means of deceit; and (2) the offended party, or a third party,
suffered damage or prejudice capable of pecuniary estimation. These are elements completely
different from those required for illegal recruitment. (People v. Estrada, G.R. No. 225730, February
28, 2018, 857 SCRA 84, 101)

5. Constitutional guarantee of security of tenure extends to OFWs

The Constitutional guarantee of security of tenure extends to Filipino overseas contract workers as
the Court declared in Sameer Overseas Placement Agency, Inc. v. Cabiles:

Security of tenure for labor is guaranteed by our Constitution.

Employees are not stripped of their security of tenure when they move to work in
a different jurisdiction. With respect to the rights of overseas Filipino workers, we
follow the principle of lex loci contractus.

Thus, in Triple Eight Integrated Services, Inc. v. NLRC, this court noted:

Petitioner likewise attempts to sidestep the medical certificate

requirement by contending that since Osdana was working in
Saudi Arabia, her employment was subject to the laws of the host
country. Apparently, petitioner hopes to make it appear that the
labor laws of Saudi Arabia do not require any certification by a
competent public health authority in the dismissal of employees
due to illness.

Again, petitioner’s argument is without merit.

First, established is the rule that lex loci contractus (the law of
the place where the contract is made) governs in this
jurisdiction. There is no question that the contract
of employment in this case was perfected here in the
Philippines. Therefore, the Labor Code, its implementing
rules and regulations, and other laws affecting labor apply in
this case. Furthermore, settled is the rule that the courts of the
forum will not enforce any foreign claim obnoxious to the forum’s
public policy. Here in the Philippines, employment agreements are
more than contractual in nature. The Constitution itself, in Article
XIII, Section 3, guarantees the special protection of workers, to
wit:

The State shall afford full protection to labor, local

and overseas, organized and unorganized, and
promote full employment and equality of
employment opportunities for all.

It shall guarantee the rights of all workers to self-

organization, collective bargaining and
negotiations, and peaceful concerted activities,
including the right to strike in accordance with
law. They shall be entitled to security of tenure,
humane conditions of work, and a living wage.
They shall also participate in policy and decision-
making processes affecting their rights and
benefits as may be provided by law.

xxxx

This public policy should be borne in mind in this

case because to allow foreign employers to
determine for and by themselves whether an
overseas contract worker may be dismissed on
the ground of illness would encourage illegal or

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 arbitrary pretermination of employment contracts.
x x x.

Even with respect to fundamental procedural rights, this court emphasized in PCL
Shipping Philippines, Inc. v. NLRC, to wit:

Petitioners admit that they did not inform private respondent in

writing of the charges against him and that they failed to conduct
a formal investigation to give him opportunity to air his side.
However, petitioners contend that the twin requirements of notice
and hearing applies strictly only when the employment is within
the Philippines and that these need not be strictly observed in
cases of international maritime or overseas employment.

The Court does not agree. The provisions of the Constitution

as well as the Labor Code which afford protection to
labor apply to Filipino employees whether working within the
Philippines or abroad. Moreover, the principle of lex loci
contractus (the law of the place where the contract is made)
governs in this jurisdiction. In the present case, it is not
disputed that the Contract of Employment entered into by and
between petitioners and private respondent was executed here in
the Philippines with the approval of the Philippine Overseas
Employment Administration (POEA). Hence, the Labor Code
together with its implementing rules and regulations and other
laws affecting labor apply in this case. x x x.

By our laws, overseas Filipino workers (OFWs) may only be

terminated for a just or authorized cause and after compliance
with procedural due process requirements. (Citations omitted)

Since respondent’s Employment Contract was executed in the Philippines on February 3, 2003,
Philippine Constitution and labor laws governed respondent’s employment with petitioners and
SAENCO. An employee’s right to security of tenure, protected by the Constitution and statutes,
means that no employee shall be dismissed unless there are just or authorized causes and only
after compliance with procedural and substantive due process. A lawful dismissal by an employer
must meet both substantive and procedural requirements; in fine, the dismissal must be for a just
or authorized cause and must comply with the rudimentary due process of notice and hearing.
(Princess Talent Center Production, Inc. v. Masagca, G.R. No. 191310, April 11, 2018, 860 SCRA
602, 634-637)

Accordingly, regulatory provisions may be read all throughout R.A. No. 8042 that carry out the
policy of the State to protect and promote the rights of Filipino migrant workers. Employment
agreements are verily more than contractual in nature in the Philippines. The Philippine Constitution
and laws guarantee special protection to workers here and abroad. Thus, even if a Filipino is
employed abroad, he or she is entitled to security of tenure, among other constitutional rights.

In termination disputes or illegal dismissal cases, it has been established by Philippine law and
jurisprudence that the employer has the burden of proving that the dismissal is for just and valid
causes; and failure to do so would necessarily mean that the dismissal was not justified and is,
therefore, illegal. Taking into account the character of the charges and the penalty meted to an
employee, the employer is bound to adduce clear, accurate, consistent, and convincing evidence
to prove that the dismissal is valid and legal. This is consistent with the principle of security of
tenure as guaranteed by the Constitution and reinforced by Article 292(b) of the Labor Code of the
Philippines, which provides: xxx (Gopio v. Bautista, G.R. No. 205953, June 6, 2018, 864 SCRA
463, 474-475)

To emphasize, overseas workers, regardless of their classification, are entitled to security of tenure,
at least for the period agreed upon in their contracts. This means that they cannot be dismissed
before the end of their contract terms without due process. The law recognizes the right of an
employer to dismiss employees in warranted cases, but it frowns upon the arbitrary and whimsical
exercise of that right when employees are not accorded due process. If they were illegally
dismissed, the workers’ right to security of tenure is violated.

The law and jurisprudence guarantee to every employee security of tenure. This textual and the
ensuing jurisprudential commitment to the cause and welfare of the working class proceed from
the social justice principles of the Constitution that the Court zealously implements out of its
concern for those with less in life. Thus, the Court will not hesitate to strike down as invalid any

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employer act that attempts to undermine workers’ tenurial security. (Gopio v. Bautista, G.R. No.
205953, June 6, 2018, 864 SCRA 463, 479-480)

6. Entitlement to salaries corresponding to the unexpired portion of employment

contract

The clause "or for three (3) months for every year of the unexpired term, whichever is less" as
reinstated in Section 7 of Republic Act No. 10022 is unconstitutional, and has no force and effect
of law. It violates due process as it deprives overseas workers of their monetary claims without any
discernable valid purpose.

xxx

In Serrano, this Court ruled that the clause "or for three (3) months for every year of the unexpired
term, whichever is less" under Section 1061 of the Migrant Workers and Overseas Filipinos Act is
unconstitutional for violating the equal protection and substantive due process clauses.

Later, however, this clause was kept when the law was amended by Republic Act No. 10022 in
2010. Section 7 of the new law mirrors the same clause: xxx

In Sameer Overseas Placement Agency, Inc. v. Cabiles, this Court was confronted with the
question of the constitutionality of the reinstated clause in Republic Act No. 10022. Reiterating our
finding in Serrano, we ruled that “limiting wages that should be recovered by an illegally dismissed
overseas worker to three months is both a violation of due process and the equal protection clauses
of the Constitution.” In striking down the clause, we ruled:

Putting a cap on the money claims of certain overseas workers does not increase
the standard of protection afforded to them. On the other hand, foreign employers
are more incentivized by the reinstated clause to enter into contracts of at least a
year because it gives them more flexibility to violate our overseas workers' rights.
Their liability for arbitrarily terminating overseas workers is decreased at the
expense of the workers whose rights they violated. Meanwhile, these overseas
workers who are impressed with an expectation of a stable job overseas for the
longer contract period disregard other opportunities only to be terminated earlier.
They are left with claims that are less than what others in the same situation would
receive. The reinstated clause, therefore, creates a situation where the law meant
to protect them makes violation of rights easier and simply benign to the violator.

This case should be no different from Serrano and Sameer.

A statute declared unconstitutional “confers no rights; it imposes no duties; it affords no protection;

it creates no office; it is inoperative as if it has not been passed at all.” Incorporating a similarly
worded provision in a subsequent legislation does not cure its unconstitutionality. Without any
discernable change in the circumstances warranting a reversal, this Court will not hesitate to strike
down the same provision.

As such, we reiterate our ruling in Sameer that the reinstated clause in Section 7 of Republic Act
No. 10022 has no force and effect of law. It is unconstitutional.

Hence, petitioners are entitled to the award of salaries based on the actual unexpired portion of
their employment contracts. The award of petitioners' salaries, in relation to the three (3)-month
cap, must be modified accordingly. (Aldovino v. Gold and Green Manpower Management and
Development Services, Inc., G.R. No. 200811, June 19, 2019)

In a plethora of cases, the Court has held that illegally dismissed overseas workers, including
seafarers, shall be entitled to salaries corresponding to the unexpired portion of their employment
contracts. This includes the monthly vacation leave pay and all other benefits guaranteed in the
employment contract which were not made contingent upon the performance of any task or the
fulfilment of any condition. (Meco Manning & Crewing Services, Inc. v. Cuyos, G.R. No. 222939,
July 3, 2019)

7. Solidary liability of principal/employer, recruitment/placement agency, and the

corporate officers of the latter, for the money claims and damages of an OFW
absolute and without qualification

In an attempt to escape any liability to respondent, petitioners assert that only SAENCO should be
answerable for respondent’s illegal dismissal because petitioners were not privy to the extension
of respondent’s Employment Contract beyond the original six-month period. Petitioner Moldes

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additionally argues that she should not be held personally liable as a corporate officer of PTCPI
without evidence that she had acted with malice or bad faith.

Petitioners’ arguments are untenable considering the explicit language of the second paragraph of
Section 10 of Republic Act No. 8042, reproduced below for easier reference:

The liability of the principal/employer and the recruitment/placement agency for

any and all claims under this section shall be joint and several. This provision shall
be incorporated in the contract for overseas employment and shall be a condition
precedent for its approval. The performance bond to be filed by the
recruitment/placement agency, as provided by law, shall be answerable for all
money claims or damages that may be awarded to the workers. If the
recruitment/placement agency is a juridical being, the corporate officers and
directors and partners as the case may be, shall themselves be jointly and
solidarily liable with the corporation or partnership for the aforesaid claims and
damages.

The aforequoted provision is plain and clear, the joint and several liability of the principal/employer,
recruitment/placement agency, and the corporate officers of the latter, for the money claims and
damages of an overseas Filipino worker is absolute and without qualification. It is intended to give
utmost protection to the overseas Filipino worker, who may not have the resources to pursue her
money claims and damages against the foreign principal/employer in another country. The
overseas Filipino worker is given the right to seek recourse against the only link in the country to
the foreign principal/employer, i.e., the recruitment/placement agency and its corporate officers. As
a result, the liability of SAENCO, as principal/employer, and petitioner PTCPI, as
recruitment/placement agency, for the monetary awards in favor of respondent, an illegally
dismissed employee, is joint and several. In turn, since petitioner PTCPI is a juridical entity,
petitioner Moldes, as its corporate officer, is herself jointly and solidarily liable with petitioner PTCPI
for respondent’s monetary awards, regardless of whether she acted with malice or bad faith in
dealing with respondent. (Princess Talent Center Production, Inc. v. Masagca, supra, at pp. 646-
648)

On the second issue, AICI argues in its petition that it cannot be held liable for illegal dismissal
because it only recruits employees for foreign employers, and as such, it does not have an
employee-employer relationship with the overseas workers.

This argument does not hold water. Section 10 of RA 8042, as amended; expressly provides that
a recruitment agency, such as AICI, is solidarily liable with the foreign employer for money claims
arising out of the employee-employer relationship between the latter and the overseas Filipino
worker. Jurisprudence explains that this solidary liability is meant to assure the aggrieved worker
of immediate and sufficient payment of what is due him,46 as well as to afford overseas workers
an additional layer of protection against foreign employers that tend to violate labor laws. In view
of the express provision of law, AICI’s lack of an employee-employer relationship with respondents
cannot exculpate it from its liability to pay the latter’s money claims.

Nevertheless, AICI is not left without a remedy. The law does not preclude AICI from going after
the foreign employer for reimbursement of any payment it has made to respondents to answer for
the money claims against the foreign employer. (Augustin International Center, Inc. v. Bartolome,
G.R. No. 226578, January 28, 2019, 891 SCRA 352, 366-368)

Finally, Section 10 of R.A. No. 8042, as amended by R.A. 10022, provides that if the recruitment
or placement agency is a juridical being, its corporate officers, directors, and partners, as the case
may be, shall be jointly and solidarily liable with the corporation or partnership for the claims and
damages against it. Here, there is no dispute that MECO is a corporation engaged in the
recruitment and placement of Filipino seafarers for its foreign principal. It is also not disputed that
Capt. Sorrera is MECO's President and General Manager; hence, he is a corporate officer. Thus,
the appellate court correctly adjudged Capt. Sorrera as among those who are jointly and solidarily
liable to Constantino. (Meco Manning & Crewing Services, Inc. v. Cuyos, G.R. No. 222939, July 3,
2019)

Respondents cannot escape liability from petitioner's money claims. Section 10 of RA 8042
provides that the employer and the recruitment or placement agency are jointly liable for money
claims arising from the employment relationship or any contract involving overseas Filipino workers.
If the recruitment or placement agency is a juridical being, the corporate officers and directors and
partners as the case may be, shall themselves be jointly and solidarity liable with the corporation
or partnership for the aforesaid claims and damages. In providing for the joint and solidary liability
of private recruitment agencies with their foreign principals, RA 8042 precisely affords OFWs with

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a recourse and assures them of immediate and sufficient payment of what is due them. (Cuartocruz
v. Active Works, Inc., G.R. No. 209072, July 24, 2019)

HANDBOOK FOR OFWs ACT OF 2018

(RA No. 11227)

1. Creating a Handbook for OFWs

The handbook for overseas Filipino workers, known in this Act as "Handbook", shall be created
and issued to every land-based and sea-based worker free of charge. It shall serve as a ready
reference for migrant workers when they need to assert their rights and responsibilities. It shall also
deal with key issues that they need to know in order to maintain decent employment conditions
overseas.

The contents of the Handbook shall be written in English with translations in local languages as
may be necessary. (Sec. 2)

2. Objectives of the Handbook

The objectives of creating a Handbook are as follows: (a) To empower every overseas Filipino
worker (OFW) by making them fully aware of their rights and responsibilities; (b) To complement
the worker education program of various agencies; (c) To provide a basic information on the labor
and living conditions in the country of their destination; (d) To make the workers well aware of the
benefits and drawbacks of working overseas; and (e) To provide necessary information for their
reintegration into the Philippine society. (Sec. 3)

3. Responsibility of the POEA

The Administration is hereby mandated to develop, publish, disseminate and update periodically a
Handbook on the rights and responsibilities of migrant workers as provided by Philippine laws and
the existing labor and social laws of the countries of destination that will protect and guarantee the
rights of migrant workers. The Handbook shall be written in simple words that can be easily
understood with translation in local language as may be necessary. (Sec. 4, amending Sec. 23[b.1]
of RA No. 8042)

4. Agencies mandated to implement the law

The Philippine Overseas Employment Administration (POEA), in coordination with the Department
of Labor and Employment (DOLE) and the Overseas Workers Welfare Administration (OWWA),
Department of Foreign Affairs (DFA), Inter-Agency Council Against Trafficking (IACAT),
Commission on Filipinos Overseas (CFO) and Maritime Industry Authority (MARINA), is mandated
to implement this Act. (Sec. 5)

OVERSEAS WORKERS WELFARE ADMINISTRATION ACT

(RA No. 10801, repealing LOI No. 537, PD Nos. 1694 and 1809)

1. Declared State Policy

It is the policy of the State to afford full protection to labor, local and overseas, organized and
unorganized, and promote full employment opportunities for all. Towards this end, it shall be the
State’s responsibility to protect the Overseas Filipino Workers (OFWs).

The Overseas Workers Welfare Administration (OWWA) shall be one of the principal agencies of
the State to serve and promote the rights, interest and welfare of the OFWs and their families.

Welfare assistance, services, and programs provided by the OWWA shall be gender-responsive,
taking into consideration the different impacts of labor migration to men and women. (Sec. 2)

2. Nature of the OWWA

The OWWA is a national government agency vested with the special function of developing and
implementing welfare programs and services that respond to the needs of its member-OFWs and
their families. It is endowed with powers to administer a trust fund to be called the OWWA Fund.
Being a chartered institution, the OWWA shall not fall under any of the following categories:
government instrumentalities with corporate powers (GICPs), government corporate entities
(GCEs), government financial institutions (GFIs) and/or government-owned or -controlled
corporations (GOCCs).

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The OWWA shall be an attached agency of the Department of Labor and Employment (DOLE). Its
officials and employees are covered by the Salary Standardization Law. (Sec. 4)

3. Scope of the OWWA Act

This Act shall apply to the OWWA, the OWWA Secretariat, the OWWA Fund, to its member-OFWs
and those who will avail of the voluntary membership program of the OWWA, and to overseas
recruitment/manning agencies/employers who are duly registered with the Philippine Overseas
Employment Administration (POEA). (Sec. 5)

4. OWWA Functions

The OWWA shall exercise the following functions:

(a) To protect the interest and promote the welfare of member-OFWs in all phases of overseas
employment in recognition of their valuable contribution to the overall national development
effort;

(b) To facilitate the implementation of the provisions of the Labor Code of the Philippines
(Presidential Decree No. 442, as amended) and the Migrant Workers and Overseas
Filipinos Act of 1995 (Republic Act No. 8042, as amended), concerning the responsibility
of the government to promote the well-being of OFWs. Pursuant thereto, and in furtherance
thereof, it shall provide legal assistance to member-OFWs;

(c) To provide social and welfare programs and services to member-OFWs, including social
assistance, education and training, cultural services, financial management, reintegration,
and entrepreneurial development services;

(d) To provide prompt and appropriate response to global emergencies or crisis situations
affecting OFWs and their families;

(e) To ensure the efficiency of collections and the viability and sustainability of the OWWA
Fund through sound, judicious, and transparent investment and management policies;

(f) To undertake studies and researches for the enhancement of the social, economic, and
cultural well-being of member-OFWs and their families;

(g) To develop, support and finance specific projects for the welfare of member-OFWs and
their families; and

(h) To ensure the implementation of all laws and ratified international conventions within its
jurisdiction. (Sec. 6)

5. Dependent, OWWA member, non-OWWA member, voluntary OWWA member and

OFW defined

Dependent refers to any of the following: (1) The legal spouse; (2) The legitimate, illegitimate,
legitimated, and legally adopted child, who is unmarried, not gainfully employed, and not over the
age of majority, or is over the age of majority but incapacitated and incapable of self-support due
to a mental or physical defect; and (3) The parents who rely primarily upon the member-OFWs for
support. (Sec. 7[c])

Note: OWWA Resolution No. 015, Series of 2016, or the Implementing Rules and Regulations
(IRR) of RA No. 10801, added a fourth dependent: “(4) In the absence of the foregoing, a sibling
who is unmarried, not gainfully employed, and not over the age of majority, or is over the age of
majority but incapacitated and incapable of self-support due to a mental or physical defect.” (IRR,
Rule III, Sec. 6[f])

OWWA member refers to an OFW with a paid contribution or membership fee. (Sec. 7[f])

Note: Under the IRR, an OWWA member is classified as follows: (1) Active Member – refers to an
OFW whose last payment of contribution is still within the two-year period of membership; and (2)
Non-active Member – refers to an OFW whose two-year OWWA membership coverage has
expired. (IRR, Rule III, Sec. 6[q])

Non-OWWA member refers to an undocumented OFW and who has not availed of the voluntary
membership of the OWWA. (Sec. 7[e])

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Note: Under the IRR, a non-OWWA member refers to an undocumented OFW who was not
processed through the POEA and who has not availed of the voluntary membership of the OWWA.
(IRR, Rule III, Sec. 6[m])

Voluntary OWWA member refers to the OFW who has availed of the voluntary membership of the
OWWA at job sites or through electronic registration. (Sec. 7[h])

Overseas Filipino Worker (OFW) refers to a person who is to be engaged, is engaged, or has been
engaged in a remunerated activity in a State of which the person is not a citizen, or on board a
vessel navigating the foreign seas other than a government ship used for military or noncommercial
purposes, or on an installation located offshore or on the high seas. (Sec. 7[g])

6. OWWA membership how obtained

Membership in the OWWA may be obtained in two (2) ways: (a) By compulsory registration upon
processing of employment contracts of OFWs at the POEA; and (b) By voluntary registration of
OFWs at job sites, or through electronic registration. (Sec. 8)

7. Amount of contribution and effectivity of membership

Membership in the OWWA, either through the compulsory or voluntary coverage, shall be effective
upon payment of membership contribution in the amount of twenty-five US dollars (US$25.00) or
its equivalent in the prevailing exchange rates.

The membership in the OWWA shall be considered active until the expiration of the OFW’s existing
employment contract or after two (2) years from contract effectivity, whichever comes first.

In case of voluntary registration, membership shall be considered active until the expiration of the
OFW’s existing employment contract or after two (2) years from the date of last payment, whichever
comes first.

During the transition period, existing employment contract shall refer to the current employment
contract of an OFW at the time of the effectivity of these Rules.

Thereafter, the validity of membership for each contribution is two (2) years, regardless of contract
duration, change of employer or principal, jobsite or recruitment or manning agency. (IRR, Rule IV,
Sec. 8)

8. Proof of membership

Upon payment of the required contribution, an OWWA member shall be issued an official receipt,
an OWWA E-Card, identification card, or other proof of membership. No additional or extra charges
shall be levied on the member-OFW.

The OWWA shall maintain a comprehensive database of member-OFWs, which shall be updated
regularly. (Sec. 11)

Note: The IRR added a paragraph: “For this purpose, the licensed recruitment and manning
agencies shall ensure the completeness and accuracy of data in the OFW Information sheet of
their recruited workers which are submitted upon payment of OWWA membership contribution.
(IRR, Rule IV, Sec. 13)

9. Effect of non-renewal of membership

Non-renewal of OWWA membership disqualifies the worker from availing of certain OWWA
programs and services for active members. (IRR, Rule IV, Sec. 10)

10. Effect of recruitment and manning agency’s failure to pay membership fee

The employer or the manning and recruitment agency who fails to pay the membership contribution
as required herein, shall be liable to pay all OWWA benefits due to an active OWWA member.
(IRR, Rule IV, Sec. 11)

11. Prohibition against discrimination on membership

No OFW shall be denied membership to the OWWA by reason of age, gender, religious belief, or
political affiliation. The OWWA shall take affirmative steps to enhance the access of OFWs to its
programs and services. (Sec. 17)

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12. Penalty for violation by recruitment/manning agency

Violation by a recruitment/manning agency of the preceding section shall constitute an offense

punishable by revocation of its license and all its officers and directors shall be perpetually
disqualified from engaging in the business of recruitment/placement of overseas workers. Such
penalty is without prejudice to any other liability which the officers and directors may have incurred
under existing laws, rules and regulations. (Sec. 19)

13. OWWA Board of Trustees

To carry out the purposes of this Act, the OWWA shall be directed and controlled by a Board of
Trustees which shall act as its policy-making body. It shall be composed of the following members:
(a) Secretary of Labor and Employment, as Chairperson;
(b) OWWA Administrator, as Vice Chairperson;
(c) Secretary of Foreign Affairs;
(d) Secretary of Finance;
(e) Secretary of Budget and Management;
(f) POEA Administrator;
(g) Two (2) representatives from the land-based OFWs who are nominated and appointed in
accordance with the provisions of Republic Act No. 8042, as amended by Republic Act No.
10022;
(h) Two (2) representatives from the sea-based. OFWs who are nominated and appointed in
accordance with the provisions of Republic Act No. 8042, as amended by Republic Act No.
10022;
(i) One (1) representative from the women sector who is nominated and appointed in
accordance with the provisions of Republic Act No. 8042, as amended by Republic Act No.
10022;
(j) One (1) representative from the land-based recruitment sector who is selected from among
the various associations of registered overseas placement and recruitment agencies based
in the Philippines, who shall be appointed by the President of the Philippines to serve a
single term of three (3) years; and
(k) One (1) representative from the sea-based manning sector, who is selected from among
the various associations of registered overseas placement and manning agencies based
in the Philippines, who shall be appointed by the President of the Philippines to serve a
single term of three (3) years.

The Trustees holding office as members of the OWWA Board at the time of the effectivity of this
Act shall continue to serve until the expiration of their term of appointments.

In case of vacancy in any of the appointive positions in the OWWA Board, the vacancy shall be
filled by the subsequent nomination of the respective sector concerned, in the same manner as the
selection of the predecessor. Such successor shall hold office for the unexpired term. (Sec. 20)

14. Responsibilities and powers of the Board of Trustees

The Board shall exercise the following specific powers and duties:

(a) To define the thrusts of the OWWA and adopt policy guidelines to ensure their
implementation;
(b) To preserve the integrity of the OWWA Fund;
(c) To approve programs, projects, and the organizational structure of the OWWA Secretariat;
(d) To modify or adjust the membership contribution and other necessary charges based on
periodic reviews and actuarial studies, subject to due consultation with OFWs or
nongovernment organizations (NGOs) advocating the protection of the rights and welfare
of OFWs and their families;
(e) To formulate rules and regulations governing financial transactions and prepare the annual
and supplemental budget of the Secretariat for submission to the DBM;
(f) To formulate rules and regulations governing the conduct and discipline of OWWA officials
and employees in accordance with civil service rules;
(g) To ensure the efficiency of collection and the viability and sustainability of the fund through
sound and judicious investment and fund management policies;
(h) To receive and appropriate all sums to carry out the purposes and functions of the OWWA;
(i) To authorize the construction or repair of its buildings, machinery, equipment and other
facilities, and the purchase and acquisition of real and personal properties, including the
necessary supplies, materials and equipment;

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 (j) To receive in trust legacies, gifts and donations of real and personal property of all kinds,
and to administer and dispose the same when necessary for the benefit of the OWWA
general membership and subject to the instructions of the donor, if any;
(k) To delegate any of its powers to the Chairperson of the Board or to the Administrator of
the OWWA Secretariat in case of any national emergency that affects the rights and
welfare of its member-OFWs and their families;
(l) To prescribe such general policies, rules and regulations, not contrary to law, consistent
with the purposes of the OWWA subject to due consultation with OFWs or NGOs
advocating the protection of the rights and welfare of OFWs and their families; and
(m) To exercise such, powers as may be proper and necessary to carry out the objectives of
this Act. (Sec. 22)

15. OWWA Secretariat, its duties and responsibilities

The OWWA Secretariat shall be the implementing arm of the OWWA. (Sec. 25)

The OWWA Secretariat shall perform and assume the following duties and responsibilities:
(a) To implement all decisions and policies promulgated by the Board including investment
and fund management;
(b) To manage programs and implement the delivery of welfare services to its members, both
local and overseas, supported by advocacy and information campaign programs;
(c) To formulate medium-term development plans responsive to the welfare, needs, and
demands of member-OFWs;
(d) To submit work and financial plans for Board consideration;
(e) To provide policy analyses and recommendations for Board consideration;
(f) To conduct continuing research and studies, including impact evaluation, in aid of policy
and program development;
(g) To regularly monitor and conduct assessment and evaluation of organizational
performance;
(h) To establish and maintain an on-line management information system, which shall include
a database on membership;
(i) To establish and maintain linkages and networks with social and institutional partners, both
local and international;
(j) To submit written quarterly reports on the assessment and evaluation of programs, projects
and services, and such other reports as maybe required by the Board;
(k) To conduct an annual planning, budgeting and organizational performance assessment,
and render the corresponding report to the Board;
(l) To submit annual reports to the Board, the Congress and the President of the Philippines;
(m) To undertake a periodic review of programs, standards, thrusts, and policies;
(n) To perform other functions as may be instructed by the Board; and
(o) To adopt internal rules of procedure consistent with the provisions of this Act. (Sec. 26)

16. OWWA Administrator and Deputy Administrators

The management and supervision of the OWWA shall be vested in the Administrator. As the Chief
Executive Officer of the Secretariat, the Administrator shall oversee the overall operations of the
Secretariat, which shall include the general supervision and control of all its personnel and
resources, and the assumption of full responsibility and accountability thereof.

The Administrator must possess good leadership and managerial skills, and shall be appointed by
the President of the Philippines. The Administrator shall report to the President, through the
Secretary of the DOLE, and shall perform the duties and functions stated in this Act and all the
necessary and related functions of the office of the Administrator, subject to the policies and rules
prescribed by the OWWA Board. (Sec. 27)

Two (2) Deputy Administrators shall assist the Administrator in the management and supervision
of operations of the OWWA. There shall be one (1) Deputy Administrator for Administration and
Fund Management, and one (1) Deputy Administrator for Operations. They shall also be appointed
by the President upon the recommendation of the Administrator. They must also possess good
leadership and managerial skills. The Board may assign specific functional responsibilities to the
Deputy Administrators. (Sec. 28)

17. Guiding principles on OWWA benefits and services

Pursuant to its mandate, the OWWA shall provide gender-responsive reintegration programs,
repatriation assistance, loan and credit assistance, on-site workers assistance, death and disability
benefits, health care benefits, education and skills training, social services, family welfare

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assistance, programs and services for women migrant workers and other appropriate programs
that provide timely social and economic services.

Nothing in this Act shall be construed as a limitation or denial of the right of an OFW to avail of any
benefit plan which may be adopted in the employment contract, or offered voluntarily by employers,
or by the laws of the receiving country, over and above those provided under this Act. (Sec. 34)

18. Benefits and services to OFWs

(a) Reintegration of OFWs. – The reintegration of OFWs, taking into consideration the needs of
women migrant workers, shall be one of the core programs of the OWWA. In this regard, and for
purposes of policy and program coordination, the National Reintegration Center for OFWs created
under Republic Act No. 10022 shall be an attached office of the OWWA. It shall be headed by an
Executive Director who shall be under the supervision of the OWWA Administrator.

To be able to sustain the viability of this program, not less than ten percent (10%) of OWWA’s
collection of contribution for the immediately preceding year shall be allocated annually for the
reintegration program,

(b) Repatriation Assistance. – Consistent with the provisions of Republic Act No. 8042, as
amended, the OWWA shall assist the Department of Foreign Affairs in providing OFWs with
services necessary to facilitate repatriation, as may be required.

(c) Loan and Other Credit Assistance. – The OWWA shall provide low-interest loans to member-
OFWs. It shall have the authority to hire experts in finance or banking to assist in implementing the
said loan programs.

(d) Workers Assistance and On-site Services. – The OWWA shall sustain and maintain assistance
to member-OFWs in all its overseas and regional offices. Services shall be gender-responsive and
shall include information regarding the names, occupation/job categories and addresses of the
member-OFWs; legal assistance providing guidance and information on protection of migrant
rights, including the prevention of gender-based violence; developing materials for the predeparture
orientation seminars; conducting psycho-social counseling services; conciliation services;
appropriate services and intervention for victims of gender-based violence, and outreach missions,
among others. The OWWA shall likewise make competent representations with employers, agents,
and host government authorities to assist member-OFWs in obtaining relief from grievances and
work-related issues, including claims for unpaid wages, and illegal recruitment cases among others.

(e) Social Benefits. – A member-OFW shall be covered with the following social benefits:

(1) Death and Disability Benefits:

(i) Death Benefits. – A member shall be covered with life insurance for the duration of his
or her employment contract. The coverage shall include one hundred thousand pesos
(P100,000.00) for natural death and two hundred thousand pesos (P200,000.00) for
accidental death;

(ii) Disability and Dismemberment Benefits. – Disability and dismemberment benefits shall
be included in a member’s life insurance policy, as provided for in the impediment schedule
contained in the OWWA Manual of Systems and Procedures. The coverage is within the
range of two thousand pesos (P2,000.00) to fifty thousand pesos (P50,000.00);

(iii) Total Disability Benefit. – In case of total permanent disability, a member shall be
entitled to one hundred thousand pesos (P100,000.00); and

(iv) Burial Benefit. – A burial benefit of twenty thousand pesos (P20,000.00) shall be
provided in case of the member’s death.

Based on actuarial studies, the Board may increase the amount of the abovementioned
benefits.

(2) Health Care Benefits. – Within two (2) years from the effectivity of this Act, the OWWA shall
develop and implement health care programs for the benefit of member-OFWs and their
families, taking into consideration the health care needs of women as provided for in Republic
Act No. 9710, or the Magna Carta of Women, and other relevant laws.

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 (3) Education and Training Benefits. – A member, or the member’s designated beneficiary,
may avail any of the following scholarship programs, subject to a selection process and
accreditation of participating institutions:

(i) Skills-for-Employment Scholarship Program. – For technical or vocational training

scholarship;

(ii) Education for Development Scholarship Program. – For baccalaureate programs; and

(iii) Seafarers’ Upgrading Program. – To ensure the competitive advantage of Filipino

seafarers in meeting competency standards, as required by the International Maritime
Organization (IMO), International Labor Organization (ILO) conventions, treaties and
agreements, sea-based members shall be entitled to one upgrading program for every
three (3) membership contributions.

The annual scholarship lists of all these programs shall be submitted to the Board. (Sec. 35)

Note: The IRR provided for a detailed list of benefits and programs. (IRR, Rule V, Sec. 23)

19. OWWA Fund, its purpose and source

The Welfare Fund for Overseas Workers created under Letter of Instruction No. 537 and
Presidential Decree No. 1694, as amended by Presidential Decree No. 1809, is hereinafter referred
to as the OWWA Fund. The OWWA Fund is a private fund held in trust by the OWWA. Being a
trust fund, no portion thereof or any of its income, dividends or earnings shall accrue to the general
fund of the National Government. Neither shall any amount or portion thereof be conjoined with
government money, nor revert to the National Government. In the same manner, it is exempted
from the “one fund doctrine” of the government. (Sec. 37)

The OWWA Fund can only be used for the purposes for which it was created, that is, to serve the
welfare of member-OFWs and their families which shall include the financing of core programs and
services of the OWWA.

No funds shall be withdrawn from the OWWA Fund to respond, aid, supplement, or in any manner
augment any required expenditure by other government agencies. (Sec. 38)

The OWWA Fund is the sum total of the amounts under the management and fiscal administration
of the OWWA Board and the Secretariat, including the twenty-five US dollars (US$25.00)
contributions that shall accrue to the Fund as fees, investment and interest income, and income
from other sources. (Sec. 39)

20. Rebates for long-time members

In recognition of the contribution of long-time members to the OWWA Fund, the OWWA shall
develop and implement a program for the grant of rebates or some form of financial assistance to
OFWs who have been members of the OWWA for at least ten (10) years and who, along with their
families, have not availed of any service or benefit from the OWWA. The provision and the amount
of rebates shall be based on actuarial study commissioned by the OWWA for this purpose. (Sec.
54)

PATERNITY LEAVE ACT OF 1996

(RA No. 8187)

1. Coverage

Notwithstanding any law, rules and regulations to the contrary, every married male employee in the
private and public sectors shall be entitled to a paternity leave of seven (7) days with full pay for
the first four (4) deliveries of the legitimate spouse with whom he is cohabiting. The male employee
applying for paternity leave shall notify his employer of the pregnancy of his legitimate spouse and
the expected date of such delivery.

For purposes of this Act, delivery shall include childbirth or any miscarriage. (Sec. 2)

Note: The IRR for the Private Sector provides: “Every married male employee in the private sector
shall be entitled to paternity leave benefits of seven (7) working days with full pay for the first four
(4) deliveries by his lawful spouse under such terms and conditions as hereinafter provided. xxx”
(IRR for the Private Sector, Sec. 2)

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2. Paternity leave defined

Paternity Leave refers to the benefits granted to a married male employee allowing him not to report
for work for seven (7) days but continues to earn the compensation therefor, on the condition that
his spouse has delivered a child or suffered a miscarriage for purposes of enabling him to effectively
lend support to his wife in her period of recovery and/or in the nursing of the newly-born child. (Sec.
3)

3. Conditions for entitlement of paternity leave benefits

A married male employee shall be entitled to paternity benefits provided that: (a) he is employed at
the time of delivery of his child; (b) he has notified his employer of the pregnancy of his wife and
her expected date of delivery subject to the provisions of Section 4 hereof; and (c) his wife has
given birth, suffers a miscarriage or an abortion. (IRR for the Private Sector, Sec. 3)

4. Notification requirement

As soon as the married male employee learns that his spouse is pregnant, he shall inform his
employer of such pregnancy and the expected date of delivery within a reasonable period of time.
The employee shall accomplish a Paternity Notification Form to be provided for by the employer
and submit the same to the latter, together with a copy of his marriage contract, or where not
applicable, any proof of marriage. Provided, That this notification requirement shall not apply in
cases of miscarriage or abortion.

Any employee who has availed of the paternity benefits shall, within a reasonable period of time,
submit a copy of the birth certificate of the newly born child, death or medical certificate in case of
miscarriage or abortion, duly signed by the attending physician or midwife showing actual date of
childbirth, miscarriage or abortion, as the case may be. (IRR for the Private Sector, Sec. 4)

5. Availment

The paternity benefits set forth herein may be enjoyed by the qualified employee before, during or
after the delivery by his wife; provided, that the total number of days shall not exceed seven (7)
working days for each delivery. Provided, further, that this benefit shall be availed of not later than
sixty (60) days after the date of said delivery. (IRR for the Private Sector, Sec. 5)

Note: “Section 20. Paternity Leave: Non-Cumulative/Non-Commutative. – Paternity leave of seven

(7) days shall be non-cumulative and strictly non-convertible to cash. The same may be enjoyed
either in a continuous or in an intermittent manner by the employee on the days immediately before,
during and after the childbirth or miscarriage of his legitimate spouse. Said leave shall be availed
of not later than sixty (60) days after the date of the child’s delivery.’’ (CSC Omnibus Rules on
Leave, Sec. 20, as amended by MC No. 01, s. 2016)

6. Benefits

The employee is entitled to seven (7) working days paternity leave with pay, consisting of basic
salary, all allowances and other monetary benefits. (IRR for the Private Sector, Sec. 6)

7. Non-conversion of benefits

In the event that the paternity leave benefit is not availed of, said leave shall not be convertible to
cash. (IRR for the Private Sector, Sec. 7)

8. Penalty

Any person, corporation, trust, firm, partnership, association or entity found violating this Act or the
rules and regulations promulgated thereunder shall be punished by a fine not exceeding Twenty-
five thousand pesos (P25,000) or imprisonment of not less than thirty (30)days nor more than six
(6) months.

If the violation is committed by a corporation, trust or firm, partnership, association or any other
entity, the penalty of imprisonment shall be imposed on the entity’s responsible officers, including,
but not limited to, the president, vice-president, chief executive officer, general manager, managing
director or partner directly responsible therefor. (Sec. 5)

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