THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
SENATE 
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INTRODUCED BY HON. MANUEL B. VILLAR, JR. 
EXPLANATORY MOTE 
With the economic turmoil that the country is facing, there have been a number 
of poor young people who, in their desire to study and eventually have a better 
quality of life, look for ways to finance their studies. 
Such situation calls for the protection of these students who work in 
companies. 
In view of the foregoing, passage of this bill is earnestly recommended. 


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, 1 .I. 
THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
INTRODUCED BY HON. MANUEL B. VILLAR. JR. 
AN ACT 
STRENGTHENINGFURTHERANDBROADENINGTHECOVERAGEOFTHE 
SPECIAL PROGRAM FOR EMPLOYMENT OF STUDENTS, AMENDING FOR 
THE PURPOSE CERTAIN PROVISIONS OF REPUBLIC ACT NO. 7323, AND 
FOR OTHER PURPOSES. 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Section 1 of Republic Act No. 7323, otherwise known as the 
"Special Program for Employment of Students (SPES)," is hereby amended to read as 
follows: 
"SECTION 1. Any provision of 
the law to the contrary 
notwithstanding, any person or entity employing [at least fifty (50)] MORE 
THAN TEN (10) persons may [during the 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, HOWEVER, THAT THEIR 
EMPLOYMENT SHALL NOT EXCEED THREE (3) MONTHS: PROVIDED, 
FURTHER, THAT STUDENTS EMPLOYED IN ACTIVITIES RELATED TO 
THEIR COURSE SHALL EARN EQUIVALENT ACADEMIC CREDITS AS 
MAY BE DETERMINED BY APPROPRIATE GOVERNMENT AGENCIES 
[provided by law and other applicable labor rules and rewlations]. 
"For purposes of this Act, poor but deserving students refer to 
those whose parents' combined income[s] , together with their [income] 
OWN, if any, do not exceed [Thirty-six thousand pesos (P36,OOO) per 
annum.. THE ANNUAL NATIONAL POVERTY THRESHOLD LEVEL FOR A 
FAMILY OF SIX (6) FOR THE PRECEDING YEAR AS MAY BE 
DETERMINED BY THE NATIONAL STATISTICS COORDINATION BOARD 
(NSCB). Employment [should be at the Labor Exchange Center of the 
Department of Labor and Employment (DOLE)] FACILITATION SERVICES 
FOR APPLICANTS TO THE PROGRAM SHALL BE DONE BY THE PUBLIC 
EMPLOYMENT SERVICE OFFICE (PESO) 
.'I 
SECTION 2. Section 2 of the s m e  law is hereby amended to read as follows: 
"SECTION 2. Sixty per centum (60%) of said salary or wage shall 
be paid by the employer in cash and forty per centum (40%) by the 
government in the form of a voucher which shall be applicable in the 
payment for his tuition fees and books in any educational institution for 
secondary, tertiary, vocational or 
technological 
education. 
The 
amount of the educational voucher shall be paid by the government to 
the educational institution concerned within thirty (30) thirty days from 


its presentation to the officer or agency designated by the Secretary of 
Finance. 
"The voucher shall, not be transferable except when the payee 
thereof dies or for a justifiable cause stops in his duties, in which case it 
can be transferred to his brothers or sisters. If there be none, the amount 
thereof shall be paid his heirs or to the payee himself, as the case may 
be." 
SECTION 3. Section 3 of the same law is hereby amended to read as follows: 
"SECTION 3. The Secretary of Labor and Employment, the Secretary of 
Education [, Culture and Sports], THE CHAIRMAN OF THE COMMISSION ON 
HIGHER EDUCATION and the Secretary of Finance shall issue the 
corresponding rules and regulations to carry out the purposes of this Act. 
"The Secretary of Labor and Employment shall be the [Project Director of 
this] Program Chairman." 
SECTION 4. Section 4 of the same law is hereby amended to read as follows: 
"SECTION 4. Any person or entity who shall make any fraudulent 
or fictitious claim under this Act, regardless of whether payment has 
been made, AND ANY PERSON OR ENTITY WHO REFUSES TO HONOR 
AN EDUCATION VOUCHER, 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), 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 partnerships or corporations, the managing partner, 
general manager, or chief executive officer, as the case may be, shall be 
criminally liable." 
SECTION 5. If any provision or part of this Act, or the application thereof to any 
person or circumstance is held invalid or unconstitutional, the remainder of this Act 
or the application of such provision or part thereof to other persons or circumstances 
shall not be affected thereby. 
SECTION 6. All laws, orders, issuances, rules and regulations or part thereof 
inconsistent with the provisions of this Act are hereby repealed, amended or modified 
accordingly. 
SECTION 7. This Act shall take effect fifteen (15) days after its publication in 
the Official Gazette or in at least two (2) newspaper of national circulation. 
Approved,