NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
S. No. 2107
Menace
of tlu'
23 MAY -3 AH 33
RECEIVED BV;
Introduced by Senator Christopher Lawrence "Bong" T. Go
AN ACT
PROVIDING PROTECTION AND INCENTIVES TO FREELANCE WORKERS
EXPLANATORY NOTE
Article II, Section 18 of the 1987 Constitution provides that "the State 
affirms labor as a primary social economic force. It shall protect the rights of 
workers and promote their welfare." By virtue of this policy, Filipino workers are 
ensured of their entitlement to humane conditions of work and just share in the 
fruits of production.
Over the past years especially during the recent pandemic, there has been a 
rise in the number of Filipinos who engage in freelancing as a source of income. 
They are known in the business industry as "freelance workers", which refers to 
any person who is hired to provide services as an independent contractor and is 
not under the control of the hiring party, in exchange for compensation.
Freelance workers contribute to the growth of our economy in just the same 
manner as other Filipino workers who are rendering their worthwhile service. 
However, due to the nature of their services, freelance workers often lack 
protection and encounter drawbacks such as non-payment for services rendered. 
Though considered self-employed they should also be subjected to the equal 
protection and entitlement given to other Filipino workers.
As the government strives to ensure the implementation of protecting, 
promoting, and ensuring the rights and welfare of every Filipino worker, the State 
shall also recognize and ensure that freelance workers are protected and well


compensated for the services rendered. Thus, it is imperative to require the hiring 
party to execute and follow a written contract with the freelance worker before the 
services are rendered and provide adequate mandatory hazard pay and night shift 
differential pay. Furthermore, this bill can give Filipino freelance workers the right 
to demand payment for rendered services through any legal channel, impose 
penalties on dishonest hiring parties, and criminalize failure of compensating 
Filipino freelance workers.
In view of the foregoing, approval of this bill is earnestly sought.
SENATOR CHRISTOPWR LAWRENCE 'BONG
IH3H
MOIS


NINETEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
of tin' Bvxmi'T
23 HAY -3 All 33
S. No.
SENATE
2107
RcCEiicO BV
Introduced by Senator Christopher Lawrence "Bong" T. Go
AN ACT
PROVIDING PROTECTION AND INCENTIVES FOR FREELANCE WORKERS
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled:
CHAPTER I
GENERAL PROVISIONS
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SECTION 1. Short Title. - This Act shall be known as the "Freelance Workers
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Protection Act"
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SEC. 2. Declaration of Policy. - Pursuant to Article II, Section 18, and Article XIII,
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Section 3 of the Constitution, it is hereby declared the policy of the State to protect the
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rights of workers, promote their welfare, and ensure their entitlement to humane conditions
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of work and just share in the fruits of production. To this end, the State shall recognize the
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right of freelance workers to protection from late or nonpayment of fees for services
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SEC. 3. Definition of Terms. - As used in this Act:
(a) Freelance worker refers to any natural person or entity composed of no more 
than one (1) natural person, who is hired or retained to provide services, in 
exchange for compensation, as an independent contractor to do work according 
to one's own methods and without being subjected to the control of the hiring 
party, except only as to the results of the work;
(b) Hiring party refers to any person or entity that obtains or retains the services of a 
freelance worker; and
(c) Retaliation refers to any act reasonably likely to prevent a freelance worker from 
further being offered freelance work and contracts.
SEC. 4. Written Contract - Any hiring party obtaining or retaining the services of a


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freelance worker shall execute a written contract with such freelance worker before said
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services are rendered. The hiring party and the freelance worker shall each retain a signed
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copy of the contract.
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The contract shall be written in plain language, understood by both parties. It shall
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include, at the minimum, the following:
(a) Itemization of all services to be provided by the freelance worker;
(b) Details of compensation and other worker's benefits, including rate, method and 
schedule of payment;
(c) Period of employment;
(d) Grounds for breach of contract on the part of the hiring party and of the freelance 
worker; and
(e) Any other condition, term or clause that the Department of Labor and Employment 
(DOLE) may direct, subject to the provisions of this Act.
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The contract must state the necessary personal circumstances of the freelance worker.
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No modification of the terms of the contract shall be enforceable unless signed by both the
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hiring party and the freelance worker.
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SEC. 5. Down Payment. - An initial partial payment for the contracting of services of
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the freelance worker shall be made upon engagement, which shall be not less than thirty
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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 shift
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differential of not less than ten percent (10%) of their regular compensation for each hour
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of work performed between ten o'clock in the evening and six o'clock in the morning, unless
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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 as
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strife-torn or embattled locations, distressed or isolated stations, prison camps, mental
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hospitals, radiation-exposed clinic, laboratories or disease-infested areas, or in areas
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declared under a state of calamity or emergency for the duration of deployment and unduly
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exposes them to great danger, contagion, radiation, occupational risks or perils to life, shall
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be compensated with a hazard pay equivalent to at least twenty-five percent (25%) of the
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total payment for the period of such deployment as agreed upon In the contract, unless
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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) days after the


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date of payment of compensation stated in the written contract or after the rendition
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of services in cases where there is no written contract:
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(c) Require as a condition of payment of compensation, at any time after a freelance
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worker has commenced rendition of services, that a freelance worker accept less
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than the specified contract price; or
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(d) Commit any acts 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 this Act; or
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(6) Providing information to the DOLE pursuant to the terms of a mediation or
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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 (Php50,000.00) but not more than Five Flundred Thousand Pesos
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(Php500,000.00)
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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.
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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 breach
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of contract, or any similar claim at law or equity arising out of the same transaction or series
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of transactions, no other case involving the same cause of action shall be filed with the
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DOLE.
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SEC. 12. Investigation. - Upon receiving a complaint alleging a violation of this Act,
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the DOLE shall notify the respondent In writing and investigate such complaint in a timely
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manner. Within fifteen (15) calendar days of receiving such written notification, the
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respondent shall provide the DOLE with a written response and such other information as
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the DOLE may request. The DOLE shall notify each complainant in writing, not less than
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thirty (30) calendar days after the complaint is filed, of the status of the complaint and any
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resulting investigation.


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SEC. 13. Mediation and Conciiiation. - The DOLE may, at any time after the filing of
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a complaint, attempt to resolve the complaint by any method of dispute resolution, including
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mediation and conciliation. If a conciliation agreement is entered into, the DOLE shall
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embody such agreement in an order and serve a copy thereof upon all parties to the
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conciliation agreement.
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CHAPTER III
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CIVIL ENFORCEMENT
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SEC. 14. Notice of Vioiation 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 DOLE
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finds cause to believe that a violation of this Act has occurred, it shall issue a notice of
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violation to the respondent and order the corresponding payment of compensation due to
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the prevailing party.
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SEC. 15. Vioiation of Order of Payment. - The order of payment shall include an
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interest rate of six percent (6%) per annum which shall be awarded to the prevailing party
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in case the violation continues.
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SEC. 16. Civii Action. - Except as otherwise provided by law, any person aggrieved
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by a violation of this Act may file a complaint in a court of competent jurisdiction for
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damages, injunctive relief and such other remedies as may be appropriate, without
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prejudice to the filing of a criminal action In appropriate cases. The prevailing party shall be
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entitled to an award of reasonable attorney's fees and costs.
No person claiming to be aggrieved by a violation of this Act may bring a civil action
in a court of competent jurisdiction if such aggrieved person, or one's representative, has 
filed a complaint with the DOLE pursuant to Chapter II of this Act and based upon the same
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transaction or series of transactions, unless that complaint has been terminated without
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prejudice to a subsequent civil action.
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SEC. 17. Non-Waiver. - Except as otherwise provided by law, any provision of any
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contract or agreement purporting to waive rights under this Act is against public policy and
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shall be null and void.
SEC. 18. Coverage. - This Act shall apply only to contracts or agreements entered 
Into upon the effectivity of this Act.
CHAPTER IV 
FINAL PROVISIONS
SEC. 19. 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 Committees
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on Labor, Employment and Human Resources Development of the Senate of the Philippines
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regarding the effectiveness of the provisions of this Act at improving freelance contracting
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and payment practices. Similarly, the DOLE shall submit the report, to the Philippine
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Creative Industries Development Council, through its Creative Workers' Welfare Standing
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Committee. The report shall include, at the minimum, the number of complaints received,
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investigations initiated 
and notices issued by the DOLE on violations of this Act, and
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complains settled by mediation or conciliation.
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SEC. 20. Information Campaign. - The DOLE, in coordination with the DTI, BIR,
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local government units and other relevant agencies, shall initiate a program with the
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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 in
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this Act, and in other laws and regulations.
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SEC. 21. Suppletory Application - The provisions of Republic Act No. 11058, entitled
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"An Act Strengthening Compliance with Occupational Safety and Health Standards and
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Providing Penalties for Violations Thereof shall be applied suppletorily.
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SEC. 22. Implementing Rules and Regulations. - Within sixty (60) days from the
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effectivity of this Act, the Secretary of Labor and Employment shall, in coordination with
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other relevant agencies, issue the necessary rules and regulations from the implementation
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of this Act.
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SEC. 23. 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 declaration
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shall remain in full force and effect.
SEC. 24. Repealing Clause. - All laws, decrees, orders, rules, and regulations, or 
others 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. 25. Effectivity. - This Act shall take effect fifteen (15) days after its publication
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in the Official Gazette or in a newspaper of general circulation.
Approved,