FIFTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
10 
JUL -7 PA :"4 
, .. 
SENATE 
Senate Bill No. 756 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
This bill seeks to amend three provisions of the Labor Code: a) hours of 
work providing an alternative arrangement in the hours of work of an employee 
by allowing the adoption of a compressed workweek or other flexible time 
arrangement for businesses where such is necessary, with corresponding 
safeguards to ensure the protection of workers; b) night work prohibition -
recognizing and regulating the right of women to work in 24-hour business 
establishments; and c) fixed or:term employment - incorporate jurisprudence in 
the relevant labor provisions on regular employment in view of the decisions of 
the Supreme Court on fixed or term employment 
The Philippines is fast becoming the country-of-choice for outsourced call 
center services, prompting the government to name it as one of our sunshine 
industries. These call centers provide support services to international clients 
whose business hours happen to be during the evenings in the Philippines. With 
the advances in information and communication technology and the competitive 
advantage of Filipinos over other Asian countries in this field, the government 
has identified six (6) niches for promotion in the over-all development framework 
for information and communication technology and the ICT-enabled services 
sector: contact center, business processing outsourcing (SPO), software 
development, animation/computer graphics, medical or legal transcription, and 
engineering design. Major global call centers have been established in the 
Philippines. Starting from 1,000 seats and 1,600 employees and US$24 million in 
the year 2000, the call Center'industry has grown to 60,000 seats, employing 
96,000 people, and with projected revenue of US$ 1 billion in the year 2005. At 
the present rate, the call center industry is hiring 3,000 customer service 
representatives and 300 supervisors monthly. The SPOs are likewise projected 
to expand their presence in the c::ountry. 
According to the Department of Labor and Employment, 70% of the 
employees of these call centers are women. Given the nature of the call center 
business where work patterns and schedules are directed by technology 
concerns, caller behavior, regulations in other countries, and other concerns, 
there is a need to adapt to the changing requirements of businesses while 
ensuring that the rights of workers to humane working conditions are protected. 
The International Labor Organization (ILO) Convention No. 89 is an 
international standard pertaining to night work for women. This was ratified by the 
Philippine government on December 29,1953. It prohibits employment of night 
work for women in any private or public industrial undertaking or in any branch 
thereof, except those in which only members of the same family are employed. 
The clear intention of the Convention was to prevent night work for women. 


Exceptions to this prohibition are those who hold positions of a managerial or 
technical nature, and women engaged in health and welfare services. This 
Convention was incorporated in our Labor Code through Articles 130-131. 
Over the years, however, most nations who previously ratified this 
Convention have moved to repeal their laws on night work prohibition for women, 
rejecting said Convention. This Convention harbors the greatest number of 
denunciations, with many nations now viewing the Convention as discriminatory 
to women and an impediment to economic and social progress. The Convention 
was finally revised in June 26, 1990 by the General Conference of the 
International Labor Organization. (/LO) when it adopted the Protocol of 1990 to 
the Night Work (Women) Convention (Revised), 1948. 
Due to the necessity of night work in certain industries, this bill seeks to 
expand the exemptions on night work prohibition to allow night work for women. 
Women should also be allowed to benefit from the security of tenure, monetary 
compensation, and provision of fringe benefits that is offered by these industries 
to night workers. But to alleviate the rigors of night work, and in view of its 
negative effects on the health, social and family life of workers, this bill aims to 
protect the welfare of both men and women whose hours of work are between 10 
o'clock in the evening to 6 o'clock in the morning. 
In view of the foregoing, approval of this bill is earnestly sought. 
Senator 


" 
FIFTEENTH CONGRESS OF THE REPUBLIC) 
,;J;;Fi:'J: 0> ~,. 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
10 
,,'ilL -7 P 1\ :')4 
SENATE 
Senate Bill No. 756 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
AN ACT 
AMENDING CERTAIN PROVISIONS OF PRESIDENTIAL DECREE NO. 442, 
OTHERWISE KNOWN AS THE LABOR CODE OF THE PHILIPPINES, AND 
FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives in Congress 
assembled: 
SECTION 1. Art. 83 of PD No. 442, as amended, is hereby amended to 
read as follows: 
"Art. 83. NORMAL HOURS OF WORK-
"The normal hours of work of any employee shall not exceed eight 
(8) hours a day, EXCEPT WHEN IN THE SOUND EXERCISE OF ITS 
DISCRETION, WITH DUE REGARD TO THE RIGHTS OF LABOR AND 
TO ADDRESS ITS BUSINESS REQUIREMENTS, THE EMPLOYER MAY 
ADOPT ALTERNATIVE ARRANGEMENTS; PROVIDED, THAT IN NO 
CASE SHALL THE NORMAL HOURS OF WORK IN A WEEK EXCEED 
FORTY-EIGHT (48) HOURS; AND PROVIDED FURTHER, THAT SUCH 
EMPLOYER MUST FIRST SEEK APPROVAL TO ADOPT SUCH 
ALTERNATIVE ARRANGEMENT FROM THE DEPARTMENT OF LABOR 
AND EMPLOYMENT (DOLE) TO ENSURE THAT THE EXERCISE OF 
SUCH DISCRETION IS WARRANTED." 
SEC. 2. Art. 87 of PD No. 442, as amended, is hereby amended to read 
as follows: 
"Art. 87. Overtime work-
'Work may be performed beyond [eight hours a day] THE NORMAL 
HOURS OF WORK provided that the employee is paid for the overtime 
work on additional compensation equivalent to his regular wage plus at 
least twenty-five percent (25%) thereof. Work performed beyond [eight 
hours a day] THE NORMAL HOURS OF WORK on a holiday or rest day 
shall be paid an additional compensation equivalent to the rate of the [first 
eight hours] NORMAL HOURS OF WORK OF AN EMPLOYEE on a 
holiday or rest day plus at least thirty percent (30%) thereof." 
SEC. 3. Title III Working Conditions for Special Groups of Employees, 
Chapter I, Employment of WOrJ1en, Art. 131 of PD No. 442, as amended, is 
hereby amended to read as follows: 


"Art. 131. Exceptions -
"(a) In cases of actual or impending emergencies caused by serious 
accident, fire, flood, typhoon, earthquake, epidemic or other disasters or 
calamity, to prevent loss of life or property, or in cases of force majeure or 
imminent danger to public safety; 
"(b) In case of urgent work to be performed on machineries, equipment or 
installation, to avoid serious loss which the employer would otherwise 
suffer; 
, 
"(c) Where the work is necessary to prevent serious loss of perishable 
goods; 
"(d) Where the woman employee holds a responsible position of 
managerial or technical nature, or where the woman employee has been 
engaged to provide health and welfare service; 
"(e) Where the nature of the work requires the manual skill and dexterity of 
women workers and the same cannot be performed with equal efficiency 
by male workers; 
"(f) Where the women employees are immediate members of the family 
operating the establishment or undertaking; 
"(G) WHERE THE ESTABLISHMENT WHICH EMPLOYS THE WOMEN 
WORKERS 
IS 
ENGAGED 
IN 
PROVIDING 
INFORMATION, 
OUTSOURCE, 
OR AUXILIARY SERVICES 
TO 
INTERNATIONAL 
CLIENTS WHOSE BUSINESS HOURS HAPPEN TO INCLUDE THE 
HOURS OF 10 O'CLOCK IN THE EVENING TO 6 O'CLOCK IN THE 
MORNING 
IN 
THE 
PHILIPPINES: 
PROVIDED, 
THAT 
THE 
ESTABLISHMENT 
SHALL 
STRICTLY 
COMPLY 
WITH 
THE 
REQUIREMENTS PROVIDED IN SECTION 132-A OF THIS CODE; 
PROVIDED FURTHER, THAT PREGNANT AND LACTATING WOMEN, 
THOSE BELOW 18 YEARS OF AGE, AND THOSE WHO ARE 
PHYSICALLY UNFIT FOR NIGHTSHIFT WORK SHALL BE PROHIBITED 
TO UNDERTAKE NIGHTSHIFT WORK AND PROVIDED FINALLY THAT 
A FEMALE NIGHT WORKER SHALL NOT BE DISMISSED OR GIVEN 
NOTICE OF DISMISSAL EXCEPT FOR JUSTIFIABLE REASONS NOT 
CONNECTED WITH HER PREGNANCY OR CHILDBIRTH." 
"AS USED IN THIS SECTION, A NIGHT WORKER SHALL MEAN A 
WORKER WHOSE REGULAR HOURS OF WORK INCLUDE THE 
HOURS." FROM 10 O'CLOCK IN THE EVENING TO 6 O'CLOCK IN THE 
MORNING." 
"(H) Under other analogo:us cases exempted by the Secretary of Labor in 
appropriate regulation" 
SEC 4. Facilities for Nightshift Workers. A new article to be known as 
ARTICLE 132-A is hereby inserted after Article 132 of, PO No. 442, as amended, 
which shall read as follows: 
"ARTICLE 
132-A. 
FACILITIES 
FOR 
NIGHT 
WORKERS. 
THE 
SECRETARY OF LABOR AND EMPLOYMENT SHALL ESTABLISH 
STANDARDS THAT WILL ENSURE THE SAFETY AND HEALTH OF 


NIGHT WORKERS. IN APPROPRIATE CASES, HE SHALL, BY 
REGULATIONS, REQVTRE ANY EMPLOYER TO: 
"(A) LIMIT THE WORK HOURS OF NIGHT WORKERS TO EIGHT (8) 
HOURS FOR EVERY TWENTY-FOUR (24) HOUR PERIOD AND FORTY 
(40) HOURS WITHIN A SEVEN (7)- DAY PERIOD; 
"(B) CHANGE THE SHIFTS OF NIGHT WORKERS FOR EVERY 
THIRTY- (30) DAY PERIOD; 
"(C) ACCORD EQUAL TREATMENT TO BOTH MALE AND FEMALE 
WORKERS IN THE ASSIGNMENT OF NIGHT SHIFTS; 
"(D) PROVIDE SEPARATE SLEEPING QUARTERS AND LAVATORIES 
FOR MALE AND FEMALE NIGHT WORKERS; 
"(E) PROVIDE FREE TRANSPORTATION SERVICES FOR NIGHT 
WORKERS FROM THEIR WORK SITE TO AREAS WHERE PUBLIC 
TRANSPORTATION IS READILY AVAILABLE; 
"(F) PROVIDE SECURE; WELL-LIT AND WELL-VENTILATED WORK 
PREMISES; 
"(G) PROVIDE FREE PERIODIC MEDICAL CHECK-UPS FOR NIGHT 
WORKERS TO DETERMINE FITNESS FOR NIGHT WORK; AND 
"(H) STRICTLY COMPLY WITH ARTICLE 86 OF THE LABOR CODE." 
, 
SEC. 5. Article 280 of PO No. 442, as amended, is hereby amended to 
read as follows: 
"Art. 280. Regular and Casual Employment -
"The provisions of written agreement to the contrary notwithstanding and 
regardless of the oral agreement of the parties, an employment shall be 
deemed to be regular where the employee has been engaged to perform 
activities which are usually necessary or desirable in the usual business or 
trade of the employer, except: 1) where the employment has been fixed 
for a specific project or undertaking the completion or termination of which 
has been determined at the time of the engagement of the employee, or 2) 
where the work or service to be performed is seasonal in nature and the 
employment is for the duration of the season, OR 3) WHERE THE 
EMPLOYMENT IS FOR A FIXED OR DEFINITE PERIOD ON WHICH 
BOTH THE EMPLOYER AND THE 
EMPLOYEE AGREE UPON 
KNOWINGLY AND VOLUNTARILY IN VIEW OF THE TEMPORARY 
NATURE OF THE TASK OR JOB." 
SEC. 6. Separability Clause - If any part or proVision of this Act shall be 
held unconstitutional or invalid" other provisions hereof that are not affected 
thereby shall continue to be in full force and effect. 
SEC. 7. Repealing Clause - All laws, presidential decrees, executive 
orders, rules and regulations, or parts thereof which are not consistent with this 
Act are hereby repealed, amended or modified accordingly. 


SEC. 8. Effectivity Clause - This Act shall take effect fifteen (15) days 
after its pUblication in at least two (2) newspapers of general circulation. 
Approved,