NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
SENATE
s. No. 1083
feenalr
of tin? gjpcrctnrp
•22 AUG-8 PI 30
RECEfvtD B1!
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
REFORMING THE NATIONAL APPRENTICESHIP PROGRAM AND 
PROVIDING STANDARDS FOR THE TRAINING AND EMPLOYMENT OF 
APPRENTICES, AND REGULATORY STANDARDS FOR ACCREDITATION OF 
APPRENTICESHIP PROGRAMS
EXPLANATORY NOTE
Youth unemployment has been one of the major concerns of the government. 
According to the data from Philippine Statistics Authority (PSA) contained in the 
February 2022 Labor Force Study, "Youth employment rate was reported at 85.7 
percent. This is higher than the reported employment rate in February 2021 
(81.5%) but lower than the recorded employment rate in January 2022 (86.2%). 
Employed youth in February 2022 worked on an average of 38.0 hours per week, 
higher than the average 37.2 hours a week reported in the same month of 2021."
Due to inadequate employment opportunities in the formal economy, limited 
labor market information and inadequate academic preparation, the mismatch 
between jobs and skills compounds the problem of high unemployment level among 
the youth and educated.
The government recognizes the importance of the apprenticeship programs in 
providing the youth with skills and access to employment. On the other hand, 
industry associations see the apprenticeship program as a mechanism that would
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ensure a continuous supply of skilled workers. '^rhe number of enterprises 
participating in the program and the number of enrolled apprentices, however, 
remains to be relatively small and has been increasing at a very slow pace.
There is thus a need to institute further reforms and conduct massive 
advocacy on the apprenticeship program to make them more attractive to both the 
enterprises and the prospective apprentices, in a fervent bid to promote skills 
acquisition and youth employment. Hence, passage of this important measure as a 
special law is earnestly sought.
JINGGOY OERCITO ESTRADA


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
Senate Bill No. 8 S
\Vv*’v>'/7
oC til? ^raetan^
■22 AUG-8 PI :30
RECEIVED BY.
Introduced by Senator Jinggoy Ejercito Estrada
AN ACT
REFORMING THE NATIONAL APPRENTICESHIP PROGRAM AND 
PROVIDING STANDARDS FOR THE TRAINING AND EMPLOYMENT OF 
APPRENTICES, AND REGULATORY STANDARDS FOR ACCREDITATION OF 
APPRENTICESHIP PROGRAMS
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
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Section 1. Short Title. - This Act shall be known as the """Apprenticeship
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Training Act of2022'.
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Sec. 2. Declaration of Policy. - It is hereby declared the policy of the state to
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establish a reformed apprenticeship program that will ensure the availability of
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qualified manpower in critical and in-demand skills through the participation of
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employers, workers and government and non-government agencies.
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Sec. 3. Statement of Objectives. - The alms of this Act include:
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a. To help meet the demand of the economy for trained human resource;
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b. To have a national apprenticeship program that includes on and off the-
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job training compone nts with tripartite involve ment;
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c. To promote full employment of youth and young workers through training
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and development;
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d. To enhance existing standards for the training, development and
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employment of apprentices;


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e. To recognize indispensable role of private enterprises in training and 
development;
f. To strengthen advocacy of the apprenticeship training program to 
encourage enterprise and young workers' participation;
g. To increase productivity and competitiveness of enterprises by ensuring 
availability of skilled human resource; and,
h. To harness Corporate Social Responsibility (CSR) towards the development 
of skilled manpower to meet the requirements of the industries.
Sec. 4. Definition of Terms. - For purposes of this Act, the following terms 
shall mean:
Apprenticeship is training within employment with compulsory related 
theoretical instructions involving a contract between an apprentice and 
an employer on an approved apprenticeable occupation;
Apprentice is a person undergoing training for an approved 
apprenticeable occupation during an established period assured by an 
apprenticeship contract;
(c) Apprenticeship Contract \s an agreement wherein a prospective employer 
binds itself to train the apprentice who in turn accepts the terms of 
training for the recognized apprenticeable occupatiGn and emphasizing 
the rights, duties and responsibilities of each party;
{6) Apprenticeable Occupation is an occupation officially endorsed by a 
tripartite body and approved for apprenticeship by TESDA;
{€) Authority refers to the Technical Education and Skills Development 
Authority (TESDA);
(0 Boards\\d\\ refer to the TESDA Board;
(g) Certificate of TVETProgram Registration is a document issued by TESDA 
granting an author:ty to an enterprise to offer a program In an 
apprenticeable occupation;
(h) Competency Assessment is the process of gathering and judging 
evidence in order to decide whether a person has achieved a standard of 
competency or competence;


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(i) Training Plan is the specification for the apprenticesnip program for the 
specific enterprise w'lich describes all the learning experience a student 
undergoes, generally including the competencies to be acquired within 
the program, the underpinning knowledge, theories and principles and 
the assessment arrangement;
0) Competency Standard is a written specificabon of the knowledge, skills, 
attitude and values required for the performance of a job, occupation or 
trade and the corresponding standard of performance required for these 
in the workplace;
{k) Enterprise is a participating establishment that directly engages an 
apprentice based on an approved Apprenticeship Program;
(l) Unit(s) of Competency are units of competency from competency 
standard. Each unit has elements, performance criteria, range of 
variables and evidence guides;
(m) 
Ouster of Competencies are groupings of competencies leading to 
Certificate of Competency; and,
(n) Quaiification is a group of competencies packaged from the supermarket 
of competency. It represents a clear meaningful set-up in the workplace 
and is aligned with the Philippine TVEl Qualifications Framework 
descriptor. Depending on the breadth, depth and scope of competency, a 
qualification may fall under National Certificate Level I, II, III, IV or V.
Sec. 5. Qualifications of an Apprentice. - To qualify as an apprentice, a 
person shall:
a) Be at least fifteen (15) years of age;
b) Possess good moral character, vocational aptitucte and capacity for 
apprenticeship as determined by the enterprise; and
c) Possess the ability to comprehend and follow oral and written instructions.
Trade, industry and labor organizations may recommend to TESDA
appropriate educational requirements for different occupations.
Sec. 6. Aptitude Testing of Applicants. -- Consonant with the minimum 
qualifications of apprentice-applicants required under this Chapter, the bipartite


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plant apprenticeship committees shall have primarily responsibility for providing 
appropriate aptitude examinations in the selection of apprentices.
Sec. 7. Training of Apprentices. - Only enterprises with programs registered 
with TESDA may enter into apprenticeship contracts and train apprentices In 
approved apprenticeable occupations.
Sec. 8. Apprenticeship Training Program Content and Deiivery. - All 
qualifications with Training Regulations (TRs) promulgated by the TESDA Board are 
automatically classified as apprenticeable. To meet the immediate requirements of 
enterprises for skilled workers, the TESDA Board shall approve new apprenticeable 
occupations endorsed by the appropriate Regional Technical Education and Skills 
Development Committee (RTESDC) upon consultatio/i with workers' groups and 
Industry representatives.
The apprenticeship program shall emphasize the need for theoretical 
instruction. The enterprise may seek partnership with a TVET institution in the 
design and delivery of the theoretical instruction.
Sec. 9. Apprenticeship Period. -The apprenticeship period shall be based on 
the duration of training required in the Training Regulation and on the complexity of 
the skills to be learned by the apprentices.
Sec. 10. Apprenticeship Program Registration. - Registration of program can 
be for a qualification, for cluster of competencies or for a bundled qualifications as 
contained in the Training Regulations. A Letter of Application stating the Intention 
and the Certificate of Undertaking and the Training Plan shall be submitted to TESDA 
for approval. A Certificate of TVET Program Registration shall be issued to the 
enterprise to signify authorization for specific qualification or competency clusters.
An apprenticeship program maybe approved on a No-Training Regulations 
basis provided that the applicant enterprise can show proof of the demand for such 
skill.
TESDA shall provide technical assistance to the applying and implementing 
enterprises to be able to comply with the provisions of this section.
Enterprises found offering Apprenticeship programs which are not registered 
with TESDA shall be subjected to program closure proceedings without prejudice to 
the filing of administrative, criminal or civil liabilities.


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Sec. 11. Contents of Apprenticeship Contract. - Apprenticeship contract shall 
conform with the rules issued by TESDA and shall include:
A. The nature, syllabus, timetable and purpose of training;
B. The period of training depending on the approved training regulations;
C. Training allowances prescribed by industry subsectors through 
tripartite consultations which in no case shall start below seventy-five 
percent (75%) of the applicable minimum wage;
D. A schedule of training allowance payment;
E. Training hours;
F. The process for the termination of apprenticeship; and,
G. The general rights and obligations of both parties.
Sec. 12. Signing of apprenticeship contract. - Every apprenticeship contract 
shall be signed by the enterprise owner or his/her authorized representative, or the 
authorized representative of any of the recognized organizations, associations or 
groups and the apprentice.
An apprenticeship contract with a minor shall be signed in his/her behalf by 
his/her parent or guardian or. If the latter is not available by an authorized 
representative of the TESDA, and the same shall be binding during its lifetime, 
subject to the right of the apprentice to terminate the same after a month's notice.
Every apprenticeship contract entered into under this Title shall be approved 
by the bipartite plant apprenticeship committee Involving the firm owner and 
representatives of the firm workers, and copies thereof shall be furnished the firm 
owner and the apprentice.
Sec. 13. Apprenticeship Schemes. - Enterprises with approved apprenticeship 
program may choose from any of the following apprenticeship scheme which may 
use the Dual Training System approach:
a) Apprenticeship involving a company and an identified training institution;
b) Apprenticeship involvmg a group of companies and a training institution;
c) Apprenticeship involving an industry training center and a company or a
group of companies; or


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d) Other schemes to be established by the TESDA in consultation with
enterprise owners, labor and training institutions and subject to the
approval of the TESDA Board.
Sec. 14. Apprenticeship Administration. - The TESDA Board shall be 
responsible for setting up the overall apprenticeship policy and standards. The 
TESDA Secretariat shall be responsible for apprenticeship administration, monitoring 
and evaluation of on and off-the-job training.
Sec. 15. Investigation of violation of apprenticeship contract. -The bipartite 
plant apprenticeship committee, upon complaint of any interested party or motu 
propio, shall have initial responsibility for settling differences arising out of 
apprenticeship contracts. In case it Is not able to settle such dlTerences, the TESDA 
Secretariat or its authorized representative shall investigate and render a decision 
pursuant to pertinent rules and regulations as may be prescribed by the TESDA 
Board.
Sec. 16. Appeal to the TESDA Board. -The decision of the TESDA Secretariat 
may be appealed by any aggrieved person to the TESDA Board within five (5) days 
from receipt of the decision. The decision of the TESDA Board shall be final and 
executory.
Sec. 17. Termination of Apprenticeship. - 
I. Valid cause to terminate the Apprenticeship contract:
1. By the employer:
a) Habitual absenteeism in on-the-job training and related theoretical 
instructions;
b) Willful disobedience to company rules or insubordination to lawful 
order of a superior;
c) Poor physical condition, permanent disability or prolonged illness which 
incapacitates the apprentices from working;
d) Theft or malicious destruction of company property and/or equipment;
e) Poor efficiency oi performance on the job or in the classroom for a 
prolonged period despite warnings duly given to the apprentices; and
f) Engaging in violence or other forms of group misconduct inside the 
employer's premises.


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2. By the apprentice:
a) Substandard or deleterious working condition within the employer's 
premises;
b) Repeated violations by the employer of the terms of the apprenticeship 
agreement;
c) Cruel and inhuman treatment by the employer or his subordinates;
d) Personal problem which in the opinion of the apprentice shall prevent 
him from a satisfactory performance of his job; and
e) Bad health and continuing illness.
II. Procedures of termination of apprenticeship:
1. Apprenticeship Committee Levei
a) The party (employer or apprentice) interested in terminating the 
contract may do so, first, by notifying the Apprenticeship Committee;
b) The Committee confers with both parties and mediates and/or settles 
the differences between them;
c) If mediation and/or settlement is not possible, the Committee advises 
the complainants to apply for said termination with the Apprenticeship 
Division of the Regional Office concerned.
2. Regionai Levei
a) The complainant verbally presents his/her case to the Apprenticeship 
Division. If to the judgment of the Division the complaint merits 
consideration, he/she is made to duly accomplish an "Application for 
Termination of Apprenticeship" form.
b) The Division verifies as to the veracity and validity of the c'aim within 
five (5) days fronr. receipt thereof -
1) By calling both parties (employer and apprentice) for conference; or
2) By sending a representative to the employer's concern for the 
purpose.
3) In case grounds for approval exist -
1) The investigating officer (field representative) initiate the 
application; and


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2) The Chief of the Apprenticeship Division verified the
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same.
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3) The application is then immediately forwarded to the
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Regional Director for appropriate action; after which a copy
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of the acted application is furnished each the applicant and
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the second party; these processes to be completed within
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three (3) days from receipt of the document by the Office of
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said Regional Director.
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4) A copy of each approved application is furnished the
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Bureau of Apprenticeship to be forwarded to the said Office
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together with the Monthly Performance Report 
of the
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Apprenticeship Division.
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3. Agency Level
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If either of the Parties is not satisfied with the decision of the Regional
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Director, he/she may, within the reglamentary period of five (5) days from
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receipt of the document, appeal the case to the TESDA Director General
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whose decision shall be final and unappealable.
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Sec. 18. Competency Assessment and Certification. -The apprentices shall,
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within the apprenticeship period, undergo competency assessment for qualifications
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with Training Regulations. A National Certificate shall be issued to all those who
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demonstrated achievement of the competency standards,
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Sec. 19. Training Certificate. - A Training Certificate shall be issued by the
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authorized enterprise to signify completion of the apprenticeship program In
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accordance with the approved training design. The Certificate shall contain a list of
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the units of competency acquired and shall be comparable to completion of a
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training program in a TVET Institution.
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Sec. 20. Compulsory Apprenticeship. - When the national security or
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particular requirements of economic development so demand, the President of the
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Republic of the Philippines shal: require compulsory training of apprentices in certain
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trades, occupations, jobs or employment levels where shortage of trained manpower
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is deemed critical as determined by the TESDA Board.


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Sec. 21. Apprenticeship Training Fund. -There shall be an apprenticeship
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training fund which shall be derived from the apprenticeship fee paid by every firm
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owner in industries employing workers in apprenticeable trades. Workers who are
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graduates of apprenticeship programs shall likewise pay a one-time apprenticeship
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fee upon employment as contribution to the apprenticeship training fund.
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The apprenticeship fee rates and guidelines to be applied shall be approved
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by the TESDA Board after a public hearing with the management and labor sectors.
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The fee shall be collected and paid through the SocIcH Security System (SSS) and
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transferred to the Apprenticeship Training Fund to be administered by TESDA. The
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apprenticeship fee rate may be increased by the TESDA Board subject to the
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requirements of public hearing.
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The Apprenticeship Training Fund shall be deemed distinct and separate from
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the TESDA Development Fund under Section 31 of RA 7796 or the TESDA Law, and
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as such, shall not be subject to Its Implementing Rules and Regulations. Such
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apprenticeship fund may be used to defray expenses of the trainees in the institution
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or training center as well as other expenses to be approved by the TESDA Board to
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improve implementation of the program.
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Sec. 22. Incentives. - An additional deduction from the taxable income
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equivalent to one-half (1/2) of the value of labor training expenses incurred for
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developing the productivity and efficiency of apprentices shall be granted to the
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person or enterprise organizing an apprenticeable program and shall be exempt from
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the payment of apprenticeship fee. Provided, That such program is duly recognized
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by TESDA: Provided, further, That such deduction shall not exceed ten percent
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(10%) of direct labor wage: Provided, finally. That the person or enterprise who
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wishes to avail himself or its<^lf of this incentive should pay his apprentices the
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minimum wage. Micro-cottage and small enterprises or those with less than 100
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employees shall also be exempt from the payment of the apprenticeable fee.
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Sec. 23. Exemption from Probationary Employment: System of Equivalency. -
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Certified apprenticeship graduates shall be exempted from probationary
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employment. They shall be employed as regular workers if chosen to be retained by
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the enterprise.


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Apprenticeship graduates shall likewise be awarded equivalent unit credits in
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the formal system of education that can be used in pursuing tertiary degree courses
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subject to the integrated policies and guidelines on equivalence' and adult education
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acceleration program of the TE3DA, CHED and DepEd.
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Sec. 24. Implementing Rules and Regulations. -TheTESDA Board shall Issue
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the Implementing Rules and Regulations within ninety (90) days after the effectivity
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of this Act.
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Sec. 25. Transitory Provision. - All existing apprenticeship programs and
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Training Regulations shall be valid until after the TESDA has conducted an
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assessment and revalidation for consistency with the provisions of this Act and its
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Implementing Rules and Regulations.
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Sec. 26. Repealing Clause. - Pertinent provisions of Presidential Decree 442
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or the Labor Code of the Philippines as amended, Executive Order No. Ill series of
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1986, RA 7796 or the TESDA Act of 1994 and all other laws, decrees, executive
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orders and rules and regulations contrary to or Inconsistent with the provisions of
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this Act are hereby repealed or modified accordingly. Any law. Presidential Decree or
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issuance. Executive Order, Letter of Instruction, rule c r regulation inconsistent with
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the provisions of this Act Is hereby repealed or modified accordingly.
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Sec. 27. Separability Clause. - If any provision of this Act is held invalid or
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unconstitutional, the same shall not affect the validity and effectivity of the other
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provisions hereof.
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Sec. 28. Effectivity. - This Act shall take effect after fifteen (15) days from
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the date of its full and complete publication in the Official Gazette or in two (2)
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newspapers of general circulation.
Approved,
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