Republic of the Philippines
HOUSE OF REPRESENTATIVES,

ml
Quezon City, Metro Manila DATE August 9, 2022

iS RECEIVED
=
* TIME 9:30am

Nineteenth Congress % By Rei by
First Regular Session FF
Ss
HOUSE BILL NO. _3378 Wo ine’

Introduced by Hon. Bryan B. Revilla, Hon. Lani Mercado-Revilla and
Hon. Ramon "Jolo" Revilla IT

EXPLANATORY NOTE

As of 2020, there are 1.77 million Overseas Filipino Workers according to the Philippine
Statistics Authority. According to the same data, the total remittances sent by OFWs totaled to
134.8 Billion pesos, with an average remittance sent per OFW of eighty six thousand and eight
hundred ten pesos (P86,810.00) in 2020.

Considering the sacrifices of OFWs have to endure as well as the contributions they bring
to the economy, it is the duty of the State to provide assistance and care to them.

This bill seeks to create a credit assistance program for our modern day heroes. Under this
bill, a prospective OFW who has a valid contract as certified by the Philippine Overseas
Employment Administration (POEA) may avail of fifty thousand pesos (P50,000.00) loan from
the Overseas Workers Welfare Administration (OWWA) to defray the living expenses of his
family during the first few months of his absence as well as other expenses incurred during his
pre-employment.

In view of the foregoing reasons, the approval of this bill is earnestly sought.

. REVILLA HON<YANI MERCADO-REVILLA
‘epresentative Representative
AGIMAT Partylist 2™ District of Cavite

HON. RAM! ‘JOLO” REVILLA IL
resentative
1* District of Cavite


Seowrsauewne

WYWYWWUYWUUNRYONYOVYNVeoe ee eee
SRRRSBESBRYRREORESSRIRAEGHA

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

Nineteenth Congress
First Regular Session

HOUSE BILL NO. ___3378 _

Introduced by Hon. Bryan B. Revilla, Hon. Lani Mercado-Revilla and
Hon. Ramon "Jolo" Revilla I

AN ACT
ESTABLISHING A CREDIT ASSISTANCE PROGRAM FOR OVERSEAS
FILIPINO WORKERS

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 “Overseas Filipino Workers
Credit Assistance Act of 2019.”

Sec. 2. Declaration of Policy. — Consistent with the State policy that the State affirms
labor as primary economic force and that it shall protect the rights of workers and promote
their welfare, it is hereby declared that the government and its instrumentalities must
promote and carry out programs geared towards advancing the interest of the Overseas
Filipino Workers (OFW) by providing them access to credit facilities even before their
departure.

Sec. 3. Loans. — An overseas contract worker with a valid employment contract as certified
by the Philippine Overseas Employment Administration (POEA) may avail of a loan of
not more than fifty thousand pesos (P50,000.00) from the Overseas Worker Welfare
Association (OWWA) to defray the living expenses of his family during the first three
months of absence as well as recruitment expenses including placement fees,
documentation costs and plane tickets, Provided, That any one of the member of his family
not otherwise disqualified by law shall participate in the loan as co-borrower, and execute
necessary documentation that effect. Provided further, That the loan shall be granted and
released by the OWWA upon proper submission of the following documents, duly certified
to in writing by the recruitment agency with corresponding authentication and properly
certified/verified by the POEA.

a) Employment Contract;
b) Plane ticket; and
©) Bank Account

Sec. 4, Establishment of Bank Account. ~ OFWs availing of the credit assistance under
this Act shall open a bank account in which payments for the loan shall be made.

Page 1 of 2


Sec. 5. Payment of Loan. — The loan shall be paid in twelve (12) equal monthly
installments or more but not exceeding twenty four (24) months at a preferred interest rate
not to exceed six percent (6%) per annum through the bank account to be established under
the immediately preceding Section. For the purpose, the applicant shall execute the
necessary authority for the bank to withhold the monthly loan amortization from his
remittances.

Sec. 6. Implementing Rules and Regulations. The OWWA, in consultation with
organized labor groups and other relevant sectors, shall issue rules and regulations for the
effective implementation of this Act. The IRR shall include provisions that will address
nonpayment of loans provided by this Act and the corresponding penalties that may be
imposed, collection and administration of loans, and other issues of significance relevant
to this Act.

Sec. 7. Appropriation. — The amount needed to implement the provisions of this Act shall
be appropriated out of the Overseas Workers Welfare Fund.

SEC. 13. Repealing Clause. - All decrees, executive orders and other administrative
issuances or parts thereof, which are inconsistent with the provisions of this Act, are hereby
repealed or modified accordingly

SEC. 14. Effectivity Clause. — This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation,

Approved,

Page 2 of 2