EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
S.B. No
]
SENATE
744
V
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l . ; -  
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*19 Jll 24 All S3
RLL ;
Introduced by SEN. W IN GATCHALIAN
AN ACT
PROVIDING FOR THE CONDONATION OF PENALTIES FOR UNPAID SOCIAL 
SECURITY SYSTEM CONTRIBUTIONS OF HOUSEHOLD EMPLOYERS 
RELATIVE TO REPUBLIC ACT NO. 7655, ENTITLED nAN ACT INCREASING 
THE M IN IM UM  WAGE OF HO USE HEL PERS, AMENDING FOR THE PURPOSE 
ARTICLE 143 OF PRESIDENTIAL DECREE NO. 442, AS AMENDED" AND 
REPUBLIC ACT NO. 10361, ALSO KNOWN AS THE "DOMESTIC WORKERS
ACT"OR "BA TAS KASAMBAHA Y"
EXPLANATORY NOTE
The enactment of RA 10361 or the "Kasambahay Law" in 2013 was 
intended to extend social protection coverage to the househelp in every Filipino 
home. The implementation however of the same law created an abyss which by 
operation presented an unforeseen hardship for the low and middle income 
families to comply with. While all laws must essentially be made prospective in 
its 
application, 
the 
impending 
registration 
of 
the 
kasambahay 
in 
every 
household which is mandated by the said law brought to fore its legal implication 
with an earlier crafted law - Republic Act 7655, entitled "An Act Increasing the 
Minimum Wage o f Househeipers, Amending for the Purpose Article 143 o f 
Presidential Decree No. 442, as Amended" which mandatorily required for the 
membership of the kasambahay under the SSS law. The contract of employment 
and the act of registration in the barangays reflecting the actual date of 
employment of the kasambahays will now give rise for action by SSS to demand


from the employers the payment of contributions in arrears, impose sanctions 
by way of interests and penalties for delinquencies and maybe upon finding by 
courts of refusal to pay these contributions, by imprisonment under Section 28 
(e) of the SSS Law.
According to the records of the SSS, the number of househelpers who have 
registered for membership in 1993 when RA 7655 was enacted, was merely 
5,175. In the year 2013 when the law took effect, registrants rose to 114,580. By 
the end of 2014, total household kasambahays who have become SSS members 
were a total of 123,402. The numbers would still be rising if the government 
provides an incentive for employers through the implementation of a program 
that will lay-out easier payment plans, waiving the sanctions for delinquent 
contributions, and providing greater access for enrollment of their househelp 
under the SSS law. This was in fact the recommendation of the National 
Tripartite 
Industrial 
Peace Council 
(NTIPC), 
acting 
as the oversight body 
implementing the IRR of the Kasambahay Law in its Resolution No. 9 issued in 
2013.
It is the intent of this bill to make a prospective application of the law while 
at the same time affording the kasambahays the benefit and mantle of protection 
which the social Insurance extends. It will likewise help employers in the low and 
middle-income families to consolidate their resources to be able to pay for the 
contributions that may have fallen due even before the year 2013, in order to 
extend to their kasambahays the coverage benefit of the SSS law.
The fundamental precept of social justice is that "those who have less in 
life must have more in law." Social justice commands the protection by the state, 
as well as its forgiveness of the less fortunate members 9TTheN1society. Hence, we 
recommend the immediate passage of this bill
CHALIAN


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
F irst Regular Session
/'AV'
.X:. : ' l r I'
SENATE
S.B. No. 
7 4 4
■'9 
J'JL 24 All S3
. . .
Introduced by SEN. W IN GATCHALIAN
AN ACT
PROVIDING FOR THE CONDONATION OF PENALTIES FOR UNPAID SOCIAL 
SECURITY SYSTEM CONTRIBUTIONS OF HOUSEHOLD EMPLOYERS 
RELATIVE TO REPUBLIC ACT NO. 7655, ENTITLED "AN  ACT INCREASING 
THE M IN IM UM  WAGE OF HOUSEHELPERS, AMENDING FOR THE PURPOSE 
ARTICLE 143 OF PRESIDENTIAL DECREE NO. 442, AS AMENDED" AND 
REPUBLIC ACT NO. 10361, ALSO KNOWN AS THE "DOMESTIC WORKERS
ACT"OR "BA TAS KASAMBAHA Y"
Be it enacted by the Senate and the House o f Representatives o f the 
Philippines in Congress assembled:
1 
SECTION 1. Social Security Condonation Program - Any household
2 
employer who is delinquent or has not remitted all contributions due and
3 
payable to the Social Security System (SSS) pursuant to Republic Act No. 7655,
4 
entitled "An Act Increasing the Minimum Wage o f Househeipers, Amending for the
5 
Purpose Article 143 o f Presidential Decree No. 442, as Amended" and Republic
6 
Act 
No. 
10361, 
also 
known 
as 
the 
"Domestic 
Workers Act" or 
"Batas
7 
Kasambahay" may, within twelve (12) months from the effectivity of this Act
8 
remit said contributions or submit a proposal to pay the same in installments
9 
within a period of not more than twenty-four (24) months from the approval of


1 
the 
proposal 
without 
incurring 
the 
prescribed 
penalty, 
subject 
to 
the
2 
implementing rules and regulations which the SSC may prescribe: Provided, That the
3 
household employer submits the corresponding collection lists together with the
4 
remittance or proposal to pay in installments: Provided, further. That in case the
5 
household employer fails to remit contributions within the twelve- month grace
6 
period or defaults in the payment of any amortization provided in the approved
7 
proposal, the prescribed penalty shall be imposed from the time the contributions
8 
first became due as provided in Section 22 of Republic Act No. 1161, otherwise
9 
known as the "Sociai Security Law, "as amended by Republic Act No. 8282.
10 
SEC. 2. Coverage. -  Any household employer who is delinquent or has not
11 
remitted all contributions due and payable to the SSS may avail of the Condonation
12 
program under Section 1 of this Act, including the following:
13 
a) 
Those not yet registered with the SSS but will register as a household
14 
employer after the effectivity of this Act but within the twelve-month grace period
15 
provided in Section 1 of this Act;
16 
b) 
Those with cases pending before the courts or Office of the Prosecutor
17 
involving collection of contributions or penalties; and
18 
c) 
Those who, before the effectivity of the Act, have remitted all
19 
contributions due and payable to the SSS but have not paid the corresponding
20 
penalties.
21 
SEC. 3. Unregistered Househoid Employer. 
- To qualify for the
22 
condonation program under this Act, an unregistered household employer shall
23 
register with the SSS branch having jurisdiction over the household address of
24 
the household employer and comply with the requirements under Section 1 and
25 
those that may be required 
by the implementing rules and regulations of this
26 
Act.
27 
SEC. 4. Guaranty o f Entitlem ent. - The failure or refusal of the employer
28 
to pay or remit the contributions under this condonation program shall not
29 
prejudice the right of the employee to the benefits of the coverage under the SSS
30 
Law.
31 
SEC. 5. Im plem enting Rules and Regulations. - Within thirty (30) days
32 
after the approval of this Act, the SSC shall issue the necessary rules and


1 
regulations for the effective implementation of this Act.
2 
SEC. 6. E ffectivity Clause. - This Act shall take effect fifteen (15) days
3 
following its publication in the Official Gazette or in at least two (2) newspapers
4 
of general circulation.
Approved,