THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES ] 
Second Regular Session 
SENATE 
S. No 
?!:= *-. 
~~~~~~~~~~ 
i n  
INTRODUCED BY HON MANNY VILLAR 
EXPLANATORY NOTE 
The OWWA fund consists primarily of contributions from the Filipino workers and 
the fees and charges imposed by the Philippine Overseas Employment Agency (POEA) 
on the said workers. Overseas workers pay up the same upon execution or renewal of 
their employment contract. The funds are held in trust by the Overseas Workers 
Welfare 
Administration 
(OWWA) 
to 
be 
utilized 
on 
programs 
and 
investments favorable to 
overseas workers. 
It is the 
overseas workers 
who own the funds. 
Unfortunately, there is information that the OWWA has been transacting 
unfavorably to overseas workers. One such transaction is the alleged transfer of OWWA 
funds to the Philippine Health Insurance Corp (PHIC) to which innumerable 
Overseas Filipino workers object. These Filipino workers want a "zero transfer." They 
contended that such a transfer of funds to PHIC could result to the deprivation of 
health benefits of OFWs inasmuch PHIC's process of reimbursement and qualification 
are unduly time-consuming and difficult for them to comply with. They likewise 
maintained that to ensure that the rights and privileges of the overseas workers are 
safeguarded and uncompromised, they should be allowed greater participation in the 
administration and management of the OWVVA funds through their preferred 
representatives. But they have not been. 
This bill seeks to remedy the inadequacies of the law by giving 
overseas workers greater participation in the administration and management of funds 
through 
their 
representatives 
in 
the 
Board 
of 
Trustees. 
Moreover, prior approval of overseas workers shall be necessary in the utilization of the 
OWWA funds. In this way, the overseas workers are assured that their hard-earned 
money does not go to waste and are not for purposes other than the protection and 
promotion of their welfare. 
In view of the foregoing, approval of this bill is earnestly sought. 
MANNYVIL AR 
5 


THIRTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Second Regular Session 
INTRODUCED BY HON. MANNY VILLAR 
AN ACT AMENDING CERTAIN PROVISIONS OF PRESIDENTIAL DECREE 
NUMBERED SIXTEEN HUNDRED AND FOUR (P.D. 1694), AS AMENDED, 
CREATING THE WELFARE FOR OVERSEAS WORKERS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled. 
SECTION 1. Welfare Fund for Overseas Workers. - Section 1 of Presidential Decree 
No. 1694 shall be amended to read as follows: 
“Section 
1. Welfare 
Fund 
for 
Overseas 
Workers. - 
There is 
hereby 
created a “Welfare Fund for Overseas Workers,” hereinafter referred to as the OWWA 
FUND (Welfund) which shall be used for the purpose of providing social and welfare 
services to Filipino overseas workers, including insurance coverage, legal assistance, 
placement assistance, and remittance services. 
THE OWWA FUND SHALL BE A TRUST FUND WHICH SHALL BE MANAGED AND 
EXPENDED IN ACCORDANCE WITH THE PURPOSE OF THE FUND, AND SHALL 
NOT BE UTILIZED WITHOUT PRIOR CONSULTATION WITH ITS MEMBERS OR 
REPRESENTATIVES THEREFORE UNLESS OTHERWISE PROVIDED BY LAW. 
SECTION 2. Administration. - Section 3 of P.D. 1694, as amended by P.D. No. 
1809, shall be further amended to read as follows: 
“Section 3. Administration.- The OWWA FUND (Welfund) shall be administered by a 
Board of Trustees through a Secretariat. The Board of Trustees shall consist of the 
SECRETARY 
OF 
LABOR 
AND 
EMPLOYMENT 
AS 
CHAIRMAN, 
THE 
ADMINISTRATOR OF THE OVERSEAS WORKERS WELFARE ADMINISTRATION 
(OWWA) AS VICE CHAIRMAN, THE SECRETARY OF FOREIGN AFFAIRS, THE 
SECRETARY OF FINANCE, THE SECRETARY OF BUDGET AND MANAGEMENT, 
ONE REPRESENTATIVE EACH FROM THE MANAGEMENT AND LABOR SECTORS, 
ONE 
REPRESENTATIVE 
FROM 
THE 
WOMEN 
SECTOR, 
AND 
ONE 
FILIPINO WORKERS (OFWs). 
“THE ADMINISTRATOR AND THE REPRESENTATIVES FROM THE MANAGEMENT, 
SHALL BE APPOINTED BY THE PRESIDENT OF THE PHILIPPINES, FROM THE 
RECOMMENDEES OF THE SECRETARY OF LABOR AND EMPLOYMENT UPON 
NOMINATION OF CONCERNED LABOR ORGANIZATIONS. 
REPRESENTATIVE EACH FROM THE SEA-BASED AND LAND BASED OVERSEAS 
LABOR AND WOMEN SECTORS, AND LAND-BASED AND SEA-BASED OFWS