Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Second Regular Session 
HOUSE BILL NO. _______ 
Introduced by HON. JOY MYRA S. TAMBUNTING 
EXPLANATORY NOTE 
Republic Act 11165 or the Telecommuting Act, which was enacted in 2018, allows employers in 
the private sector to offer a telecommuting program to its employees on a voluntary bases. It is 
presently the only law which covers telecommuting in the Philippines. The said law defines 
“telecommuting” as work from an alternative workplace with the use of telecommunications 
and/or computer technologies. With the onset of COVID-19 pandemic, most companies have 
shifted to telecommuting, in compliance with the community quarantine measures implemented 
by the government.  
In the past year, we have witnessed how telecommuting could be a viable work arrangement in 
the post-COVID-19 world. Telecommuting offers benefits to employees and employers alike—
with reduced costs for transportation and increased level of flexibility for employees; and 
increased productivity and savings from reduced operational costs. On top of these, this 
arrangement may also help alleviate road traffic conditions as employees would not have to travel 
from home to workplaces.  
In consideration of these abovementioned benefits, this measure seeks to expand RA 11165 to 
include in its coverage institutions from the public sector. This measure also seeks to provide 
incentives to telecommuting employees, in consideration of the additional costs to utilities as 
people work in their homes.   
On behalf of the people of Parañaque City’s Second District, and for the common good of the 
Filipino people, the approval of the said measure is earnestly sought. 
REP. JOY MYRA S. TAMBUNTING 
2nd District, Parañaque City 
March 23, 2021
2:06 PM
9135


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
EIGHTEENTH CONGRESS 
Second Regular Session 
HOUSE BILL NO. _______ 
Introduced by HON. JOY MYRA S. TAMBUNTING 
AN ACT 
EXPANDING THE COVERAGE OF THE TELECOMMUTING ACT AND PROVIDING 
INCENTIVES FOR TELECOMMUTING EMPLOYEES, AMENDING FOR THE PURPOSE, 
REPUBLIC ACT NO. 11165, OTHERWISE KNOWN AS THE TELECOMMUTING ACT AND 
FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Section 4 of Republic Act No. 11165, otherwise known as the Telecommuting Act, 
is hereby amended to read as follows:  
SEC. 4. Telecommuting Program – An employer in the private OR PUBLIC sector 
may offer a telecommuting program to its employees on a voluntary basis, and 
upon such terms and conditions as they may mutually agree upon; XXX  
Sec. 2. A new section is hereby inserted after Section 8 of Republic Act No. 11165, which shall 
read as follows:  
"SEC 
9. 
INCENTIVES 
FOR 
TELECOMMUTING 
EMPLOYEES. 
ALL 
EMPLOYEES WORKING UNDER A TELECOMMUTING PROGRAM SHALL BE 
ENTITLED TO A NON-TAXABLE TELECOMMUTING ALLOWANCE OF AT 
LEAST ONE THOUSAND PESOS (P1,000.00) FOR EVERY MONTH SERVED 
UNDER SUCH AGREEMENT. PROVIDED, THAT, NOTHING IN THIS 
PROVISION SHALL BE CONSTRUED TO ELIMINATE OR IN ANY WAY 
DIMINISH SUPPLEMENTS, ALLOWANCES, OR OTHER EMPLOYEE 
BENEFITS SERVING A SIMILAR PURPOSE BEING ENJOYED AT THE TIME 
OF THE IMPLEMENTATION OF THIS LAW. PROVIDED FURTHER, THAT, 
NOTHING IN THIS PROVISION SHALL BE INTERPRETED TO PROHIBIT 
THE EMPLOYERS OR THE COLLECTIVE BARGAINING AGREEMENT FROM 
PROVIDING TERMS HIGHER OR MORE FAVORABLE THAN THE ABOVE-
MENTIONED RATE. PROVIDED FINALLY, THAT, ALLOWANCES GRANTED 
BY PRIVATE EMPLOYERS UNDER THIS PROVISION SHALL BE 
DEDUCTIBLE FOR INCOME TAX PURPOSES." 
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Succeeding sections of RA 11165 are hereby renumbered accordingly. 
Sec. 3. Penalties. Any violation of the provisions of this Act shall be punished with a fine of not 
more than One Hundred Thousand Pesos (P 100,000.00).  
Sec. 4. Implementing Rules and Regulations. – The Department of Labor and Employment, 
the Department of Finance, and the Bureau of Internal Revenue shall promulgate the rules and 
regulations to implement this Act within ninety (30) days from the effectively of this Act.  
Sec. 5. Separability Clause. – If any provision or part thereof is held invalid or unconstitutional, 
the remainder of the law or the provision not otherwise affected shall remain valid and subsisting.  
Sec. 6. Repealing Clause. – Any law, presidential decree or issuance, executive order, letter 
of instruction, administrative order, rule, or regulation contrary to or inconsistent with the 
provisions of this Act is hereby repealed, modified, or amended accordingly.  
Sec. 7. Effectivity Clause. – This Act shall take effect fifteen (15) days after its publication in 
at least two (2) newspapers of general circulation. 
Approved,