Law Summary
Key Definitions
- Skill: Acquired ability to carry out a job.
- Skills Development: Process providing opportunities to gain or upgrade job-related abilities.
- Technical Education: Post-secondary education for middle-level workers in non-degree programs.
- Trade: Recognized occupation needing specific qualifications.
- Middle-Level Manpower: Skilled workers with at least secondary or post-secondary education.
- Trainers, Trainees, Apprenticeship, and related terms defined clearly.
- Market-Driven Strategy and Dual Training System emphasize industry linkage and alternating school/work training.
- Levy Grant System: Employer contributions funding training programs.
Creation and Structure of TESDA
- TESDA created to implement technical education and skills development programs.
- Absorbs existing manpower and vocational agencies.
- Composed of the TESDA Board and TESDA Secretariat.
TESDA Board Composition
- Government officers: Secretaries of Labor, Education, Trade, Agriculture, Interior, and TESDA Director-General.
- Private sector members: Employers, labor representatives, and private educational institutions appointed by the President.
- Terms staggered with one-third rotating each year.
- Presidency may revise membership.
- Board meets at least twice yearly with substitutes allowed.
Powers and Functions of the TESDA Board
- Formulate policies, plans, and programs for technical education and skills development.
- Promote equal participation of industry, labor, and government sectors.
- Organize coordinating committees and enter into contracts.
- Restructure technical education institutions.
- Approve trade skills standards and tests.
- Establish accreditation systems.
- Support trainors training programs and dual training system.
- Levy fees for training and tests.
- Allocate resources and create advisory committees.
TESDA Secretariat
- Handles planning, policy implementation, resource allocation, progress reporting.
- Administers apprenticeship and trainer development programs.
- Implements approved plans and agreements.
Leadership and Staff
- Director-General appointed by the President, rank equivalent to Undersecretary.
- Two Deputy Directors-General for Vocational Training and Policy Planning.
- Chief of Services for Administration appointed by TESDA Board.
- Executive Directors head various offices such as Planning, Skills Standards, Curriculum Development, Formal and Non-Formal Training, Apprenticeship.
- Regional and Provincial TESDA Offices supervise implementation locally.
Funding and Compensation
- Employees’ salaries comply with government salary laws.
- Funds sourced from government appropriations, Overseas Workers Welfare Administration, donations, and income generated.
- TESDA Development Fund established to finance grants, upgrading capabilities, and training activities.
Programs and Standards
- National comprehensive development plan for middle-level manpower based on employment policies.
- National occupational skills standards developed and certifications issued.
- Training programs include trainer training, entrepreneur and technology development, occupational skills.
- Employer assistance provided for skills training schemes.
- Coordination of all skills training programs to optimize efficiency.
Incentives and Opportunities
- Incentive schemes developed to encourage provision of quality training.
- Delivery system designed for quality education especially for disadvantaged sectors.
- Devolution plan to develop local government capacity to provide community-based programs.
Skills Olympics
- Annual national skills competitions held to promote quality and prepare for international participation.
Governance and Accountability
- Board to issue implementing rules within 90 days of law effectivity.
- Periodic independent reviews every five years.
- Repeal of inconsistent laws.
- Severability clause to maintain valid provisions if parts are ruled unconstitutional.
- Law effectivity upon publication in newspapers.
Each section of the law establishes a comprehensive framework for promoting, regulating, funding, and administering technical education and skills development in the Philippines, underscoring public-private partnerships, standards, and broad-based participation in workforce development.