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FOURTEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
Ej 
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10 125 :j 
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First Regular Session 
1 
S E N A T E  
a -  
COMMITTEE REPORT NO. 
41 
Submitted jointly by the Committees on Labor, Employment and Human 
Resources Development and Finance on 
MAR 1 0 2QO8 
RE 
S. B. No. 2 1.16 prepared by the Committees. 
Recommending its approval in substitution of S. B. Nos. 6, 116, 911, 923 and 
1621. 
Sponsor 
: 
Senator J. Ejercito Estrada 
MR. PRESIDENT: 
The Senate Committee on Labor, Employment and Human Resources 
Development joint with the Committee on Finance to which were referred S .  B. No. 6 
introduced by Senator J. Ejercito Estrada, entitled: 
“AN ACT 
MAKING R. A. 1323 MORE EFFECTIVE AND RELEVANT TO 
PRESENT AND FUTURE CONDITIONS BY EXPANDING ITS 
COVERAGE IN TERMS OF EMPLOYER PARTICIPATION, 
ADJUSTING THE INCOME CLASSIFICATION REQUIREMENT 
CLAUSES ON ITS BUDGETARY ALLOCATION AND PROVIDING 
PENALTIES FOR THOSE WHO DISHONOR THE EDUCATIONAL 
VOUCHERS, AMENDING FOR THESE PURPOSES R. A. 1323 
ENTITLED “AN ACT TO HELP POOR BUT DESERVING STUDENTS 
PURSUE 
THEIR 
EDUCATION 
BY ENCOURAGING 
THEIR 
EMPLOYMENT 
DURING 
SUMMER 
AND/OR 
CHRISTMAS 
VACATIONS, 
THROUGH 
INCENTIVES 
GRANTED 
TO 
EMPLOYERS, ALLOWING THEM TO PAY ONLY SIXTY PER 
CENTUM OF THEIR SALARIES OR WAGES AND THE FORTY PER 
CENTUM THROUGH EDUCATIONAL VOUCHERS TO BE PAID BY 
THE GOVERNMENT PROHIBITING AND PENALIZING THE 
FILING OF FRAUDULENT OR FICTITIOUS CLAIMS, AND FOR 
OTHER PURPOSES”. 
THEREIN, PROVIDING AUTOMATIC AND NON-DIMINUTION 
Senate Bill No. 776, introduced by Senator Revilla, entitled: 
I‘AN ACT 
TO STRENGTHEN THE SPECIAL PROGRAM FOR EMPLOYMENT 
OF STUDENTS BY AMENDING CERTAIN PROVISIONS OF 
REPUBLIC ACT NO. 1323.’’ 
Senate Bill No. 917, introduced by Senator Angara, entitled: 
‘IAN ACT 
EXPANDING AND STRENGTHENING THE COVERAGE OF R. A. 
1323, OTHERWISE KNOWN AS THE SPECIAL PROGRAM FOR 
EMPLOYMENT OF STUDENTS.” 


Senate Bill No. 923, introduced by Senator Legarda, entitled: 
“AN ACT 
MAKING R. A. 1323 MORE EFFECTIVE AND RELEVANT TO 
PRESENT AND FUTURE CONDITIONS BY EXPANDING ITS 
COVERAGE IN TERMS OF EMPLOYER 
PARTICIPATION, 
ADJUSTING THE INCOME CLASSIFICATION REQUIREMENT 
CLAUSES ON ITS BUDGETARY ALLOCATION AND PROVIDING 
PENALTIES FOR THOSE WHO DISHONOR THE EDUCATIONAL 
VOUCHERS, AMENDING FOR THESE PURPOSE R. A. 
1323 
ENTITLED “AN ACT TO HELP POOR BUT DESERVING STUDENTS 
PURSUE 
THEIR 
EDUCATION 
BY 
ENCOURAGING 
THEIR 
EMPLOYMENT 
DURING 
SUMMER 
AND/OR 
CHRISTMAS 
VACATIONS, 
THROUGH 
INCENTIVES 
GRANTED 
TO 
EMPLOYERS, ALLOWING THEM TO PAY ONLY SIXTY PER 
CENTUM OF THEIR SALARIES OR WAGES AND THE FORTY PER 
CENTUM THROUGH EDUCATIONAL VOUCHERS TO BE PAID BY 
THE GOVERNMENT PR 
BITNG AND PENALIZING THE 
FILING OF FRAUDULENT, ‘6?!!& 
AND FOR OTHER PURPOSES”. 
and 
THEREIN, 
PROVIDING 
AUTOMATIC 
NON-DIMINUTION 
Senate Bill No. 1621, introduced by Senator Lapid, entitled: 
“AN ACT 
AMENDING SECTIONS 1 AND 4 OF REPUBLIC ACT NO. 1323 AND 
FOR OTHER PURPOSES”. 
have considered the same and have the honor to report them back to the Senate with 
the recommendation that attached S. B. No. 
, prepared by the Committees, 
entitled: 
la6 
“AN ACT 
STRE$HENING 
AND EXPANDING THE COVERAGE OF THE 
SPECIAL PROGRAM 
FOR EMPLOYMENT OF STUDENTS, 
AMENDING FOR THE PURPOSE PROVISIONS OF R. A. 1323, 
OTHERWISE KNOWN AS 
THE 
SPECIAL PROGRAM 
FOR 
EMPLOYMENT OF STUDENTS”. 
with Senators Ejercito Estrada, Revilla, Angara, Legarda Lapid and Enrile as authors 
thereof. 
Respectfully submitted: 
/J~NG&OY EJERCITO ESTRADA 
u e s i d e n t  Pro-Tempore 
ChairrJerson 
Committee on Labor Employment &d Human Resources Development 
Ex Officio Member, Committee on Finance 


Committee on Finance 
LOREN B. LEGARDA 
Committee on Labor, Employment 
& Human Resources Development 
Member, Committee on Finance 
2 
Vice-Chairperson 
Committee on Financec 
MIRIAM DEFENSOR SANTIAGO 
Vice-Chairperson 
Vice-Chairperson 
Committee on Finance 
JOKER P. ARROYO 
Committee on Finance 
MEMBERS: 
“Cornpan’era” PIA S. CAYETANO 
ALAN PETER “Compaiiero” S. CAYETANO 
Committee on Labor, Employment 
Commfl on Finance 
Committee on Labor, Employment & 
Human Resources Development 
& Human Resources Development 
FRA 
. ESCUDERO 
. 
Com ittee on Labor, Employment 
Committee on Labor, Employment and 
Committee on Finance 
& 
man Resources Development 
Human Resources Development 
Committee on Finance 
d 


RAMON “Bong” REVILLA, JR. 
M d
:
&
M
.
d
 
&a““ 
Committee on Labor, Employment 
Committee on Labor, Emp yment 
Committee on Finance 
& Human Resources Development 
& Human Resources Development 
Committee on Finance 
Committee on Labor, Employment 
Committee on Finance 
Committee on Labor, Employment & 
Human Resources Development 
Committee on Finance 
& Human Resources Development 
Committee on Finance 
Committee on Finance 
6%’ 
MARA.R XAS 
Committeebn Finance 
ANTONIO L‘SONN”’ F. TRILLANES 
Committee on Finance 
ICHARD J. GORDON 
Committee on Finance 
Committee on Labor, Employment & 
Human Resources Development 


EX- OFElCIO M&MBERS: 
Minority Floor Leader 
MANNY VILLAR 
Senate President 
Pasay City 


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?iiiH IG : : i I  
FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
1 
First Regular Session 
1 
~~~~~~~~~~~~ 
d 
SENATE 
S.B. No. 21116 
Prepared b y  the Committee on Labor, Employment and Human Resources 
Development jointly with the Committee on Finance in substitution of S. B. 
Nos. 6,776,917,923 and I621 
“AN ACT 
STRENGTHENING AND EXPANDING THE COVERAGE OF THE SPECIAL 
PROGRAM FOR EMPLOYMENT OF STUDENTS, AMENDING FOR THE 
PURPOSE PROVISIONS OF R. A. 1323, OTHERWISE KNOWN AS THE 
SPECIAL PROGRAM FOR EMPLOYMENT OF STUDENTS”. 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Section 1 of R. A. 7323, otherwise known as the “Special 
Program for Employment of Students (SPES)” is hereby amended to read as 
follows: 
SECTION 1. Any provision of law to the contrary notwithstanding, 
any person or entity employing at least [fifty (SO)] FIFTEEN (15) 
persons may during summer and/or Christmas vacations employ poor 
but deserving students fifteen (15) years of age but not more than 
twenty-five (25) years old, paying them a salary or wage not lower than 
the minimum wage FOR PRIVATE EMPLOYERS AND THE 
APPLICABLE HIRING RATE FOR THE NATIONAL AND LOCAL 
GOVERNMENT 
AGENCIES: 
PROVIDED, 
THAT 
STUDENTS 
ENROLLED IN THE SECONDARY LEVEL SHALL ONLY BE 
EMPLOYED DURING THE SUMMER AND/OR 
CHRISTMAS 
VACATIONS; 
PROVIDED FURTHER, THAT THE 
STUDENTS 
15 
ENROLLED 
IN 
THE 
TERTIARY, 
VOCATIONAL 
OR 


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TECHNOLOGICAL EDUCATION MAY BE EMPLOYED AT ANY 
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TIME OF THE YEAR PROVZDED FINALLY, THAT STUDENTS 
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EMPLOYED IN ACTIVITIES RELATED TO THEIR COURSE SHALL 
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EARN 
EQUIVALENT ACADEMIC 
CREDITS AS 
MAY 
BE 
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DETERMINED BY APPROPRIATE GOVERNMENT AGENCIES 
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For purposes of this Act, poor but deserving students refer to 
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those whose parents combined incomes, together with their income, if 
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any, do not exceed [Thirty-six thousand pesos (P36, 000.00) per 
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annum] 
THE ANNUAL APPLICABLE 
REGIONAL POVERTY 
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THERSHOLD LINE FOR A FAMILY OF SIX FOR THE PRECEDING 
12 
YEAR AS MAY BE DETERMINED BY THE NATIONAL ECONOMIC 
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DEVELOPMENT AUTHORITY (NEDA). Employment [should be at the 
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Labor Exchange Center of the Department of Labor and Employment 
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(DOLE)] FACILITATION SERVICES FOR APPLICANTS TO THE 
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PROGRAM SHALL BE DONE BY THE PUBLIC EMPLOYMENT 
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SERVICE OFFICE (PESO). 
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SEC. 2. Section 3 of the same law is hereby amended to read as follows: 
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SEC. 3. The Secretary of Labor and Employment, the Secretary of 
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Education 
[Culture and Sports], 
THE CHAIRMAN OF THE 
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COMMISSION ON HIGHER EDUCATION and the Secretary of 
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Finance shall issue the corresponding rules and regulations to carry out 
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the purposes of this Act. 
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The Secretary of Labor and Employment shall be the Project Director of 
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this program. 
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[provided by law and other applicable labor rules and regulations]. 
SEC. 3. Section 4 of the same law is hereby amended to read as follows: 
Section 4. Any person or entity who REFUSES OR DISHONORS AN 
EDUCATIONAL VOUCHER, OR makes any fraudulent or fictitious claim 


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under this Act, regardless of whether payment has been made, shall upon 
conviction be punished with imprisonment of not less than six (6) months and 
not more than one (1) year and a fine of not less than Ten thousand pesos 
(PlO,OOO.OO), without prejudice to their prosecution and punishment for any 
other offense punishable under the Revised Penal Code or any other penal 
statute. 
In case of partnership or corporations, the managing partner, general 
manager, or chief executive officer, as the case may be, shall be criminally 
liable. 
SEC. 4. Section 5 of the same law is hereby amended to read as follows: 
Section 5. The amount necessary to carry out the purposes of this Act is 
hereby authorized to be appropriated in the General Appropriations Act for 
1992 and the subsequent annual General Appropriations Act; PROVIDED, 
THAT THE APPROPRIATION, FOR THE PURPOSES OF THIS ACT, SHALL 
NOT 
BE 
REDUCED 
BY 
CONGRESS 
BELOW 
THE 
AMOUNT 
APPROPRIATED FOR THE PREVIOUS YEAR AND, AFTER APPROVAL, 
SHALL BE AUTOMATICALLY AND REGULARLY RELEASED; PROVIDED 
FURTHER, THAT THE APPROPRIATION HEREIN SHALL BE INCREASED 
BY AT LEAST TWENTY (20%) PER CENTUM ANNUALLY”. 
SEC. 5. Separability Clause. - If any provision of this Act or an 
application thereof to any person or circumstance is held to be invalid, the 
other provisions of this Act, and the application of such provision to other 
person or circumstances, shall not be affected thereby. 
SEC. 6. Repealing Clause- All existing laws, orders, rules and 
regulations or part thereof deemed inconsistent with the provision of this Act 
are hereby repealed or modified accordingly. 
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SEC. 7. Effectivity- This Act shall take effect after its publication in the 
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Official Gazette or in at least two (2) national newspapers of general 
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circulation. 
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Approved 
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