HOUSE OF Ri

RECEIVED

CONGRESS OF THE PHILIPPINES!
SEVENTEENTH CONGRESS TUN:
First Regular Session BY:

HOUSE OF REPRESENTATIVES BrersTRATION UNIT
House Bill No. z2u0 BULLS «\.) AUX SERVICE

Introduced by Representative GLORIA MACAPAGAL ARROYO

EXPLANATORY NOTE

The contribution of the Overseas Filipino Workers in the national economy
cannot be overemphasized. Last year alone, the OFE remittance amounted to
$17B. Admittedly, OFWs continue to provide a boost to our economy amidst
uncertainty in the world economy. Apart from their fiscal contribution, returning
OFWs bring with them the skills and expertise from other countries that can be
applied to improve our local industries and businesses.

Unfortunately, OFWs after spending productive years in abroad do not
have many options when they return. Thus, they either become entrepreneurs if
they have substantial earnings or worse, they end up being unemployed. With
this unfortunate scenario, OFWs must be given assistance when they return.
Whether they are in between employment contracts, terminated or looking for
employment upon retirement, OFWs must be given monetary assistance during
these difficult times.

Even workers in the Philippines face the same predicament.
Unemployment rate continue to account for a substantial part of the population.
The Social Security System must come to the aid of the unemployed members in
this time of need

This Bill seeks to provide unemployment benefit to members who are
unemployed. After being a member of the SSS for at least seven (7) years and
have regularly paid monthly contributions for the same period, a member is
eligible to receive the unemployment benefit. This will address the pressing
financial difficulty that unemployment brings and will enable a member to look for
alternative options while looking for gainful employment. This Bill will provide
additional benefit and expand the protection to our workers who are the
backbone of our economy.

REP. GLORIA MACAPAGAL ARROYO

District, Pampanga


CONGRESS OF THE PHILIPPINES
SEVENTEENTH CONGRESS
First Regular Session

HOUSE OF REPRESENTATIVES
House Bill No. eu

Introduced by Representative GLORIA MACAPAGAL ARROYO.

AN ACT PROVIDING FOR UNEMPLOYMENT BENEFIT TO BE PROVIDED BY
THE SOCIAL SECURITY SYSTEM, AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 8282 ENTITILED “AN ACT FURTHER
STRENGTHENING THE SOCIAL SECURITY SYSTEM THEREBY
AMENDDING FOR THIS PURPOSE, REPUBLIC ACT NO. 1161, AS
AMENDED, OTHERWISE KNOWN AS THE SOCIAL SECURITY LAW” AND
FOR OTHER PURPOSES.

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

SECTION 1. Section 2 of Republic Act No. 1161, as amended by Republic
Act 8282, otherwise known as the “Social Security Law’, is hereby further
amended to read as follows:

“SEC. 2. Declaration of Policy. — It is the policy of the Republic of the
Philippines to establish, develop, promote and perfect a sound and viable
tax-exempt social security service suitable to the needs of the people
throughout the Philippines which shall promote social justice and provide
meaningful protection to members and their beneficiaries against the
hazard of disability, sickness, maternity, old age, death, and other
contingencies resulting in loss of income or financial burden. Towards this
end, the State shall endeavor to extend social security protection to
workers INCLUDING OVERSEAS FILIPINO WORKERS and _ their
beneficiaries.”

SEC. 2. Section 3 of Republic Act No. 1161, as amended by Republic Act
8282, is hereby further amended to read as follows:

“SEC . 3. Social Security System. - (a) To carry out the purposes of this
Act, the Social Security System, hereinafter referred to as ‘SSS’, a
corporate body, with principal place of business in Metro Manila,
Philippines is hereby created. The SSS shall be directed and controlled by
a Social Security Commission, hereinafter referred to as ‘Commission’,
composed of the Secretary of Labor and Employment or his duly
designated undersecretary, the SSS president and seven (7) appointive
members, three (3) of whom shall represent the workers’ group at least
one of whom shall be a woman AND ONE (1) TO REPRESENT
OVERSEAS FILIPINO WOKERS; three (3), the employers’ group, at least
‘one (1) of whom shall be a woman; and one (1), the general public whose
representative shall have adequate knowledge and experience regarding
social security, to be appointed by the President of the Philippines. x x
x xX


SEC. 3. Section 9(c) of Republic Act No. 1161, as amended by Republic
Act 8282, is hereby further amended to read as follows:

“SEC. 9. Coverage. - (a)x x x

“(c) OVERSEAS FILIPINO WORKERS recruited by foreign-based
employers for employment abroad may be covered by the SSS on a
voluntary basis.”

SEC. 4. A new Section 14-B is hereby added after Section 14-A of
Republic Act No. 8282 to read as follows:

“SEC. 14-A. Maternity Leave Benefit. x x x x"

SEC. 14-B. UNEMPLOYMENT BENEFIT. A MEMBER OF THE SYSTEM
SHALL BE ELIGIBLE TO RECEIVE A MONTHLY UNEMPLOYMENT
BENEFIT UPON FULFILLMENT OF THE FOLLOWING
UNEMPLOYMENT CONDITIONS:

1 REGISTRATION AND PAYMENT OF MONTHLY
CONTRIBUTION FOR AT LEAST SEVEN (7) YEARS PRIOR TO
THE CLAIM OF UNEMPLOYMENT;

2. UNEMPLOYED MEMBER MUST ACTIVELY BE LOOKING FOR
EMPLOYMENT FOR AT LEAST THIRTY (30) DAYS PRIOR TO
THE FILING OF THE CLAIM;

3. CERTIFICATION FROM ANY CONCERNED GOVERNMENT
AGENCY THAT MEMBER HAS REQUESTED ASSISTANCE IN
SEEKING EMPLOYMENT; AND

4. PROOF OF LAST SALARY RECEIVED OR EMPLOYMENT
CONTRACT BEARING INCLUSIVE DATES OF EMPLOYMENT.

AN OVERSEAS FILIPINO WORKER SHALL BE ELIGIBLE TO RECEIVE
A MONTHLY BENEFIT UPON FULFILLMENT OF THE FOLLOWING
CONDITIONS:

1. REGISTRATION AND PAYMENT OF MONTHLY
CONTRIBUTION FOR AT LEAST SEVEN (7) YEARS PRIOR TO
THE CLAIM OF UNEMPLOYMENT,

2. RETURNING OFW MUST BE ACTIVELY LOOKING FOR
EMPLOYMENT FOR AT LEAST THIRTY (30) DAYS PRIOR TO
THE CLAIM;

3. PROOF OF REGULAR DEPLOYMENT (POEA PROCESSING
OF CONTRACT). OVERSEAS WORKERS WELFARE
ADMINISTRATIONMEMBERSHIP AND OTHER SIMILAR
DOCUMENTS;

4. TE MOST RECENT EMPLOYMENT CONTRACT BEARING
INCLUSIVE DATES OF EMPLOYMENT, PRIOR TO
UNEMPLOYMENT;

5. PROOF OF REMITTANCE OF THE OFW WHILE WORKING
OVERSEAS; AND

6. CERTIFICATION FROM ANY CONCERNED GOVERNMENT
AGENCY THAT MEMBER HAS REQUESTED ASSISTANCE IN
SEEKING EMPLOYMENT.

THE MONTHLY EMPLOYMENT BENEFIT SHALL BE GIVEN TOA
QUALIFIED MEMBER FOR A MAXIMUM PERIOD OF TWELVE
(12) MONTHS OR UNTIL UNEMPLOYMENT CEASES


WHICHEVER COMES FIRST; PROVIDED THAT, THIS BENEFIT
SHALL ONLY BE AVAILED OF ONCE EVERY SEVEN (7) YEARS.

FOR OVERSEAS FILIPINO WORKERS, THE NATIONAL
GOVERNMENT SHALL AUTOMATICALLY APPROPRIATE
ANNUALLY AN AMOUNT EQUIVALENT TO TEN PERCENT OF
ONE PERCENT (.1%) OF THE TOTAL OFW REMITTANCE OF
THE IMMEDIATE PRECEDING YEAR.

SEC. 5. Applicability and Repealing Clause. - All laws, presidential
decrees, executive orders, issuances, rules and regulations, and part thereof
which are contradictory to inconsistent with the provisions of this Act are hereby
repealed, amended or modified accordingly.

SEC.6. Effectivity. - This Act shall take effect fifteen (15) days after its

publication in the Official Gazette or in at least two (2) newspapers of general
circulations.

Approved,