Law Summary
Declaration of Policy
- The State aims to promote full employment and equal job opportunities.
- Affords full labor protection.
- Aligns with the ILO's Decent Work Agenda and Convention 88.
- Supports the establishment of Public Employment Service Offices (PESOs) for active labor market programs.
Statement of Objectives
- Shorten school-to-work transition for youth.
- Enhance knowledge and skills from formal education or technical training.
- Develop youth life skills, professionalism, and work appreciation values.
- Provide safe, conducive venues for applying theory and ethics.
- Improve employment facilitation delivery by PESOs.
Definition of Terms
- Employer: legal entity providing training and placement.
- Internship stipend: payment to trainees during internship.
- JobStart: DOLE's program for enhancing employability of at-risk youth.
- JobStart graduate: trainee who completes program stages.
- JobStart internship: practical learning in participating employers’ workplaces.
- JobStart life skills training: 10-day course to develop behavior, attitude, values.
- JobStart technical training: up to 3 months of theoretical and hands-on training.
- JobStart trainee: selected eligible registrant.
- JobStart unit: DOLE-managed office overseeing the program.
- Technical training certificate: jointly issued attestations of skills learned.
- Training allowance: payment to trainees during life skills and technical training.
- Training plan: a detailed curriculum and schedule of skills and competencies.
Qualifications of a JobStart Trainee
- Filipino citizen.
- Age 18 to 24; 17 allowed if turning 18 at training.
- At least high school level education.
- Not currently employed, studying, or training.
- No or less than 1 year of work experience.
Program Components
- Registration.
- Client assessment.
- Life skills training with career coaching.
- Technical training.
- Job matching.
- Referrals for internships or employment.
Status of JobStart Trainees
- Considered trainees, not employees during training.
- Graduates given hiring preference.
- PESO assesses readiness after life skills training.
Role of the JobStart Unit
- Established at DOLE's Bureau of Local Employment and regional offices.
- Provides training, administrative, other costs to employers.
- Approves training plans with PESO and TESDA technical advice.
Role of the DOLE
- Executes the JobStart program.
- BLE manages technical and administrative assistance.
- Regional and field offices supervise and monitor implementation.
- Conducts capacity-building for PESOs focusing on career coaching and life skills.
Payment of Allowances and Stipends
- Trainees receive daily training allowance from JobStart unit during life skills and technical training.
- Internship stipend paid by employers at not less than 75% of prevailing minimum wage.
- Stipends based on actual attendance, with penalties for absences and tardiness.
- Payments at least twice a month.
JobStart Training Period
- Three phases: Life Skills Training, Technical Training, Internship.
- Life Skills Training: 10 days, daily allowance provided.
- Technical Training: up to 3 months; may be exempted or shortened as recommended.
- Technical training aligned with TESDA competencies; NC or COC qualification possible.
- Internship: up to 3 months or 600 hours, 8-hour days with meal breaks.
- Overtime pay at 125% of daily stipend.
- Night shift differentials at minimum 10% above internship stipend.
- Holiday training compensated at double daily stipend.
- Probationary periods waived for trainees hired post-program with completed training.
Entitlements to Other Benefits and Incentives
- Basic accident insurance funded by DOLE for duration of program.
- Medical exams’ cost reimbursed by DOLE through PESO.
- LGUs exempt trainees from work permit requirements.
Duties and Responsibilities of JobStart Trainees
- Submit documentary requirements to PESO.
- Enter training or service contracts.
- Comply with training schedules and plans.
- Properly use equipment and respect confidentiality.
- Follow establishment rules.
- Report for exit interviews after internship.
Participation of Employers
- May take trainees up to 20% of total workforce.
- Cannot register trainees who are already in similar government training programs.
- Must have legitimate business, appropriate certifications, and training capacity.
- Must pay internship stipend of at least 75% of minimum wage.
- Expected to mentor and possibly absorb graduates for employment.
Duties and Responsibilities of Employers
- Develop and implement training plans.
- Enter into contracts with trainees.
- Provide practical training not exceeding 3 months.
- Pay stipulated internship allowances.
- Ensure trainee safety and professional development.
- Submit performance reports and invoices for reimbursement.
- Notify PESO of any trainee misconduct before suspension or termination.
Termination of Training Contract
- Employer may terminate due to absenteeism, willful disobedience, theft, violence, or inefficiency.
- Trainee may terminate due to harmful conditions, cruel treatment, or prolonged illness.
- Notice to be given to other party.
- Replacement trainees allowed depending on cause of termination.
Grievance Committee
- Composed of DOLE and PESO representatives.
- Handles violations or complaints about training agreements.
- Investigates and issues decisions.
- Cases escalated to DOLE-BLE if unresolved or if complaints involve committee members.
Payment of Administrative Fee
- Employers receive monthly administrative fee per trainee, amount determined by DOLE.
Partnership with Local Government
- LGUs through PESOs act as DOLE’s conduit for implementation.
- PESOs manage registration, assessment, job matching, document processing.
- Maintain participant and employer records.
- Submit monthly monitoring reports to DOLE and local officials.
Enhancement of Labor Market Information System
- PESOs use DOLE’s Skills Registry System to manage trainee and employer data.
- PESO personnel trained on system and job matching.
- DOLE and BLE establish IT infrastructure for labor market info.
- Labor market analysts employed to maintain and support LMIS.
Oversight Committee
- Chaired by DOLE.
- Members include DILG, DSWD, NYC, TESDA, youth, employer, and labor sector representatives.
- Responsible for overseeing program implementation.
- Annual report submitted to Congress.
Appropriations
- Necessary funds appropriated from the National Treasury.
- Subsequent funding included in General Appropriations Act under DOLE budget.
Penalty Clause
- Violations subject to penalties under the Labor Code.
- Unregistered JobStart programs face closure and possible liabilities.
- DOLE Secretary may file civil or criminal cases for fraud or non-compliance.
Implementing Rules and Regulations
- DOLE Secretary to formulate rules within 90 days of effectivity.
Separability Clause
- Invalidity of any provision does not affect others.
Repealing Clause
- Laws and regulations inconsistent with this Act are repealed or modified accordingly.
Effectivity
- Takes effect 15 days after publication in the Official Gazette or two newspapers of general circulation.