Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

6025

House Bill No.

Introduced by CIBAC Party-List Representatives
Eduardo “Bro. Eddie” C. Villanueva and Domingo C. Rivera

AN ACT STRENGTHENING THE EMPLOYMENT RIGHTS OF
MEMBERS OF THE RESERVE FORCE OF THE ARMED FORCES OF
THE PHILIPPINES AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Citizen soldiers or reservists play an integral role in defending the Philippines
in times of war, armed conflicts and similar occurrences, and in providing assistance
during natural disasters, among others.

For example, during the siege carried out by the Maute Group in Marawi City in
2017, two battalions from the military's Reserve Force were mobilized to help thwart
terrorism in the area. Aside from these, citizen soldiers also serve in the front lines
during times of natural disasters and calamities. According to Brigadier General
Marcelo Javier Jr., the Ready Reserves component of the Armed Forces of the
Philippines are often mobilized first in times of disaster.’

Unfortunately, reservists often risk losing their civilian careers when they render
military service. According to a study published in the Harvard Business Review,
military reservists in the United States are 11% less likely to be called for a job
interview. Accordingly, American employers find it challenging to hire or invest in

+ 2015, March 30. On the front line: Volunteer troops in times of crisis. Yuson, Zak. Rappler. Retrieved trom
https:/hvww.rappler.com/move-phiissues/disasters/884 16-reserve-force-disasters-zero-casualty (date last accessed: August 1,
2019).


military reservists due to the possibility that they might be called regularly, and will,
thus, take long leaves from work to render military service.2

In the Philippines, there is very little protection for reservists in terms of
employment rights, such as payment of compensation and wages while in military
service, prohibition against discrimination, rights of reservists upon returning to work,
as well as payment of social security-related contributions while on military service.

Currently, Article 301 [286] of the Labor Code provides that the fulfillment by
the employee of a military or civic duty shall not terminate employment, provided that
he indicates his desire to resume work not later than one month from relief from military
or civic duty. Meanwhile, item (f) of Presidential Decree No. 183 (Providing for the
Annual Registration of Reservists of the Armed Forces of the Philippines; Granting
Security of Tenure to Reservists Employed in Private Firms while Undergoing
Refresher Training, Mobilization or Assembly Tests or Annual Active Duty Training in
Fulfillment of their Military Obligations; and for Other Purposes) provides that an
employee of a commercial, industrial or agricultural firm with an annual gross volume
of not less than Php250,000 and with a personnel force of at least 20 employees, who
is called to refresher training, active duty or mobilization or assembly test, shall not
lose his position or suffer any loss of pay due to his absence in the fulfillment of his
military obligation. This rule is substantially reiterated in Section 32 of Republic Act
No. 7077, otherwise known as Citizen Armed Forces of the Philippines Reservist Act,
which provides that employees who are called to active military training shall not be
separated from his/her employment, and shall not be considered as having forfeited
his seniority right. However, Republic Act No. 7077 provided for a higher monthly
operating volume of not less than Php300,000.00.

This bill seeks to strengthen the employment protection rights of reservists to
ensure that they will not be adversely affected by their affiliation with and service to
the military as members of the Reserve Force of the Armed Forces of the Philippines
(AFP).

First, it strictly prohibits discrimination in terms of employment, admission to
any organization and referral to employment opportunities on account of one's
membership, application for membership, performance of military service, application
for military service or obligation with the Reserve Force of the AFP. Second, this bill
also clarifies that military service shall not be considered a break in the service of an
employee-reservist, and he/she shall be entitled to reintegration, without loss of
seniority rights and diminution of pay upon his/her discharge from service or training.
Third, this bill provides that reservists rendering military service are entitled to
compensation commensurate to their rank and consistent with the compensation
being received by their counterparts in the regular force, including the payment of
premium contributions to the Government Service Insurance System (GSIS),
Philippine Health Insurance Corporation (PhilHealth) and Philippine Home
Development Corporation (PAGIBIG). They also have the option to voluntarily pay
their contributions to the Social Security System during this time.

22017, October 13. Research: Companies Are Less Likely to Hire Current Miltary Reservists. Figinskl, Theodore F. Harvard
Business Review. Retrieved from: https:Ihbr.org/2017/1O/research-companies-are-less-lkely-to-hire-curent-miltary reservists
(date last accessed: August 1, 2019),

5 Transcripts of the Senate Hearing on the rights of reservists under the Committee on Labor and Human Development on.
December 18, 2017. Atp. 32.


An employer, regardless of size or number of employees, who violates the
provisions of this Act is liable for a fine ranging from Php50,000.00 to Php500,000.00,

or imprisonment ranging from three months to two years, or both, at the discretion of
the court.

Indeed, the Filipino people owe these brave men and women for the
tremendous sacrifices they are willing to make for the country. Protecting their rights
to just compensation and job security is the least we can do.

The immediate passage of this bill is earnestly sought.

.

Set Glate_

HON. EDUARDO “BRO. EDDIE” C. VILLANUEVA



SBUBARBNIScorvOMAON=

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. 8025 5

Introduced by CIBAC Party-List Representatives
Eduardo “Bro. Eddie” C. Villanueva and Domingo C. Rivera

AN ACT STRENGTHENING THE EMPLOYMENT RIGHTS OF
MEMBERS OF THE RESERVE FORCE OF THE ARMED FORCES OF
THE PHILIPPINES AND FOR OTHER PURPOSES

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

CHAPTER 1
GENERAL PROVISIONS

SECTION 1. Short Title. - This Act shall be known as the “Reservist Employment
Rights Act.”

SECTION 2. Declaration of Policy. — It is hereby declared the policy of the State to:

a) Strengthen the Citizen Armed Forces or the Reserve Force of the Armed Forces
of the Philippines (AFP) and recognize its role in the mission areas of the AFP
and in national security;

b) Protect the rights of reservists, and prevent and prohibit discrimination on the
basis of rendering military service to the State;

c) Encourage service in the AFP Reserve Force by eliminating or minimizing the
disadvantages to civilian careers and employment which can result from
rendering military service to the State; and


OCONOMRON=

d) Ensure the observance of all employers of the rights of reservists called to
perform military service to the State.

The prime duty of the State is to serve and protect the people. For this reason, the

State may call upon the people to defend the State, and in fulfillment thereof, may

require its citizens to render military or civil service under conditions provided by law.

SECTION 3. Coverage. — The provisions of this Act shall apply to all employers,
whether private or public, including all government agencies and political subdivisions
as well as government-owned or -controlled corporations, non-government
organizations, and other entities.

SECTION 4. Defi
mean

ion of Terms. — As used in this Act, the following terms shall

a) Active Duty Training refers to the compulsory or voluntary trainings for reserve
units and/or individual reservists provided by the AFP to update their working
knowledge in current military organization, doctrines, and tactics, techniques and
procedures (TTPs) in order to maintain a desirable state of readiness, enable
them to satisfy the active service-in-grade required for Promotion to higher
grades, and maintain a level of proficiency and competency for those reservists
designated as instructors in ROTC and other reservists training programs;

b) Auxiliary Service refers to the voluntary performance of a service by a reservist
for the purpose of helping maintain local peace and order, meeting local
insurgency and terror threats for intelligence requirements, assisting in rescue
and relief operations during disasters and calamities, health welfare activities and
Participating in local socioeconomic development projects;

c) Citizen Soldier or Reservist refers to members of the Reserve Force of the
AFP, composed of the following:

1) Graduates of the Reserve Officers’ Training Corps (ROTC) basic and
advance courses and who were issued orders as enlisted reservists or
reserve officers of the AFP;

2) — Graduates of authorized basic military training instructions who, as a result
thereof, were issued orders as enlisted reservists or reserve officers;

3) Ex-servicemen and retired officers of the AFP who have been incorporated
into the Reserve Force of the AFP; and

4) Reservist officers and enlisted reservists including those procured under
existing laws and included in the present AFP roster.

There shall be three (3) categories of citizen soldiers or AFP reservists based on
age: The First Category Reserve, the Second Category Reserve, and the Third
Category Reserve, as defined under Republic Act No. 7077, otherwise known as
the “Citizen Armed Force or Armed Forces of the Philippines Reservist Act.”

Based on the categorization above, the Reserve Force units shall further be
Classified into the Ready Reserve, the Standby Reserve, and the Retired


q)

e)

9)

h)

Reserve based on their operational readiness for immediate
deployment/utilization, and as defined under Republic Act No. 7077.

Employment refers to the act of hiring and continued engagement and the
reinstatement or reintegration of an employee called to military service to his/her
former position, or if not practicable, to a substantially equivalent position, without
loss of seniority rights and diminution of pay;

Military Service refers to any service rendered by a citizen soldier or reservist
to the State upon orders of the AFP or call to active duty (CAD) to meet active
duty training (ADT) requirements, or for any purpose that the AFP leadership
May deem necessary in order to augment and support the Regular Force
operations in times of war, national emergency or such other times as the
national security requires;

Mobilization refers to the utilization of the Reserve Force of the AFP in times of
emergency to meet threats to national security;

Reintegration refers to the actual resumption of work of an employee after
his/her military service to his/her former position, or if not practicable, to a
substantially equivalent position, without loss of seniority rights and diminution of
Pay,

Reserve Force refers to those composing of members of the reserve
components of the AFP.

CHAPTER 2
NON-DISCRIMINATION OF RESERVISTS

SECTION 5. Anti-Reservists Discrimination. —

a)

It shall be unlawful for an employer, or those acting in the interest of the employer
to:

1) _ Discriminate against an individual in terms of hiring, promotion, opportunity
for training, or compensation, terms and conditions, or privileges of
employment on account of such individual's membership, application for
membership, performance of military service or application for military
service or obligation with the Reserve Force of the AFP;

2) Print or publish, or cause to be printed or published, in any form of media,
including the internet, any notice of advertisement relating to employment
suggesting preferences, limitations, specifications, and discrimination
based on membership, application for membership, performance of military
service, application for military service or obligation with the Reserve Force
of the AFP;

3) Require the declaration of application for membership, or status of
membership in the Reserve Force of the AFP; or


b)

1)

qd)

4) — Lay-off or impose early retirement on the basis of such employee's or
worker's membership, application for membership, performance of military
service, application for military service or obligation with the Reserve Force
of the AFP.

It shall be unlawful for a private recruitment agency to refuse to refer for
employment or otherwise discriminate against any individual because of such
person’s membership, application for membership, performance of military

service, application for military service or obligation with the Reserve Force of
the AFP.

It shall be unlawful for any organization to cause or attempt to cause an employer
to discriminate against an individual in violation of this Act, and to deny or exclude
from its membership to any individual because of such person's membership,
application for membership, performance of military service, application for
military service or obligation with the Reserve Force of the AFP:

It shall be unlawful for a publisher to print or publish any notice of advertisement
relating to employment suggesting preferences, limitations, specifications, and
discrimination based on a person’s membership, application for membership,
performance of military service, application for military service or obligation with
the Reserve Force of the AFP.

CHAPTER 3
EMPLOYMENT RIGHTS

SECTION 6. Employment Rights of Citizen Soldiers/Reservists. — Reservists who
are called to perform military service shall have the following rights:

a)

b)

c)

dq)

Reservists are entitled to their original position, or if not practicable, to a
substantially equivalent position, without loss of seniority rights and diminution of
pay and benefits;

Military service shall not be considered a break in the employment for retirement
purposes or for granting benefits provided for under the Labor Code and other
‘special laws;

Reservists shall not be required to use or apply any earned or future leave credits
in connection with the performance of military service in the Reserve Force; and

Reservists who suffer any temporary or permanent disability due to military
service shall not be denied reinstatement, if such reservist-employee is willing
and able to perform the essential functions of his/her original employment,
whether with or without reasonable accommodations.

SECTION 7. Hiring of Substitute Employee. - Subject to the provisions of the Labor
Code of the Philippines, as amended, an employer may hire a temporary employee
during the period of the military service of the reservist employee called to render
military service.


SECTION 8. Duty of an Employer to Reintegrate a Reservist and Conditions for
Reintegration. — It shall be the duty of the employer to immediately reintegrate a
reservist returning from military service to his/her former position, or if not practicable,
to a substantially equivalent position, without loss of seniority rights and diminution of
benefits, immediately after he/she is officially discharged from military service;
Provided, That the following conditions shall be complied with:

a) The reservist has rendered or performed military service as a member of the
Reserve Force of the AFP;

b) The employer has been given a written notice by the AFP or the reservist at least
fifteen (15) days prior to departing for military service unless precluded by military
necessity, or under all of the relevant circumstances, the timely provision of
notice is otherwise impossible or unreasonable. The written notice shall, as far
as practicable, indicate the duration of military service and other relevant
information; and

c) The reservist has notified the employer of his/her intent to return to work in
accordance with Section 9 hereof.

For this purpose, the AFP shall issue and provide the pertinent notices and documents
to reservists and their employers in a timely manner to facilitate the reintegration of
the reservists to their employment.

SECTION 9. Pi to Notify of Intent to Return. — Reservists shall notify their

employers of their intent to return to work, subject to the following circumstances and
conditions:

a) In the case of reservists called to military service for a definite period and such
period is clearly indicated in the call for active duty training or such other notice
issued by the AFP, the employer shall be deemed notified of the intent to return
when furnished a copy of the pertinent notice from the AFP prior to the absence
of the reservist for military service;

b)

In the case of reservists called to military service for an indefinite period, and there
is no clear indication of the period of service in the notice or call issued by the
AFP, the employer shall be deemed notified of the intent to return when furnished
a copy of the pertinent notice from the AFP indicating the impending discharge of
reservists at least fifteen (15) days prior to the end of the military service; Provided,
That the reservists shall not be deemed ineligible when circumstances do not
permit the timely prior notification of absence due to military service and/or intent
to return of a reservist in compliance with this provision; Provided further, That
reservists who suffer from illness or injury incurred in, or aggravated during, the
performance of military service shall be allowed to indicate their desire to return to
their former position within a reasonable time as prescribed by a military doctor;
Provided finally, That the AFP shall ensure that its policies and administrative
processes, whenever practicable, allow for at least fifteen (15) days prior
notification to employers regarding the absence of reservists for military service
and their capacity and intent to return to their employment.


SECTION 10. Compensation for Non-Reintegration of Reservists. — In the event
that the reintegration of the reservist is impossible due to authorized causes, the
reservist shall be entitled to separation pay in accordance with law.

SECTION 11. Compensation of Reservists for Military Service. — For the duration
of their military service, reservists shall be entitled to the base pay commensurate to
their rank and consistent with their counterpart in the regular force, including the
payment of premium contributions to the Government Service Insurance System
(GSIS), Philippine Health Insurance Corporation (PhilHealth) and Philippine Home
Development Corporation (PAGIBIG).

As far as practicable and except as provided herein, all pertinent social security
contributions of the reservists shall not reflect any gap in contributions.

Reservists shall have the option to pay their Social Security System (SSS)
contributions as a voluntary paying SSS member to avoid any gap in their contribution
records and afford their full entitlement to SSS benefits in accordance with existing
guidelines. For this purpose, the AFP shall establish the necessary administrative
processes to assist reservists in the timely remittance of pertinent social security
contributions.

SECTION 12. Multi-stakeholder Engagements and Advocacies. - The AFP, in
coordination with the Department of National Defense (DND), Department of Labor
and Employment (DOLE) and other relevant agencies and stakeholders, shall

undertake an information and awareness campaign on the employment rights of
reservists.

SECTION 13. Administrative Fines and Penalties. - An employer who violates the
provisions of this Act shall be liable for a fine ranging from Fifty Thousand Pesos
(PhpS0,000.00) to Five Hundred Thousand Pesos (Php500,000.00), or imprisonment
ranging from three (3) months to two (2) years, or both, at the discretion of the court.
If the offense is committed by a corporation, trust, firm, partnership or association or
other entity, the penalty of imprisonment shall be imposed upon the responsible officer
or officers of such corporation, trust, firm, partnership or association or entity.

SECTION 14. Military Duty Leave. — A reservist shall be entitled to an annual military
duty leave of seven (7) days with pay for the exclusive purpose of undergoing military
training or joining military activities. For this purpose, the SSS and the GSIS shall
promulgate the necessary rules for the availment of this benefit.

CHAPTER 4
FINAL PROVISIONS

SECTION 15. Appropriations. - The amount necessary for the immediate and
effective implementation of this Act shall be charged against the funds of the DND and
the AFP. Thereafter, such sums as may be necessary for the implementation of this
Act shall be included in the annual General Appropriations Act.


SECTION 16. Implementing Rules and Regulations. - Within sixty (60) days from
the effectivity of this Act, the AFP, DND, DOLE, CSC, and other appropriate
government agencies, in consultation with relevant stakeholders, shall promulgate the
ules and regulations for the effective implementation of this Act.

SECTION 17. Separability Clause. - Should any provision herein be declared
unconstitutional or invalid, the same shall not affect the validity of the other provisions
of this Act.

SECTION 18. Repealing Clause. — Section 32 of Republic Act No.7077 and Items (f)
and (g) of Presidential Decree No.183 Series of 1973 (or “Providing For The Annual
Registration Of Reservists Of The Armed Forces Of The Philippines; Granting Security
Of Tenure To Reservists Employed In Private Firms While Undergoing Refresher
Training, Mobilization Or Assembly Tests Or Annual Active Duty Training In Fulfilment
Of Their Military Obligations; And For Other Purposes”) are hereby repealed

All other laws, decrees, orders, rules, and regulations or other issuances or parts
inconsistent with the provisions of this Act are hereby repealed or modified
accordingly.

SECTION 19. Effectivity Clause. - This Act shall take effect fifteen (15) days after its
Publication in the Official Gazette or in two (2) newspapers of general circulation.

Approved,

10