TWEENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES First Regular Session 25 JUL -7 AIO:28 SENATE Ried S. No. Introduced by SENATOR CAMILLE VILLAR AN ACT ENHANCING WORKERS' PROTECTION AND SKILLS DEVELOPMENT IN THE COURSE OF JOB DISRUPTION DUE TO ARTIFICIAL INTELLIGENCE AND TECHNOLOGICAL ADVANCEMENTS IN THE DIGITAL ECONOMY, AND FOR OTHER PURPOSES EXPLANATORY NOTE Under the 1987 Philippine Constitution, the State affirms that labor is a primary social and economic force. It mandates that the State shall protect the rights of workers and promote their welfare. ' It explicitly guarantees full protection to labor, both local and overseas, organized and unorganized, and commits to promoting full employment and equality of employment opportunities for all. 2 In today's modern world, rapid advances in technology are happening at an unprecedented pace, particularly in the realm of artificial intelligence (AI) and machine learning. As the technology advances, the future of workspaces and work programs have been reshaped, drastically transforming industries and altering the nature of jobs. As these changes unfold, the ability to adapt, keep pace with technological advancements, and transition seamlessly into new employment opportunities have become more critical than ever. The World Economic Forum estimates that by 2027, 23% of all jobs will be affected by continuing technological shifts, with 69 million new job roles expected to be created, and 83 million existing roles likely to be displaced. 3 To equip Filipino workers and enterprises with the tools to succeed in this rapidly evolving digital economy, this bill draws inspiration from the Worid Economic ^ Section 18, Article II, 1987 Philippine Constitution 2 Section 3, Article XIII, 1987 Philippine Constitution 3 https://www.weforum.org/stories/2024/10/jobs-skilts-work-digital-economy/
Forum's framework for future employment which highlights the four strategic pillars to enable a smooth transition: (1) reskilling and upskilling for new opportunities; (2) improving employee-employer matching; (3) worker safety nets; and (4) multi- stakeholder collaboration to break through industry barriers. 4 This proposed legislation seeks to future-proof the Fitipino workforce by supporting those who are vulnerable to displacement due to artificial intelligence and other technological disruptions. It endeavors to strengthen institutional support for upskilling and reskilling, and to facilitate seamless career transitions aligned with the demands of the digital economy. This bill aims to equip workers with the tools to aid in their adaptability to the rapid changes and advances affecting work and employment. It seeks to support workers who are at risk of displacement or job insecurity due to artificial intelligence and other technological advancements, promote upskilling and reskilling, and facilitate seamless career transitions into emerging roles within the digital economy. This bill creates a National Task Force on Digital Economy Job Disruption (Task Force) that, among others, will establish an Early Warning System to identify industries at high risk of artificial intelligence or digital disruption and assess the potential impact on workers' employment. It will also establish a Workers' Adjustment Program (WAP) to provide financial assistance to workers affected by artificial intelligence or digital disruption, and develop a career transition support system. In light of the foregoing, the approval of this measure is urgently requested. AMILLE VILLAI + Ibid
TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES First Regular Session 25 JUL -7 A1O:28 SENATE S. No. _ Introduced by SENATOR CAMILLE VILLAR AN ACT ENHANCING WORKERS' PROTECTION AND SKILLS DEVELOPMENT IN THE COURSE OF JOB DISRUPTION DUE TO ARTIFICIAL INTELLIGENCE AND TECHNOLOGICAL ADVANCEMENTS IN THE DIGITAL ECONOMY, AND FOR OTHER PURPOSES Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
Section 1. Short Title. - This Act shall be known as the "Workers' Protection
and Skill Development in the Digital Economy Act".
Sec. 2. Declaration of Policy - It is the policy of the State to ensure the welfare
and protection of workers, recognizing their vital role in nation-building. The State 5 shall provide support to workers at risk due to artificial intelligence or technological advancements, promote upskilling and reskilling, and facilitate a seamless career 7 transition in emerging roles in the digital economy.
Sec. 3. Creation of the National Task Force on Digital Economy Job Disruption
- A National Task Force on Digital Economy Job Disruption (Task Force) shall be created, composed of the Department of Labor and Employment (DOLE), the Department of Information and Communications Technology (DICT), the Department of Trade and Industry (DTI), the Technical Education and Skills Development Authority
1 (TESDA), and other pertinent agencies, to develop and implement programs and 2 initiatives related to this Act.
Sec. 4. Early Warning System - The Task Force shall establish an Early Warning
4 System to identify industries at high risk of artificial intelligence or digital disruption 5 and assess the potential impact on workers' employment. This system shall provide 6 vital information for preparing intervention measures and updating policies.
Sec. 5. Safety Nets and Financial Assistance. - A Workers' Adjustment Program
8 (WAP) shall be stablished to provide financial assistance to workers affected by 9 artificial intelligence or digital disruption. The WAP shall include wage compensation, unemployment benefits, and temporary income support.
Sec. 6. Upskilling and Reskilling Initiative- The Task Force, in collaboration with
the private sector, shall design and implement a comprehensive upskilling and reskilling program focused on digital skills and emergent technologies. These programs shall include: a. Digital skills assessments for workers to identify opportunities for skill development; b. Development of industry-specific training and certification programs, which cater to the needs and requirements of the digital economy; and c. Financial assistance and scholarships for workers seeking to upgrade or acquire new skills through technical and vocational training, short-term courses, or formal education.
Sec. 7. Support for Career Transition - The Task Force shall develop a career
transition support system to help workers find new opportunities in the digital economy, which shall include: a. Career counseling and job placement services; b. Establishment of an online platform to connect workers with job opportunities, training programs, and mentorships; and
c. Collaboration with employers and industry groups to develop strategies for the seamless integration of displaced workers in the rapidly changing digital economy.
Sec. 8. Stakeholder Consultation and Collaboration - The Task Force shall
5 maintain regular consultation and cooperation with stakeholders, including labor 6 unions, employers' organizations, and industry associations, to ensure that the policies 7 and programs are effective and shall meet the needs of workers and businesses.
Sec. 9. Annual Report to Congress - The Task Force shall submit an annual
report on the implementation of this Act, the status of displaced workers, and the progress of skills development and job transition programs.
Sec. 10. Funding. - The necessary funding for the implementation of this Act
12 shall be sourced from the DOLE, DICT, DTI, TESDA's share in the annual General 13 Appropriations Act (GAA).
Sec. 11. Implementing Rules and Regulations. - The DOLE, DICT, DTI, TESDA,
and the other relevant instrumentalities and stakeholders, shall develop the 16 implementing rules and regulations, within sixty (60) days from the effectivity of this 17 Act.
Sec. 12. Separability Clause. - Any portion or provisions of this Act that may be
declared unconstitutional or invalid shall not have the effect of nullifying the other 20 portions or provisions hereof as long as such remaining portions or provisions can still subsist and be given effect in their entirety.
Sec. 13. Repealing Clause. - All laws, presidential decrees, executive orders,
23 memoranda, circulars, and other issuances, or parts thereof, which are inconsistent 24 with the Act, are hereby repealed or modified accordingly.
Sec. 14. Effectivity Clause. - This Act shall take effect fifteen (15) days after its
26 publication in at least two (2) newspapers of general circulation. Approved,