training workshop on accounts management for branch ao

1

May SSS na ako!

Buti na lang meron na

ako.

Kami rin!

Presented by:

ATTY. ALLAN JOSEPH B. ANDRADACorporate Executive Officer III

Branch Systems & Procedures Dept.

““KASAMBAHAY” PROGRAMKASAMBAHAY” PROGRAM

2

I. Legal BackgroundI. Legal Background

A. Presidential Decree No. 442 - Labor Code (1974)

Book III, Title III, Chapter III covers employment of househelpers

Defines domestic or household service as “usually necessary or desirable for the maintenance and enjoyment of the household and includes ministering to the personal comfort and convenience of the members of the employer’s household, including services of family drivers.” (Art. 141)

3


B. Republic Act No. 7655 – An Act Amending Art. 143 of the Labor Code (1993)

Increased the minimum wage of househelpers

Required the compulsory coverage of househelpers for those who receive at least P1,000/month under the SSS

SSS issued Circular No. 21-V; included “family drivers” under the term – “Househelpers”

4


C. Republic Act No. 8282 – Social Security Act of 1997

Sec. 9 (Coverage) includes the proviso “Provided, That in the case of domestic helpers, their monthly income shall not be less than One thousand pesos (P1,000.00) a month:”

Sec. 10 (Effective date of coverage)For ER – first day of operationFor EE – on the day of employment

5


D. Republic Act No. 10361 – Batas Kasambahay (2013)

An Act Instituting Policies for the Protection and Welfare of Domestic Workers

“Domestic Workers Act” or “Batas Kasambahay”

Signed by Pres. Benigno S. Aquino III on January 18, 2013

Became enforceable on June 04, 2013 – fifteen (15) days after the publication of its Implementing Rules and Regulations (IRR) on May19, 2013 in The Philippine Star and The Manila Times

6

I. Legal BackgroundI. Legal BackgroundBatas Kasambahay

Landmark piece of labor and social legislation that recognizes for the first time domestic workers as similar to those in the formal sector

Strengthens respect, protection, and promotion of the rights and welfare of domestic workers or “Kasambahay”

It took sixteen (16) years for Congress to pass the “Kasambahay Law” or “Magna Carta for Domestic Workers”

7


Last legislation passed in Congress was in 1993 or twenty (20) years ago (Republic Act No. 7655, An Act Increasing the Minimum Wage of Househelpers)

P-Noy, in his first SONA (2010) called for a legislation to benefit household workers

Bills were immediately filed in both houses of Congress which resulted in the approval of consolidated SB No. 78 (2011) and HB No. 6144 (2012)

8


It took only two (2) years for both bills to pass Congress through the leadership of Senator Jinggoy Ejercito Estrada and Rep. Emil L. Ong

Can also be referred to as the “Estrada-Ong Law”

9


International Labour Organization (ILO) Convention No. 189

Decent Work for Domestic Workers Convention Adopted during the International Labour Conference in June,

2011 Contributed to the early passage of the law The Philippines chaired the Conference Committee on

Domestic Work P-Noy ratified the Convention on May 18, 2012 Senate concurred in the ratification on August 06, 2012

10


International Labour Organization (ILO) Convention No. 189

Effect: Created a legal obligation for the Philippines to observe the principles embodied in the Convention, both in law and in practice

The Convention took into force and effect last September 05, 2013 – a year after the deposit of the Philippine instrument of ratification with the ILO on September 05, 2012

Batas Kasambahay forms part of our progressive compliance with ILO Convention No. 189

1.9 Million local Kasambahay are estimated to benefit from the law

11


THE LAW

Sec. 4. Definitions

Domestic work – work performed in or for a household

Domestic worker or “kasambahay” – person engaged in domestic work within employment relationship, such as:

• General househelp • Nursemaid or “yaya”

• Cook • Gardener

• Laundry person

12

I. Legal BackgroundI. Legal BackgroundExcludes:

Service providers children under foster family arrangement

● living with a family or household of relative/s and are provided access to education and given an allowance

incidental to education, i.e. “baon”, transportation, school projects and school activities

Any person who performs domestic work only occasionally or sporadically and not on an occupational and regular basis● A janitress doing irregular laundry work for a household

during rest day● A construction worker doing casual gardening job for a

household● A hospital nurse or a student doing baby-sitting job

13


Employer – any person who engages and controls the services of a domestic worker and is party to the employment contract

Household – the immediate members of the family or the occupants of the house that are directly provided with services by the domestic worker

14

I. Legal BackgroundI. Legal BackgroundSec. 30 – Social and Other Benefits

A domestic worker who has rendered at least one (1) month of service shall be covered by the Social Security System (SSS), the Philippine Health Insurance Corporation (PhilHealth), and the Home Development Mutual Fund (Pag-IBIG)

Contributions:

if wage is less than P5,000 a month - to be shouldered by the employerIf wage is P5,000 and above per month – to be proportionately shared by ER and domestic worker

Who are disqualified to be reported as house helpers?

●Grandparents

●Parents

●Spouse

●Children

●Grandchildren

Reason: above persons are obliged

to support each other, under Art. 195

of the Family Code of the Phils.

Coverage of siblings as HH is subject to verification/investigation.

Latest developments:

- SSC Case # 11-18184-07 (June 28, 2010)

● EVANGELINE MATSUMOTO vs. SSS

● HR is the brother-in-law.

- SSC Case # 11-19055-09 (March 16, 2011)

● LEONILA GLORIA vs. SSS

● HR is a married sister.

EVANGELINE MATSUMOTO vs. SSS

HR is the brother-in-law.

Arguments:

- Sister or brother may definitely be employed

by a married sister or brother belonging to

different households, or by a brother-in-law.

- Petitioner does not receive support from his

brother-in-law.

- It was proven beyond doubt that the actual

domestic employment exists.

LEONILA S. GLORIA vs. SSS

HR is a married sister.

Arguments: - “Household” is defined as “those who dwell under the same roof and constitute a family; belonging to the same house and family”. - “Family” generally refers to parents and children. - It cannot be said that petitioner is a member of her sister’s household.

General rule:

20

II. RegistrationII. Registration

SECTION 9, RULE IV - IRR of RA 10361: “The SSS, Pag-IBIG and PhilHealth shall develop a unified system of registration and enrollment within six (6) months from the issuance of the IRR.”

22

BRANCH SYSTEMS and PROCEDURES DEPARTMENT

MEMORANDUM

FOR : THE BRANCH HEADS/OICs

FROM : AUREA G. BAYDepartment Manager, BSPD

DATE : 29 November 2013RE : ADVISORY ON KASAMBAHAY UNIFIED REGISTRATION SYSTEM

In compliance with the requirements under the Implementing Rules and Regulations (IRR) of the Domestic Workers Act , the Kasambahay Unified Registration System shall be made available starting on Monday, December 2, 2013. The Instructions on the use of the Unified Registration System (URS), the required Forms and the Procedures shall be available in the Operations page in the Intranet, also by Monday.BACKGROUNDSection 9, Rule IV of the Implementing Rules and Regulations (IRR) of the “Domestic Workers Act” or “Batas Kasambahay” provides that the Pag-IBIG Fund, PhilHealth and SSS shall develop a unified registration and enrolment within six (6) months from the promulgation of the IRR. The said IRR was promulgated on 04 June 2013.UNIFIED REGISTRATION SYSTEM (URS)The URS facilitate a seamless transactional environment for registration of Household Employers and Kasambahays. The components of the URS are as follows: (a) Unified Registration Forms and (b) IT Systems and Web Service.HIGHLIGHTS OF PROCEDURES•HH-ER /Kasambahay submit registration form/s in any of the 3 agencies•Receiving Agency screen and encode data in the Registration User Interface System •Receiving Agency shall push the encoded data to the web service for automatic pick-up by the respective web service of the other 2 Agencies•The 2 other Agencies shall generate the ER/Membership Number of the HH-ER/Kasambahay, and the same shall be pushed back to the web service of the Receiving Agency•Receiving Agency will retrieve the automatically generated ER/Membership Numbers and then print the copy of the registration form, with the generated Pag-IBIG, PhilHealth and SSS ER/Membership Numbers reflected therein•The printed registration form shall be signed by the Registrant AUREA G. BAY

cc: The BOS Group/Division Heads

23

SSS WEBSERVICE

PhilHealthWEBSERVICE

Pag-

IBIG

Web Serv

ice

RTN/MIDRTN/MID PINPIN

ER/SS NO.ER/SS NO.

Employer / Kasambahay submits the duly

accomplished Unified Forms with Supporting

Documents to ANY Branch/Service Office

of SSS, PhilHealth or Pa Pag-IBIG

Employer / Kasambahay submits the duly

accomplished Unified Forms with Supporting

Documents to ANY Branch/Service Office

of SSS, PhilHealth or Pa Pag-IBIG

StartStart

24

KASAMBAHAY MODULE

37

REGISTRATION PROCEDURESREGISTRATION PROCEDURES

If the If the Date of EmploymentDate of Employment of the Kasambahay is EARLIER EARLIER than the Date of RegistrationDate of Registration by the HH ER:

HH ER to submit a STATEMENT OF MONTHLY SALARIES STATEMENT OF MONTHLY SALARIES RECEIVED BY THE KASAMBAHAY RECEIVED BY THE KASAMBAHAY (Annex C Annex C of Advisory)

From the Date of EmploymentDate of Employment up to the Date of RegistrationDate of Registration

Basis of the monthly contributions that have accrued

38

REGISTRATION PROCEDURESREGISTRATION PROCEDURES

ACCOUNTS MANAGEMENT SECTION (AMS)ACCOUNTS MANAGEMENT SECTION (AMS) of the Branch

Computes the amount of liability of the HH ER based on the STATEMENT OF MONTHLY SALARIES RECEIVED BY THE STATEMENT OF MONTHLY SALARIES RECEIVED BY THE KASAMBAHAY KASAMBAHAY

Issues the corresponding STATEMENT OF CONTRIBUTIONS AND STATEMENT OF CONTRIBUTIONS AND PENALTIES DUE PENALTIES DUE (Annex D Annex D of Advisory)

A BILLING LETTER BILLING LETTER (Annex E Annex E of Advisory) is issued to the HH ER

39

Annex - CAnnex - C

40

Annex - DAnnex - D

41

Annex - EAnnex - E

42

Existing HRs who are still using their SS Numbers in the payment of contributions for their Household Employees shall continue to do so, until they are issued their Employer ID Numbers

Employer ID Numbers were system-generated and displayed in the HR’s Employee Static Information in the WINS

Procedure in the Issuance of the system-generated ER ID Numbers:

The HR will submit SSS Forms R-1 and L-501

SSS Form R-1 will be the basis for the encoding of:

● Address of HR

● thru the Simple Correction Module at the MSS

43

I.I. PAYMENT PROCEDURESPAYMENT PROCEDURESEMPLOYER CONTRIBUTIONS PAYMENT FORM (R-5)EMPLOYER CONTRIBUTIONS PAYMENT FORM (R-5) is used

Payments may be made at:● SSS Branches with Tellering Services● Accredited Collecting Banks

Payment is made monthly:

46

IV. REPORTINGIV. REPORTINGCONTRIBUTION COLLECTION LIST (SSS Form R-3)CONTRIBUTION COLLECTION LIST (SSS Form R-3) is to

be used at the end of every calendar quarter ending in March, June, September and December

● attach a copy of SSS Form R-5 (machine-validated or with Special Bank Receipt)

● may also be submitted monthly and electronically

through:

▪ Enrollment in the SSS Web facility (www.sss.gov.ph)

▪ Participation in the e-R3(electronic R-3) Program

49

V. LIABILITIESV. LIABILITIES

Under SSS/EC LAWS

•3% penalty/month for delinquent contributions

•Damages if Kasambahay claims for benefit without having been first reported to the SSS

•Penalty - Fine and/or imprisonment for 6 years & 1 day to 12 years

50

Under Batas Kasambahay

•Penalty – Fine P10,000 – P40,000 without prejudice to filing of criminal or civil action

training workshop on accounts management for branch ao

Government & Nonprofit

legal backgroundi

republic act

kasambahay law

domestic workers convention

time domestic workers

act amending

household workers bills

social security act