Law Summary
Scope of Application
- Applies to evaluations conducted by Regional Tripartite Wages and Productivity Boards (RTWPBs).
- Covers employer-provided facilities for employees, excluding supplements.
Definitions
- Key terms clarified include NWPC, RTWPB, DOLE, Cash Wage, Facilities, Facility Evaluation, Facility Evaluation Order, Fair and Reasonable Value of Facilities, Supplements, and Wages.
- Facilities include meals, housing, fuel, transportation, school, recreation, sanitation, medical services, and other employee-benefiting services.
- Supplements and wages have distinct meanings excluding tools or services primarily benefiting the employer.
Assessment and Accreditation
- NWPC responsible for developing evaluator accreditation systems.
- Accredited evaluators must comply with procedural rules.
Filing and Processing of FE Applications
- Applications filed personally, by registered mail, or email using prescribed forms with documentary requirements.
- Eligible filers include unions, employees, owners, or authorized representatives.
- Application must be submitted to RTWPB with jurisdiction.
- RTWPB acts within 30 days on completeness and suitability of facilities for evaluation.
- RTWPB coordinates meetings with management and workers to seek voluntary agreements.
- Actual cost valuation and market comparisons may be done.
- Post-evaluation reports submitted to DOLE Regional Director.
Deductibility of Facility Values from Wages
- Facility value deductible only if customarily furnished, voluntarily accepted in writing by employees, and charged at fair value.
- Meals must be nutritionally adequate with at least 30% employer subsidy.
- Housing must be exclusively for employee living quarters with valuation based on operating costs and depreciation.
Issuance and Content of Facility Evaluation Orders
- DOLE Regional Director issues orders within 5 days of RTWPB recommendation.
- Orders must specify voluntary employee acceptance, cost details, nutritional adequacy for meals, and reasonable rental values for housing.
- Deductions cannot exceed previous orders unless justified.
- Free facilities without prior agreement cannot later be charged.
- Written employee consent for deductions is mandatory.
Duration and Posting Requirements
- Orders remain valid unless revoked or revised.
- Employers must post copies conspicuously and submit proof.
Appeal Mechanism
- Aggrieved parties may file appeals within 10 days to NWPC.
- Grounds include procedural violations or calculation errors.
- NWPC decides within 30 days.
- Appeal does not stay order effectivity.
Enforcement
- Non-compliance complaints filed with DOLE Regional Offices.
- Subject to enforcement under Articles 128 and 129 of the Labor Code.
Facility Availment
- Facilities provision agreed between employer and union/workers.
- If workers choose not to avail, value cannot be deducted from wages.
Reporting Requirements
- RTWPBs must submit monthly reports on FE applications and studies to NWPC.
- Documentation filed systematically for monitoring.
Repeal and Separability
- Inconsistent rules/orders are amended.
- Invalid provisions do not affect remaining provisions.
Effectivity
- Guidelines take effect 15 days after newspaper publication.