Title
Overseas Workers Welfare Admin Act
Law
Republic Act No. 10801
Decision Date
May 10, 2016
The Overseas Workers Welfare Administration Act is a Philippine law that governs the operations and administration of the Overseas Workers Welfare Administration (OWWA), providing protection and welfare assistance to Overseas Filipino Workers (OFWs) and their families through various programs and services.
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Objectives

  • Establishes guidelines about OWWA's mandate, membership, contribution collections, and benefits.
  • Defines policies on fund management and administration of programs and services related to OFWs.

Nature and Scope of the OWWA

  • OWWA is a government agency focused on welfare programs for member-OFWs and families.
  • Manages the OWWA Fund, a trust fund exclusive for OFW welfare.
  • Classified as a chartered institution and attached to the Department of Labor and Employment (DOLE).
  • Covered by the Salary Standardization Law.
  • Applies to OWWA Secretariat, Fund, member-OFWs, voluntary members, and registered overseas recruitment/manning agencies.

Functions of the OWWA

  • Guards interests and promotes welfare of member-OFWs throughout overseas employment.
  • Facilitates implementation of labor laws and migrant workers' protection laws.
  • Offers legal assistance, social welfare, education, training, and reintegration programs.
  • Provides emergency response during crises involving OFWs.
  • Ensures efficient collection and sustainable management of OWWA Fund.
  • Conducts studies for socio-economic-cultural welfare enhancement.
  • Develops and finances projects benefiting OFWs.
  • Ensures enforcement of relevant laws and international conventions.

Key Definitions

  • Compensation: Basic pay excluding bonuses and allowances.
  • Contribution: Membership fee paid by OFWs or employers.
  • Dependent: Includes legal spouse, children (with specified qualifications), and parents supported by OFW.
  • Member Categories: Distinguishes active, non-active, voluntary, and non-members.
  • OFW: Person engaged in remunerated work outside the Philippines, including sea-based roles.

Membership Registration and Contributions

  • Membership mandatory upon POEA contract processing; voluntary through job sites or online.
  • Membership requires a $25 contribution, effective until contract expiration or two years, whichever is earlier.
  • Contributions may be adjusted by the OWWA Board based on actuarial studies.
  • Official receipt or identification issued upon payment; no extra charges allowed.
  • Separate accounting for land-based and sea-based collections.
  • Authorized collecting officers manage contribution collection, including overseas offices for voluntary registration.
  • Monthly reports required from collectors; administrative sanctions for violations.
  • Membership acceptance is non-discriminatory by age, gender, religion, or politics.
  • Employers or recruitment agencies responsible for contribution payment; penalties for violations include license revocation.

OWWA Board of Trustees

  • Policy-making body of OWWA, consisting of government secretaries, OFW representatives, recruitment sector representatives.
  • Members serve fixed terms; vacancies filled by sector nominations.
  • Members receive per diem but no compensation.
  • Powers include defining policies, safeguarding the fund, approving programs, adjusting contributions, formulating rules, managing funds, accepting donations, delegating powers during emergencies, and ensuring law enforcement.

Board Meetings and Procedures

  • Regular meetings monthly with ability to call special meetings.
  • Board proceedings governed by notices, quorum rules, voting thresholds.
  • Board Secretary responsible for records, minutes, and public accessibility.

OWWA Secretariat

  • Implements Board decisions and manages welfare service delivery.
  • Duties include policymaking support, planning, reporting, research, monitoring, information systems, external linkages.
  • Administrator, appointed by the President, supervises overall operations.
  • Two Deputy Administrators assist with administration/fund management and operations.
  • Regional and on-site welfare offices maintained under Philippine Overseas Labor Offices.

Personnel and Staffing

  • Board may reorganize OWWA administration with management audit and reorganization plan.
  • Qualifications upgrading program established in coordination with DOLE and Civil Service Commission.
  • New structure and staffing pattern approved by DBM; no demotion or salary reduction for current personnel.
  • CSC minimum qualifications apply; may hire experts as needed.

OWWA Benefits and Services

  • Provides gender-responsive reintegration, repatriation, loan and credit assistance, on-site assistance, death/disability, health care, education and training, and family welfare.
  • Reintegration is a core program with at least 10% of collections allocated.
  • Repatriation assistance coordinated with the Department of Foreign Affairs.
  • Loans offered at low interest; experts may be hired to manage loan programs.
  • Legal aid and psycho-social services available, including support for victims of gender-based violence.
  • Social benefits include life insurance (death/disability), burial benefits, education scholarships, and seafarer upgrading programs.
  • OWWA develops new programs, maintains interactive website, and may extend services to non-members.

The OWWA Fund

  • Established as a trust fund exempt from government fund mixing and taxation.
  • Fund exclusively used for member-OFWs’ welfare, financing programs and services.
  • Sources include membership contributions, investment income, and other earnings.
  • Income retained and disbursed at Board discretion for member services.
  • Board has fiduciary duty with extraordinary diligence over fund management.
  • Full transparency and public disclosure of fund utilization required.
  • Annual report on collections and disbursements submitted to Congress and President, and published online.

Investment and Asset Safeguards

  • Fund managed prudently to ensure growth and prevent misuse.
  • Regular inventory and proper custody of investments.
  • Properties acquired foreclosed are accounted, insured, and registered.
  • Unredeemed investments inventoried semi-annually with redemption plans.
  • Investments restricted to government securities with outsourcing of portfolio management.
  • Periodic actuarial examination and valuation of funds mandated.

Fiscal and Budget Policies

  • Benefits and services budget sourced from OWWA Fund.
  • Budget prepared following national government procedures; Board approval required.
  • Unapproved budget leads to reenacted budget based on previous year.
  • Budget realignments and extraordinary funding require Board approval.
  • Regional units maintain books consolidated centrally; quarterly financial reports submitted to COA.
  • Annual report on performance submitted to OWWA Board, Congress, and President.
  • Standard chart of accounts aligned with COA prescribed.

Appropriations from National Government

  • Initial implementation funded from OWWA internal funds.
  • Subsequent operations funded through appropriations in the General Appropriations Act.
  • National Government may allocate additional funds for programs and capital outlays.

Miscellaneous Provisions

  • Rebates or financial assistance to long-time members who have not availed benefits, based on actuarial studies.
  • OWWA procurement governed by the Government Procurement Reform Act.
  • OWWA and its assets exempt from taxes, legal processes, liens, and garnishments, except debts owed to OWWA.
  • Continuity of current personnel and resources assured during transition to new structure.
  • Implementing rules issued within 90 days; effective 15 days after publication.
  • Separability clause ensures remaining law remains effective if part declared unconstitutional.
  • Repeals inconsistent laws and orders.
  • Law takes effect 15 days after publication.

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