Republic of the Philippines
Congress of the Philippines
Metro Manila
Eighteenth Congress
First Regular Session

Introduced by:

Juan Fidel Felipe F. Nograles
Second District
Province of Rizal

5652
Explanatory Note

‘The 1987 Constitution provides that the state shall promote and protect the youth and
their well-being. The State is mandated to provide the necessary environment for the
full development of the potential of the youth. Thus, the state shall afford all possible
protection to the youth as the hope of the nation.

Students, comprising a large majority of the youth, are required to take up internships
for hands-on and on-the job training in fulfillment of their educational requirement.
‘These trainings are intended to provide real-life training to prospective members of
the workforce who will contribute to the development of the economy. This also
contributes greatly to the productivity of the company or organization hosting them.
Itis then to the country's best interest that the interns have their rights protected and
their service recognized through just compensation.

Internship programs are designed to be mutually beneficial for all the parties
involved. For the Higher Education Institutions, the industry exposure of their
students supports and contributes to the learning of the students. Students learn to
be apply the theories they learn in class and apply these to actual technical know-how.
For companies and industries, interns in their workplaces could provide unique
insights for improvement; new talent and creativity that can invigorate their
operations and overall performance; and the students can supply fresh perspective for
solving issues in their organizations. For the students, internships have numerous
benefits. It provides an avenue to apply and test theoretical knowledge from the
classroom to the real-world, prepare them for the realities of the workplace, and help
them in developing essential skills, both hard and soft, not otherwise taught in school.
Itis then in the interest of the State develop competent workers while protecting and
promoting their rights and responsibilities.


Moreover, this bill underlines the importance of a proper and relevant learning
experience for our interns and acknowledges the economic contribution that the
interns provide to our economy and the workforce.

In view of the foregoing, the passage of this bill is respectfully requested.

L Tiehd,
Ref. Fidel Nograles
2nd District of Rizal Province


Republic of the Philippines
Congress of the Philippines
Metro Manila
Eighteenth Congress
First Regular Session
House Biil No.°°°?

November __ 2019

Juan Fidel Felipe F. Nograles, 24 District, Rizal

AN ACT PROVIDING FOR A NATIONAL FRAMEWORK FOR INTERNS'
RIGHTS, BENEFITS,
AND WELFARE

Be it enacted by the Senate and the House of Representatives of the Philippines in
Congress assembled:

Sec. 1. Short Title. - This Act shall be known as the 'Interns' Benefits, Rights, and
Welfare Act of 2019".

Sec. 2. Declaration of Principles. - The State recognizes its vital responsibility to enable
the youth to fulfill its vital role and responsibility in nation building. It is the role of
the state to create opportunities to the youth in forms of training and capacity
development towards their growth and employment as productive members of the
society.

Towards this end, the goals and objectives of this Act are to:

1. Maintain quality training and education through enhanced internship
programs with optimized capacity-building for all technical, vocational and
professional fields of study;

2. Consistently monitor the NGAs/implementing bodies, higher education
institutions (HEIs), host training establishments (HTEs) in guiding the
interns and assessing their performances during the internship, with strong
grievance mechanism to protect the integrity of each institution and
promote transparency among all;

3. Recognize the interns as part of the labor force, therefore in their chosen
workplaces they should receive fair treatment and just compensation;


4, Strengthen the rights of the interns to avoid any form of abuse or violation
from the implementing bodies;

5. Provide benefits and compensation for interns commensurate for work
done in their workplaces; and

6. Ensure the safety and welfare of the interns throughout the internship.
Sec. 3. Definition of Terms:

a) Internship refers to a period of work experience for a limited amount of time
taken up by trainees, students and graduates looking to gain relevant skills and
experience in a particular field. It is the practical application of classroom
learning to an actual regular work environment. It is also synonymous to
practicum, field practice, or On-The-Job Training. It is not synonymous to
apprenticeship and learnership as covered by existing laws, among which is
the Labor Code of the Philippines.

b)

Intern refers to a trainee, student or graduate undergoing an internship at a
Host Training Establishment (HTE) as partial fulfillment of their academic
requirements as prescribed by their respective Higher Education Institutions
(HEIs), Certified Training Institutions (CTis), or as a requisite for board
examinations.

©) Internship Contract refers to a formal agreement concurred by all the parties
which shall be accompanied with the agreed upon Internship Plan.

dq)

Internship Plan refers to the outlined goals and objectives, knowledge, skills
and competencies that the student intern should acquire in each training area.
This will include a schedule of activities and assignments along with a clear set
of duties to be fulfilled by the intern, and this Internship Plan will be
formulated and approved by both the HEI, CTI, and HTE.

e)

Higher Education Institution (HEI) refers pertain to public and private schools
and universities that require students to undergo internships as part of their
official curriculum.

f) Certified Training Institutions (CTI) refers to certificate issuing and TESDA
accredited training institutions that require students to undergo internships as
part of their official curriculum.

g) Local universities and colleges (LUCs) refer to CHED-accredited public HEIs
established by local government units (LGUs) through an enabling ordinance,
financially supported by the LGU concerned, and complaint with the policies,
standards and guidelines of the CHED;


h) State universities and colleges (SUCs) refers to public HEIs established by
national government and are governed by their respective independent boards
of trustees or regents; and

i) Host Training Establishment (HTE) refers to a duly authorized and registered
entity, institution, or establishment in the Philippines by the Security Exchange
Commission (SEC) or the Department of Trade and Industry (DTI) or Local
Government Unit and with established systems of training.

Sec. 4. Rights of Interns, - Interns shall enjoy, on an equal and non-discriminatory
basis, all rights guaranteed by the Constitution as well as those recognized under EO

no. 139, s.

1993, CMO no. 104, s. 2017, and all other relevant international and regional

human rights conventions and declarations.

As
1.

BON

an

10.
1.

12.

13.
14.

‘such, interns have the right to:
Be assigned a work that is related to the job description in their internship
contract;

. Have the freedom to select their own HTEs;
. Reasonable work hours and on-the-job work breaks;
. Protected leaves (personal leave, medical leave, leave for internship-related

illness and injury);

. Just compensation for hours of services rendered;
. Receive allowances for travel, food, and any other expenses that may be

agreed upon by the HTE and intern;

. Acquire medical, dental and mental health services;
. Access basic services in their chosen workplaces;
. Access information of fees and performance records from HEIs, CTs and

HTEs;

Opt-out in paying miscellaneous fees upon enrollment of internship;

Be protected against discriminatory practices based on sexual orientation,
gender identity and expression, age, ethnicity, religion, and disability;

Be protected against sexual harassment and other derogatory or
exploitative

activities at any point during their internshi
Be informed of clearly outlined duties during the internship; and

Due process prior to termination with HTE for any committed violation or
insufficient requirements with HEIs or CTls in the entire internship.

Sec. 5. Guidelines on Internship Programs. - The following shall be the guidelines
for the implementation of internship programs:

1.

Government Internship Programs
a. All government agencies and instrumentalities, including local
government units and government-owned- and-controlled
corporations are hereby obliged to create a Government Internship
Program for their respective offices.


b. The Government Internship Program shall prescribe standard
Internship Plans for applying interns to ensure that their duties are
confined to official tasks only.

2. Industry-Based Internships

a. TEs, HEIs, and CTls shall, in conjunction, develop an Internship Plan
outlining the scope and limitations of the interns’ duties for the
duration of the internship. Interns shall not be obligated to do work
outside of this internship plan.

b. HTEs shall provide interns with compensation for hours of service
rendered.

3. School and Internship Fees

a. HEIs and CTs shall not charge interns with school fees that is
beyond the administrative cost corresponding with units of the
internship subject.

b. Interns shall have the opt-out option in paying miscellaneous fees
especially if their internship is conducted outside of the HEIs’
premises.

c. In an event of extension of the internship program, no additional
extension fee shall be collected either by the HEI/CTI or the HTE.

d. HTEs shall not be allowed to charge fees from their interns, with the
exception of fees that are directly related to conducted training
sessions and affiliation fees for health-allied internship programs.
Provided, that the affiliation fees to be collected shall comprise no
more than 1% of the tuition fee of the internship subject.

e. Collection of all internship-related fees shall be centralized in the
HEIs in order to avoid redundant payments or exploitative practices.

£ All information regarding the school fees collected by the HEI and
internship fees collected by the HTE shall be accessible to the public
and the students if and when they request for it. The composition of
the fees collected shalll be indicated to promote transparency.

Additional Guidelines

a. HTEs, HEIs, and CTIs shall create an Internship Contract that will be
an official and binding document stating the duties and
responsibilities of all parties, the duties prescribed in the internship
plans, and the agreed upon remuneration agreements between the
HTE and the intern.

b. HEIs and CTls shalll not constrain their student interns to apply to a
specific office, establishment, or training institution. The interns shall
be allowed to undertake an internship in any office, establishment,
or training institution as long as the said establishments comply with
the requirements for HTEs.

c. HTEs shall conduct trainings, seminars, and other developmental
interventions for the interns including, but not limited to: mentoring,
coaching, and performance evaluation.


d. Social protection shall be provided to the interns and are encouraged
for consideration by the institutions such as accident insurance, as
they may be applicable.

e. Interns that contracted and illness and/or injury during their
internship or as a result of it shall be excused during the duration of
their illness and/or injury. HEIs, CTIs, and HTEs shall jointly claim
responsibility for the intern.

f. Interns in the health-allied professions and other highly technical
fields shall be given the necessary materials, equipment, and safety
gears necessary to carry out their tasks. These shall be given at no
cost to the interns.

g. Interns shall be given at least 96 hours of advance notice of their
internship schedule.

h. HEls and CTs shall assist their student-interns in meeting their
health requirements as prescribed by the HTEs, through HEI and CTT
funded vaccination or check-up programs.

i. Interns are not required and cannot be obliged to report to their HTEs
after the prescribed number of internship hours are completed,
except for final report submissions, clearance, and other concluding
activities.

j. In cases where the internship contract is abruptly terminated, the
hours of services rendered by the intern based on the daily time
record shall be credited as hours completed for the internship
program.

k. Students who applied in internship programs abroad shall be
provided with assistance from the relevant government agencies
before and during the duration of their internship programs, if and
when necessary. HEIs and CITs where these student interns are
enrolled are obliged to strictly monitor the status of their students'
welfare during the duration of the internship to ensure that standard
protections for interns are upheld.

Sec 6. Mechanics of Internships. - The following process must be followed in the hiring
of interns:
1. Qualifications of Interns

a. Applicants to internship programs shall:
1. be currently enrolled in a TESDA certificate course or a
tertiary-level internship subject
2. be between 18 to 35 years old from the start of the internship
period


2. Duration

a.

Government Internship Programs
The duration of the Government Internship Program shall not
exceed 300 hours and not last for more than 6 months.

. Industry-Based Internships

1. Internship programs that are not highly technical in nature shall
be allowed to have a maximum of twenty-four (24) units of
internship subjects for the duration of their baccalaureate;
Provided, that one (1) unit of internship subject correspond to
one (1) hour of internship/laboratory/practicum/OJT work
per week. Provided further, that the internship period should
not exceed twelve (12) months.

2. Highly technical internship programs conducted by HTEs that
may need additional hours of training, like those in the fields of
health, engineering, and architecture, shall be allowed to have
a maximum of thirty (30) units of internship subjects for the
duration of their baccalaureate; Provided, that one (1) unit of
internship subject correspond to two (2) hours of
internship/laboratory/practicum/OJT work per week.
Provided further, that the internship period should not exceed
twelve (12) months.

3. Interns shall have an 8-hour rest period between their
internship shifts. In addition, they are only obliged to work
during work days and within office hours. If interns are tasked
to work on weekends of holidays or hours beyond the normal
operating hours of the establishment, they should be subjected
to special or additional remuneration.

4. In the event of tardiness and absences, whether excused or
unexcused, make-up hours shall only be equivalent to the
number of internship hours missed. HEIs and HTEs shall not
accept and expect payment from students to offset their
tardiness and/or absences.

5. HEIs shall have the jurisdiction on how the maximum allotted
number of units shall be distributed in their respective
curricula. Only the curricula with
internship /laboratory /practicum/OJT credits shall be allowed
to have required internship programs. HEIs with curricula that
does not have internship/laboratory/ practicum/OJT credits
cannot require their students to undergo an internship program


but could encourage their students to have internships on a
voluntary basis.

c. Scope of work

1. The Government Internship Program and industry-led
workplace internships shall cover all technical, vocational, and
professional fields of study and shall cater to all students from
CHED and TESDA recognized universities or degree and
certificate awarding institutions. The purpose of the internship
is for the intern to learn and gain practical experience in their
choice of employment. As such, interns are hired for official
purposes only and are prohibited from taking tasks that go
beyond official duties.

d. Termination of Contract
Any of the following, in respect to the Labor Code of the
Philippines, shall be a valid cause to terminate the internship
contract with due process, where notice should be given, both
oral and written for proper documentation:

By the institution:

1. Habitual absenteeism of the intern;

2. Willful disobedience by the intern of the institution's rules,
or persistent insubordination of the lawful orders of a
supervisor;

3. Theft or malicious destruction of the institution's property
by the intern;

4. Engaging in violence and/or other forms of misconduct
during the internship and/or inside the institution's
premises by the intern; and

5. Persistent poor performance for a prolonged period
despite warning duly given to the intern;

6. Any other just causes for termination.

By the intern:

1. Substandard and/or harmful working conditions within

the institution's premises;

2. Violation of any or all of the guidelines prescribed in

Section 5 of this Act;

3. Harassment by any and all members of the institution
whether it occurred in or outside of the premises of the
HITE;

. Cruel and inhumane treatment; and
5. Prolonged or continuing illness of the intern.

»


Sec. 7. Internship Contract and Plan. - The HEIs and CTls, together with the HTEs,
shall draft and produce an Internship Contract that will be used by their student-
interns. The HEIs and CTIs shall ensure that these documents are legally binding to
ensure the protection of the interns' interest and well-being and assist the students in
the process of notarizing the said document. The contract shall properly indicate the
educational objectives of the internship, the rights and obligations of all the parties,
the duration of the internship, and the agreed upon remuneration.

‘The Internship Contract shall be accompanied with an Internship Plan drafted and
approved together with the selected HTEs to ensure that the internship program
adheres to the quality of learning that is expected from the contract. The Internship
Plan shalll include the following: identification of skills to be acquired, job scope and
specifications, guidelines on the supervision and mentoring of the interns, monitoring,
of the interns’ progress, timeline of the internship and the respective performance
indicators to be achieved, among others.

Sec. 8 Remuneration. - Interns who are subscribed to the Government Internship
Program shall be provided with at least a stipend accounting to seventy-five (75%) of
the existing salary rate of Step 1, Salary Grade 1 of the current government salary
standardization law and shall be non-taxable. The amount of the stipend shall be
based on the intern's actual attendance, absences and/or tardiness incurred. It shall
be paid in accordance with existing labor laws and civil service laws, rules, and
regulations.

Interns in private HTEs shall be provided with a stipend accounting to 75% of the
existing minimum wage in their respective regions and shall be non-taxable.

Sec 9. Grievance Mechanism. - A grievance committee shall be created in participating
government agencies and their instrumentalities as well as the HTEs and CTls that
have internship programs. They have the initial responsibility for settling differences
in case of any violation or transgression of the internship contract or upon the filing
of a complaint by an aggrieved party.

‘The grievance committee shall be composed of a representative from the Head
Office of the HEI, CTI, and HTE, the Human Resource Office of the HEI, CTI, HTE
and/or government agency, the Student Government of the HEI, CTI, and the legal
office of the HEL, CTI and HTE.

‘The committee shall render a decision after affording the concerned parties due
process of law. In case of failure by the grievance committee to settle the issue, render
a decision, or in case the complaint is against the grievance committee or any of its
members, the case shall be referred to the National Task Force.

Sec. 10. Reportorial Requirements. - All HEIs, CHs, HTEs, government agencies and
its instrumentalities that have established internship programs shall submit an annual
report to the Task Force assessing the program. The report shall review and assess the


implementation of their program, suggest improvements if there are any, include a
database of all past and present interns, and monitor the faithfulness of the internship
plan versus its actual implementation, among other things.

Sec 11. Responsibilities of HEIs, CTIs, and HTEs. - Higher Education Institutions and
Certified Training Institutions with internship courses must have an official
government recognition for private Higher Education Institutions, a Board Resolution
for State Universities, and a Local Government Ordinance for local universities.

Their responsibilities in relation to their student-interns include:

1. Assuming full responsibility over students; Creating and notarizing an
Internship Contract with selected HTEs to safeguard the interest and well-
being of the interns; Ensure that the students’ interest is well-represented
during the drafting of the Internship Contract;

2. Formulating local school internship policies (regarding selection, placement,
monitoring, and assessment);

3. Prepare a roster of accredited HTEs with internship programs for student-
interns to choose from;

Facilitate the entry of interns to their HTEs of choice;

4. Developing an Internship Plan specifying objectives and scope in collaboration
with the HTEs;

5. Providing basic allowances, such as for travel or food;

6. Providing the necessary equipment, materials, and safety gears needed by the
interns in order to perform their tasks and duties at no cost to the interns;

7. Providing readily accessible wash rooms, showers, changing rooms, resting
rooms or lounges, particularly for interns who will be on duty for extended
periods of time, particularly during night shifts;

Providing medical and dental assistance, as necessary;

.. Ensuring interns do not perform tasks of regular position in HTEs;

10. Ensuring intern will acquire the relevant competencies in each learning area
through the drafting of relevant internship plans to be a part of the contract
signed by the intern, the HEI or CTI, and the HTE;

. Providing appropriate insurance coverage, including travel and medical, to
interns within the duration of the internship;

. Conducting pre-internship orientation as prerequisite to deployment.
Orientation should be on work environment issues (such as work ethics and
laws against sexual harassment);

13. Taking appropriate action on complaints against student intern;

14. Conducting inspection of the HTE to ensure safety;

15. Monitoring performance of intern together with HTE;

16. Ensuring that the intern's basic needs are met at the HTE (such as food, water,

access to clean restrooms, etc.) in coordination with HTE, CHED,

17. Conducting post-training evaluations of the program;

18. Evaluating related prior training experience and provide credits for internship;

19. Issuing a final grade to the intern upon completion of requirements in

accordance with assessment of HTE, and;

om

1

=}

L

Bp


20. Submitting relevant documents to CHED and TESDA (ie. annual report per SY
on implementation of program, copy of notarized internship agreement, list of
partner HTEs, and interns certified by school officials to have completed
internship).

Host Training Establishments that will receive and train interns must be authorized
by the appropriate government entities and are capable of providing appropriate
internship programs. These establishments must also have the capacity to provide
technical training and to mentor interns applying to them.

Their responsibilities in relation to their student-interns include:
1. Implementing the agreed-upon Internship Contract and Internship Plan in
coordination with the HEI and CTT;
2. Assigning a point person for implementation of all internship phases;
Orienting intern on rules of the establishment before the signing of the contract;
3. Entering into a legal contract with the intern;
4. Providing work experience in accordance with plan;
5. Developing feedback mechanism with the intern;
6. Developing feedback mechanism with the HEI and CTI on implementation and
student performance;
7. Providing evaluation reports on intern's performance;
8. Notifying at least 30 working days prior written notice to HEI or CT! of intern's
breach of contract, and;
9. Issuing certificate of completion for interns not later than 2 weeks after
completion.

Sec 12. Implementation Structure. - An Interns! Rights and Welfare Task Force shall
be formed and be composed of the following:

a. The Department of Labor and Employment (DOLE) Undersecretary for
Regional Operations and Special Concerns cluster as the Chairperson;

b. The Commission on Higher Education (CHED) Chair as Co-
Chairperson;

c. Senior officials (at least Assistant Secretary Level) of the Technical
Education and Skills Development Authority (TESDA), Department of Trade
and Industry (DTI), and Civil Service Commission (CSC) as ex-officio
members;

d. Five representatives of University Student Councils and Student
Associations from various fields of study, provided that there are
representatives from Medical and Allied Health Professions, Hospitality and
Restaurant Management, and Tourism fields.

At the National level, the Task Force members shall have the following duties and
functions in accordance to their mandates and in relation to the implementation of this
Act:

1. The DOLE shall:


a. Strictly monitor and ensure compliance of the HTEs in the
implementation
of this Act;

b. Prepare and publish quarterly and annual report of internship program
accomplishments, including issues and challenges, and provide further,
analysis and recommendation on the improvement of program
implementation; and

. Maintain updated list of HTEs in coordination with government
agencies and private agencies;

d. Decide on cases involving interns with their assigned HTEs.

2. The CHED and TESDA shall:

a. Conduct orientation to HEIs and CTis regarding the proper guidelines
regarding internship programs and check the legality of any and all
contracts between HTEs, HEIs, CTs, and the interns;

b. Ensure the safety of interns;

c. Establish linkages between government agencies and their
instrumentalities and HTEs for the successful implementation of
internship programs;

d. Ensure that all HEIs, CTls, and partner HTEs comply with the guidelines
for the protection of interns; and

e. Provide feedback mechanisms to HEIs, CTls, and HTEs.

3. The DTT shall:

a. Ensure that all the partner HTEs of the HEIs and the CTs are officially
accredited business with proper safety and occupational health
standards; and

b. Formulate a possible incentive scheme for HTEs to encourage them to
take more interns.

4, The CSC shall:
a. Ensure that grievance committees are properly established in
government agencies and their instrumentalities.

Sec. 13. Liabilities and Sanctions. - The following liabilities and sanctions shall apply
in cases of breach of the implementation of the internship contract:

HEIs and CT Is:

1. Written reprimand, with warning that repeated violations may result in
downgrading of government recognition;

2. Downgrading of government recognition to permit status or grant of
Autonomous to Deregulated status, Center of Excellence to Center of
Development status;

3. Revoke program recognition; and

4. Filing of administrative and criminal case as appropriate.


HTE
1. Written reprimand with warning that a repeat of a violation shall result to
the blacklisting of HTE. Provided, that the agreed upon compensation and
credited hours of the intern shall still be followed upon the basis of the
hours of service rendered by the latter.
2. Filing of administrative and criminal case as appropriate.

Intern
1. Subject to sanctions in accordance with HEI's and CTI's rules and
regulations which are explained to the intern at the start of the IP.

Sec. 14. Appropriations. - All concerned government agencies shall include in their
annual budgets the necessary funds that will be contributory to the implementation
of this Act.

Further, at least one percent (1%) shall be appropriated under the maintenance
and Other Operating Expenses (MOOE) of the agencies for the implementation of the
GIP in their respective jurisdictions and shall be included in the General
Appropriations Act. Thus, the government agencies shall cap their admission of
interns based on this allocation.

Sec. 15. Suppletory Application. - For purposes of this Act, the Labor Code and its
revisions and other applicable laws, shall have suppletory application.

Sec. 16. Separability Clause. -If any section or provision of this Act is held
unconstitutional or invalid, the other sections or provisions shall not be affected.

Sec 17. Repealing Clause. - All laws, Presidential decrees, executive orders and rules
and regulations, or parts thereof, inconsistent with the provisions of this Act are
hereby repealed or modified accordingly.

Sec. 18. Effectivity. - This Act shall take effect fifteen (15) days from the date of its
complete publication in at least two (2) newspapers of general circulation.

Approved,