Senute

SIXTEENTH CONGRESS OF THE REPUBLIC) GP atlies of the Setoatuey
OF THE PHILIPPINES
First Regular Session }

13) JUL -1 AGN2

SENATE
. os REC CE ED BY:
Senate Bill No. RR

INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA

EXPLANATORY NOTE

The National Wages and Productivity Commission (NWPC) endorsed this
proposal to amend Articles 121 and 122 of the Philippine Labor Code, as
amended by R.A. No. 6727.

The proposed bill seeks to include the Secretary of Department of Trade and
Industry (DTI) as one of the ex-officio Vice Chairpersons of the Commission to
provide guidance on business and investment conditions including insights on
the implications of wage and income policies to any business performance.

A Productivity and Quality Expert from the private sector shall likewise be
included as a regular member of the Gommission and the Board. This is aimed to
put productivity perspective at the center of tripartite discussions on wage and
productivity policies and programs.

Lastly, the term of duty of all private sectoral representatives in the Commission
and the Boards shall be reduced from the current five (5) years to three (3) years
with a possible re-appoinment of one term only.

In view of foregoing, approval of this bill is earnestly requested.

EJERCITO ESTRADA
Senator



r a) Senate
? iStivce of thy Srecrebary

OF THE PHILIPPINES
First Regular Session ) ony

SIXTEENTH CONGRESS OF THE REPUBLIC)
)
JUL 1 AG 12

SENATE

oe a 2 ay: :
Senate Bill No. 1

INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA

AN ACT
FURTHER STRENGTHENING THE NATIONAL WAGES AND PRODUCTIVITY
COMMISION, FURTHER AMENDING FOR THIS PURPOSE ARTICLES 121
AND 122 OF PRESIDENTIAL DECREE NO. 442, OTHERWISE KNOWN AS
THE LABOR CODE OF THE PHILIPPINES, AS AMENDED BY R.A. 6727

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

SECTION 1. Article 121 (paragraph 2) of the Labor Code, as amended by
Republic Act 6727, is hereby amended to read as follows:

“Article 121. Powers and Functions of the Commission. = x x x.
“xX

“The Commission shall be composed of the Secretary of Labor and
Employment as ex-officio CHAIRPERSON, the Director-General of
the National Economic and Development Authority (NEDA) AND
THE SECRETARY OF THE DEPARTMENT OF TRADE AND
INDUSTRY (DTI) AS EX-OFFICIO VICE-CHAIRPERSONS, and
two members each from workers and employers sectors who shall
be appointed by the President of the Philippines upon
recommendation of the Secretary of Labor and Employment to be
made on the basis of the list of nominees submitted by the workers
and employers sectors, respectively, and who shall serve for a term
of THREE (3) YEARS AND MAY BE RE-APPOINTED FOR ONE
(1) TERM ONLY. The Executive Direc of the Commission
Secretariat shall be a member of the Commission,

“THE COMMISSION SHALL ALSO HAVE A PRODUCTIVITY
AND QUALITY EXPERT/CHAMPION. WHO SHALL BE A
REGULAR MEMBER OF THE COMMISSION. THE PRIVATE
SECTOR PRODUCTIVITY AND QUALITY EXPERT SHALL BE
APPOINTED BY THE PRESIDENT OF THE PHILIPPINES UPON
RECOMMENDATION OF THE SEGRETARY OF LABOR AND
EMPLOYMENT TO BE MADE ON THE BASIS OF THE LIST OF
NOMINEES SUBMITTED BY A DULY RECOGNIZED
PRODUCTIVITY AND QUALITY ORGANIZATION WHO SHALL



SERVE FOR A TERM OF THREE (3) YEARS AND MAY BE RE-
APPOINTED FOR ONE (1) TERM ONLY.

Xxx’

SEG. 2. Article 1220f the Labor Code, as amended, is hereby amended to read
as follows:

“Article 122. Creation of Regional Tripartite Wages and Productivity
Boards. — x x x.

xXx.

“Each Regional Board shall be composed of the Regional Director
of the Department of Labor and Employment as CHAIRPERSON,
the Regional Directors of the National Economic Development
Authority (NEDA) and Department of Trade and Industry (DTI) as
VICE-CHAIRPERSONS, and (two) members each from workers
and employers sectors who shall be appointed by the President of
the Philippines upon recommendation of the Secretary of Labor and
Employment to be made on the basis of the list of nominees
submitted by the workers and employers sectors, respectively, and
who shall serve for a term of THREE (3) YEARS AND MAY BE
RE-APPOINTED FOR ONE (1) TERM ONLY.

“THE BOARD SHALL ALSO HAVE A PRODUCTIVITY AND
QUALITY EXPERT/CHAMPION WHO SHALL BE A REGULAR
MEMBER OF THE BOARD. THE PRIVATE SECTOR
PRODUCTIVITY AND QUALITY EXPERT SHALL BE
APPOINTED BY THE PRESIDENT OF THE PHILIPPINES UPON
RECOMMENDATION OF THE SECRETARY OF LABOR AND
EMPLOYMENT TO BE MADE ON THE BASIS OF THE LIST OF
NOMINEES SUBMITTED BY A DULY RECOGNIZED
PRODUCTIVITY AND QUALITY ORGANIZATION WHO SHALL
SERVE FOR A TERM OF THREE (3) YEARS AND MAY BE RE-
APPOINTED FOR ONE (1) TERM ONLY.

KX”

SEC. 3. Implementing Rules and Regulations. ~ The Secretary of Labor and
Employment shall promulgate the necessary rules and regulations to implement
the provisions of this Act.

SEC. 4. Separability Clause. — If any part, section or provision of this Act shall
be held invalid or unconstitutional, the other provisions not affected by such
declaration shall remain in full force and effect.

SEC. 5. Repealing Clause. — All laws, acts, decrees, executive orders, rules and
regulations or other issuances or parts thereof, which are consistent with this Act,
are hereby modified and repealed.



eeu auaune

SEC. 6. Effectivity. - This Act shall take effect fifteen (15) days after its full
publication in the Official Gazette or in at least two (2) newspapers of national
circulation.

Approved,