Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. 3406

Introduced by HON. JOSEPHINE VERONIQUE “Jaye” R. LACSON - NOEL
Malabon City, Lone District

EXPLANATORY NOTE

Our country produces quality and hard-working professionals, technically skilled and
rank-and-file workers. We are known to the whole world for it

Over the past 12 months, according to the NEDA Report! issued last June 2019, An esti-
mated 1.3 million jobs were created. However, our statistics would show that the current trend for our
workers is not enough to alleviate our poverty rate

The recent Labor Force Survey? published by the Philippine Statistics Authority (PSA)
has shown that unemployment is at 94.9%, is down to 0.4 of the previous year while the underemploy-
ment rate is at 86.5% and it is down to 2.6% in comparison with the previous year. This leaves us with
42.2 million Filipino with jobs. They are either regular or part-time and no work limit has been specified.
‘This, aside from our employment state, needs an immediate address.

‘The PSA published a report’ showing that there are around 8.1 million overworked Fil-
ipinos or have worked for more than the regular forty-eight (48) hours a week. Based on numerous local
and international studies, overwork has several serious health repercussions including acute heart failure
and subarachnoid hemorrhage, chronic depression, lack of concentration and impaired memory and acci-
dents.

‘The Labor Code of the Philippines provides that the normal hours of work of any em-
ployee shall not exceed eight (8) hours a day4. As to overtime work, the code provides that it is not
mandatory, except in situations specified under the law’, any employee may perform overtime work be-
yond eight (8) hours a day®, provided that the employee subject to appropriate compensation

1. NEDA REPORT (2013). at hup://www.neda.gov ph ph-labor-market-upbeat-but-gains-need-to-be-sustained-neda’
2, LABOR FORCE SURVEY (2019) at ttps://psa.gov ph content employment-rate-april-2019-estimated-949-percent
3. DECENT WORK: (2013). at htp:/~www.psa gov.pW sites default files/atachmentsirdspecialrelease/DeW'S%202018. 092818. rev pdf
ARTICLE 83, The Labor Code of the Philippines.
S.ARTICLE 89, The Labor Code of the Philippines.
TICLE 87, The Labor Code of the Philippines.



Section 18, Article II of the 1987 Constitution of the Philippines? guarantees the
protection of the rights of workers and promote their welfare. It also affirms labor as a primary

social economic force.

Despite the efforts of our government to protect and develop our workers, current-
ly there are no laws that shall limit the overtime work that one has to render. I personally under-
stood the need of our countrymen to eam money due to increasing economic demands but, health
and work-life balance should be prioritized.

Similar to the goals of the PSA upon publication of its “Decent Work” report, it
also the goal of this bill to: (a) promote the creation of sustainable enterprises and increased effi-
ciencies in the economy in order to explore opportunities for increased investments in human
resource development and improved working conditions to achieve full and productive employ-
ment; (b) strengthen the observance of the constitutionally protected rights of workers to ensure
the ratification of core and governing conventions and respect for fundamental principles and
rights at work; and (c) seeks to improve access to social protection mechanisms, improved
wages, better working conditions and expanded employment opportunities*

This measure seeks to put a legal limit to the extent that employees can be made
to work overtime, whether voluntary or involuntary.

IN VIEW OF THE FOREGOING, the immediate approval of this
earnestly sought.

JOSEPHINE VERONIQUE “Jaye” R. LACSON - NOEL

7. 1987 Constitution of the Philippines. Article II, Section 18.
8. DECENT WORK (2015). at hap:/www:psa.gopW site default files attachments ird specialrelease’Delt’S%202018. 092818. rev O.pdf


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. ad06

Introduced by HON, JOSEPHINE VERONIQUE “Jaye” R. LACSON - NOEL.
Malabon City, Lone District

AN ACT IMPOSING
A LIMIT TO THE NUMBER OF HOURS AN EMPLOYEE CAN WORK AND BE
MADE TO WORK OVERTIME, AMENDING FOR THE PURPOSE ARTICLES
87 OF PRESIDENTIAL DECREE NO. 442, AS AMENDED, OTHERWISE
KNOWN AS THE LABOR CODE OF THE PHILIPPINES

Be it enacted by the Senate and the House of Representatives of the Philippine

in Congress assembled:

SECTION 1. Declaration of State Policy. - It is hereby declared the policy of the
State to afford full protection to labor and entitles all workers to humane work conditions. In ad-
dition, the state is mandated to regulate relations between workers and employers, recognising
the right of labor to its just share un the fruit of production

The Congress is constitutionally mandated to give the highest priority to the en-
actment of measures that protect and enhance the right of all the people to human dignity.

SECTION 2. Amendment of Article 87 of the Labor Code. - \t is hereby amend-
ed to read as follows:

“Art, 87. Overtime work. Work may be performed beyond eight (8)
hours a day provided that the employee is paid for the overtime work, an additional com-
pensation equivalent to his regular wage plus at least twenty-five percent (25%) thereof.
Work performed beyond eight hours on a holiday or rest day shall be paid an additional
compensation equivalent to the rate of the first eight hours on a holiday or rest day plus at
least thirty percent (30%) thereof,


FOR EMPLOYEES COVERED BY THE REGULAR WORK WEEK
SHCEME, THE TOTAL ALLOWABLE OVERTIME WORK HOURS SHALL BE
TEN (10) HOURS PER WEEK.

THE DEPARTMENT OF LABOR AND EMPLOYMENT SHALL.
PROMULGATE SPECIFIC RULES TO DETERMINE THE APPLICABLE
WEEKLY OVERTIME WORK LIMITS FOR EMPLOYEES COVERED BY THE
COMPRESSED WORK WEEK SCHEMES AND OTHER SIMILARLY IRREGU-
LAR WORK SCHEMES.

SECTION 6. Implementing Rules and Regulations, - The Department of Labor

and Employment shall revise, amend and promulgate the necessary rules and regulations to im-

plement the relevant provision of the Labor Code of the Philippines as mended by this Act within
ninety (90) days after its approval

SECTION 6. Separability Clause. - If any provision of this act is subsequently
declared invalid or unconstitutional, other provisions hereof which are not affected thereby, shall

remain in full force and effect.

SECTION 7. Repealing Clause. - All laws, acts, presidential decrees, executive
orders, issuances, presidential proclamations, rules and regulations or parts thereof which are
contrary to and inconsistent with any provision of this Act are hereby repealed, amended or mod-
ified accordingly.

SECTION 8. Effectivity. - This act shall take effect fifteen (15) days after its
complete publication either in the Official Gazette or in at least two (2) newspaper of general cir-

culation.

Approved,