HOUSE-OF REPRESENTATIVES

RECEIVED

Republic of the Philippines DaATE:_117 Ju
HOUSE OF REPRESENTATIVES. Tw ry
Quezon City, Metro Manila °

BY:
SEVENTEENTH CONGRESS REEISTRATION UNIT
First Regular Session BILLS AND iNDEX SERVICE
1351

HOUSE BILL NO.

EXPLANATORY NOTE

To address the issue on blurring of employer-employee relationship and issues
on circumvention of the law on security of tenure to numerous employment engagement
such as probationary, project, fixed term, casual, seasonal, temporary, extra, among
others, and resort to 5-5-5 work arrangements, this bill is being proposed to secure
compliance with Constitutional and statutory guarantee on the right to security of tenure.

The bill proposes the following: 1) reiterating the right to security of tenure to the
effect that all employees shall not be dismissed without cause and due process; 2)
defining the criteria for the existence of employer-employee relationship; 3) classifying
all employees as regular except those under probationary employment, or those under
industry-specific work arrangement as may be determined by the Secretary of Labor
and Employment through tripartite consultation; and 4) providing for probationary
employment which shall not exceed six months.

The bill provides that repeated engagement of the same employee after the
expiration of probationary employment or contract of employment in industry-specific

work arrangement would render the employment regular.

Thus, the passage of this bill is earnestly sought

KARLO ALEXEI B. NOGRALES JERICI B. NOGRALES


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 135

xei B. Nograles and Hon. Jericho Jonas B. Nograles

An Act Defining and Classifying Employment Relationship Amending for this
Purpose Articles 279, 280 and 281 of Presidential Degree No. 442, Otherwise
known as the Labor Code of the Philippines, as amended

SECTION 1. Article 279 of the Labor Code, as amended, is hereby amended to read as
follows:

“ARTICLE 279 [293]. SECURITY OF TENURE. — ALL EMPLOYEES
IRRESPECTIVE OF EMPLOYMENT STATUS OR POSITION SHALL NOT BE
DISMISSED WITHOUT CAUSE AND DUE PROCESS.

AN ILLEGALLY DISMISSED EMPLOYEE WHO IS DISMISSED WITHOUT
CAUSE AND DUE PROCESS SHALL BE ENTITLED TO REINSTATEMENT
WITHOUT LOSS OF SENIORITY RIGHTS AND BENEFITS, AND FULL
BACKWAGES, ALLOWANCES, COMMISSION INCLUDING SSS,
PHILHEALTH, PAG-IBIG AND ALL OTHER BENEFITS AND
REMUNERATIONS PROVIDED BY LAW, COMPANY POLICY AND
COLLECTIVE BARGAINING AGREEMENT, COMPUTED FROM THE TIME
COMPENSATION WAS WITHHELD UP TO THE TIME OF ACTUAL
REINSTATEMENT.

THE EMPLOYER SHALL HAVE THE BURDEN OF PROVING THAT THE
TERMINATION IS WITH CAUSE AND DUE PROCESS.”

SECTION 2. Article 280 [294] of the Labor Code, as amended, is hereby amended to
read as follows:

ARTICLE 280 [294]. EMPLOYER-EMPLOYEE RELATIONSHIP. - THERE
EXISTS AN EMPLOYER-EMPLOYEE RELATIONSHIP WHEN THE WORKER
IS ENGAGED TO RENDER WORK OR SERVICE UNDER THE CONTROL OR
SUPERVISION OF THE EMPLOYER, NOT ONLY AS TO THE END TO BE
ACHIEVED, BUT ALSO THE MANNER AND MEANS IN REACHING THE END.


dO €82 ONV 282 SFTOILYV YSGNN SSNVO GAZINOHLNV GNV LSNr YOs
G3LVNINYSL 38 AVW SSAO1dWS AYVNOILYEOUd V SO SSOIANAS SHL

LNAWS9VONS
UYBHISIH JO SWIL SH1 LW SSAO 1d WS SHI OL YSAO1dW3 SHL AS NMONM
3QVW ONV LOVHLNOS N3LLINM ¥ Ni 38 TIVWHS LNSWAOTdW3 YV1NOAY
YyO4 ASITVND OL SCGYHVGNVLS NOILLVOISMVND GNV NOlidldOS3a
gor SHL ‘SNOILVINDAY YO SMV1 AB LSS SGYVGNVLS WNWINIW
HL NVHL Y4MO1 38 LON TIVHS HOIHM 33AO1dW3 AYWNOILLWEONd
dO LNAWAOTIdWS 4O SNOILIGNOD GNY SWYSL ‘SLHOIN 3HL

aawyosuad
3@ OL MYOM JO 3YNLVN SHL JO SSIIGHVOSH SOINNSS JO Ava
ASUI4 HL WOYS SHLNOW (9) XIS G33OX4 LON TVHS LNSWAOTdNS
AMWNOLLWEOUd ~LNSWAOTMWS AYVNOLLVEOUd ‘{S6z} 18z STOLLYY

smolioy
se peal 0} papuawe Aqasay si ‘pepuawe Se ‘apog s0qe7 au Jo 18z AISI “b NOLLOS.

YVINOAY INAWAOTdW3A
3HL Y30N3Y GINOM LNAWSONVYEYY YMYOM dIsIOSdS-ANLSNGNI
NI LNAWAO1dW3 4O LOWHLNOD YO LNSWAOTdWA AYWNOILVEOUd SHL
dO NOILVWeldxX3S SHL YSLsV ASAOIdWA SWYS JHL 4O LNSWS9VONS

SNOILVINOSY YO SMV1 AG
13S SGYVGNVLS WOWINIW 3HL NVHL Y3MO1 LON LNSWAO1dW3a
AO SNOILIGNOD GNV SWY31 ‘SLHOIN SHL ONIASIOSdS VSIA
3NO NVHL SHOW LON LNG SHLNOW XIS NVHL SS31 38 LON LSNW
HOIHM LNSWAOTdWS 4O LOVYLNOS NSLLIYM 38 TIVHS SYSHL
AWVHL G30IAO¥d WAOUddY ALILYVdINL HONOYHL LNSWAOTdW3
GNV YOSV1 4O AYVISHNOSS SHL AG GANINYSLSG 3a AV
SV LNAWSONVYYY AYOM O1sIOAdS-ANLSNGNI YSIGNN SSOHL Z

YO ‘LOW
SIHL 40 182 STOILYV NI GANIS30 SV GNV SHLNOW (9) XIS GA30X3
LON TIVHS HOIHM LNSWAOTdWS AYWNOILYGOYd Y3SGNN SSOHL ‘F

‘1da0Xa YVINDAY GSW3as0
3YV SS3A01dW3S TV - “LNAWAOTdW3 40 SNLVLS ‘V-08Z JTOILYV

:smo|jo} Se peal
0} papuawe Aqaiay SI ‘papuatue se ‘apod s0ge7 eu) 40 [p6zZ] O8z BIN “€ NOLLOAS

dIHSNOILV13Y 33A01dW3-YSAO 1d AO AONALSIXA
AHL SALVOIGNI OSTV YAMYOM SHL OL NOLLVYANNWSY JO LNSWAVd


THE LABOR CODE, AS AMENDED, OR WHEN HE/SHE FAILS TO QUALIFY
AS A REGULAR EMPLOYEE.

THE PROBATIONARY EMPLOYEE SHALL AUTOMATICALLY BECOME A
REGULAR EMPLOYEE AFTER MEETING THE STANDARDS STIPULATED IN
THE WRITTEN CONTRACT OF PROBATIONARY EMPLOYMENT,

SECTION 5. Rules and Regulations. - The Secretary of Labor and Employment shall
promulgate the necessary implementing rules and regulations within one hundred
and twenty (120) days from. the effectivity of this Act

SECTION 6. Repealing Clause. - All laws, decrees, rules, and regulations or parts
thereof, which are contrary to or inconsistent with this Act are hereby repealed or
modified accordingly.

SECTION 7. Separability Provisions. If any provision of this law or the application
thereof to any person or circumstance, is held invalid, the remainder of this law, or the
application of such provision or part to other persons of circumstances, shall not be
affected thereby.

SECTION 8. Effectivity. This Act shall take effect fifteen (15) days after its publication
in the Official Gazette or in at least two (2) newspapers of general circulation

Approved,