National Employment Master Plan Law

State policy and employment objectives

Section 2 declares it is State policy to afford full protection to labor, local and overseas, organized and unorganized, and to promote full, productive and freely chosen employment and livelihood.
The State must ensure equitable employment opportunities for all, irrespective of sex, race, color, religion, political opinion, ethnicity, or social origin (Section 2).
In pursuit of poverty reduction through decent jobs, sustainable enterprises, and economic transformation, the State must ensure an environment that encourages more employment and entrepreneurship opportunities, including comprehensive support to existing and emerging businesses—particularly micro, small and medium enterprises (MSMEs)—and improved employability, productivity, and competitiveness of Filipino workers (Section 2).
The Trabaho Para sa Bayan Plan serves as the State’s master plan on employment generation and recovery to realize short-term and long-term goals and visions (Section 2).
The Plan’s objectives include: stimulating growth through alignment of investment and incentives to create more decent employment and address unemployment, underemployment, youth unemployment, rising precarity and informality, reintegration of OFWs, and labor-market challenges (Section 2(a)).
The Plan also aims to promote workers’ employability and competitiveness through industry-relevant skills training, upskilling/reskilling, reintegration pathways, active labor market activities, and other services (Section 2(b)).
The Plan must provide support and incentives to businesses, particularly MSMEs, by increasing access to financing and capital to spur self-reliance and employment generation and to ensure employment security and protection (Section 2(c)).
The Plan must incentivize employers and private-sector organizations that provide training, technology, knowledge-and-skills transfer, upskilling/reskilling, and enterprise-based training such as apprenticeship, work immersion, or on-the-job training (Section 2(d)).

Coverage and governance scope

The Act applies to national, regional, and local government units (LGUs) (Section 3).
The Act applies without prejudice to the right of the Bangsamoro Government and its component LGUs to adopt and implement labor and employment projects and programs, consistent with national policies, laws, rules and regulations (Section 3).

Trabaho Para sa Bayan Plan structure and components

The Trabaho Para sa Bayan Plan (TBP Plan) is the State’s employment generation and recovery master plan (Section 4).
The TBP Plan includes a three (3)-year, six (6)-year, and ten (10)-year development timeline for its vision, mission, goals, and milestones (Section 4).
The Trabaho Para sa Bayan Inter-Agency Council (TBP-IAC) formulates success measures, key performance indicators, and action components (Section 4).
Action components include support for MSMEs (including start-ups and cooperatives) through increased access to financing, capital, incentives, transition of informal MSMEs to formality, and other support mechanisms (Section 4(a)).
Action components include skilling, upskilling, and reskilling for employability and competitiveness, fostering lifelong learning while considering nuanced needs of workers from marginalized or vulnerable sectors (Section 4(b)).
Action components include incentives for employers and private organizations offering training, technology/knowledge/skills transfer, upskilling/reskilling, recognition of prior learning and experience, and enterprise-based training geared toward workforce improvement (Section 4(c)).
Action components include empowering workers on rights and obligations under the Philippine Constitution, Presidential Decree No. 442 (Labor Code), and other rules—including rights to self-organization, freedom of association, and collective bargaining—through orientations, seminars, and similar modes (Section 4(d)).
Action components include identifying priority sectors, key and emerging industries, and other activities with high employment potential, including initiatives for domestic and foreign direct investments, targeted interventions and subsidies, and support to create value-adding supply chains (Section 4(e)).
Action components include expanding active labor market policies, information, and programs, including employment facilitation and reintegration support for OFWs, and using innovative means to improve accessibility and efficiency in delivery (Section 4(f)).
Action components include enhancing tripartism and social dialogue among workers, employers, and government and increasing participation and representation of marginalized and vulnerable sectors in labor issues (Section 4(g)).
Action components include addressing youth unemployment, including identifying challenges in the school-to-work transition and challenges confronting youth not engaged in education, employment or training (NEET) (Section 4(h)).
Action components include providing standards for training and employment of apprentices and formulating guidelines for creation of apprenticeship programs and other enterprise-based education and training modalities to improve productivity and efficiency (Section 4(i)).
Action components include establishing effective and inclusive grievance redress mechanisms to provide an accessible and credible channel for complaints and accountability for liable parties (Section 4(j)).
Action components include supporting the welfare of workers in new forms of work arrangements, such as freelance work in-person or through online platforms or the gig economy (Section 4(k)).
Action components include integrated plans and incentives to facilitate transition from informal to formal economy using interventions such as business registration, financial literacy programs, and enrollment in social protection programs like SSS, PhilHealth, and Pag-IBIG (Section 4(l)).
Action components include promoting ethical and fair recruitment standards to protect migrant workers, promote decent work, and enhance global competitiveness of Filipino workers (Section 4(m)).
Action components include promoting access to and utilization of digital infrastructure in doing business among MSMEs and informal economic units to overcome the digital divide (Section 4(n)).
Action components include contributing to implementation of full-cycle and comprehensive national reintegration for documented and undocumented OFWs (Section 4(o)).

TBP-IAC creation and composition

The TBP-IAC is established under Section 5.
The TBP-IAC is chaired by the Director-General of the National Economic and Development Authority (NEDA) and co-chaired by the Secretary of the Department of Trade and Industry (DTI) and the Secretary of the Department of Labor and Employment (DOLE) (Section 5).
Membership includes the Director-General of the TESDA, and the Secretary of the Department of Budget and Management (DBM), and Secretary of the Department of Finance (DOF), and Secretary of the Department of the Interior and Local Government (DILG) (Section 5).
The TBP-IAC includes representatives: one (1) from employers’ organizations, one (1) from labor organizations, one (1) from the marginalized or vulnerable sector, and one (1) from the informal sector (Section 5).
The TBP-IAC meets at least every quarter or as often as necessary (Section 5).
Chairpersons and members may designate representatives with at least the rank of Assistant Secretary or equivalent, fully authorized to decide for and on behalf of the represented agency (Section 5).
The TBP-IAC Secretariat consists of dedicated personnel from NEDA, DTI, and DOLE to provide administrative, operational, and technical support (Section 5).
The TBP-IAC engages other government agencies and instrumentalities and representatives from labor and employers’ organizations, marginalized or vulnerable sectors, and informal sectors as necessary (Section 5).

TBP-IAC powers, functions, and working groups

The TBP-IAC must formulate the TBP Plan, including action components, success measures, and key performance indicators (Section 6(a)).
The TBP-IAC must monitor, review, evaluate, and update the TBP Plan and its implementation and accomplishments, identify execution gaps, and recommend improvements (Section 6(b)).
The TBP-IAC must conduct a comprehensive analysis of the employment situation and labor market, global employment and economic trends, existing policies and programs affecting workers and sectors, and map initiatives supported by the private sector, NGOs, or international development organizations (Section 6(c)).
The TBP-IAC must review and streamline existing policies, plans, programs, projects, and existing inter-agency councils, and direct alignment to avoid duplication, ensure effective resource use, and harmonize government efforts with the TBP Plan (Section 6(d)).
The TBP-IAC must assist LGUs in planning, devising, and implementing employment generation and recovery plans and programs within localities and ensure alignment with the TBP Plan (Section 6(e)).
The TBP-IAC must craft and provide guidelines for institutionalization of the TBP Plan in each government agency (Section 6(f)).
The TBP-IAC must perform other functions related to implementation of the TBP Plan (Section 6(g)).
Working groups may be established by the TBP-IAC to pursue implementation of the TBP Plan (Section 7).
Working groups must align with the TBP Plan’s objectives and targets and focus on enhancing employment generation and recovery in specific industries and emerging sectors and on thematic areas (Section 7).
Working groups may include sectors such as health services, construction, tourism, agriculture, information technology and business process management, and manufacturing (Section 7).
Each working group is chaired by a government agency designated by the TBP-IAC, and industry sector representatives participate (Section 7).

Government roles and hiring policy review

The Civil Service Commission (CSC), Commission on Audit (COA), and DBM, in consultation with relevant agencies and LGUs, must analyze and review existing government hiring policies and standards, including skills/competencies required, streamlining recruitment and selection processes, and identifying appropriate manpower needs (Section 8).
All government agencies, including LGUs, must coordinate with the TBP-IAC for alignment and integration of the TBP Plan with their policies and programs (Section 9(a)).
Upon request, government agencies must provide necessary information to the TBP-IAC to realize the Act’s objectives (Section 9(b)).

Reporting, implementing rules, and public access

The TBP-IAC must submit reports every January and July of each year to the Office of the President, the Senate of the Philippines, and the House of Representatives (Section 10).
Reports must cover implementation timelines and status and accomplishments of each action component (Section 10(a)).
Reports must include evaluation of policies, plans, programs, and projects of relevant government agencies (Section 10(b)).
Reports must include recommendations for possible policy interventions to improve and address identified labor market challenges (Section 10(c)).
Reports must include other relevant information (Section 10(d)).
Reports must be publicly available through the respective websites of relevant government agencies (Section 10).
Within one hundred eighty (180) days from the Act’s effectivity, the TBP-IAC, together with other concerned agencies and private stakeholders, must jointly formulate the implementing rules and regulations for effective implementation (Section 11).

Funding, separability, and repeal

The amount needed for initial implementation is charged against the current year's appropriations of the departments or agencies concerned (Section 12).
Thereafter, sums necessary for continued implementation must be included in the annual General Appropriations Act (Section 12).
Any portion declared unconstitutional or invalid must not nullify other portions if the remaining parts can still subsist and be given effect in their entirety (Section 13).
All inconsistent laws, ordinances, rules, regulations, and other issuances, or parts thereof, are repealed or modified accordingly (Section 14).