FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

House Bill No. 2110

EXPLANATORY NOTE

Experience has shown us that those who expose graft and corruption
in the goverment or even in the private sector instead of being protected and
rewarded are ironically chastised, retaliated upon, oppressed and even
punished.

The State shall therefore come in to protect and support these well-
meaning citizens so that integrity and honesty shall prevail

A reward system shall likewise be instituted to encourage and
recognize the efforts of the whistleblower.

In view of the foregoing, approval of this bill is eamestly sought.

ey

RUFUS B. RODRIGUEZ

Me

MAXIMO B. RODRIGUEZ, JR.


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

2110

House Bill No.,

AN ACT
MANDATING THE PROTECTION AND REWARD OF WHISTLEBLOWERS
IN THE PHILIPPINESN, SECURITY AND BENEFIT ACT”.

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
“Whistleblower Protection Act of 2010”.

‘SEC. 2. Definition of Terms — As used in this Act and unless otherwise
‘specified, the following words or terms shall have the meaning indicated:

(a) A “whistleblower” is a person who reveals concealed misconduct or
a commission or attempted commission of a crime by @ person, employer,
employee or an agency whether public or private;

(b) “Whistle blowing” is the disclosure, making public, giving evidence
to information that a whistleblower reasonably believes constitutes:

i. a violation of law, rules, regulations and policies;

ii. gross mismanagement;

iii. gross waste of funds;

iv. abuse of authority:

v. threat to public interest such as fraud and corruption; or

vi. a substantial and specific danger to public health or safety.

(c) “Employer” is any individual, partnership, association, comporation
or any person or group of persons who have the power and right to control
and direct the employee in the material details of how the work is to be
performed, which includes any public or privately-owned corporation,
branches of govemment or any other political subdivision, authority,
commission or board, or any other agency or instrumentality;

(d) “Superior/Supervisor’ is an individual having authority, in the
interest of the employer, to hire, transfer, suspend, lay-off, recall, promote,
discharge, assign, reward or discipline other employees or responsibly direct
them or address their grievances, effectively recommend such action, if in


connection with the foregoing the exercise of such authority is not merely
routine or clerical in nature, but requires the use of independent judgment;

(e) “Retaliatory Action” is the discharge, suspension, transfer or
demotion of any employeehwhistleblower or the withholding of bonuses,
reduction in salary or benefits, or any other action that may adversely affect
his rights and interests taken by his employer, superior, supervisor or head of
agency;

() “Gross mismanagement’ is the continuous pattem of managerial
abuses, wrongful or arbitrary and capricious actions, or fraudulent or criminal
conduct which may have substantial adverse economic impact;

(g) “Gross Waste of Funds” means to spend or use funds or to allow
funds to be used without valuable result in a manner grossly deviating from
the standard of care or competence that a reasonable person would observe
in the same situation.

SEC. 3. Prohibited Acts - It shall be unlawful for any Employer,
Superior, Supervisor or Head of Agency to retaliate or perform such acts
which can be deemed as “Retaliatory Acts” as defined in this Act against an
employee/whistleblower.

SEC. 4. Nature of Information Disclosed - The information disclosed

under this section must include:

(a) Any violation or suspected violation of any law, rules or regulations
committed by an employee or agent of a government agency or
Private entity which creates and presents a substantial and specific
danger to public interest, safety and welfare.

(b) Any act or suspected act of gross mismanagement and
misconduct, malfeasance, misfeasance, non-feasance or gross
neglect of duty, or gross waste of public funds committed by an
employee or agent or public officials of a government agency.

SEC. 5. To whom Information is Disclosed — The information disclosed
under this section must be made to his superior/supervisor or any other
Person in authority who has the power to prevent, remedy, or correct the
wrongdoing, or any government agency having the authority to investigate
and prosecute the violation of the act, including but not limited to the
Philippine National Police, the National Bureau of Investigation, the Office of
the Ombudsman and the Department of Justice.

SEC. 6. Whistleblowers and Persons Protected — Legal protections are
accorded under this Act to employees/whistleblowers and their spouse and/or
any member of the family within the first (1*) civil degree of consanguinity or
affinity who:

(a) disclosed information on their own initiative in a written and signed

complaint or affidavit;

(b) are requested to participate in an investigation, hearing or other

inquiry conducted by any agency or national government agency;


(0) refuses to participate in any retaliatory action prohibited by this
‘section, or
(@) initiates a complaint against or testify regarding an illegal act.

SEC. 7. Remedies — Any whistleblower or employee of any
government agency, who is discharged, disciplined, or subjected to other
retaliatory action or any applicant for employment who is denied employment
because he or she engaged in an activity protected by this section may file a
complaint without need of exhausting all available contractual or
administrative remedies before a court of competent jurisdiction within one (1)
year after the action prohibited by this section is committed,

SEC. 8. Relief — In any action brought under this section, the relief

must include the following:
(a) Reinstatement of the whistleblower or employee to the
same position held before the retaliatory action was
commenced, or to an equivalent position or reasonable front

pay as alternative relief;

(b) Reinstatement of the whistleblower or employee's full fringe
benefits and seniority rights, as appropriate;

© Compensation, if appropriate, for lost wages, benefits or
other lost remuneration caused by the retaliatory action;

() Payment of reasonable costs, including attomey's fees to a

substantially prevailing employee, or to the prevailing
employer if the whistleblower or employee filed a frivolous
action in bad faith;

0) Issuance of an injunction, if appropriate by a court of
competent jurisdiction;
O) Temporary reinstatement to the whistleblower or employee's

former position or to an equivalent position, pending the final
‘outcome of the complaint.

SEC. 9. Reward - Whistleblowers who save goverment money and
resources shall be entitled to ten percent (10%) of the amount saved to be
taken from the savings of the agency or office concerned.

SEC. 10. Pre-emption — Nothing in this Act shall be deemed to
diminish the rights, privileges or remedies of any whistleblower or employee
under any law or regulation or under any collective bargaining agreement or
employment contract. No whistleblower or employee may waive through
Private contracts any right set forth in this Act, except as provided in Section
7, and no employee may be compelled to adjudicate his or her rights under
this Act pursuant to a collective bargaining agreement or any other arbitration
agreement.

SEC. 11. Settlement — The rights afforded employees under this Act
may not be waived or modified.

SEC. 12. Penal Clause — Any person who violates any provision of this
Act shall suffer to pay a fine of not less than two hundred thousand pesos


(P200,000) but not more than five hundred thousand pesos (P500,000) and
suffer the penalty of imprisonment of not less than two (2) years but not more
than six (6) years

Upon filing of an appropriate complaint, and after due notice and
hearing, the proper authorities may also cause the cancellation or revocation
of the business permit, permit to operate, franchise and other similar

privileges granted to any private entity that fails to abide by the provisions of
this Act.

SEC. 13. Separability Clause — If for any reason, any portion or
provision of this Act or the application thereof shall be declared invalid or
unconstitutional, the validity of other parts or provisions not affected thereby
shall continue to be in full force and effect

SEC. 14. Repealing Clause - All laws, executive orders, decrees,

rules, regulations, ordinances, or parts thereof which are inconsistent with the
provision of this Act are hereby repealed or modified accordingly.

SEC. 15. Effectivity Clause - This Act shall take effect fifteen (15) days
after its publication in a newspaper of general circulation

Approved,