Republic of the Philippines
House of Representatives
Quezon City, Metro Manila

NINETEENTH CONGRESS
First Regular Session

HOUSE BILL No. 4757

Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR.

EXPLANATORY NOTE

In the Philippines, one of the issues that our country faces is unemployment. In
2020, the Philippine Statistics Authority (PSA) stated that the unemployment rate in
the Philippines reached 17.7 percent. Further, the PSA stated that this unemployment
rate was record high. Taking into consideration that in 2020, the COVID-19 pandemic
began’

In 2022, two years into the pandemic, the unemployment rate of the Philippines
dropped to 6.0 percent®. Despite the drastic drop in the percentage rate and
considering that we are still facing a pandemic, there is still concern growing with
regard to the unemployment rate in the country.

It is the duty of the State as provided for by the Constitution? to provide
employment to the people:

SECTION 9. The State shall promote a just and dynamic social
order that will ensure the prosperity and independence of the
nation and free the people from poverty through policies that
provide adequate social services, promote full employment, a
rising standard of living, and an improved quality of life for all.

’ Highlights of the April 2020 Labor Force Survey at https ‘//psa gov ph/contentemployment-situation-
april-2020 (last accessed September 12, 2022).

2 Employment Rate in May 2022 is Estimated at 94.0 at https//psa.gov.ph/contenemployment-rate-
may-2022-estimated-940-
percent#:~:text=The%20country’s%20unemployment%20rate%20dropped,5.7% 20percent%20in %20
April%202022. (last accessed September 12, 2022).

* Section 9, Article II, 1987 Constitution.



In relation to the topic of employment, the Department of Trade and Industry in
2020 stated that the Micro, Small and Medium Enterprises (MSMEs) generated a total
of 5,380,815 jobs or 62.66% of the country's total employment rate‘.

This bill aims to decrease the unemployment rate of the Philippines and to
promote MSMEs by including them under the coverage of the Public Employment
Service Office (PESO) law. Further, this bill aims to create an entrepreneurial service
in the barangay level, which shall be named as the Barangay Employment and
Entrepreneurship Service Office (BEESO). This will create a more efficient way of
connecting job employment to those who are seeking employment. For this reason,

immediate approval of this bill is necessary. y

RNESTO “ERNIX” M. DIONISIO, JR.
Assistant Majority Floor Leader
“ Congressman
First Congressional District of Manila

* 2020 MSME Statistics at https://www.dti,gov.ph/resources/msme-statistics/ (last accessed
September 12, 2022).


Republic of the Philippines
House of Representatives
Quezon City, Metro Manila

NINETEENTH CONGRESS
First Regular Session

HOUSE BILL No. 4757

Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR.

AN ACT
FURTHER AMENDING REPUBLIC ACT NO. 8759, OTHERWISE KNOWN AS THE
PUBLIC EMPLOYMENT SERVICE OFFICE ACT OF 1999, AS AMENDED, TO
INCLUDE ENTREPRENEURSHIP IN THE SCOPE OF THE LAW, TO RENAME
THE PRESENT PUBLIC EMPLOYMENT SERVICE OFFICE (PESO) INTO THE
PUBLIC EMPLOYMENT AND ENTREPRENEURSHIP OFFICE (PEESO), AND TO
ESTABLISH THE BARANGAY EMPLOYMENT AND ENTREPRENEURSHIP
OFFICES (BEESO) NATIONWIDE, DEFINING ITS ROLE WITHIN THE EXISTING
NETWORK

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

SECTION 1. Section 3 of Republic Act No. 8759, otherwise known as the
‘Public Employment Service Office Act of 1999", as amended by Republic Act No.
10691, is hereby further amended to read as follows:

“SEC. 3. Establishment of the Public Employment and
Entrepreneurship Service Office AND THE Barangay Employment
and Entrepreneurship Office. - To carry out the above declared policy,
there shall be established in all provinces, cities, and municipalities a
Public Employment and Entrepreneurship Service Office, hereinafter
referred to as ‘PEESO’

To support the Provincial and Municipal PEESO, a Barangay
Employment and Entrepreneurship Office, herein referred to as
‘BEESO’, shall be established in all barangays nationwide. The
BEESO shall extend the reach of the Municipal PEESO to the rural
areas where the bulk of employment mode is not wage-based but
based on self-employment and availment of livelihood
opportunities. The creation of the BEESO seeks to help improve
the access of the rural workforce to employment and
entrepreneurship services.


The PEESO AND THE BEESO shall be operated and maintained
by local government units (LGUs). The PEESOs and the BEESOs shall
be linked to the regional offices of the Department of Labor and
Employment (DOLE) for coordination and technical supervision, and to
the DOLE central office, to constitute the national public employment
and entrepreneurship service network.

The PEESO OR BEESO, AS THE CASE MAY BE, shall be
under the office of the governor, city municipal mayor, and barangay
chairman. The PEESO OR BEESO, AS THE CASE MAY BE, shall be
initially organized by and composed of a PEESO OR BEESO manager
and may be assisted by a labor and employment officer (LEO) as may
be determined by the LGU.

Upon the request of accredited Non-Governmental Organizations
(NGOs) or Educational Institutions (Els), the DOLE may enter into a
Memorandum of Agreement for the NGO and El to establish, operate
and maintain a PEESO AND BEESO and a job placement office,
respectively.

To harmonize the provision of employment _ and
entrepreneurship services in a given territorial jurisdiction, the PEESO
AND BEESO at the NGOs and the job placement office in Els shall
coordinate their activities with the appropriate LGU PEESO OR BEESO,
AS THE CASE MAYBE.”

SECTION 2. Section 4 of RA 8759, as amended by RA 10691, is hereby
amended to read as follows:

“SEC. 4. Objectives of the PEESO AND BEESO. - In general, the
PEESO AND BEESO shall ensure the prompt, timely, and efficient
delivery of employment and entrepreneurial services and provision of
information on the other DOLE programs.

Specifically, the PEESO/BEESO shall:
(a) Provide a venue where people could explore simultaneously
various wage employment and entrepreneurial option and
[actually] seek the assistance they prefer;

(b) Serve as referral and information center for the various
services and programs of DOLE and other government
agencies present in the area;

(c) Provide clients with adequate information on
entrepreneurship, employment, and labor market situation in
the area;

(d) Network with other PEESOs AND BEESOs within the region
‘on employment for job exchange purposes|.] AND WITH
OTHER GOVERNMENT, NON-GOVERNMENT AGENCIES
AS WELL AS WITH THE PRIVATE AND BUSINESS
SECTORS FOR INFORMATION EXCHANGE AND
ENTREPRENEURIAL OPPORTUNITIES.”


SECTION 3. Section 5 of RA 8759, as amended by RA 10691, is hereby
further amended to read as follows:

“SEC. 5. Functions of the PEESO AND BEESO. The PEESO

and BEESO shall have the following functions:

(a) Encourage employers to REGULARLY submit to the PEESO
AND BEESO [on a regular basis] a list of job vacancies in their
respective establishments in order to facilitate the exchange
of labor market information between job seekers and
employers by providing employment information services to
job seekers, both for local and overseas employment, and
recruitment assistance to employers;

(b) Develop and administer testing and evaluation instruments
for effective job selection, training, and counselling;

(c) SERVE AS VENUE FOR CONVERGENCE BY THE
APPROPRIATE AGENCIES TO [Plprovide persons with
[qualities] entrepreneurship enhancement interventions,
access to the various livelihood and self-employment and
information programs offered by both government and non-
governmental organizations at the provincial, city, municipal,
and barangay levels by undertaking referrals for such
program;

(d) Undertake employability enhancement training[s] or seminars
for job seekers, as well as those who would like to change
careers or enhance their employability;

(e) Provide employment or occupational counseling, career
guidance, mass motivation, and values development
activities;

(f) Conduct pre-employment counseling and orientation to
prospective local and, most especially, overseas workers;

(g) Provide reintegration assistance services to returning Filipino
migrant workers;

(h) Prepare and submit to the local Sanggunian an annual
employment facilitation plan and budget including other
regular funding sources and budgetary support of the PEESO
AND THE BEESO; [and]

(i) Refer job applicants who may need further ti ig or
retraining to the Technical education and_ skills
development authority (TESDA) Community Training for
Employment Coordinator (CTEC) and other training or
educational institutions; AND,

(j) “Perform such functions as to fully carry out the objectives of
this Act.”

SECTION 4. Section 6 of RA 8759, as amended by RA 10691, is hereby further
amended to read as follows:


“SEC. 6. Other Services of the PEESO AND BEESO. - In
addition to the functions enumerated in the preceding section, THE
PROVINCIAL PEESO SHALL CONDUCT PERIODIC JOB
CLEARANCE MEETINGS WITH ALL THE MUNICIPAL AND CITY
PEESOS WITHIN ITS AREA OF JURISDICTION FOR THE PURPOSE
OF ELIMINATING DUPLICATIONS IN ACCOMPLISHMENT
REPORTING TO THE DOLE AND THE LGUS. THE MUNICIPAL
PEESO SHALL LIKEWISE EXERCISE THE ABOVE FUNCTION IN
RELATION TO THE BEESOS. MOREOVER, every PEESO AND
BEESO shall undertake holistic strategies, programs, and activities to
transform the PEESO AND BEESO into a modern public employment
and entrepreneurship service intermediary that provides multi-
dimensional employment and entrepreneurship facilitation services.”

SECTION 5. Section 7 of RA 8759, as amended by RA 10691, is hereby further
amended to read as follows:

“SEC. 7. Role of the DOLE and the LGUs. - The LGUs, in
coordination with the DOLE, shall establish the PEESO AND BEESO.

It shall be the responsibility of the DOLE to:

a) Provide technical supervision, coordination, and capacity

building to the PEESO AND BEESO;

b) Establish and maintain AN UPDATED computerized human
resource and job registries to facilitate the provision and
packaging of employment assistance to PEESO AND BEESO
clients and the setting-up of intra) and
inter{regional]-geographical job clearance systems as part of
the overall employment network;

Provide technical assistance and allied support services to the

PEESO AND BEESO including, but not limited to, the training

of PEESO AND BEESO personnel in the various aspects of

employment and entrepreneurship facilitation functions;

d) Set standards for the establishment and operation of the
PEESO AND BEESO office and qualification standards for the
PEESO AND BEESO personnel;

e) Extend other packages of employment and
entrepreneurship services to the LGU, NGO or El
concerned, including the conduct of job fairs, career
development seminars, entrepreneurship interventions,
and other activities; and

f) Monitor, assess, and evaluate the performance of the PEESO
AND BEESO, including the job placement offices in Els.

C)

For their part, persons who are seeking employment, particularly
the unemployed, shall register at the PEESO/BEESO for employment
and entrepreneurship facilitation assistance. The establishments, on
the other hand, shall submit their job vacancies as well as applicants
hired to the PEESO AND BEESO to ensure the availability of accurate


information on supply and demand situation for various occupations as
well as skills in the labor market.

The LGU shall establish a monitoring system wherein
establishments operating in the locality shall report the following relevant
labor market information to the concerned office of the LGU:

a) Present number and nature of jobs[;], self-employment,
livelihood opportunities; and,

b) Projection of jobs that the establishment will provide or
offer in the next five (5) years;

Provided that, [T]the information shall be submitted to the PEESO AND
BEESO for job matching and to Els for career guidance of the students.
PROVIDED FURTHER THAT, [lit shall be the responsibility of the
concerned LGU to:

(i) Operate and maintain the PEESO AND BEESO;

(ii) Ensure compliance with the operational standards set by the
DOLE;

(iii) Extend such assistance and services as may be necessary in
the promotion of employment and entrepreneurship within
the area of jurisdiction; and,

(iv) Submit to the DOLE periodic performance and
accomplishment reports.”

SECTION 6. Section 8 of RA 8759, as amended by RA 10691, is hereby
amended to read as follows:

SEC. 8. Administration of the PEESO AND BEESO Program. -
The DOLE shall be primarily responsible for the administration of the
PEESO AND BEESO Program through its Bureau of Local Employment,
as well as its regional offices throughout the country. The Secretary of
Labor and Employment, in coordination with the Department of the
Interior and Local Government and in consultation with the presidents of
the various local government leagues, namely the League of Provinces,
the League of Cities, the League of Municipalities, and the League of
Barangays, AND IN CONSULTATION WITH THE DEPARTMENT OF
TRADE AND INDUSTRY, DEPARTMENT OF SCIENCE AND
TECHNOLOGY, AND SUCH OTHER GOVERNMENT AGENCIES
AND INSTRUMENTALITIES WHICH OFFER PROGRAMS ON
EMPLOYMENT, LIVELIHOOD, AND ENTREPRENEURSHIP, shall
accordingly promulgate, within ninety (90) days from the effectivity of this
Act, the necessary rules and regulations for the effective implementation
of the [Program] ACT.”

SECTION 7. Section 9 of RA 8759, as amended by RA 10691, is hereby further
amended to read as follows:

“SEC. 9. Funding. — The funding for the operation and
maintenance of the PEESO AND BEESO shall be provided by the LGU


from its internal revenue allotment and other internally generated income
of the LGU concerned. Likewise, the operation and maintenance of the
NGO PEESO AND BEESO and job placement offices of Els shall be
charged against their internally generated income.

Funds for the provision of technical assistance, training, and
supervision of the PESO shall be included in the budget of the DOLE in
the annual General Appropriations Act.

The amount necessary to implement the provisions of this Act
shall be included by the Department of Budget and Management in the
annual General Appropriations Act.”

SECTION 8. Implementing Rules and Regulations. — The Secretary of the
Department of Labor and Employment, in coordination with the Department of Interior
and Local Government, the Department of Trade and Industry, the Department of
Science and Technology and such other relevant government agencies and
instrumentalities, shall issue the necessary rules and regulations for the effective
implementation of this Act within ninety (90) days after its effectivity.

SECTION 9. Separability Clause. - If for any reason, any section or provision
of this Act or any part thereof, or the application of such section, provision or portion
is declared invalid or unconstitutional, the remainder thereof shall not be affected by
such declaration.

SECTION 10. Repealing Clause. — All laws, decrees, executive orders,
proclamations, rules and regulations or any part thereof, which are inconsistent with
the provisions of this Act, are hereby deemed repealed or modified accordingly.

SECTION 11. Effectivity. - This Act shall take effect after fifteen (15) days
from the date of its publication in the Official Gazette or in at least two (2) newspapers
of general circulation.

Approved,