House OKs 10-day paid incentive leave

MANILA, Philippines — The House of Representatives has approved on third and final reading a bill increasing the paid incentive leave of employees from five days to 10 days.

Authors of the measure said the proposed longer leave would boost workers’ morale, wellness and productivity.

The bill would amend the Labor Code, which mandates employers to provide their personnel with an annual five-day paid leave.

The proposed amendment provides that every employee who has rendered at least one year of service would be entitled to a yearly service incentive leave of 10 days.

The entitlement would not apply to those already enjoying such incentive, those receiving vacation leave with pay of at least 10 days, and those in establishments employing fewer than 10 workers.

Authors said the grant of paid leave “is beneficial to the employees and economically advantageous to the employers.”

“The granting of such incentive boosts the morale and satisfaction of employees which is manifested in their increased productivity. Leave credits also minimize the risks of health and safety issues among employees which may be even costlier for both employers and employees in the long run,” they said.

Among the bill’s authors are Mark Go of Baguio City, Gus Tambunting of Parañaque, Rodolfo Fariñas of Ilocos Norte, Christopher de Venecia of Pangasinan and Anthony Bravo of party-list group Coop-Natco. 

Earlier, the House approved also on third and final reading increasing paid maternity leave from 60 days to 100 days.