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EIGHTEENTH CONGRESS
REPUBLIC OF THE PHILIPPINES )
‘Second Regular Session )

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HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez
House Bill No, 8623

EXPLANATORY NOTE

With the outbreak of the COVID-19 pandemic, “work from home" or telecommuting has
been becoming the norm in some, if not most, of the workforce.

With the ‘work from home” setup, it cannot be denied that there is an increase in the
expense of the employee. While there are some companies that pay for these additional
expenses, many leave it up to the employee.

Republic Act No. 11165 or the "Telecommuting Act" was enacted last 2018 but there
is no provision on additional expenses of employees and it only covers the private sector.

Thus, this bill is filed aimed at amending Republic Act No. 11165 by expanding its
coverage to include the public or government sector as government employees also require
assistance and by requiring employers to provide their telecommuting employees with a Php
1,000.00 non-taxable allowance per month to answer for the additional cost of utilities from
‘telecommuting.

In view of the foregoing, the immediate passage of this bill is earnestly requested.

RUFUS B. RODRIGUEZ


EIGHTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
Second Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez

House Bill No, 8623

AN ACT
EXPANDING THE COVERAGE OF THE TELECOMMUTING ACT AND PROVIDING
INCENTIVES FOR TELECOMMUTING EMPLOYEES, AMENDING FOR THE PURPOSE,
REPUBLIC ACT NO, 11165, OTHERWISE KNOWN AS THE TELECOMMUTING ACT AND
FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

Section 1. Section 4 of Republic Act No. 11165, otherwise known as the Telecommuting Act,
is hereby amended to read as follows:

SEC. 4. Telecommuting Program — An employer in the pri
PUBLIC sector may offer a telecommuting program to its employees on a
voluntary basis, and upon such terms and conditions as they may mutually
agree upon; X X X

Sec. 2. A new een is hereby inserted after Section 8 of Republic Act No. 11165, which

‘shall read as.

"SEC 9. INCENTIVES FOR TELECOMMUTING EMPLOYEES. ALL
EMPLOYEES WORKING UNDER A TELECOMMUTING PROGRAM
SHALL BE ENTITLED TO A NON-TAXABLE TELECOMMUTING
ALLOWANCE OF AT LEAST ONE THOUSAND PESOS (P1,000.00)
FOR EVERY MONTH SERVED UNDER SUCH AGREEMENT.
PROVIDED, THAT, NOTHING IN THIS PROVISION SHALL BE
CONSTRUED TO ELIMINATE OR IN ANY WAY DIMINISH
SUPPLEMENTS, ALLOWANCES, OR OTHER EMPLOYEE BENEFITS
SERVING A SIMILAR PURPOSE BEING ENJOYED AT THE TIME OF
THE IMPLEMENTATION OF THIS LAW. PROVIDED FURTHER, THAT,
NOTHING IN THIS PROVISION SHALL BE INTERPRETED TO
PROHIBIT THE EMPLOYERS OR THE COLLECTIVE BARGAINING
AGREEMENT FROM PROVIDING TERMS HIGHER OR MORE
FAVORABLE THAN THE ABOVE-MENTIONED RATE. PROVIDED
FINALLY, THAT, ALLOWANCES GRANTED BY PRIVATE
EMPLOYERS UNDER THIS PROVISION SHALL BE DEDUCTIBLE FOR
INCOME TAX PURPOSES."

Sec. 3. All succeeding sections of RA 11165 are hereby renumbered accordingly.

Sec. 4, Penalties. Any violation of the rrodaone of this Act shall be punished with a fine of


Sec. 5. Implementing Rules and Regulations. —The Department of Labor and Employment,
the Department of Finance, and the Bureau of Internal Revenue shall promulgate the rules
and regulations to implement this Act within ninety (30) days from the effectively of this Act.

Sec. 6. Separability Clause. — if any provision or part thereof is held invalid or
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain
valid and subsisting.

Sec. 7. Repealing Clause. — Any law, presidential decree or issuance, executive order, letter
of instruction, administrative order, rule, or regulation contrary to or inconsistent with the
Provisions of this Act is hereby repealed, modified, or amended accordingly.

Sec. 8. Effectivity Clause. — This Act shall take effect fifteen (15) days after its publication in
at least two (2) newspapers of general circulation

Approved,