Salary Payment and Voucher System
- Employer pays 60% of the student's salary or wage in cash.
- Government pays 40% in education vouchers used for tuition fees and books.
- Local Government Units (LGUs) may assume full salary payment responsibility.
- Education vouchers are paid to educational institutions within 30 days of presentation.
- Vouchers are non-transferable except under death or justifiable cause, where they may be transferred to siblings or heirs.
Implementing Agencies and Program Leadership
- Secretaries of Labor and Employment, Education, Budget and Management, Social Welfare and Development, Commission on Higher Education Chairman, and Secretary of Finance tasked with issuing implementing rules and regulations.
- Secretary of Labor and Employment designated as Program Chairman.
Penalties for Non-Compliance and Fraud
- Refusal to honor education vouchers or submission of fraudulent claims punishable by imprisonment from six (6) months to one (1) year and fines of not less than P10,000.
- Criminal liability extends to managing partners, general managers, or CEOs in partnerships or corporations.
- Additional prosecution possible under other penal laws.
Funding and Appropriations
- Program included in the Department of Labor and Employment's operational programs.
- Appropriations authorized from the General Appropriations Act starting 1992 and subsequent years.
- Congressional mandate not to reduce appropriations below previous year’s amount.
- Annual appropriation to increase by at least 20%.
Separability Clause
- Invalidity or unconstitutionality of any provision or its application to any person does not affect the remainder of the Act or other applications.
Repealing Clause
- Inconsistent laws, orders, issuances, rules, and regulations are repealed, amended, or modified accordingly.
Effectivity
- Act takes effect 15 days after complete publication in the Official Gazette or in two newspapers of national circulation, whichever occurs earlier.