FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES =)
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Honorable Rufus B. Rodriguez and
Honorable Maximo B. Rodriguez, Jr.

House Bill No. 2796

EXPLANATORY NOTE

International labor mobility is increasing, as a matter of policy and a
matter of fact. Today, the number of Overseas Filipino workers has increased
almost 25-fold over the past 20 years, with nearly 1.2 million registered
deployments to over 190 countries in 2006 alone. Although government policy
initially focused on exporting professionals, OFW occupations abroad have
diversified over time to include factory workers, construction workers, and
service workers, such as care givers and domestic helpers.

In 2006, a total of 91,411 domestic helpers and other household workers
were deployed overseas. Of this number, 98 percent or nearly 90,000 are
female. Most of them were deployed to the following areas: Hong Kong
(19,532), Kuwait (19,097), Saudi Arabia (11,898), United Arab Emirates
(11,844), Lebanon (7,710), Qatar (6,524), Jordan (4,359), Singapore (3,162),
Oman (2,068), Cyprus (1,178) and Bahrain (1,343). In 2007, the Philippines
deployed a total of 49,431 workers to Singapore, part of the 1.08 million
Filipinos who went overseas for work that year.

‘There are numerous reports of maltreatment and exploitation suffered by
our OFWs. Hence, there is a need to protect and ensure the welfare of our
migrant workers. This bill seeks to provide compulsory welfare insurance for
our overseas contract workers.

In view thereof, immediate approval of this Bill is sought

RUFUS B. IGUEZ

Wd

MAXIMO B. RODRIGUEZ, JR.


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

introduced by Honorable Rufus B. Rodriguez and
Honorable Maximo B. Rodriguez, Jr.

2796

House Bill No.

AN ACT
PROVIDING COMPULSORY WELFARE INSURANCE PROGRAM FOR ALL
OVERSEAS CONTRACT WORKERS

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

SECTION 1. Title. — This Act shall be known as the “Overseas Contract
Workers Insurance Act’.

SEC. 2. Declaration of Policy. — It is hereby declared a policy of the State to
ensure the welfare of our overseas contract workers by providing insurance
program without cost on their part.

SEC. 3. Benefits under the Insurance Program. — All overseas contract
workers shall be covered by a welfare insurance program in addition to benefits
being provided by Overseas Workers Welfare Administration. They shall be
entitled to the following benefits:

a.) Accidental Death Benefit of up to US$15,000;

b.) Survivor's Benefit, in case of Natural Death, of up to S$10,000;

c.) Permanent Total Disablement of up to US$7,500;

.) Repatriation of Bodily Remains, including burial, of up to
US$15,000;

e) Repatriation due to Emergency Evacuation and legitimate causes of
up to US$1,000;

£.) Subsistence Allowance of US$100 per month for six months totaling
US$600; and

g) Legitimate Monetary Claims for Unpaid/Rightful and Just Wages of
up to US$4,500.

SEC. 4, Insurance Premium. — All recruitment agencies shall pay a premium
of US$ 3.00 per month to Overseas Workers Welfare Administration for the
insurance coverage of overseas contract workers.


SEC. 5. Penalty. — In case of failure to pay the premium on time, the
recruitment agency shall be liable to pay interest at the rate of 12% per annum.
Refusal to pay premium for at least three consecutive months shall be a ground
for the suspension or revocation of the recruitment agency's license.

SEC. 6. Implementing Rules and Regulations. - The Department of Labor
and Employment shall promulgate the rules and regulations for the effective
enforcement of the provisions of this Act.

SEC. 7. Separability Clause. — Should any provision of this Act or any part
thereof be declared invalid, the other provisions, so far as they are separable
from the invalid ones, shall remain in full force and effect.

SEC. 8. Repealing Clause. — All laws, orders, issuances, rules and regulations
or parts thereof inconsistent with this Act are hereby repealed or modified
accordingly.

SEC. 9. Effectivity. —This Act shall take effect fifteen (15) days after its
complete publication in at least two (2) newspapers of general circulation.

Approved,