HOUSE APPROVES 10-DAY PAID LEAVE
Bill provides that every worker who has rendered a year of service is entitled to the incentive leave
With 203 affirmative votes and zero abstention, the House of Representatives approved on third and final reading on Wednesday, Aug. 29, House Bill 6770, which seeks to increase the yearly service incentive leave of employees from five to 10 days.
The bill, principally authored by Baguio City Rep. Mark Go, seeks to amend Article 95 of Presidential Decree 442, as amended, otherwise known as the Labor Code of the Philippines.
The bill provides that every employee who has rendered at least one year of service shall be entitled to a yearly service incentive leave of 10 days.
The provision shall not apply to those who are already enjoying such benefit, those enjoying vacation leave with pay of at least 10 days, and those in establishments regularly employing less than 10 employees or in establishments exempted from granting this benefit by the secretary of labor and employment, after considering the viability or condition of such establishment.
Go said the granting of paid leaves is beneficial to both employers and employees.
“The granting of such incentive boosts the morale and satisfaction of employees, which is manifested in their increased productivity. Leave credits also minimize the risks of health and safety issues among employees, which may be even costlier for both employers and employees in the long run,” Go said.
Go said the present law does not require employers to grant sick and vacation leaves.
The work incentives are given on the prerogative of the employers, either by a stipulation in the employees’ contract or through collective bargaining agreement.
Other authors of the measure, among others, are former Majority Leader Rodolfo Fariñas, Ilocos Sur. Rep. Deogracias Victor Savellano, Apayao Rep. Eleanor Bulut-Begtang, Nueva Vizcaya Rep. Luisa Lloren Cuaresma, Parañaque Rep. Gus Tambunting and Pangasinan Rep. Leopoldo Bataoil.