EIGHTEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
Second Regular Session 
)
SENATE 
S. No. 2189
DATE
TJME
IND’cX
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
EXPANDING THE COVERAGE OF THE TELECOMMUTING ACT AND 
PROVIDING INCENTIVES FOR TELECOMMUTING EMPLOYEES, AMENDING 
FOR THE PURPOSE, REPUBLIC ACT NO. 11165, OTHERWISE KNOWN AS THE 
TELECOMMUTING ACT AND FOR OTHER PURPOSES
EXPLANATORY NOTE
Republic Act No. 11165 or the "Act Institutionalizing Telecommuting as an 
Aiternative Work Arrangement for Employees in the Private Sector" was enacted on 
December 2018. Telecommuting refers to a work arrangement that ailows an 
employee to work from an alternative workplace with the use of telecommunication 
and/or computer technologies. The same is pursued in light of the rapid technological 
developments and breakthroughs which opened new and unconventional avenues for 
employees to perform their work and other flexible work arrangements.
The legislation proved useful and especially responsive to the ongoing health 
emergency, which imposed severe mobility and transport restrictions, and required 
the adoption of novel work setup and schedules, less face-to-face transactions and 
limited physical presence in offices and work stations. As seen during this pandemic, 
telecommuting offers a viable work arrangement in line with the government directive 
of staying at home, social distancing and quarantine/isolation measures.
This biii expands the coverage of this Act to include employees in the public 
sector, who are also affected by and need to navigate the massive reforms of working 
conditions. Moreover, this proposal introduces monthly incentives or financial support 
to workers to effectively perform their duties and responsibilities, even outside their


offices with the usual facilities and infrastructure. This incentive allows the workers to 
shoulder the additional expenses of computer or electronic hardware, internet 
connection, telephone bills, electric consumption, supplies, among others, attendant 
to working in their private residence. Allowances granted by private employers shall 
also be deductible for income tax purposes.
In this light, the consideration of this bill is recommended.
RAMO^BONG REVILLA, JR.


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Second Regular Session
SENATE 
S. No. 2189
TJfilE
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
EXPANDING THE COVERAGE OF THE TELECOMMUTING ACT AND 
PROVIDING INCENTIVES FOR TELECOMMUTING EMPLOYEES, AMENDING 
FOR THE PURPOSE, REPUBLIC ACT NO. 11165, OTHERWISE KNOWN AS THE 
TELECOMMUTING ACT AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representative of the Philippines in Congress 
assembled:
1 
Section 1. Section 3 of Republic Act No. 11165, otherwise known as the
2 
"Telecommuting Act", is hereby amended to read as follows:
3 
"Sec. 3. Telecommuting Defined. - As used in this Act, the term
4 
"telecommuting" refers to [a] AN OUTPUT-ORIENTED work
5 
arrangement that allows an employee in the private OR PUBLIC sector
6 
to work from an alternative workplace with the use of telecommunication
7 
and/or computer technologies."
8 
Sec. 2. Section 4 of Republic Act No. 11165 is hereby amended to read as
9 
follows:
10 
"Sec. 4. Telecommuting Program. - An employer in the private OR
11 
PUBLIC sector may offer a telecommuting program to its employees on
12 
a voluntary basis, WHOSE PHYSICAL PRESENCE IN THE
13 
WORKPLACE IN NOT NECESSARY FOR THE PERFORMANCE OR
14 
COMPLETION OF HIS/HER JOB, and upon such terms and conditions
15 
as they may mutually agree upon: Provided, That such terms and
16 
conditions shall not be less than the minimum labor standards set by law.


1 
and shall include compensable work hours, minimum number of work
2 
hours, overtime, rest days, and entitlement to leave benefits. In aii cases,
3 
the employer shall provide the telecommuting employee with relevant
4 
written information in order to adequately apprise the individual of the
5 
terms and conditions of the telecommuting program, and the
6 
responsibilities of the employee."
7 
Sec. 3. Section 7 (b) of Republic Act No. 11165 is hereby amended to read as
8 
follows:
9 
"Sec. 7. Administration. - The parties to a telecommuting work
10 
arrangement shall be primarily responsible for its administration. In case
11 
of differences in interpretation, the following guidelines shall be observed"
12 
XXX
13 
b) If there is no grievance mechanism or if the mechanism is
14 
inadequate, the grievance shall be referred to the regional office of the
15 
Department of Labor and Employment (DOLE) OR THE CIVIL SERVICE
16 
COMMISSION (CSC) which has jurisdiction over the workplace for
17 
conciliation."
18 
X X X
19 
Sec. 4. A new section is hereby inserted after Section 8 of Republic Act No.
20 
11165, which shall read as follows:
21 
"SEC. 9. INCENTIVES FOR TELECOMMUTING EMPLOYEES. -
22 
ALL EMPLOYEES WORKING UNDER A TELECOMMUTING PROGRAM
23 
SHALL BE ENTITLED TO A NON-TAXABLE TELECOMMUTING
24 
ALLOWANCE OF AT LEAST ONE THOUSAND PESOS (PHP 1,000.00)
25 
FOR EVERY MONTH SERVED UNDER SUCH AGREEMENT.
26 
PROVIDED, THAT, NOTHING IN THIS PROVISION SHALL BE
27 
CONSTRUED TO ELIMINATE OR IN ANY WAY DIMINISH
28 
SUPPLEMENTS, ALLOWANCES, OR OTHER EMPLOYEE BENEFITS
29 
SERVING A SIMILAR PURPOSE BEING ENJOYED AT THE TIME OF
30 
THE IMPLEMENTATION OF THIS LAW. PROVIDED FURTHER, THAT,
31 
NOTHING IN THIS PROVISION SHALL BE INTERPRETED TO
32 
PROHIBIT THE EMPLOYERS OR THE COLLECTIVE BARGAINING


1 
AGREEMENT FROM PROVIDING TERMS HIGHER OR MORE
2 
FAVORABLE THAN THE ABOVE-MENTIONED RATE. PROVIDED,
3 
FINALLY, THAT ALLOWANCES, GRANTED BY PRIVATE EMPLOYERS
4 
UNDER THIS PROVISION SHALL BE DEDUCTIBLE FOR INCOME
5 
TAX PURPOSES."
6 
Succeeding sections of RA 11165 are hereby renumbered accordingly.
7 
Sec. 5. Implementing Rules and Regulations. - The Department of Labor and
8 
Employment (DOLE), the Civil Service Commission, the Department of Finance, and
9 
the Bureau of Internal Revenue (BIR), shall promulgate the rules and regulations to
10 
implement this Act within ninety (90) days from the effectivity of this Act.
11 
Sec. 6. Separability Clause. — If any provision or part hereof is held invalid or
12 
unconstitutional, the remainder of the law or the provision or part not otherwise
13 
affected shall remain valid and subsisting.
14 
Sec. 7. Repealing Clause. — All laws, decrees, orders, rules and regulations or
15 
parts thereof inconsistent with this Act are hereby repealed or amended accordingly.
16 
Sec. 8. Effectivity. - This Act shall take effect fifteen (15) days after its
17 
publication in the OfTicial Gazette or in two (2) newspapers of general circulation.
Approved,