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House OKs bill protecting freelance workers on 3rd reading

Metro Manila (CNN Philippines, March 25) — Voting 195-0, the House of Representatives on Thursday approved on third and final reading a bill seeking to protect and promote the welfare of freelance workers.

House Bill No. 8817 or the “Freelance Workers Protection Act” requires a written contract between the employer and the freelancers.

The contract must cover the services to be provided by the freelance worker, details of compensation and benefits, employment period, grounds for breach of contract, the freelance worker’s tax identification number, and other conditions as may be directed by the Department of Labor and Employment.

If passed into law, freelancers shall be entitled to a night shift differential of not less than 10% of their regular pay for each hour of work. A hazard pay equivalent to at least 25% of the total payment for the period of service as provided in the contract must also be granted.

The measure also makes it illegal to:

-Pay the compensation due the freelancer later than 15 days after the date of payment of compensation stated in the written contract;

-Require as a condition of payment of compensation, at any time after a freelance worker has commenced rendition of services, that a freelance worker accept less than the specified contract price;

-Retaliate against a freelance worker for opposing any practice prohibited by the bill, filing a complaint authorized under the bill, testifying or assisting in any proceeding authorized by the measure, filing a civil action alleging a violation of the bill, assisting the Department of Labor and Employment in an investigation, and providing DOLE with information pursuant to the terms of mediation or conciliation agreement under the measure.

Violators shall be fined between ₱50,000 to ₱500,000.

The bill also mandates freelancers to register with the Bureau of Internal Revenue and pay their annual income taxes.

A similar bill is pending at the Senate for second reading approval.

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