Outsourcing Alerts

Updates on Government Mandated Benefits (February)

SSS Rationalization Act 

  • Republic Act No. 11199 or an “Act rationalizing and expanding the powers and duties of the Social Security Commission (SSC) to ensure long-term viability of the Social Security System” was signed by the President on Feb. 7, 2019. 
  • SSS members and employers will gradually contribute more from 11% to 12% this 2019 until it reaches 15% in 2025, and provide mandatory SSS coverage of OFWs.

Persons with Disabilities (PWDs) extends to those with poor eyesight

  • Individuals with poor vision that cannot be corrected with spectacles, contact lenses, medication or surgery are now eligible for a PWD ID and are now covered by benefits not limited to 20% discounts & 12% VAT exemption on certain transactions, 5% discount on basic necessities, education assistance, government & leisure benefits, and express or priority lanes in commercial and government establishments.

Universal Health Care Law 

  • On Feb. 20, 2019, the President signed into law the Universal Health Care Bill, which seeks to give all Filipinos health care coverage and benefits.
  • Under the law, Filipinos will be automatically enrolled in the proposed National Health Insurance Program and mandates the expansion of the Philippine Health Insurance Corporation (PhilHealth) coverage to free consultation, laboratory tests, and other diagnostic services.

Expanded Maternity Leave Law 

  • A law that will grant additional leave benefits for working mothers was also signed by the President on Feb. 20, 2019. 
  • Under the measure, all mothers in the government and private sectors are guaranteed with 105 days of paid maternity leave from the current 60, with seven (7) days transferable to fathers. While, solo parents are granted an additional 15 days of paid maternity leave. The law also gives mothers an option to extend for 30 days without pay and applies to all instances of pregnancies, removing the four-pregnancy cap.