Specific Remittance Percentages by Worker Category
- Employment contracts and service agreements must include a clause making mandatory remittance obligatory, with specified minimum remittance proportions as follows:
- Seamen or mariners: 70% of basic salary.
- Workers of Filipino contractors and construction companies: 70% of basic salary.
- Doctors, engineers, teachers, nurses, and other professionals with free board and lodging: 70% of basic salary.
- Professionals without free board and lodging: 50% of basic salary.
- Domestic and other service workers: 50% of basic salary.
- Other workers not falling in above categories: 50% of basic salary.
Passport Validity and Renewal Conditions
- Passports for Filipino contract workers shall initially be valid for one year, subject to adjustment by the Ministry of Foreign Affairs (MFA).
- Renewal of passports requires submission of documentary proof of compliance with remittance requirements.
- MFA shall not renew or extend passports unless remittance proof is submitted.
Employment Contract and Agreement Renewal Conditional on Remittance Compliance
- Ministry of Labor and Employment (MOLE) shall not approve contract or agreement renewals unless proof of foreign exchange remittance is presented.
Acceptable Proofs of Remittance
- Compliance proof may include:
- Confirmed foreign bank remittance forms.
- Employer certification authenticated indicating remittance was made.
- Certification of surrender of foreign exchange for pesos through the Philippine banking system.
- Receipt of International Postal Money Order.
- Alternative proof forms may be approved by the Central Bank of the Philippines (CBP).
Remittance Procedures
- Remittances can be made either individually by the workers or collectively by employers through payroll deduction schemes according to CBP regulations.
Employer Obligations for Remittance Facilitation
- Employers must commit as a precondition for accreditation by MOLE to provide facilities for remittance and monitoring of foreign exchange earnings of their workers.
Role of Central Bank and Diplomatic Missions in Remittance
- CBP shall coordinate with appropriate financial institutions to handle remittances.
- In absence of banking facilities, the nearest Philippine Embassy or Consulate may act as an interim remittance channel, adhering to local laws.
- MFA must coordinate with CBP regarding these arrangements and remit all funds accordingly.
Penalties for Non-Compliance
- Contract workers failing to remit shall be suspended or excluded from eligibility for overseas employment.
- Repeat offenders shall be repatriated at employer's or their own expense.
- Employers or representatives failing to comply may be excluded from the overseas employment program.
- Non-compliance by local private employment agencies may result in license cancellation and liability under existing laws.
Rulemaking and Implementation
- MOLE, MFA, and CBP are tasked to promulgate implementing rules and procedures within ten days from the order’s signing.
Repeal and Effectivity
- All inconsistent orders, rules, and regulations are repealed.
- The order shall take effect thirty days after promulgation of implementing rules and procedures.