HOUSE WF REPRESENTATIVES

| RECEIVED
REPUBLIC OF THE PHILIPPINES | DATE:
HOUSE OF REPRESENTATIVES Se
Quezon City |
By:
SEVENTEENTH CONGRESS
First Regular Session REGISTRATION UNIT

BILLS AND INDEX SERVICE

House BillNo. 41153

Introduced by MAGDALO Party-List Representative
HON. GARY C. ALEJANO

EXPLANATORY NOTE

In recognition of the judiciary’s significant role in the country, Republic Act No. 9227 was
signed in 2003, providing for additional compensation to justices, judges and all other positions
in the judiciary in the form of special allowances.

Attached to the Department of Labor and Employment for program and policy coordination, the
National Labor Relations Commission (NLRC) is a quasi-judicial body tasked to expeditiously
resolve labor disputes thru the process of mediation, conciliation and compulsory arbitration. Just
like the judiciary, NLRC also plays a vital role in the government's program of promoting and
maintaining industrial peace through dispensation of labor justice and development of effective
dispute settlement machinery.’

Under R.A. 9347, the NLRC Chairman, Commissioners and the Labor Arbiters have been
entitled to the same allowances, retirement and benefits as those of the Presiding Justice and
Associate Justices of the Court of Appeals. However, even with the passage of this law, the
Commission’s Chairman and members had not been able to receive the said allowances and
benefits due them under the law because of lack of funding.

This problem is no different from the difficulties some other agencies are experiencing. Yet, with
the passage of laws establishing Special Funds for particular agencies in the country, such as the
Granting of Special Allowances in Public Attorney’s Office and Office of the Solicitor General
under R.A. 9406 and R.A. 9417 respectively, problems brought about by funding are now one by
one being resolved.

In this light, a similar law that will address the NLRC’s predicament through authorizing them to
administer fund for their additional compensation is positively needed.

* Data retrieved at http://www.nlrc.dole.gov.ph/abtNirc.php on 6/26/2013.


Intending to implement the provision of Republic Act No. 9347 regarding salaries and other
emoluments of the NLRC’s Chairman and members, this measure seeks to establish a National
Labor Relations Commission Fund to be sourced from the legal and service fees prescribed,
imposed and collected by the NLRC.

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



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REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House Bill No. _ 1153

Introduced by MAGDALO Party-List Representative
HON. GARY C. ALEJANO

AN ACT
ESTABLISHING THE NATIONAL LABOR RELATIONS COMMISSION
DEVELOPMENT FUND AND FOR OTHER PURPOSES

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

SECTION 1. Declaration of Policy. — It is the policy of the State to maintain the
independence of the National Labor Relations Commission (NLRC) as a quasi-judicial body
tasked with the speedy and impartial administration of labor, and safeguard the integrity of its

officers and personnel in the discharge of their functions and duties.

SEC. 2. National Labor Relations Commission Development Fund. — There is hereby
established the National Labor Relations Commission Development Fund, hereinafter referred to
as the Fund, to provide the Chairman, Commissioners and the Labor Arbiters with incentives
commensurate to their positions and functions, and help ensure and guarantee their independence
and integrity. The fund shall be derived from the legal fees prescribed, imposed and collected by
the NLRC as well as the increases in current fees and new fees which may be imposed.

The Fund shall be used to finance the special allowances, benefits and emoluments
granted to the NLRC Chairman, Commissioners and Labor Arbiters under Section 4 of Republic
Act No. 9347 in relation to Sections 2 and 6 of Republic Act No. 9227, which grants special

allowances to justices of the Cour: of appeals and judges of the Regional Trial Courts.


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SEC. 3. Administration of Fund, ~ The NLRC Chairman shall administer and allocate
the Fund and shall have the exclusive power and duty to approve the disbursement and
expenditure of the Fund in accordance with the implementing rules and regulations to be
promulgated under Section 4 of this Act.

The amount accruing to the Fund shall be deposited in a special trust fund by the NLRC
Chairman or his duly authorized representative in an authorized government depository bank or
private bank owned or controlled by the Government, and the income or interest earned shall
likewise form part of the Fund, and submit the appropriate report in writing to the Chairman of
the Commission on Audit and to the chairman of the NLRC, copy furnished the members of the

Commission En Banc,

SEC. 4, Issuance of Implementing Guidelines, ~ The NLRC, together with the
Department of Labor and Employment and the Department of Budget and Management shall
issue the necessary rules and regulations for the effective implementation of this Act not later

than ninety (90) days from approval thereof.
SEC, §. Separability Clause. ~ If any provision of this Act shall at any time be found to
be unconstitutional or invalid, the remainder thereof not affected by such declaration shall

remain in full force and effect.

SEC. 6. Repealing Clause. — All laws, decrees, rules or regulations inconsistent with the

provisions of this Act are hereby repealed or modified accordingly.

SEC. 7. Effectivity Clause. — This Act shall take effect after fifteen (15) days following

its complete publication in two (2) newspapers of general circulation.

Approved,