TWENTIETH CONGRESS OF THE​
) 
REPUBLIC OF THE PHILIPPINES​
) 
First Regular Session​
​
) 
HOUSE OF REPRESENTATIVES 
HOUSE BILL No. 2911 
INTRODUCED BY HON. RICARDO S. CRUZ, JR. 
EXPLANATORY NOTE 
The kind of society we aspire for, with the aid of Almighty God, is embodied in the 
preamble of our Constitution. The hope of building a just and humane society will 
begin once we look beyond simply providing a minimum wage, and start aiming 
for a living wage for all Filipinos. 
While many factors contribute to building that ideal society—rules-based peace 
and order, reliable and affordable housing, and public utilities, including a reliable 
internet connection, quality education, and free healthcare—the debate over 
wages remains. 
The business sector argues that increasing minimum wage could lead to 
closures, particularly among small enterprises. Regional workers question why 
their work is less valued than their urban counterparts. Parents are forced to 
choose between staying with their children or working abroad to provide for them. 
And millions of farmers, who for generations have relied on what they can grow 
from the land, are being lured to the city by the promise of a regular salary.  
Then while the policymakers, with industry leaders, engage in endless, 
paralyzing cycles of debates, our people are left to suffer as we wrestle with 
finding a just and permanent solution to these labor and wage issues. 
Indeed, as part of honoring God and building communities through good 
governance, the State must promote human dignity in the labor sector and create 
a system where all persons are given the chance to thrive and rise above 
adversities through proper government support to ensure an enabling working 
environment that protects their rights, promotes their welfare, and enhances their 
productivity. 
Ensuring that all persons are not discriminated against and provided equal 
opportunity regardless of age, sex, gender, civil status, disability, ethnicity, 
religious belief, political affiliation, or any other distinction, exclusion or 
preference, everyone shall be accorded fair and equal access to employment, 
promotion, training, terms and conditions of work, and other employment-related 
benefits, based solely on merit and capability, with the aim of obtaining decent 
and productive work in conditions of freedom, equity, security and human dignity. 
However, despite the government’s efforts throughout the years to address these 
gaps in the labor sector, there remains little to no major improvements in 
establishing a framework to determine a living wage. 
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August 4, 2025
1:45 pm


This measure takes inspiration from the work of the First and Second 
Congressional Commissions on Education, or the EDCOMs I and II, bodies 
tasked to undertake a comprehensive national assessment and evaluation of the 
Philippine education sector. These were able to successfully bring together key 
stakeholders and produce effective, concrete, and actionable recommendations 
to 
address 
the 
learning 
crisis. 
The 
proposed 
measure 
creates 
an 
Executive-Legislative Labor Commission, or the LabCom, which likewise aims to 
achieve similar successes in the labor sector by providing innovative, 
comprehensive, and strategic recommendations to address emerging and 
persistent issues and challenges. This would provide a comprehensive look at 
what the real wage should look like, taking into account the actual expenses of a 
family for education, health, among others. 
 
High underemployment and informal employment, along with inadequate wages, 
wage inequality, and poor job quality, are the most perennial problems of the 
Philippine labor sector and serve as key indicators of deep-seated structural 
weaknesses in the national economy. Despite the recent improvements in the 
employment rate at 96.2% as of February 2025, the country continues to grapple 
with 1.94 million Filipinos remaining jobless, translating to an unemployment rate 
of 3.8%. More telling, however, is the underemployment rate, which stands at 
10.1%, wherein about 4.96 million of the 49.15 million employed workers 
expressed desire to have additional hours of work at their present job and/or to 
have an additional job to make ends meet.1 Meanwhile, the 17 million or 36.2% 
of the Filipino workforce are engaged in the informal economy, with no access to 
social protection and excluded from typical safety nets during crises.2 
 
These numbers translate to Filipinos’ perception of lived reality. According to the 
recent Social Weather Stations (SWS) survey conducted in April 2025, 55% of 
Filipino families consider themselves as Mahirap or Poor. The numbers rose from 
14.4 million to 15.5 million in just one month. This alone calls for the State to take 
action.  
 
Not only do we view ourselves as economically poor, but even from an 
international perspective, the situation of our workers remains deeply concerning. 
In May 2025, the International Trade Union Confederation (ITUC), the world’s 
largest trade union federation, whose primary mission is the promotion and 
defense of workers’ rights and interests, released the 12th edition of the ITUC 
Global Rights Index. In the 2025 Index, the Philippines was named as one of the 
ten worst countries for workers.3 
 
The 1987 Constitution identifies that it is the policy of the State to ensure 
prosperity through the promotion of full employment, a rising standard of living, 
adequate social services, and an improved life for all. Under its Social Justice 
provisions, the State recognizes that workers are entitled to security of tenure, 
humane conditions of work, and a living wage towards the society that we aspire 
for. 
 
Moreover, as part of our commitment in meeting the Sustainable Development 
Goal Target 8.8 on the protection of labor rights and the promotion of safe 
working environments by 2030, it is the primary objective of the LabCom to 
fast-track the fulfillment of this target.  
 
3 International Trade Union Confederation (May 2025). ITUC Global Rights Index 2025. 
https://www.ituc-csi.org/global-rights-index-reports 
2 PhilStar Global (December 2023). Informal workers: A path to inclusive growth and prosperity. 
https://www.philstar.com/opinion/2023/12/12/2318241/informal-workers-path-inclusive-growth-and-prosperity 
1 Philippine Statistics Authority (April 2025). Labor Force Survey. Employment Rate in February 2025 was estimated at 96.2%. 
https://psa.gov.ph/statistics/labor-force-survey#:~:text=Agriculture%20and%20forestry%20(%2D949,technical%20activities%20(%2
D68%20thousand). 
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As the former International Labour Organization (ILO) Director-General Juan 
Somavia argues, "reducing the decent work deficit is the quality road to poverty 
reduction and to greater legitimacy of the global economy.” He added that, “the 
goal of decent work is best expressed through the eyes of the people. For many, 
it is the primary route out of poverty. For many more, it is about realizing personal 
aspirations in their daily existence and solidarity with others. And everywhere, 
and for everybody, decent work is about securing human dignity.”  
 
Hence, this bill endeavors to accelerate the progressive realization of 
strengthening labor rights and to create a national framework where these 
constitutional guarantees are operationalized. After all, the Bible tells us, in 
Deuteronomy 24:14 (NIRV): “Don’t take advantage of any hired worker who is 
poor and needy.” 
 
In line with the policy adopted by its original proponent Senator Alan Peter 
“Compañero” S. Cayetano, this bill therefore serves as a counterpart measure. It 
is for the reason stated above that the passage of this measure is earnestly 
sought. 
 
 
 
RICARDO S. CRUZ, JR.                    
 
 
 
 
 
      ​
               
 
 
 
 
 
   
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TWENTIETH CONGRESS OF THE​
) 
REPUBLIC OF THE PHILIPPINES​
) 
First Regular Session​
​
) 
HOUSE OF REPRESENTATIVES 
HOUSE BILL No. 2911 
INTRODUCED BY HON. RICARDO S. CRUZ, JR. 
AN ACT  
ESTABLISHING AN EXECUTIVE-LEGISLATIVE LABOR COMMISSION TO 
IDENTIFY KEY CHALLENGES IN THE LABOR SECTOR, PROPOSE 
SOLUTIONS FOR THE ESTABLISHMENT OF A NATIONWIDE FRAMEWORK 
FOR A LIVING WAGE, AND INSTITUTIONALIZE A NATIONAL LABOR 
ROADMAP 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:  
SECTION 1. Short Title. - This Act shall be known as the 
"Executive-Legislative Labor Commission (LabCom) Act of 2025."  
SEC. 2. Declaration of Policy. – It is the declared policy of the State to 
afford full protection to labor, local and overseas, organized and unorganized, 
and promote full employment and equality of employment opportunities for all. It 
is likewise an established State policy to promote social justice in all phases of 
national development, enhance the rights of workers, and promote their welfare. 
Towards this end, the State shall strengthen the national framework and 
policies on living wages, enhance labor protection programs, and implement 
measures aimed at improving productivity, reducing unemployment and 
underemployment, and prioritizing the needs and concerns of vulnerable and 
disadvantaged groups within the labor sector. 
SEC. 3. Purpose and Objectives. – This Act shall ensure that human 
capital and labor will be at the center of the country’s socio-economic 
development. It aims to provide innovative, comprehensive, and strategic 
recommendations to address emerging and persistent issues and challenges in 
the labor sector.  
The objectives of this Act are as follows: 
a. Establish a coordinating advisory and policy-recommending body,
composed of members of the legislative branch and the labor sector,
including those from the worker, migrant, employer, and recruitment
groups;
b. Strengthen and improve labor governance in the country and eliminate
fragmentation of policies and programs of relevant government agencies
related to workers’ rights, productivity, and employment opportunities; and
c. Enhance and promote linkages among industry, business, and training
institutions 
and 
strengthen 
multi-stakeholder 
engagements 
and
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consultations that will compel the adoption of fair, comprehensive, and 
evidence-based labor policies to improve labor outcomes, promote skills 
development, encourage innovation, and enhance the digital economy in 
the country. 
 
SEC. 4. Definition of Terms. – For the effective implementation of this Act, 
the following terms are hereby defined: 
 
(a)​Equality of Employment Opportunities refers to the guarantee that all 
persons, regardless of age, sex, gender, civil status, disability, ethnicity, 
religious belief, political affiliation, or any other distinction, exclusion or 
preference, shall be accorded fair and equal access to employment, 
promotion, 
training, 
terms 
and 
conditions 
of 
work, 
and 
other 
employment-related benefits, based solely on merit and capability, with the 
aim of obtaining decent and productive work in conditions of freedom, 
equity, security and human dignity. As defined herein, the term 
employment opportunities includes access to vocational training, access to 
employment and to particular occupations, and terms and conditions of 
employment; 
 
(b)​Full Employment refers to an employment state wherein there is a 
promotion of "full, productive and freely chosen employment" by ensuring 
that there is: (i) work for all who are available for and seeking work; (ii) 
work which is as productive as possible; and (iii) work freely chosen by 
workers, who should have the fullest possibility to qualify and use their 
skills and endowments in a job for which they are well suited, through 
improved manpower training, allocation and utilization; 
 
(c)​Informal Employment refers to all remunerative work that is not 
registered, regulated, or protected by existing legal or regulatory 
frameworks, as well as non-remunerative work undertaken in an 
income-producing enterprise; 
 
(d)​Living Wage refers to the wage level necessary to afford a decent 
standard of living for workers and their families, taking into account country 
circumstances and calculated for work performed during normal hours.  
For purposes of this Act, the wage level necessary to afford a decent 
standard of living includes the amount of family income needed to provide 
for the family’s food and non-food expenditures with sufficient allowance 
for savings or investments for social security so as to enable the family to 
live and maintain a decent standard of human existence beyond mere 
subsistence level, taking into account all of the family’s physiological, 
social and other needs;  
 
(e)​Underemployment refers to a situation wherein individuals who are 
employed express the desire and availability to work for additional hours of 
work in their present job, or to have additional job, or to have a new job 
with longer working hours, thereby resulting in economic inefficiency and 
professional underutilization; 
 
(f)​ Unemployment refers to a situation wherein individuals who are available 
for work and actively seeking employment are unable to secure gainful 
employment, excluding those voluntarily choosing not to work unless the 
reason for such is any of the following: (i) tired or believed no work 
available, i.e., the discouraged workers; (ii) awaiting results of previous job 
application; (iii) temporary illness/disability; (iv) bad weather; and, (v) 
waiting for rehire or job recall. 
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SEC. 5. Establishment of the Executive-Legislative Labor Commission; 
Mandate. – The Executive-Legislative Labor Commission, hereinafter referred to 
as the LabCom, is hereby established. It shall organize itself and commence its 
mandate upon the effectivity of this Act. 
 
The LabCom shall serve as the principal advisory body that will provide 
strategic, comprehensive, and evidence-based solutions and recommendations 
on the following labor market concerns, including, but is not limited to, general 
employment issues, trends and challenges related to skills and education, 
employment quality, wages and salaries, adequacy of social protection, and 
problems of labor governance in the country, with the primary objective of 
enhancing the right to living wages of the employment sector.  
 
The LabCom shall refer the completed roadmap for the progressive 
realization of the right to a living wage to the Trabaho Para Sa Bayan Council, 
created pursuant to Republic Act 11962, otherwise known as the “Trabaho Para 
sa Bayan Act”, for appropriate action.  
 
SEC. 6. Composition of the LabCom; Standing Committees. – The 
LabCom shall be composed of twelve (12) members, with four (4) members from 
the Senate; four (4) members from the House of Representatives; and four (4) 
members from the Executive branch of the government: 
1. Chairperson of the Senate Committee on Labor, Employment and 
Human Resource Development, as Co-Chairperson; 
2. Chairperson of the House Committee on Labor and Employment, as 
Co-Chairperson; 
3. Chairperson of the Senate Committee on Economic Affairs, as Member; 
4. Chairperson of the House Committee on Economic Affairs, as Member; 
5.Chairperson of the Senate Committee on Higher, Technical and 
Vocational Education, as Member; 
6. Chairperson of the House Committee on Higher and Technical 
Education, as Member; 
7. Chairperson of the Senate Committee on Migrant Workers; 
8. Chairperson of the House Committee on Overseas Workers Affairs; 
9. Secretary of the Department of Labor and Employment, as Member; 
10. Secretary of the Department of Trade and Industry, as Member; 
11. Secretary of the Department of Economy, Planning and Development, 
as Member; and 
12. Secretary of the Department of Migrant Workers, as Member.  
 
The members of the Commission shall receive no compensation, but 
travel, communications, and other necessary expenses shall be allowed, subject 
to existing laws, and rules and regulations. 
The members of the LabCom shall establish, from among themselves, 
standing committees, to be presided over by such members or experts from 
multi-sectoral groups, and engage resource persons from the public and private 
sectors as may be needed. 
 
SEC. 7. Powers and Functions. – The LabCom shall have the following 
powers and functions: 
 
a.​ Develop the country’s strategic vision and roadmap for labor and 
employment anchored on national development plans and international 
labor standards; 
 
b.​ Provide a regular forum for intersectoral consultations and proposals for 
intervention to address, among others, the following: (i) the right to a living 
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wage; (ii) national and regional unemployment and underemployment 
rates; (iii) skills development; and (iv) skills mismatch; 
 
c.​ Coordinate with government agencies, LGUs, and other relevant sectors to 
promote policy and program coherence; 
 
d.​ Submit an annual State of Labor Report to the President and Congress 
containing 
its 
findings, 
analysis, 
and 
policy 
and 
legislative 
recommendations; and, 
 
e.​ Perform other functions as may be necessary for its implementation. 
 
SEC. 8. National Labor Roadmap. – The LabCom shall formulate and 
institutionalize a comprehensive National Labor Roadmap that shall serve as a 
strategic framework for labor development in the Philippines, which shall be 
anchored on inclusive, sustainable, and equitable labor outcomes and shall be 
aligned with the national development plans of the country. 
 
SEC. 9. The LabCom Secretariat; Executive Director. – A Technical 
Secretariat shall be established under the administrative control and supervision 
of the LabCom. It shall be headed by an Executive Director who shall be 
appointed by the LabCom. It shall provide the LabCom with technical and 
administrative support to assist its functions under Section 6 of this Act. 
 
The Executive Director shall have at least ten (10) years of experience and 
practice in the field of labor, human relations, and skills training to qualify for 
nomination and appointment. He or she shall work full-time and shall have the 
rank, privileges, and emoluments of an Executive Director IV (Salary Grade 29). 
 
SEC. 10. Institute for Labor Studies (ILS)- DOLE. – The ILS shall serve as 
the research arm of the LabCom. During the Commission's existence, it shall 
produce data-based research and provide analysis to contribute to the 
formulation of labor policy and legislative recommendations. 
 
SEC. 11. Labor Advisory Council. – The Labor Advisory Council (LAC) is 
hereby created. The LAC members shall always be present at all meetings of the 
LabCom to provide the Commission with expert assistance and advice.  
 
The Senate President and the Speaker of the House of Representatives 
shall choose recognized experts from the following sectors taking into 
consideration gender balance in its composition to form part of the LAC: two (2) 
members from the labor sector, with at least one member coming from the 
informal sector, two (2) members from the employer sector, two (2) members 
from the micro, small and medium enterprises,  one (1) member from the migrant 
sector and one (1) from the recruitment sector. 
 
SEC. 12. Annual Report. – The LabCom shall submit an annual report to 
the President and both houses of Congress on or before the last day of 
September to present strategic recommendations to address implementation 
gaps of labor policies in the country. The report shall also be made available to 
the public through the official online portal of the DOLE. 
. 
SEC. 13. Appropriations. – The amount necessary for the initial 
implementation of this Act shall be charged against the available appropriations 
of the Senate and the House of Representatives. Thereafter, the amount 
necessary for its continuous implementation, including any deficiency in the 
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current year, shall be included in the annual General Appropriations Act, subject 
to existing budgeting, accounting, and auditing rules and regulations. 
 
SEC. 14. Repealing Clause. – All laws, executive orders, presidential 
decrees, administrative orders, rules and regulations, issuances, or parts thereof 
inconsistent with any provision of this Act are hereby repealed or amended 
accordingly. 
 
SEC. 15. Separability Clause. – If any provision or part of this Act is 
declared invalid or unconstitutional, the remaining parts not affected shall remain 
in full force and effect. 
 
SEC. 16. Effectivity. – This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in at least two (2) national newspapers of 
general circulation, whichever comes earlier. 
 
Approved,  
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