Law Summary
Program Description
- Safety net program providing assistance to workers and companies facing economic and social disruptions.
- Three major components: 1) Direct Services by DOLE Quick Response Team (QRT); 2) DOLE services for proponents including overseas employment facilitation and entrepreneurship; 3) DOLE institutional capacity building.
Program Objective
- Mobilize and complement efforts to build capacities of workers and companies.
- Prioritize interventions that enhance worker employability and promote socially responsible workforce restructuring.
Program Coverage
- Nationwide coverage including:
- Threatened/displaced workers due to rightsizing, redundancy, import competition, technology changes, trade liberalization effects.
- At-risk companies seeking responsible workforce restructuring.
- Communities with large-scale workforce displacement.
Component I: Direct Services by DOLE-QRT
- Quick Response Team to provide immediate assistance to displaced workers and distressed companies.
- Establish Early Warning Network Monitoring System to detect socio-economic disruptions.
- Advocacy and Assistance Mechanism including legal assistance for dispute resolution and unpaid claims, job search assistance with registration, profiling, counseling, and local employment facilitation.
Component II: DOLE Services Available to Proponents
For Workers:
- Overseas Employment Facilitation: Financial support for unskilled displaced workers with valid overseas contracts.
- Entrepreneurship Development: Training-cum-production and small business support including capital and marketing assistance.
- Employability Enhancement: Customized and intensive training programs focused on upgrading skills aligned with market demand.
For Companies:
- Labor-Management Education: Seminars on labor laws, work relations, and productivity enhancement.
- Responsible Workforce Restructuring: Assistance in preparing internal adjustment plans and displacement plans incorporating alternative measures to layoffs and support strategies for displaced workers.
Component III: DOLE Institutional Capability Building
- Ongoing education and training for DOLE, PESO, RCC, and tripartite partners involved in policy making and program implementation.
- Training focuses include displacement management, employment counseling, career guidance, business counseling, and program management.
Program Management
Central Office:
- Program Management Team (PMT) chaired by Undersecretary for Labor Relations including multiple bureaus and agencies.
- PMT formulates policies, evaluates and approves project proposals by cost thresholds.
- Bureau of Labor Relations (BLR) acts as Program Secretariat handling technical and administrative oversight, project evaluation, coordination, monitoring, reporting, and database management.
Regional Offices:
- Regional Coordinating Council/Regional Program Management Team (RCC/RPMT) chaired by Regional Director evaluates, approves projects, and monitors implementation.
- Technical Working Group assists with proposal evaluation, coordination, technical support, and project validation.
Program Mechanics
- Regional Offices receive Emergency Bridging Fund (up to P200,000) for initial mobilization on displacement.
- Workers must comply with documentary requirements such as project proposals, employment contracts, and endorsements.
- Approval authorities vary by project cost, ranging from regional councils to the Secretary of Labor and Employment.
- Companies submit letters of intent, plans of action, and implementation plans for assistance.
Program Funds
- Budget allocated specifically for Prevention of Job Losses and Assistance to Displaced Workers.
- Central Office manages funds including administrative expenses for Regional Offices.
Program Monitoring and Reporting
- Regional Offices must prepare project profiles and quarterly progress reports detailing activities, achievements, and any deviations.
- BLR consolidates regional reports and submits summaries to PMT.
- Annual or terminal reports assess project impact, relevance, and fund utilization.
Fund Liquidation
- Strict compliance with COA Circular 96-03 and standard accounting and auditing rules.
Miscellaneous Provisions
- Any invalid provisions do not affect the remaining parts of the Order.
- Partial amendments to prior Department Orders (DOs 3-99, 36-02, 7-01).
- Effective 15 days after publication in newspapers of general circulation.
- Copies filed with University of the Philippines Law Center as required by Administrative Code.