Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,  
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G. 
HORIBATA AND HON. NICOLAS ENCISO VIII 
EXPLANATORY NOTE 
Happy and well-rested individuals are healthier and more productive1. In line with this, 
the bill proposed herein seeks to double the current service leave entitlement of Filipino 
workers from five (5) days to ten (10) days with pay for every year of service rendered. 
Last 17th Congress, the House of Representatives (HOR) already approved on third 
and final reading the bill increasing the paid incentive leave of employees from five days to 
ten days. The HOR unanimously agreed that the bill would benefit the employers as much as 
it would the employees as the grant of such incentive would boost the morale and satisfaction 
of employees which shall in turn, manifest in their increased productivity. Leave credits also 
minimize the risks of health and safety issues among employees which may be even costlier 
for both employers and employees in the long run. Unfortunately, the 17th Congress adjourned 
sine die before the same was finalized and enacted into law. 
In consideration of the foregoing premises, this Representation humbly seeks the quick 
passage of this bill for the benefit of our people whose hard work and commitment fuel the 
national economy. 
LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. 
 MIGUEL LUIS R. VILLAFUERTE 
TSUYOSHI ANTHONY G. HORIBATA 
NICOLAS ENCISO VIII 
1 https://www.sleep.org/articles/5-ways-well-rested-improves-life/ 
July 5, 2022
4:58 pm
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.,  
HON. MIGUEL LUIS R. VILLAFUERTE, HON. TSUYOSHI ANTHONY G. 
HORIBATA AND HON. NICOLAS ENCISO VIII 
“AN ACT INCREASING THE SERVICE INCENTIVE LEAVE OF 
EMPLOYEES, AMENDING FOR THE PURPOSE ARTICLE 95 OF PRESIDENTIAL 
DECREE NO. 442, AS AMENDED, OTHERWISE KNOWN AS THE LABOR CODE 
OF THE PHILIPPINES” 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Article 95 of Presidential Decree No. 442, as amended, is hereby 
amended to read as follows:  
“Article 95. Right to service incentive leave. 
(a) Every employee who has rendered at least one year of service shall be
entitled to a yearly service incentive leave of [five] TEN days with pay.
(b) This provision shall not apply to those who are already enjoying the benefit
herein provided, those enjoying vacation leave with pay of at least [five] TEN days and 
those employed in establishments regularly employing less than ten employees or in 
establishments exempted from granting this benefit by the Secretary of Labor after 
considering the viability or financial condition of the establishment.  
(c) The grant of benefit in excess of that provided herein shall not be made a
subject of arbitration or any court or administrative action.” 
SEC. 2. Implementing Rules and Regulations. - Within ninety (90) days from 
the approval of this Act, the Department of Labor and Employment shall promulgate 
the rules and regulations implementing the provisions of this Act which shall take effect 
thirty (30) days after its publication in any newspaper of general circulation.  
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SEC. 3. Repealing Clause. - All laws, decrees, orders, rules and regulations 
and other issuances or parts thereof which are inconsistent with the provisions of this 
Act are hereby repealed or amended accordingly.  
 
SEC. 4. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in any newspaper of general circulation.  
 
Approved,