Question & AnswerQ&A (Republic Act No. 7323)
The primary purpose of Republic Act No. 7323 is to help poor but deserving students pursue their education by encouraging their employment during summer and/or Christmas vacations through incentives granted to employers.
Poor but deserving students are those whose parents' combined incomes, together with their own income, if any, do not exceed Thirty-six thousand pesos (P36,000) per annum.
Eligible students must be at least fifteen (15) years old but not more than twenty-five (25) years old.
The employer must employ at least fifty (50) persons to qualify for the incentives.
The employer pays sixty percent (60%) of the salary or wage in cash, and the government pays forty percent (40%) through education vouchers.
Employment should be facilitated at the Labor Exchange Center of the Department of Labor and Employment (DOLE).
The Secretary of Labor and Employment is designated as the Project Director of the program.
Penalties include imprisonment of not less than six (6) months and not more than one (1) year, and a fine of not less than Ten thousand pesos (P10,000), in addition to other possible criminal charges.
The vouchers are not transferable except if the student payee dies or for justifiable cause stops duties, in which case the vouchers may be transferred to the student's brothers or sisters, or if none, to his heirs or himself as applicable.
The Secretary of Labor and Employment, the Secretary of Education, Culture and Sports, and the Secretary of Finance are responsible for issuing the implementing rules and regulations.
The salary or wage paid to the student workers shall not be lower than the minimum wage provided by law and other applicable labor rules and regulations.
The amount of the education voucher must be paid by the government to the educational institution within thirty (30) days from its presentation to the designated government officer or agency.
The managing partner, general manager, or chief executive officer of partnerships or corporations making fraudulent claims shall be criminally liable.