TWENTIETH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
of Ji>r
25 AUG-6 A 9:12
SENATE 
S. No. ^97 5
Rl-CEIl'iDBV
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
FURTHER STRENGTHENING THE NATIONAL WAGES AND PRODUCTIVITY 
COMMISSION, 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
EXPLANATORY NOTE
Presidential Decree No. 442, otherwise known as the Labor Code of the 
Philippines created the National Wages and Productivity Commission as an attached 
agency of the Department of Labor and Employment (DOLE) under Article 120 and 
laid down its powers and functions under Article 121. To complement the 
Commission, the Regional Tripartite Wages and Productivity Boards was also created 
under Article 122 of the Labor Code.
This 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 Commission and the Board. This is aimed to put 
productivity perspective at the center of tripartite discussions on wage and 
productivity policies and programs.
1


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-appointment of one (1) term only.
In view of foregoing, approval of this bill is earnestly requested.
NGGOY EJERCITO ESTRADA


TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE 
s. No. 975
o( lilt' 
.'f,Irj>
25 AUG-6 A9:12
RtCEIVtDBV:
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
FURTHER STRENGTHENING THE NATIONAL WAGES AND PRODUCTIVITY 
COMMISSION, 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:
1 
Section 1. Article 121, paragraph 2 of the Labor Code of the Philippines, as
2 
amended by Republic Act 6727, is hereby amended to read as follows:
3 
"Article 121. Powers and Functions of the Commission. - x x x.
4 
"x X X
5 
"The Commission shall be composed of the Secretary of Labor
6 
and Employment as ex-officio [chairman] CHAIRPERSON, the
7 
Director-General of the National Economic and Development
8 
Authority (NEDA) AND THE SECRETARY OF THE
9 
DEPARTMENT OF TRADE AND INDUSTRY (DTI) AS EX-
10 
OFFICIO VICE-CHAIRPERSONS [vice-chairman], and two
11 
(2) members each from workers and employers sectors who
12 
shall be appointed by the President of the Philippines upon
13 
recommendation of the Secretary of Labor and Employment to
14 
be made on the basis of the list of nominees submitted by the
15 
workers and employers sectors, respectively, and who shall


1 
serve for a term of [five (5)] THREE (3) years AND MAY BE
2 
RE-APPOINTED FOR ONE (1) TERM ONLY. The Executive
3 
Director of the Commission shall be a member of the
4 
Commission.
5 
"THE COMMISSION SHALL ALSO HAVE A PRODUCTIVITY
6 
AND QUALITY EXPERT/CHAMPION WHO SHALL BE A
7 
REGULAR MEMBER OF THE COMMISSION. THE PRIVATE
8 
SECTOR PRODUCTIVITY AND QUALITY EXPERT SHALL
9 
BE APPOINTED BY 
THE 
PRESIDENT 
OF 
THE
10 
PHILIPPINES UPON RECOMMENDATION 
OF 
THE
11 
SECRETARY OF LABOR AND EMPLOYMENT TO BE MADE
12 
ON THE BASIS OF THE LIST OF NOMINEES SUBMITTED
13 
BY A DULY RECOGNIZED PRODUCTIVITY AND QUALITY
14 
ORGANIZATION WHO SHALL SERVE FOR A TERM OF
15 
THREE (3) YEARS AND MAY BE RE-APPOINTED FOR ONE
16 
(1) TERM ONLY.
17 
"X X X"
18 
Sec. 2. Article 122 of the Labor Code, as amended, is hereby amended to
19 
read as follows;
20 
"Article 122. Creation of Regional Tripartite Wages and
21 
Productivity Boards. - x x x.
22 
"x X X.
23 
"Each Regional Board shall be composed of the Regional
24 
Director of the Department of Labor and Employment as
25 
[chairman] CHAIRPERSON, the Regional Directors of the
26 
National Economic Development Authority (NEDA) and
27 
Department of Trade and Industry (DTI) as [vice-chairman]
28 
VICE-CHAIRPERSONS, and two (2) members each from
29 
workers' and employers' sectors who shall be appointed by the
30 
President of the Philippines, upon the recommendation of the
31 
Secretary of Labor and Employment to be made on the basis of
32 
the list of nominees submitted by the workers' and employers'


1 
sectors, respectively, and who shall serve for a term of [five
2 
(5)] THREE (3) years AND MAY BE RE-APPOINTED FOR
3 
ONE (1) TERM ONLY.
4 
"THE BOARD SHALL ALSO HAVE A PRODUCTIVITY AND
5 
QUALITY EXPERT/CHAMPION WHO SHALL BE A
6 
REGULAR MEMBER OF THE BOARD. THE PRIVATE
7 
SECTOR PRODUCTIVITY AND QUALITY EXPERT SHALL
8 
BE APPOINTED BY THE PRESIDENT OF THE
9 
PHILIPPINES UPON RECOMMENDATION OF THE
10 
SECRETARY OF LABOR AND EMPLOYMENT TO BE MADE
11 
ON THE BASIS OF THE LIST OF NOMINEES SUBMITTED
12 
BY A DULY RECOGNIZED PRODUCTIVITY AND QUALITY
13 
ORGANIZATION WHO SHALL SERVE FOR A TERM OF
14 
THREE (3) YEARS AND MAY BE RE-APPOINTED FOR ONE
15 
(1) TERM ONLY.
16 
"XXX."
17 
Sec. 3. Implementing Rules and Regulations. - The Secretary of Labor and
18 
Employment shall promulgate the necessary rules and regulations to implement the
19 
provisions of this Act.
20 
Sec. 4. Separability Clause. - If any part, section or provision of this Act shall
21 
be held invalid or unconstitutional, the other provisions not affected by such
22 
declaration shall remain in full force and effect.
23 
Sec. 5. 
Repealing Clause. - All laws, acts, decrees, executive orders, rules
24 
and regulations or other issuances or parts thereof, which are consistent with this
25 
Act, are hereby modified and repealed.
26 
Sec. 6. 
Effectivity. -This Act shall take effect fifteen (15) days after its full
27 
publication in the Official Gazette or in at least two (2) newspapers of national
28 
circulation.
Approved,