FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Fi rsl Regu Inr Session 
SENATE 
) 
) 
) 
Senate Bill No. 2601 
"10 
NOV 18 P 1 :24 
IIECEIVED BY:-@--
Introduced by Senator FRANCIS G. ESCUDERO 
EXPLANATORY NOTE 
Each year, more than a million l'ilipinos leave the country to work abroad 
through overseas employment agencies and other programs; and in the course of 
the recruitment process, the government allows one (1) month salary placement 
fees charged to the prospective Ol'W to allow the employment agency to cover 
tlw cost of processing the application. 
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1 Iowever, very few recr,uitrnent agencies comply with the standards set in 
cllilrging plclCement fees, and some collect as much as four (4) times the monthly 
salary of the aspiring Ol:W. This practice of charging excessive processing fees 
can cost t11e prospective OFW as much as one-hundred thousand pesos 
(1'100,000.00), and most gel mired in debts even before getting hired, If not 
backinlj out from the recruitment process altogether. 
'J'herdore, this bill deservc's immediate consideration and approval 
"sa 
FRANCIS G. ESCUDERO 


FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Fi rsf Regular Session 
SENATE 
) 
) 
) 
Senate Bill No. 260 1 
'10 
NOV 18 P 1 :24 
Introduced by Senator FRANCIS C. ESCUDERO 
AN ACT 
PENALIZING CERTAIN ACTS IN THE IMPOSITION OF 
EXCESSIVE PLACEMENT FEES AGAINST OVERSEAS FILIPINO 
WORKERS 
Ile il enflcled bylhe Senflte flmi tlie {louse of l\epresentllliI'es of the Vepublic of tll(' 
1'll/lil'l,illl'S 1/1 Congress Ilsselllhled: 
SECTION 1. Title. This Act shall be known as the "Fair Placement Fees 
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for OFWs Act of 2010". 
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SECTION 2. Statement o/l'olicy; Prohibited Acts. The following acts 
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committed by any person involving and relating to the imposition of placement 
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fees against Overseas Filipino Workers (OFW), are hereby prohibited: 
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C1. 
Collecting placement fee above the legitimate placement fee 
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fixed and determined by the Philippine Overseas Employment Agency (POE A) 
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Without prejudice to Section 5 hereof; 
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overseas; 
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collected; 
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b. 
Collecting placement fee in advance of the job's avaIlability 
c. 
Not issuing the appropriate receipts for any placement fee 
d. 
Not returning any placement fee collected when deployment 
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does not materialize:; 
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(C. 
J:orcing an OFW lo Issue post dated checks lo guarantee 
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payment ol any placement fee; and 
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1. 
Forcing an OFW to borrow money only from designilted 
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persons or ll'llding institutions. 
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SECTION 3. 
Pe1lalties. Commission of any of the following acls in the 
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immediately preceding Seclion shall be punished by six (6) years Imprisonmenl 
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or a line of One Ilundred Thousand Pesos (l'hp100,000.00) to hve lIum1red 
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Thousand Pesos (1'hp500,000.00), or both, at the discretion of the court. 
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The penalties herein provided shall be tfl"ated as separate and 
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dislinct [rom any liability arising from the same punishable acts in Section 1 
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hereof. 
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If any of the acts in Section 1 is committed by a corporation, its 
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olficccrs and directors shall be made liable in the same manner as the employee Or 
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pc!rson relaled in any capacily 10 the corporation who actually commiLlcd Lhe 
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5(111W. 
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Moreover, if any of the acts is commi lled by a licensed recr{Jitmcnl 
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aGc~ncy, its agent or represenlative, such agency's license shall be automalically 
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n'voked wilh finality and no longer eligible for reinstalemenl. 
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2(, 
SECTION 4. llilplelllcll!iIlS l{ules. The FOli/\ is hereby mandated to promulgale 
lhe schedLllc~ 01 placemenllees abroad together with the implc~menling rules ,me! 
n'gulatiOlls will1111 ten ClO) days [rom the effectivity of lhis /\ct. 
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SECTlON 5. f)eji"lliliou of Emus. 1:0[" purposes of lhis /\cl, placemenl lee shall 
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refer to the an1.oLlnL chargpd by a Private ReCfuitn1.ent and l)lacenlenL !\gency 
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(l'Rl' /\) or any pc~["son [rom a recruil as payment for placement services whicl, 
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shall not exceed the equivalent of one (1) month salary of the job for which iltl 
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OJ;W llas bc~en recruiled . 
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SECTlON 6. Separability Clause. l[ any provision or parl hereof is lwld invalid 
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or unconslilulional, the remainder of t11e law or the provlsiol1 nol otherwise 
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;li[ccted shall rellWIl1 valid and subSisting. 


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SECTION 7. Repealillg Clallse. All laws, presidential decrees, execulive orders, 
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proclamations and/ or ad minJslralive ·regulations which are inconsislent wi th the 
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provisions of this Ae-l are hereby amended, modified, superseded or repealed 
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accordingly. 
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SECTION 8. Effectivity Cla1lse. This Act shall lake eHecl fifteen (5) days JWlH 
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ils publicalion in the Official Gazelle or at least three (3) newspapers of nat10l1i1! 
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circulation. 
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