Oat OF

REPRESENTATIVES
RECEIVED

Republic of the Philippines
HOUSE OF REPRESENTATIVES ;

Quezon City j 4
SEVENTEENTH CONGRESS RECISTRATION Unit
First Regular Session BILLS AND INDEX SERVICE
HOUSE BILL NO‘SES :

introduced by Rep. Winston “Winnie” T. Castelo

EXPLANATORY NOTE

itis the right of every empioyee, regular or contractual, in any public agency or private company
to receive the salary duly considered as the minimum wage as well as receive the benefits and
privileges accorded to him or her by law.

The changing landscape of private companies drifting into the practice of contractuaiization and
any form of flexible labor arrangement has raised grave and serious concerns necessitating
effective State action as would ban or avert this practice from becoming the new normal in the
employment world. It is as if human labor is cheapened and marketed as a commodity akin to
machines thus rendering our country’s human capital in a grossly sad state of affairs. This sad
practice has already held long sway and as if no government agency was quite in control which
should not be the case.

The brakes must now be applied to the whole idea of circumventing a law in order to withhold
benefits, privileges, and other emoluments otherwise accruing to bonafide and eiigibie
‘employees of many private companies involved in this scheme of contractualization which is in
principle a form of underemployment. it shail not be within the right of private companies or
‘employers to decide on a 6-month employment or any predetermined period of labor time or
work much less to enjoy the discretion to remove non-regulars without valid ground.

are existing data to show how the country's workforce has been violated in terms of their
rights, benefits, and privileges. Furthermore, in the process, the State failed to insure their
protection, the security of tenure, and importance of union for purposes of collective bargaining
agreements between the management and the concemed workers or empl

it is high time to ban contractuaiization and any form of fiexibie labor arrangé!
workers and employees in private companies. It is the intent of the bill to veer toward the
regularization of employees with the end in view of making this practice

the labor industry across ail levels of private enterprise, business, and aqtivity.



Republic of the Philippines
HOUSE OF REPRESENTATIVES

Quezon City
SEVENTEENTH CONGRESS
First Regular Session
House sit noD63
introduced by
AN ACT

EFFECTIVELY AUTHORIZING THE DEPARTMENT OF LABOR AND EMPLOYMENT TO BAN AND
AVERT THE PRACTICE OF PRIVATE COMPANIES OF CONTRACTUALIZATION OF EMPLOYMENT
AND ANY FORM OF FLEXIBILIZATION OF LABOR THEREBY ASSISTING SAID COMPANIES
TOWARD A SHIFT TO REGULARIZATION OF EMPLOYMENT AND SECURITY OF TENURE FOR
CONTRACTUAL WORKERS, LABORERS, AND EMPLOYEES

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

SECTION 1. This Act shall be known as the ‘Contractual Workers Welfare Act of 2016

SEC. 2. As a matter of declared policy, the State shail afford full protection to labor and
promote full employment opportunities for all. Further, it shall guarantee the rights of all workers
to self-organization, collective bargaining and negotiation, and peaceful concerted activities
including the right to strike in accordance with law. Not least, they shall be entitled to security of
tenure, humane conditions of work and a living wage and shail participate in decision-making
processes affecting their rights and benefits as maybe provided by law.

SEC. 3. The Department of Labor and Employment under this Act shall be effectively
authorized to ban and avert the practice of private companies of contractualization of
‘employment and any other form of flexibilization of labor toward a shift to regularization of
‘employment and security of tenure for contractual workers, laborers, and employees.

SEC. 4 Any violation of this Act shall authorize the Department of Labor and
Employment to impose fines, penalties, and sanctions as it may best determine striking a
balance between the welfare and rights of marginalized contractual workers and employees and
the financial viahility of concerned private companies or employers.

SEC. 5. This Act shall take effect thirty (30) days upon its approval and publication in
the Official Gazette and in at least three (3) newspapers of general circulation,

Approved,