House Of Representatives Unanimously Approves 10 Days Of Paid Incentive Leave

With a unanimous vote of 203-0, a panel chaired by Cagayan representative Randolph Ting, together with the lower house representatives, granted the approval of House Bill 6770 on its third and final reading.

House Bill 6770 amends Article 95 of Presidential Decree No. 442 (Labor Code of the Philippines). Originally authored by Baguio representative Mark Go, it seeks to increase the five-day service incentive leave of employees to 10 days with pay.

Who might benefit from 10-day incentive leave?

The amendment will benefit employees who have rendered at least one year of service to their employers.

The bill, however, shall not apply under the following circumstances:

  1. To those who are already enjoying the benefits; those enjoying vacation leaves with pay for at least 10 days.
  2. Those employed in establishments who are regularly employing less than 10 employees.
  3. Establishments that are exempted from granting the benefit by the Secretary of Labor after considering the capability or financial condition of such an establishment.

The said House Bill tasks the Department of Labor and Employment (DOLE) to publicize, promote and spread the implementing rules and regulations of the proposed act.

Productivity increasing or competency reducing?

Baguio representative Mark Go says the granting of such incentive shall boost the morale and satisfaction of the employees manifested in their increased productivity. These leave credits can also minimize the risks of health and safety issues experienced by employees, which, in the long run, can cost more money for both the employer and the employees.

Although the proposed measure was celebrated by a lot of people, employers, on the other hand, were not satisfied by it.

According to Employers Confederation of the Philippines President Donald G. Dee in a phone message he sent BusinessWorld, the said bill will, however, destroy the competence of the employees reiterating that what was really needed was more jobs.

How about you? What are your thoughts on this bill?