Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

20th CONGRESS
First Regular Session

3738

HOUSE BILL NO.

Introduced by REP. JUAN CARLOS “ARJO” C. ATAYDE

AN ACT
ESTABLISHING THE RIGHTS AND WELFARE OF PLATFORM WORKERS,
ENSURING FAIR COMPENSATION, SOCIAL PROTECTION, AND
MECHANISMS FOR ACCOUNTABILITY AND COLLECTIVE REPRESENTATION,
AND FOR OTHER PURPOSES

EXPLANATORY NOTE

As the Pulitzer Center aptly put it in its 2025 report: “ Algorithmic work, in its current
form, risks creating a modern-day labor underclass unless it is balanced with meaningful
safeguards and legal rights.”

In recent years, the Philippine labor force has seen a sharp rise in the number of
individuals engaged in platform-based work—riders, couriers, drivers, and digital
freelancers who deliver services through mobile applications such as Grab, Foodpanda,
‘Angkas, and Lalamove. This evolving work landscape has contributed to convenience,
mobility, and income generation, especially amid the COVID-19 pandemic. Yet, it has
also surfaced significant legal and labor gaps, exposing a growing class of workers to

systemic vulnerabilities.

At present, these workers are largely classified as “independent contractors” or
“partners,” rather than as regular employees. While this classification may provide

platforms with operational flexibility, it often deprives the workers of even the most basic


labor protections minimum wage guarantees, access to health benefits, job security, and
the right to organize. As found by Fairwork Philippines in its 2023 report, “no major
platform operating in the country met all five principles of fair work,” and most riders “ended
up earning below the statutory minimum wage once expenses were factored in" (Fairwork
Ratings 2023).

‘The lack of clear legal recognition has allowed some platforms to implement
unilateral algorithmic decisions—deactivating accounts, reducing per-task rates, or
redistributing bookings—without recourse for the worker. In several cases documented
by the Business & Human Rights Resource Centre and GMA News, delivery riders were
suspended or permanently deactivated for joining protest actions or voicing concerns
about pay cuts. These incidents raise alarming questions about freedom of association

and due process.

In response to these recurring abuses, the Philippine Institute for Development
Studies has underscored the importance of crafting a “rights-based policy approach” for
gig economy workers. Similarly, organized labor groups such as RIDERS-SENTRO have
successfully registered as a legitimate union and pushed for sectoral recognition—an

important milestone that calls for institutional reinforcement through legislation.

This bill seeks to close these gaps and to establish a legal framework that
acknowledges the realities of platform-based labor while protecting the dignity, security,
and rights of the individuals engaged in it. It does not seek to prohibit digital work nor
limit innovation. Rather, it ensures that innovation does not come at the cost of fairness

and human dignity.

In view of the foregoing, the immediate passage of this bill is earnestly sought.

REP. JUAN C: OS “ARJO” C. ATAYDE


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

20th CONGRESS
First Regular Session

House Bit No, 3736.

Introduced by REP. JUAN CARLOS “ARJO” C. ATAYDE

AN ACT
ESTABLISHING THE RIGHTS AND WELFARE OF PLATFORM WORKERS,
ENSURING FAIR COMPENSATION, SOCIAL PROTECTION, AND
MECHANISMS FOR ACCOUNTABILITY AND COLLECTIVE REPRESENTATION,
AND FOR OTHER PURPOSES

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

assembled:

SECTION 1. Short Title. - This Act shall be known as the “Platform Workers
Rights and Protection Act.”

SEC. 2. Declaration of Policy. - The State recognizes the right of every worker to
decent work, fair compensation, and adequate social protection, regardless of the mode
or form of employment. As the labor market evolves with technological advancements,
the government acknowledges the rise of the platform economy and commits to ensuring
that no worker is left unprotected. This Act seeks to provide a regulatory framework that
guarantees minimum labor rights and welfare benefits for individuals performing work
mediated through digital platforms, while also supporting innovation and economic

flexibility.


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SEC. 3. Definition of Terms. - For purposes of this Act, the following terms shall

mean:

a. Platform Worker refers to any individual who performs labor or services through a
digital platform, regardless of employment status, including but not limited to
delivery personnel, ride-hailing drivers, online freelance workers, virtual

assistants, and creative service providers.

b. Digital Platform refers to any internet-based application or website that mediates
and facilitates the matching of demand for and supply of labor or services between

a client or consumer and a platform worker.

c. Algorithmic Management refers to the use of computer algorithms and data
analytics to assign tasks, set pricing, evaluate performance, and make

employment-related decisions for platform workers.

SEC. 4. Coverage, - This Act shall apply to any person performing remunerated
services through digital platforms operating in the Philippines, regardless of

employment status or classification.

SEC. 5. Presumption of Employment Relationship. - In cases of dispute, the
existence of an employment relationship shall be presumed if the platform exercises
control over essential aspects of the work such as pricing, scheduling, customer
assignment, or performance evaluation. Platforms may rebut this presumption by
proving that the worker is genuinely independent under criteria to be established by the
Department of Labor and Employment (DOLE).

SEC. 6. Rights and Entitlements of Platform Workers. - All platform workers shall
be entitled to the following rights and benefits:

a. Fair and Transparent Compensation - Platform workers shall be entitled to

compensation not less than the prevailing regional minimum wage per hour, pro-


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rated accordingly for piece-rate or per-task arrangements, exclusive of tips or
gratuities voluntarily given by clients. All deductions, fees, commissions, or
charges applicable to the transaction shall be fully disclosed by the platform prior

to the worker’s acceptance of the assignment.

. Social Protection and Welfare Benefits - Platform-based digital labor shall not be

excluded from coverage under mandatory social protection programs.
Accordingly, platforms shall enroll their dependent contractors in the Social
Security System (SSS), Philippine Health Insurance Corporation (PhilHealth), and
the Home Development Mutual Fund (Pag-IBIG), with the contribution
responsibilities shared proportionately between the platform and the worker, as
may be prescribed by regulation. Furthermore, platforms shall secure mandatory
accidental death and medical insurance coverage for all active workers during the

performance of their duties.

Right to Information and Algorithmic Transparency ~ Platform workers shall be fully

informed of their legal rights, modes of remuneration, rating systems, grounds for
deactivation or suspension, and any algorithmic or operational changes that may
materially affect their terms of engagement or income potential. All terms of
service shall be drafted in clear and plain language, and made readily accessible

through mobile and electronic devices.

. Right to Safe and Healthy Working Conditions - Platforms shall ensure that workers

are provided with the necessary personal protective equipment, weather-
appropriate clothing, and safety tools commensurate to the nature of the work
performed. In transportation-related services, platforms shall provide adequate
training on road safety, accident protocols, and proper health hygiene standards,

and ensure that assistance is available in case of emergencies.

Right to Organize and Collective Bargaining - Platform workers shall have the right

to organize themselves, join labor organizations, cooperatives, or workers’


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associations, and engage in collective bargaining or mutual aid activities. The
exercise of this right shall not be a basis for retaliation, reduction of task

assignments, or algorithmic demotion.

£ Protection Against Unjust Deactivation - No platform worker shall be suspended,
penalized, de-prioritized, or permanently deactivated without observance of due
process. This includes the right to prior notice, written explanation of the grounds
for such action, and an opportunity to be heard and to appeal the decision before
an impartial body or mechanism instituted by the platform.

g Protection from Fraud and Abuse - Platform workers shall be protected against
fraud, abuse, and deceptive practices committed by users or platform clients.
Where a worker incurs out-of-pocket expenses in the performance of a task—such
as advance payment for goods, services, or transportation—only for the booking
to be discovered as fraudulent, the platform shall bear the responsibility of
refunding or reimbursing the affected worker within a reasonable period. The
reimbursement process shall be simple, accessible, and not require burdensome
documentation. Platforms shall likewise establish a swift grievance redress

mechanism specifically dedicated to incidents involving fraudulent transactions.

h. Non-Discrimination - All platform workers shall be treated equally and without
discrimination based on gender, age, disability, ethnicity, religion, sexual
orientation, political affiliation, or membership in any legitimate workers’
organization. The principle of equal opportunity and fair treatment shall be
upheld in all aspects of engagement, including access to task assignments, client

ratings, and dispute resolution.

SEC. 7. Obligations of Digital Platforms. - All digital platforms operating in the

Philippines shall:

a. Register with the DOLE and obtain accreditation to legally operate;


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b. Submit periodic reports on worker statistics, average compensation, hours
worked, and accident incidence;

¢. Adopt the Model Platform Worker Contract issued by DOLE and comply with
all required terms; and

d. Ensure secure data protection policies in handling personal and financial

information of workers.

SEC. 8. Model Platform Worker Contract. - Within 90 days of the effectivity of
this Act, DOLE shall, in consultation with relevant stakeholders including platform
companies and labor organizations, issue a Model Contract that contains minimum
standards for: (1) Compensation and payment periods; (2) Scope of work and conditions;
(3) Termination and grievance procedure; (4) Social protection inclusion; (5) Dispute
resolution mechanisms; (6) All other rights and conditions specifically covered under this
Act. This Model Contract shall be presumed to apply in the absence of any written
agreement, or where the terms offered fall below the standards prescribed.

SEC. 9. Dispute Resolution and Legal Remedies. - DOLE shall establish a
dedicated Platform Labor Dispute Unit to handle complaints, mediate conflicts, and
enforce worker protections. Platform workers may also avail of free legal aid through the
Public Attorney's Office (PAO) for matters arising from violations of this Act.

SEC. 10. Penalties. - Any platform found to have willfully violated the
provisions of this Act shall be subject to:
a. Administrative fines ranging from P100,000 to P1,000,000 per offense, or
b. Suspension of accreditation for repeated or grave violations, and
c. Civil liability for unpaid wages, denied benefits, or harm caused by negligence.

SEC. 11. Inter-Agency Coordination. - An Inter-Agency Council on Platform
Labor shall be created, composed of DOLE, DICT, NEDA, DTI, and key stakeholders, to


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monitor developments in the digital labor market, propose updates to this Act, and

ensure consistent enforcement.

SEC. 12. Implementing Rules and Regulations. - Within ninety (90) days from
the effectivity of this Act, the DOLE shall promulgate the necessary implementing rules
and regulations, in consultation with the private sector, civil society, platform

companies, and worker associations.

SEC. 14. Appropriations. - The amount necessary to carry out the provisions of
this Act shall be included in the annual General Appropriations Act.

SEC. 15. Separability Clause. - If any part or provision of this Act is declared
unconstitutional or invalid, the remainder thereof shall not be affected and shall remain
in full force and effect.

SEC.16. Repealing Clause. - All laws, executive orders, rules, or regulations
inconsistent with this Act are hereby repealed, amended, or modified accordingly.

SEC. 17. Effectivity Clause. - This law shall take effect after fifteen days from its

publication in two newspapers of general circulation.

Approved,