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Republic of the Philippines  
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House of Representatives 
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Quezon City 
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TWENTIETH CONGRESS 
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First Regular Session 
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House Bill No. __________ 
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Introduced by Representative Jernie Jett V. Nisay 
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EXPLANATORY NOTE 
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More and more Filipinos are choosing freelancing as a way to earn a living. It 
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offers freedom, flexibility, and the chance to work with clients from around the world, 
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whether in design, writing, teaching, tech, or other fields. But along with these 
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opportunities come real struggles that many freelancers face every day: delayed or 
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unpaid fees, sudden cancellation of projects, and agreements made only through 
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informal messages or verbal promises. 
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Right now, there is no clear law that protects freelancers when these problems 
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happen. This bill aims to change that. It pushes for written contracts with clear terms, 
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fair payment practices including an upfront fee, and penalties for those who fail to honor 
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their commitments. It also makes government processes easier for freelancers, like 
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setting up special lanes in the Bureau of Internal Revenue (BIR) for registration and 
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assistance, and the Department of Labor and Employment (DOLE) will be tasked to 
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implement, monitor, and promote this measure. 
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Freelancers are an important part of our modern workforce. They deserve the 
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same respect and protection as any other worker. This bill is a step towards ensuring 
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they are treated fairly, paid on time, and supported by our laws. 
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In light of this, the immediate passage of this measure is earnestly sought. 
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REP. JERNIE JETT V. NISAY 
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Pusong Pinoy Partylist 
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September 10, 2025
3:58 pm
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Republic of the Philippines 
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House of Representatives 
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Quezon City 
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TWENTIETH CONGRESS 
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First Regular Session 
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House Bill No. __________ 
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Introduced by Representative Jernie Jett V. Nisay 
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AN ACT 
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PROVIDING PROTECTION AND INCENTIVES TO FREELANCE WORKERS 
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Be it enacted by the Senate and House of Representatives of the Philippines in 
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Congress assembled: 
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CHAPTER I 
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GENERAL PROVISIONS 
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SECTION 1. Short Title. – This Act shall be known as the Act shall be known 
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as the “Freelance Workers Protection Act.” 
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SEC. 2. Declaration of Policy. – Pursuant to Article II, Section 18, and Article 
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XIII, Section 3 of the Constitution, it is hereby declared the policy of the State to protect 
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the rights of workers, promote their welfare, and ensure their entitlement to humane 
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conditions of work and just share in the fruits of production. To this end, the State shall 
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recognize the right of freelance workers to protection from late or nonpayment of fees 
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for services rendered. 
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SEC. 3. Definition of Terms – As used in this Act: 
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(a) Freelance worker, refers to any natural person or entity composed of no
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more than one (1) natural person, whether incorporated under the
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Securities and Exchange Commission, registered as a sole proprietorship
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under the Department of Trade and Industry (DTI) or registered as self-
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employed with the Bureau of Internal Revenue (BIR), who is hired or
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retained to provide services, in exchange for compensation, as an 
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independent contractor to do work according to one’s own methods and 
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without being subjected to the control of the hiring party, except only as 
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to the results of the work; 
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(b) Hiring party refers to any person or entity that obtains or retains the 
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services of a freelance worker; and 
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(c) Retaliation refers to any act reasonably likely to prevent a freelance 
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worker from further being offered freelance work and contracts. 
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SEC. 4. Written Contract. – Any hiring party obtaining or retaining the services 
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of a freelance worker shall execute a written contract with the freelance worker before 
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the services are rendered. The hiring party and the freelance worker shall each retain 
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a signed copy of the contract. 
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The contract shall be written in plain language, understood by both 
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parties. It shall include, at the minimum, the following: 
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(a) Itemization of all services to be provided by the freelance worker; 
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(b) Details of compensation and other worker’s benefits, including rate, 
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method and schedule of payment; 
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(c) Period of employment; 
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(d) Grounds for breach of contract on the part of the hiring party and of 
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the freelance worker; and 
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(e) Any other condition, term or clause that the Department of Labor and
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Employment (DOLE) may direct, subject to the provisions of this 
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Act.  
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The contract must state the necessary personal circumstances of the 
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freelance worker, such as but not limited to the freelance worker’s name, address 
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and the worker’s Tax Identification Number. No modification of the terms of the 
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contract shall be enforceable unless signed by both the hiring party and the 
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freelance worker. 
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SEC. 5. Down Payment. – An initial partial payment for the contracting of 
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services of the freelance worker shall be made upon engagement, which shall be not 
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less than thirty percent (30%) of the contract price. 
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SEC. 6. Night Shift Differential. – Freelance workers who are required to be 
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physically present in the workplace, or those on field assignments, shall be paid a night 
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shift differential of not less than ten percent (10%) of their regular compensation for 
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each hour of work performed between ten o’clock in the evening and six o’clock in the 
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morning, unless there is a more favorable fee stipulated in the contract. 
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SEC. 7. Hazard Pay. – All freelance workers deployed in dangerous areas such 
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as strife-torn or embattled locations, distressed or isolated stations, prison camps, 
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mental hospitals, radiation-exposed clinic, laboratories or disease-infested areas, or in 
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areas declared under a state of calamity or emergency for the duration of deployment 
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and unduly exposes them to great danger, contagion, radiation, occupational risk or 
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perils to life, shall be compensated with a hazard pay equivalent to at least twenty-five 
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percent (25%) of the total payment for the period of such deployment as agreed upon 
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in the contract, unless there is a more favorable fee stipulated therein. 
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SEC. 8. Unlawful Practices. – It shall be unlawful for any hiring party to: 
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(a) Engage with a freelance worker without a written contract; 
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(b) Pay the compensation due the freelance worker later than fifteen (15) 
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days after the date of payment of compensation stated in the written 
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contract or after the rendition of services in cases where there is no written 
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contract; 
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(c) Require as a condition of payment of compensation at any time after a 
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freelance worker has commenced rendition of services, that the latter 
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accept less than the specified contract price; or 
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(d) Commit any act of retaliation against any freelance worker for: 
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(1) Opposing any practice prohibited by this Act; 
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(2) Filing a complaint authorized under this Act; 
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(3) Testifying or assisting in any proceeding authorized under this Act; 
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(4) Commencing a civil action alleging a violation of this Act; 
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(5) Assisting the DOLE in an investigation commenced pursuant to 
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this Act; or 
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(6) Providing information to the DOLE pursuant to the terms of a 
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mediation or conciliation agreement under this Act. 
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SEC. 9. Civil Penalty. – A person who commits any of the unlawful practices 
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enumerated in Section 8 of this Act shall be punished by a fine of not less than Fifty 
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thousand pesos (₱50,000.00) but not more than Five hundred thousand pesos 
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(₱500,000.00). 
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CHAPTER II 
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AGENCY ENFORCEMENT AND ADMINISTRATIVE PROCESS 
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SEC. 10. Complaints. – Any person or such person’s authorized representative 
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aggrieved by a violation of this Act, may file a complaint with the DOLE, through the 
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Undersecretary for Workers with Special Concerns, without prejudice to the filing of civil 
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action in appropriate cases. SEC. 11. Prohibition 
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SEC. 11. Prohibition Against Forum Shopping. – When a civil action has been 
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initiated in a court of competent jurisdiction arising from any violation of this Act, a 
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breach of contract, or any similar claim at law or equity arising out of the same 
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transaction or series of transactions, no other case involving the same cause of action 
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shall be filed with the DOLE. 
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SEC. 12. Investigation. – Upon receiving a complaint alleging a violation of this 
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Act, the DOLE shall notify the respondent in writing and investigate such complaint in a 
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timely manner. Within fifteen (15) calendar days of receiving such written notification, 
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the respondent shall provide the DOLE with a written response and such other 
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information as the DOLE may request. The DOLE shall notify each complainant in 
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writing, not less than thirty (30) calendar days after the complaint is filed, of the status 
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of the complaint and any resulting investigation. SEC. 13. Mediation and Conciliation. 
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SEC. 13. Mediation and Conciliation. – The DOLE may, at any time after the 
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filing of a complaint, attempt to resolve the complaint by any method of dispute 
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resolution, including mediation and conciliation. If a conciliation agreement is entered 
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into, the DOLE shall embody such agreement in an order and serve a copy thereof upon 
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all parties to the conciliation agreement. 
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CHAPTER III 
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CIVIL ENFORCEMENT 
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SEC. 14. Notice of Violation and Order of Payment. – If, as a result of an 
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investigation of a complaint or an investigation conducted upon its own initiative, the 
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DOLE finds cause to believe that a violation of this Act has occurred, it shall issue a 
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notice of violation to the respondent and order the corresponding payment of 
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compensation due to the prevailing party. 
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SEC. 15. Violation of Order of Payment. – The order of payment shall include 
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an interest rate of six percent (6%) per annum which shall be awarded to the prevailing 
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party in case the violation continues. 
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SEC. 16. Civil Action. – Except as otherwise provided by law, any person 
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aggrieved by a violation of this Act may file a complaint in a court of competent 
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jurisdiction for damages, injunctive relief and such other remedies as may be 
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appropriate, without prejudice to the filing of a criminal action in appropriate cases. The 
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prevailing party shall be entitled to an award of reasonable attorney’s fees and costs. 
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No person claiming to be aggrieved by a violation of this Act may bring a civil action 
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in a court of competent jurisdiction if such aggrieved person, or one’s representative, 
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has filed a complaint with the DOLE pursuant to Chapter II of this Act and based upon 
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the same transaction or series of transactions, unless that complaint has been 
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terminated without prejudice to a subsequent civil action. 
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SEC. 17. Non-Waiver. – Except as otherwise provided by law, any provision of 
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any contract or agreement purporting to waive rights under this Act is against public 
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policy and shall be null and void. 
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SEC.18. Coverage. – This Act shall apply only to contracts or agreements 
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entered into upon the effectivity of this Act. 
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CHAPTER IV 
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TAXATION 
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SEC. 19. Tax Relief. – Freelancers, as defined under this Act, shall be entitled 
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to tax relief within the threshold provided under the National Internal Revenue Code of 
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1997, as amended, and Republic Act No. 9178, otherwise known as the “Barangay 
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Micro Business Enterprises (BMBEs) Act of 2002.” 
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SEC. 20. Special Assistance. – Every BIR Revenue District Office shall 
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designate a lane or a special assistance desk that shall be manned by an officer who 
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shall assist freelance workers on their inquiries and in complying with the processing of 
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documents, including the registration requirement under this Act. 
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CHAPTER V 
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FINAL PROVISIONS 
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SEC. 21. Report. – One (1) year after the effectivity of this Act, and every year 
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thereafter, the Secretary of Labor and Employment shall submit a report to the 
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Committee on Labor and Employment of the House of Representatives and the 
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Committee on Labor, Employment and Human Resources Development of the Senate 
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of the Philippines regarding the effectiveness of the provisions of this Act in improving 
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freelance contracting and payment practices. Similarly, the DOLE shall submit the 
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report to the Philippine Creative Industries Development Council, through its Creative 
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Workers’ Welfare Standing Committee. The report shall include, at the minimum, the 
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number of complaints received, investigations initiated and notices issued by the DOLE 
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on violations of this Act, and complaints settled by mediation or conciliation. 
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SEC. 22. Information Campaign. – The DOLE shall, in coordination with the 
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DTI, BIR, local government units and other relevant agencies, initiate a program with 
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the objective of informing freelance workers of their rights and obligations, the proper 
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procedure of registering as a taxpayer, and the modes of legal redress as provided for 
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in this Act, and in other laws and regulations. 
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SEC. 23. Suppletory Application. – The provisions of Republic Act No. 11058, 
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entitled “An Act Strengthening Compliance with Occupational Safety and Health 
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Standards and Providing Penalties for Violations Thereof” shall be applied suppletorily 
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to this Act. 
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SEC. 24. Implementing Rules and Regulations. – Within fifteen (15) days from 
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the effectivity of this Act, the Secretary of Labor and Employment shall, in coordination 
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with the BIR and other relevant agencies, issue the rules and regulations from the 
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implementation of this Act. 
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SEC. 25. Separability Clause. – If any part, section or provision of this Act is 
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declared invalid or unconstitutional, the other provisions not affected by such 
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declaration shall remain in full force and effect. 
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SEC. 26. Repealing Clause. – All laws, decrees, orders, rules, and regulations, 
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or other issuances or parts thereof inconsistent with the provisions of this Act are hereby 
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repealed, amended or modified accordingly. 
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SEC. 27. Effectivity. – This Act shall take effect fifteen (15) days after its 
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publication in the Official Gazette or in a newspaper of general circulation. 
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Approved, 
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