Q: What is the State policy?

A: Protection to labor;
promotion of full
employment

CHAPTER I
TITLE AND POLICY
SECTION 1. Short Title. This Act shall be known as the OWWA Act of

REMARKS
There is no distinction on whether the
overseas Filipino worker is documented or
undocumented.

2013.
Q: What comprise the
coverage of the Bill?
A: OFWs (local & overseas,
organized & unorganized)

Sec. 2. Declaration of Policy. It is the policy of the State to afford full

protection to labor, local and overseas, organized and unorganized, and promote
full employment opportunities for all. Towards this end, it shall be the States
responsibility to protect the overseas Filipino workers (OFWs). The Overseas
Workers Welfare Administration (OWWA) shall be one of the principal
agencies of the State to serve and promote the interest and welfare of the OFWs
and their families.

Q: What is the nature of

OWWA as an institution?
A: A national government
agency (NGA) attached to
the DOLE
Q: What is the scope of the
bill?
A: All OFWs registered
with the POEA & those who
undergo OWWAs voluntary
membership

CHAPTER II
NATURE, SCOPE AND FUNCTIONS OF OWWA

The OWWA is only one of the agencies.

We adopt a one-country team approach
wherein the DFA, DOLE, POEA and other
concerned agencies work together, on a
case-to-case basis,
The classification as a National
Government Agency (NGA) and a
Government-Owned and Controlled
Corporation (GOCC) remains an unsettled
issue.

Sec. 3. Nature of OWWA. The OWWA is a national government agency vested

For NGA classification: DBM citing the

opinion of DOLE on pages 16-17, 29-31,
that respond to the needs of its member-OFWs and their families. It shall have the TSN March 25, 2015
with a special function of developing and implementing welfare programs and services

powers to administer a trust fund. Being a national government agency, the OWWA

For GOCC classification: DOJ. The

Commission on Audit citing in its Dec. 29,
with Corporate Powers, Government Corporate Entities, Government Financial 2014 opinion, RA 10149 (GOCC Act of
shall not fall under the category of any of the following: Government Instrumentalities

Q: What are the main

functions of OWWA?
A: Sec. 5
-protection of all OFWs
-implementation of Labor
Code
-provide social & welfare
programs & services
-provide prompt emergency
services
-ensure efficient collection
and &Fund sustainability
-enhance economic, social
& cultural well-being of
OFWs

2011) on pages 11-19, TSN March 25,

Institutions, Government-Owned Or Controlled Entities, Government Financial 2015.
Institutions and/or Government-Owned Or Controlled Corporations.

An impact of being declared an NGA is

The OWWA shall be an attached agency of the Department of Labor and that the GAA shall henceforth include the
Budget for the Administrations PS and
Employment (DOLE). Its officials and employees are covered by the Salary MOOE. Currently, the PS and MOOE are
Standardization Law.
drawn from the OWWA Fund. The share of
PS & MOOE disbursed from the OWWA
Sec. 4. Scope. This Act shall apply to all OFWs who are duly registered with Funds are on the decline, i.e. 55% in 2006
to 25% now. Pages 22-23, TSN march 25,
the Philippine Overseas Employment Administration (POEA) and those who will avail
2015.
of the voluntary membership program of OWWA.
Sec. 5. Functions. The main functions of OWWA are:
a) To protect the interest and promote the welfare of member-OFWs in all
phases of overseas employment in recognition of their valuable contribution
to the overall development effort;
b) To facilitate the implementation of the provisions of the Labor Code and
Republic Act No. 8042 as amended, concerning the responsibility of the

In case the OWWA is classified as a

GOCC, it will be exempt from the
requirement to declare dividends on its
trust fund to the National Government,
under Sec. 4 of RA 7656Government
Service Insurance System, the Home
Development Mutual Fund, the Employees
Compensation Commission, the Overseas
Workers Welfare Administration, and the
Philippine Medical Care Commission.

government to promote the well-being of OFWs. Pursuant thereto, and in

furtherance thereof, it shall provide legal assistance to its members;
c) To provide social and welfare programs and services to member-OFWs,
including but not limited to, social assistance, education and training, cultural
2

services,

financial

management,

reintegration

and

entrepreneurial

development services;
d) To provide prompt and appropriate response to global emergency or crisis
situations affecting OFWs;
e) To ensure the efficiency of collections and the viability and sustainability of
the Trust Fund created herein through sound, judicious and transparent
investment and management policies;
f)

To undertake studies and research for the enhancement of social, economic

and cultural well-being of member-OFWs; and

g) To develop, support and finance specific projects for the welfare of memberOFWs.

CHAPTER III
DEFINITIONS
Sec. 6. Definition of Terms. For purposes of this Act, the following terms
shall mean:
a) Overseas Filipino Worker (OFW) refers to a person who is to be engaged,
is engaged, or has been engaged in a renumerated activity in a State of
which he or she is not a citizen or on board a vessel navigating the foreign
3

seas other than a government ship used for military or non-commercial

purposes, or on an installation located offshore or on the high seas;
b) Dependent - refers to any of the following: (a) the legal spouse dependent
for support upon the member or pensioner; (b) the legitimate, legitimated,
legally adopted child, including the illegitimate child, who is unmarried, not
gainfully employed, not over the age of majority, or is over the age of
majority but incapacitated and incapable of self-support due to a mental or
physical disability acquired prior to age of majority; and (c) the parents
dependent upon the member for support;
c) Compensation refers to the basic pay or salary received by an employee,
pursuant to his appointment, excluding per diems, bonuses, overtime pay,
honoraria, allowances and any other emoluments received in addition to the
basic pay which are not integrated into the basic pay under existing laws;
d) Contribution or Membership Fee refers to the amount payable to OWWA
by an OFW or the employer in accordance with the provisions of this Act;
e) OWWA Member refers to an OFW with a paid contribution or
membership fee;
f) Non-active OWWA member refers to an OFW whose OWWA
membership has expired;
g) Non-Member OFW refers to an undocumented OFW and who has not
availed of the voluntary membership of OWWA on-site;
h) Voluntary OWWA member refers to an undocumented OFW who has
4

availed of the voluntary membership of OWWA on-site.

Q: What are the types of
membership registration?
A: Compulsory registration
and voluntary registration
Q: How much is the
membership contribution?
A: $25, or its foreign
exchange equivalent
Q: For how long is the
membership contribution
valid?
A: Until the expiration of
existing OFW employment
contract; for voluntary
registration on-site, valid for
2 years
Q: Who shall pay the
membership contribution to
the OWWA Fund?
A: The
employers/principals, or in
case of default, by the
recruitment/manning agency

CHAPTER IV
The average annual collection of
membership contribution is as PhP 1.784
Sec. 7. Registration of Membership. Registration or enrolment of members
Billion, while the accumulated trust fund
shall be in accordance with the provisions of this Act. Membership in OWWA may be amounts to PhP15 B.
MEMBERSHIP, CONTRIBUTION AND COLLECTION

obtained in two (2) ways:

In case, the DBM includes the

Administrations PS and MOOE in the
OFWs at the POEA; and
GAA, the Trust Fund will grow robustly.
b) By voluntary registration of OFWs at job-sites overseas or at the OWWA Ex. For 2013: PS & MOOE amounted to
PhP785,707,213.00 while membership
Regional Welfare Offices.
contributions collected reached P1.784 B.
Sec. 8. Proof of Membership. All members shall be issued Official Receipt Pages 74-44, TSN march 11, 2015.
upon payment of the required contribution. They shall likewise be issued an OWWA Ea) By compulsory registration upon processing of employment contracts of

Card, identification card or other proof of OWWA membership. No additional or extra

charges shall be levied on members.
The OWWA is mandated to maintain a database of member-OFWs which shall
be updated regularly.
Sec. 9. Amount of Contribution and Effectivity of Membership. Membership
to the OWWA, either through the compulsory or voluntary coverage, shall be effective
upon payment of membership contribution in the amount of Twenty-Five US Dollars
(US $ 25.00) or its equivalent in the current foreign exchange rates. Such membership
shall be considered active until the expiration of the OFWs existing employment
contract.
5

Q: Who collects the

membership contribution?
A: OWWA Collecting
Officers, deputized
collecting officers or
accredited agents at the
POEA contract processing
hub, OWWA regional and
overseas offices, and other
accredited collection
centers.
For on-site voluntary
members -- directly to
OWWA Overseas Offices
located in the various
diplomatic stations,
embassies or consulate
offices of the Philippines
Q: What is the penalty for
non-payment of the
membership contribution?
A: It is punishable by
Violation by a revocation of
the license of the
recruitment/manning
agency; perpetual
disqualification of all its
officers and directors from

In case of voluntary members who register on-site, membership coverage shall

not exceed two (2) years.
Based on actuarial studies and taking into consideration the welfare and interest
of the members, the Board may adjust or modify the amount of membership
contribution upon consultation with OFW organizations.

This reflects the Declaration of Policy

sense to provide protection to labor. The
payment of contribution or contract renewal or issuance of a new contract of Filipinos who left as tourists who
employment. In the case of voluntary membership, coverage shall be renewed upon eventually got employed (and other socalled undocumented Filipino migrant
payment of contribution of Twenty- Five Dollars (US $ 25.00) or its equivalent in the
workers) are given this opportunity to
current foreign exchange rates.
enjoy the services/welfare benefits of the
In both instances, there shall be a grace period of two (2) months in the OWWA.
Sec. 10. Renewal of Membership. Membership shall be renewed upon

payment of contributions, after the expiration of membership.

Sec. 11. Separation of Sea-based and Land-based Workers Contribution. To
effect a more efficient fund management between the two (2) sub-sectoral groups of
Land-based and Sea-based workers, the collection of membership contribution shall be
accounted for in two (2) separate books of account.
Sec. 12. Authorized Collecting Officers.
a) Membership contributions shall be collected by duly authorized OWWA
Collecting Officers, deputized collecting officers or accredited agents. The
collection of membership contributions shall be made at the POEA contract
processing hub, OWWA regional and overseas offices, and other accredited
collection centers.
6

engaging in the business of

recruitment/placement of
overseas workers

b) In the case of voluntary members who register on-site, membership

contributions shall be made directly to OWWA Overseas Offices located in
the various diplomatic stations, embassies or consulate offices of the
Philippines.
Sec. 13. Reportorial Requirements and Handling of Contributions. The
collecting officer, the deputized collecting officer , or the accredited collecting agent
shall prepare and submit the required monthly reports to the OWWA Central Office in
the Philippines. Handling of collections and deposits by Collection Officers shall be
governed by the usual accounting and auditing rules and regulations.
Sec. 14. Sanctions for Erring Officers. Corresponding administrative
sanctions and other disciplinary measures, including but not limited to recall for
post/suspension/or separation from service, shall be imposed upon any officer who
violates the provision of the preceding section.
Sec. 15. Prohibition Against Discrimination on Membership. No OFW shall
be denied membership to the OWWA by reason of age, gender, nationality, religious
belief, or political opinion or affiliation. The OWWA shall take affirmative steps to
enhance the access of OFWs to its programs and services.
Sec. 16. Payment of Contribution or OWWA Fee by Employer. Contributions
to the OWWA Fund must be paid by the employers/principal, or in their default, the
recruitment/manning agency in the case of new-hires. The POEA shall ensure that a
provision to this effect shall be made an integral part of the overseas employment
contract.
7

Sec. 17. Penalty for Violation by Recruitment/Manning Agency. Violation by a

recruitment/manning agency of the preceding section shall constitute an offense
punishable by revocation of its license and all its officers and directors shall be
perpetually disqualified from engaging in the business of recruitment/placement of
overseas workers. Such penalty is without prejudice to any other liability that may be
imposed on such officers and directors under existing laws, rules and regulators.
Sec. 18. Deposit and Remittance of Collection.
a) OWWA Central Office and Regional Offices the Collecting Officer shall,
on a daily basis, deposit all OWWA fee contributions to the OWWA Capital
Fund Account with the Land Bank of the Philippines. For reconciliation and
record purposes, bank validated deposit slips shall be prepared in triplicate
forms to be distributed to the 1) servicing bank, 2) OWWA together with the
Report of Collections, and to the, 3) Collecting Officer.
b) OWWA Overseas Officers The Collecting Officer shall, on a daily basis,
deposit all OWWA fee contributions in the same currency received, to a
separate bank account for collections in the name of the "Office of the
Labor Attache OWWA Collections, in the depository bank of the
Department of Foreign Affairs (DFA), or in the accredited correspondent
bank of the Land Bank of the Philippines. Accumulated monthly collections
shall be remitted to the OWWA Capital Fund Account with the Land Bank
of the Philippines not later than the 5th day of the following month.
No withdrawals except remittances of collections can be made from the bank
8

accounts for collections without prior written approval of the Administrator or his duly
authorized representative, subject to the policies approved by the Board.
Overseas Offices shall be authorized to retain the required amount for the
beginning and maintaining balance of the above-mentioned bank accounts for
collections.

Q: Who compose the Board

of Trustees?

CHAPTER V
THE OWWA BOARD OF TRUSTEES
9

A: -DOLE Secretary,
chairperson
-OWWA Administrator, vice
chair
-DFA Sec., member
-DOF Sec., member
-DBM Sec., member
-POEA Adm., member
-2 representatives of landbased
-1 rep. of sea-based
-1 rep. of womens sector
-1 rep. of land-based
recruitment sector
-1 rep. of sea-based
recruitment sector
Q: What is the
compensation of the Board
of Trustees?
A: Pier diem

Sec. 19. The OWWA Board of Trustees. To carry out the purposes of this Act,
the OWWA shall be directed and controlled by a Board of Trustees as its policymaking body. It shall be composed of the following members:
a) Secretary of the Department of Labor and Employment, as Chairperson;
b) OWWA Administrator, as Vice Chairperson;
c) Secretary of the Department of Foreign Affairs;
d) Secretary of the Department of Finance;
e) Secretary of the Department of Budget and Management;
f) POEA Administrator;
g) Two (2) representatives of land-based OFWs who are nominated and
appointed in accordance with the provisions of Republic Act No. 10022,
which amended Republic Act No. 8042 or the Migrant Workers and
Overseas Filipinos Act of 1995;
h) One (1) representative of the sea-based OFWs who is nominated and
appointed in accordance with the provisions of Republic Act No. 10022;
i) One (1) representative of the women sector who is nominated and
appointed in accordance with the provisions of Republic Act No. 10022;
j) One (1) representative of the land-based recruitment sector, who is selected
from among the various associations of registered overseas placement and
recruitment agencies based in the Philippines who shall be appointed by the
President to serve a single term of three (3) years; and
k) One (1) representative of the sea-based manning sector, who is selected
10

from among the various associations of registered overseas placement and

Q: What are the
responsibilities and
functions of the BOT?
A: - define the thrusts of the
OWWA and ensure
implementation
-preserve the integrity of the
Trust Fund
-approve the programs,
projects & organizational
structure of the OWWA
Secretariat
-adjust the membership fee
& other charges based on
actuarial studies
-propose an annual OWWA
budget and submit to the
DBM
-exercise sound and
judicious investment and
fund management policies
-receive and disburse funds
-authorize the construction
& repair of its buildings,
properties, etc.
-receive in trust legacies,
gifts and donations of real

manning agencies based in the Philippines who shall be appointed by the

President to serve a single term of three (3) years.
The Trustees holding office as members of the OWWA Board at the time of the
effectivity of the Act shall continue to serve until the expiration of their term of
appointments.
In case of vacancy in any of the appointive positions in the OWWA Board, the
vacancy shall be filled by the subsequent nomination by the respective sector
concerned in the same manner as the selection of the predecessor. Such successor shall
hold office for the unexpired term only.
Sec. 20. Per Diem. The members of the OWWA Board shall not receive any
compensation but shall be provided with per diem at rates allowed under existing rules
and regulations.
Sec. 21. Responsibilities and Powers of the Board of Trustees. The OWWA
board shall exercise the following specific powers and duties:
a) To define the thrusts of the OWWA and adopt broad policy guidelines to
ensure their implementation;
b) To preserve the integrity of the OWWA Trust Fund;
c) To approve programs, projects and the organizational structure of the
OWWA Secretariat;
d) To modify or adjust the membership fee and other necessary charges based
on actuarial studies upon consultation with OFW organizations;
11

and personal property,

administer and dispose
-delegate its powers
-exercise such powers as
may be proper and
necessary

e) To formulate rules and regulations governing financial transactions and

prepare the annual budget of the Secretariat for submission to the
Department of Budget and Management;
f) To ensure the efficiency of collection and the viability and sustainability of
the Fund through sound and judicious investment and fund management
policies;
g) To receive and disburse all sums as may be provided by law for the support
of the OWWA to the ends specified by law, and all other sums in the
manner it may, in its discretion, determine to carry out the purposes and
functions of the OWWA;
h) To authorize the construction or repair of its buildings, machinery,
equipment and other facilities and the purchase and acquisition of real and
personal properties, including the necessary supplies, materials and
equipment;
i) To receive in trust legacies, gifts and donations of real and personal
property of all kinds and to administer and dispose the same when
necessary for the benefit of the OWWA general membership and subject to
the instructions of the donor, if any;
j) To delegate any of its powers to the Chairperson of the OWWA Board,
OWWA Administrator or any other officials as it may deem necessary;
k) To prescribe such general policies, rules and regulations, not contrary to
law, as are consistent with the purposes of the OWWA; and
12

l) To exercise such powers as may be proper and necessary to carry out the
objectives of this Act.

CHAPTER VI
BOARD MEETINGS, PROXIES, AND RECORDS MANAGEMENT
Sec. 22. Schedule of Meetings and Quorum of the Board. The regular
meetings of the OWWA Board shall be held every last Friday of the month. If a change
of date becomes necessary, the same shall be held at the most convenient time set by
the Board.
Special Board meetings and executive meetings may be scheduled as the need
arises. Special board meetings may be called upon by the Chairperson or by five (5)
members of the Board.

13

Sec. 23. Board Proceedings. The board proceedings shall be guided by the
following rules:
a) Notice of Meetings The Board Secretary shall distribute to all Members of
the Board the Notice of Meeting together with the discussion materials at
least three (3) working days prior to the scheduled meetings.
b) Quorum - In determining the existence of a quorum, the Board shall adopt
the simple majority rule of one-half plus one of the total filled Board seats.
c) Voting For the approval of any policy requiring the disbursement of the
OWWA Fund, an affirmative vote of a majority of all members shall be
required. For the approval of all other policies, an affirmative vote of a
majority of the members present constituting a quorum shall be necessary.
d) Attendance in Board Meetings Board members are responsible for
attending all Board meetings. The Ex-Officio members of the Board of
Trustees may designate in writing their permanent alternate who shall have
voting power.
e) Presiding Officer The Chairperson shall preside over meetings of the
Board. In the absence of the Chair, the Vice-Chairperson shall preside.
f) Board Resolution All decisions of the Board shall be expressed in the
form of Resolutions signed by all the members present. Resolutions may be
modified or superseded by another resolution.
Resolutions shall take effect upon adoption and signing by the members
present, subject to requisite publication.
14

g) Records Management and Archiving of Board Documents The Board

Secretary shall ensure a complete and thorough recording of all proceedings
during a Board meeting. The minutes of the previous meeting shall be made
available for approval during the succeeding scheduled Board Meeting.
The Minutes of the meeting shall contain the attendance, business arising
from the minutes, major agreements reached, corresponding resolutions and
other items noted or discussed and instructions issued by the Board.
All Minutes of meetings and Board Resolutions, tape recordings and other
documents pertaining to the business of the Board shall be kept and
archived pursuant to standard records management systems and procedures.

Q: What are the duties and

responsibilities of the
OWWA Secretariat?
A: - manage programs
- implement Board policies
on investment and fund
management

CHAPTER VII
OWWA SECRETARIAT
Sec. 24. The OWWA Secretariat. The OWWA Secretariat is the implementing
arm of the OWWA.
Sec. 25. Duties and Responsibilities of OWWA Secretariat. The OWWA
Secretariat shall perform and assume the following duties and responsibilities:
15

- formulate medium-term
development plans
- submit work and financial
plans
- provide policy analyses
and recommendations
- monitor and conduct
assessment and evaluation
of organizational
performance
- establish and maintain an
on line management
information system
- establish and maintain
linkages and networks
- conduct annual planning,
budgeting and
organizational performance
assessment
- submit annual reports to
the Board, Congress and the
President
- submit written quarterly
reports on the assessment
and evaluation of programs,
projects and services
- undertake the periodic
review of programs,
standards, thrusts and

a) To manage programs including the delivery of welfare services locally and

overseas to its members supported by advocacy and information programs;
b) To implement Board policies on investment and fund management;
c) To formulate medium-term development plans responsive to the welfare,
needs and demands of member-OFWs;
d) To submit work and financial plans for Board consideration;
e) To provide policy analyses and recommendations for Board consideration;
f) To conduct continuing researches and studies, including impact evaluation,
in aid of policy and program development;
g) To regularly monitor and conduct assessment and evaluation of
organizational performance;
h) To establish and maintain an on line management information system, to
include database on membership;
i) To establish and maintain linkages and networks with local and
international social and institutional partners;
j) To conduct annual planning, budgeting and organizational performance
assessment and render the report to the Board;
k) To submit annual reports to the Board, Congress and the President
l) To submit written quarterly reports on the assessment and evaluation of
programs, projects and services and such other reports as may be required
by the Board;
m) To undertake the periodic review of programs, standards, thrusts and
16

policies
- perform other functions
- adopt internal rules of
procedure consistent

policies;
n) To perform other functions as may be instructed by the Board; and
o) To adopt internal rules of procedure consistent with the provisions of this
Act.
Sec. 26. The OWWA Administrator. The administration of the OWWA is
vested in the Administrator. As the Chief Executive Officer of the Secretariat, the
Administrator shall exercise general supervision and control of all OWWA personnel
and resources, and assume full responsibility and accountability thereof.
The Administrator must possess good leadership and managerial skills. The
Administrator shall be appointed by the President. The Administrator shall report to the
President through the Secretary of DOLE and shall perform the duties and functions
stated in this Act and all the usual, necessary and related functions of the office of the
Administrator, subject to the policies and rules prescribed by the OWWA Board.
Sec. 27. The Deputy Administrators. Two (2) Deputy Administrators shall
assist the Administrator in the administration and supervision of operations of OWWA.
They shall be appointed by the Board upon the recommendations of the Administrator.
They must also possess good leadership and managerial skills. The Board may assign
specific functional responsibilities to the Deputy Administrators.
Sec. 28. Regional on-Site Welfare Officers. OWWA shall maintain Regional
Offices and on-site Welfare Offices under the Philippine Overseas Labor Offices of the
Department of Labor and Employment.

17

Q: What is the
Qualifications Upgrading
Program?
A: It is a program for the
staffing of the OWWA to be
designed by the OWWA
Board within 120 days of
effectivity of this Act.
For current Officers &
employees: to acquire the
required academic degree
and/or qualifications not
later than 5 years counted
from the implementation of
this program; to obtain the
necessary CSC qualification
required for their position
not later than one (1) year
from the effectivity of this
Act.

CHAPTER VIII
PERSONNEL AND STAFFING PATTERN
Sec. 29. New Structure and Staffing Pattern.
a) Upon effectivity of this Act, the officers and employees of the OWWA shall,
in a holdover capacity, continue to perform their respective duties and
responsibilities and receive the corresponding salaries and benefits unless in
the meantime they are separated from the service. The new structure and
staffing pattern for the OWWA shall be prescribed by the OWWA Board
and approved by the Department of Budget and Management. The salaries
and benefits of all personnel shall be in accordance with existing
compensation laws.
b) Those incumbents whose positions are not included therein or who are not
reappointed shall be deemed separated from the service. Those separated
from the service shall receive the retirement benefits to which they may be
entitled under existing laws, rules and regulations.
Sec. 30. Qualifications Upgrading Program. Pursuant to the provision of
18

paragraph (1) of the immediately preceding section, the OWWA Board shall design and
establish a qualifications upgrading program for the staffing of the OWWA, in
coordination with the DOLE and the Civil Service Commission (CSC), within one
hundred twenty (120) days from the effectivity of this Act: Provided, That those who
are already in the service from the effectivity of this Act shall have, not later than five
(5) years, to obtain the required academic degree and/or qualification counted from the
implementation of the qualifications upgrading program: Provided, further, That those
who are already in the service from the effectivity of this Act shall have, not later than
one (1) year, to obtain the necessary CSC qualification required for the position they
are currently holding: Provided, finally, That said personnel has obtained at least a
Satisfactory performance rating.
Sec. 31. Authority to Reorganize the Administration. Notwithstanding the
provisions of existing laws, the OWWA Board shall conduct a management audit,
prepare and submit to the DBM a proposed reorganization plan of the OWWA not later
than one (1) year, subject to the limitations under this Act and based on the following
criteria.
a) Increased OWWA visibility from the Head Office to the various Regional
Offices and by the appointment and assignment of personnel to positions
which are purely administrative, technical, clerical or menial in nature and
other positions which are not directly related to its operation and
administration; and
b) Efficient and optimized delivery of OWWA services to the OFWs and their
19

respective families.
Sec. 32. General Qualifications for Appointment.The general qualifications
for appointment of OWWA personnel shall be in accordance with the minimum
requirements set by the Civil Service Commission (CSC). The OWWA may hire
consultants who are experts in actuarial studies, information technology, finance and
investment, and such other fields as may be deemed necessary in the implementation of
programs and services.

Q: What are the OWWA

benefits and services?
A: - reintegration
- repatriation assistance
- loan and credit assistance
- workers assistance and onsite services
- social benefits
* death and disability

CHAPTER IX
OWWA BENEFITS AND SERVICES
Sec. 33. Guiding Principles. Pursuant to its mandate, OWWA shall provide
reintegration programs, repatriation assistance, loan and credit assistance, workers
assistance on-site, death and disability benefits, health care benefits, education and
skills training, social services, family welfare assistance, and other appropriate
programs that provide timely social and economic services.
20

benefits (P100,000.00 for

natural death and
P200,000.00 for accidental
death)
* disability and
dismemberment benefits
(P2, 000.00 to P50,000.00)
* total permanent disability
benefit (P100,000.00)
* burial benefit
(P20,000.00) that an be
increased based on actuarial
studies
- health care benefits for the
benefit of member-OFWs
and their families

Nothing in this Act shall be construed as a limitation or denial of the right of the
OFW to avail of any benefit plan which may be adopted in the employment contact, or
offered voluntarily by employers, or by the laws of the receiving country which are
over and above those provided under this Act.
Sec 34. Benefits and Services to OFWs.
A. Reintegration of OFWs. Reintegration of OFWs shall be one of the core
programs of OWWA
To be able to sustain the viability of this program, not less than ten percent Current practice: The DFA exercises
supervision and control of the Legal
(10%) of OWWAs collection of contribution for the immediately preceding
Assistance Fund and Assistance to
year shall be allocated annually for reintegration program.
Nationals. The release of funds is demandB. Repatriation Assistance. Consistent with the provisions of R. A. No. 8042, based.
as amended, members shall be provided with all the services necessary for
repatriation.
C. Loan and Credit Assistance. OWWA shall provide low-interest loans to

- education and training

benefits (Skills-forEmployment Scholarship
Program, Education for
Development Scholarship
Program, Seafarers
Upgrading Program)
Q: Are non-members
qualified to receive OWWA
benefits and services?

member-OFWs. It shall have the authority to hire consultants who are

experts in finance or banking to assist in the conceptualization and
implementation of the said loan programs.
D. Workers Assistance and On-site Services. OWWA shall provide assistance
to OFWs in all its Overseas and Regional Offices. Services shall include
information regarding the names, occupation/job category and addresses of
OFW, providing guidance, developing materials for the Pre-Departure
Orientation Seminars, conducting psycho-social counselling, conciliation

In the case of Repatriation and

Reintegration, the OWWA implements its
own programs. The DOLE and DFA also
have repatriation programs. However, in
the event that emergencies or crisis affect
Filipinos overseas, the OWWA which has
more funds available has undertaken an
agreement with the DFA to implement
rescue first including those of
undocumented Filipinos or non-OWWA
members, defray the costs and account for
the expenses later. Pages 32-33, TSN
March 11, 2015.

21

A: Yes, as determined by the

Board.

services and outreach missions, among others. On behalf of the OFW, the The OFW Sector proposed to add psychoOWWA may provide appropriate representation with employer, agents and social assistance or care for the families of
OFWs who are kidnapped or were
host government authorities, including, but not limited to assisting OFWs to
hostaged, e. g. Filipinos in Somalia and
regain unpaid wages.
Nigeria. Pages 133-135 TSN, March 11,
E. Social Benefits. A member-OFW shall be covered with the following social 2015.
benefits:
1. Death and Disability Benefits.
a. Death Benefits. A member shall be covered with life insurance for
the duration of ones employment contract. The coverage shall
include One Hundred Thousand Pesos (P100,000.00) for natural
death and Two Hundred Thousand Pesos (P200,000.00) for natural
death and Two Hundred Thousand Pesos (P200, 000.00) for
accidental death.
b. Disability and Dismemberment Benefits. A member shall be entitled
to disability/dismemberment benefits as a rider provision of ones
life insurance as provided for in the impediment schedule contained
in the Manual of Systems and Procedures. The coverage is within
the range of Two Thousand Pesos (P2, 000.00) to fifty thousand
Pesos (P50,000.00).
c. Total Disability Benefit. In case of total permanent disability, a
member shall be entitled to One Hundred Thousand Pesos
(P100,000.00).
22

d. Burial Benefit. A burial benefit of Twenty Thousand Pesos

(P20,000.00) shall be provided in case of the members death.
Based on actuarial studies, the Board may increase the amount of
the above-mentioned benefits.
2. Health Care Benefits. Within two (2) years from the effectivity of this
Act, OWWA is mandated to develop and implement health care
programs for the benefit of member-OFWs and their families.
F. Education and Training Benefits. A member or a designated beneficiary
may avail of the following scholarship programs, subject to a selection
process and accreditation of participating institutions. Annual scholarship
lists shall be submitted to the Board.
1. Skills-for-Employment Scholarship Program. For technical or
vocational training scholarship.
2. Education for Development Scholarship Program. For baccalaureate
programs.
3. Seafarers Upgrading Program. To ensure the competitive advantage
of Filipino seafarers in meeting International Maritime Organization
(IMO) competency standards, sea-based members shall be entitled to
one upgrading program for every three (3) membership contributions.
Sec 35. Development and Assessment of Programs. - OWWA shall continue to
develop and implement new programs to meet new OFW needs and requirements as
they arise, and to assess the effectiveness of existing services and benefits in serving
23

OFW welfare.
OWWA shall also maintain an interactive website to collect OFW feedback,
comments, suggestions and complaints on existing programs and services.
Sec. 36. Extension of Services to Non-members. OWWA may also extend
appropriate programs or services to non-members as may be determined by the Board.
CHAPTER X
THE OWWA TRUST FUND
Sec. 37. OWWA Fund. The OWWA Fund is a private fund held in trust by
OWWA. The OWWA Fund, being a trust fund, is not government money. No portion
thereof or any of its income, dividends or earnings shall accrue to the General Fund of
the National Government. Neither shall any amount or portion thereof be conjoined
with the government money, nor revert to the National Government. In the same
manner, it is exempted from the one fund doctrine of the government.
Sec. 38. Purpose of the OWWA Fund. The OWWA Fund can only be used for
the purposes for which it was created, that is, to exclusively serve the welfare of
member-OFWs and their families. The Fund is to be used exclusively to finance the
core programs and services of the OWWA.
Sec. 39. Reporting of the Fund. Within fifteen (15) days after receipt of
audited reports from the Commission on Audit, the OWWA Board of Trustees shall
Q: What is the nature of the
OWWA Trust Fund?
A: It is a private fund held
in trust by the OWWA. No

submit to the President and Congress a report showing the total collections of and the
disbursements from the OWWA Fund.
Sec. 40. Disbursement of OWWA Fund. Any provision of existing law to the
24

portion of the Fund, income,

dividends or earnings shall
accrue to the General fund
of the National government;
shall not be conjoined with
government money nor
revert to the National
government. It is exempt
from the one-fund doctrine.

contrary notwithstanding, all incomes generated by the OWWA shall, upon their
collection, be retained by the OWWA and disbursed by the Board for the general
welfare and other benefits of the OWWA general membership and the OWWA
Secretariat personnel; for the acquisition, construction, maintenance and repair of
urgently needed auxiliary facilities, equipment, buildings and other infrastructure; and
for expenses necessary for the attainment of its purposes under the approved program
of expenditures.
No fund shall be withdrawn from the OWWA Fund to respond, aid,

Q: What is the purpose of

the Fund?
A:To exclusively serve the
welfare of member-OFWs
and their families and used
exclusively to finance core
programs and services

supplement, or in any manner augment any required expenditure by other government

agencies.
Sec. 41. Source of the OWWA Fund. The OWWA Fund is the sum total of the
amounts under the management and fiscal administration of the OWWA Board and the
Secretariat, including the US $25 contributions that shall accrue to the Fund as fees,
investment and interest income, and income from other sources.

Q: How is the Fund

disbursed?
A: It shall be disbursed by
the Board for the general
welfare and other benefits of
the members and the
OWWA secretariat
personnel and for auxiliary
facilities, equipment,
buildings and other
infrastructure & other

Sec. 42. Trustees of the Fund. The OWWA Board is designated as the trustee
of the OWWA Fund. It shall be bound by a fiduciary duty to manage the Fund with
extra-ordinary diligence and with utmost skill, care and judiciousness.
Sec. 43. Transparency. the OWWA Fund shall be managed with full
transparency and full public disclosure. It shall make available all records of how the
funds are utilized, disbursed and invested in accordance with existing laws.

25

expenses under the

approved program of
expenditures
Q: What is the source of the
OWWA fund?
A: The sum total of the
amounts under the
management and fiscal
administration of the
OWWA Board and the
Secretariat, including the
US $25 contributions that
shall accrue to the Fund as
fees, investment and interest
income, and income from
other sources

Chapter XI Investment
Administration:
Safeguards is unique
among all proposed OWWA
Bills and shall be adopted

CHAPTER XI

The OFW Sector observed that only S.B.

No. 1955 contained an explicit Chapter on
INVESTMENT ADMINISTRATION: SAFEGUARDS
Investment Administration Safeguards.
Sec. 44. Safeguards of the OWWA Fund, Acquired Assets, Unredeemed
Pages 76-84 TSN January 14, 2015. This
Investments.
chapter expanded the investment options
a) The OWWA Trust Fund shall be managed and expended in accordance with while it also proposed safeguards. The
OFW sector opined that since the Board to
the purposes of the Fund and safeguarded against any possible loss and
be created includes ample representation
misuse.
from OWWA members, the past
26

The OWWA shall ensure an appropriate growth rate in the fund sufficient to experiences of contentious investment
sustain the growing needs of OFW members. It shall ensure that all schemes will be avoided, e.g. Smokey
Mountain Project/ Harbour Center.
investment instruments are periodically inventoried and properly kept at a
government bank under a custodianship agreement.
A monthly report on all investment schedules showing the interest rates,
yields, discount rates and other relevant data shall be submitted to the
Board.
b) The OWWA shall administer all properties, acquired or foreclosed. To
ensure that the properties are safeguarded and preserved, the same must be
properly accounted for and documented, re-inspected, re-appraised and
insured with taxes paid.
An asset development/disposal plan shall be submitted by the Administrator
for the consideration of the Board.
Foreclosed properties shall be registered as OWWA assets within one (1)
month after foreclosure.
c) Unredeemed investments and other receivables shall be inventoried semiannually and corresponding redemption plan shall be submitted to the
Board. All receivables shall be supported by documents appropriately
acknowledged by the accountable party.
Sec. 45. General Investment Policy. The funds of the OWWA which are not
needed to meet the current obligations may be invested under such terms and
conditions and rules and regulations as may be prescribed by the Board: Provided, That
27

investments shall satisfy the requirements of liquidity, safety/security and yield in order
to ensure the actuarial solvency of the funds of the OWWA: Provided, further, That the
OWWA shall submit an annual report on all investments made to both Houses of
Congress of the Philippines, to wit:
(a) In interest-bearing bonds or securities or other evidence of indebtedness of
the Government of the Philippines; and
(b) In foreign mutual funds and in foreign currency deposits or foreign
currency-denominated debts, non-speculative equities and other financial
instruments or other assets issued in accordance with existing laws of the
countries where such financial instruments are issued: Provided, That these
instruments or assets are listed in bourses of the respective countries where
these instruments or assets are issued: Provided, further, That the issuing
company has proven track record of profitability over the last three (3)
years and payment of dividends at least once over the same period:
Provided, finally, That not more than Twenty Percent (20%) of the abovementioned funds shall be invested abroad.
Portfolio management of investible funds shall be outsourced to government
financial institutions (GFIs).
Sec. 46. Examination and Valuation of the Funds. The OWWA shall make a
periodic actuarial examination and valuation of its funds in accordance with accepted
actuarial principles.
CHAPTER XII
28

FISCAL AND BUDGET POLICY: MANAGEMENT

Sec. 47. Operative Budget. The operative budget must be sufficient to support
full protection of the OFW welfare. The budget shall be reviewed annually by the
Board with emphasis on adequate funding for services and agency efficiency.
The Board shall approve by a majority vote of all its members, the operating
budget which shall support the planned work programs and administrative costs to
include but shall not be limited to personal services, transportation, office rentals,
office supplies, equipment, technological support, communications and utilities,
requirements for personal services, and capital outlays: Provided, That appropriations
for Personal Services (PS) and its regular Maintenance and Other Operating Expenses
(MOOE) shall not exceed Twenty Percent (20%) of the total member contributions
realized in the immediately preceding year.
The approved operating budget shall be drawn from the OWWA Trust Fund.
Sec. 48. Benefits and Services Budget. The annual budget shall include all
benefits and services to OFWs. The budget shall prioritize protecting OFW welfare.
The amount necessary to defray the cost of these benefits and services shall be drawn
from the OWWA Trust Fund.
Sec. 49. Budget Preparation and Approval. In preparing the annual budget,
OWWA shall follow the national government budget system, format and cycle as may
be prescribed by the Department of Budget and Management.
Sec. 50. Work and Financial Plans. All cost centers/ offices/ units of OWWA
shall submit their annual work and financial plans (WFP), which should correspond to
29

the approved budget. The Directors shall endorse the WFP of their respective units for
approval of the Administrator. The consolidated OWWA-WFP shall be reported to the
Board.
Sec. 51. Budget Realignment. Realignment of funds including adjustments in
targets shall be submitted to the Board for approval. Similarly, in the event that extraordinary circumstances may occur which require additional funds beyond the coverage
of the approved budget, the same shall be submitted for approval by the Board subject
to the existing budget rules and regulations.
Sec. 52. Branch Accounting System; Financial Reports; Auditing Procedures;
Annual Reports. The OWWA Regional Units shall maintain their respective books of
account which shall be consolidated by the Central Office.
The OWWA shall install sound internal control and monitoring systems and
submit quarterly prescribed Financial Statements to COA such as income statement,
balance sheet, and cash flow as prescribed in post auditing reports by the COA.
The OWWA Secretariat is mandated to submit a monthly fund utilization report
to the Board, copies of which shall be made available to Congress. It is further
mandated to submit an Annual Report on its overall performance for the previous year
within the first sixty (60) days of the following year to the OWWA Board, Congress
and the President, through the Department of Budget and Management (DBM).
Sec. 53. Chart of Accounts. the OWWA shall adopt the appropriate and
standard chart of accounts as prescribed by the COA.
Sec. 54. Appropriations from the National Government. Nothing in this Act
30

shall prevent the National Government from allocating funds for the operation or
implementation of any of the programs of services stated herein, including the budget
for maintenance and other operating expenses.

Q: Who are qualified for

rebates or financial
aqssistance?
A: OFWs who have been
members of OWWA for at
least five (5) years and who

CHAPTER XIII
MISCELLANEOUS PROVISIONS
Sec. 55. Rebates for Long-time Members. In recognition of the contribution of
long-time members on the OWWA Trust Fund, OWWA is mandated to develop and
implement a program for the grant of rebates or some form of financial assistance to
31

have not availed of any

services or benefits,
including their families,
from OWWA

OFWs who have been members of OWWA for at least five (5) years and who have not
availed of any services or benefits, including their families, from OWWA.
Sec. 56. Procurement System. The OWWA procurement system shall be
governed by Republic Act No. 9184, also known as Government Procurement Reform
Act.
Sec. 57. Implementing Rules and Regulations. The present OWWA Board
shall, within sixty (60) days from effectivity of this Act, formulate the necessary rules
and regulations for its effective implementation.
Sec. 58. Separability Clause. - If, for any reason, any provision of this Act or
any part thereof shall be held unconstitutional and invalid, the other parts or provisions
of this Act, which are not affected thereby, shall remain in full force and effect.
Sec. 59. Repealing Clause. - All laws, decrees, orders, rules and regulations or
parts thereof inconsistent with any of the provisions of this Act are hereby repealed,
amended or modified accordingly.
Sec. 60. Effectivity Clause. - This Act shall take effect fifteen (15) days after its
complete publication in the Official Gazette or at least two (2) newspapers of general
circulation.
Approved,

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