Magna Carta of Miners

TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES First Regular Session JUL. 10 P2:29 SENATE RECEIVED SY: S. No. _ Introduced by Senator Robinhood Padilla AN ACT PROVIDING FOR THE MAGNA CARTA OF MINERS EXPLANATORY NOTE The Philippines is abundantly endowed with mineral resources that hold significant potential to contribute to the country's economic growth and development. This abundance has given rise to a substantial number of both large-scale and small- scale mining operations, providing employment opportunities for thousands of miners who work diligently in this sector. Unfortunately, over the past decade, the country has experienced several significant mining-related incidents. These include waste releases, landslides, and structural failures that have resulted in loss of life, displacement of communities, and environmental impacts. Notably, incidents such as the Padcal Mine waste release in 2012, landslides in Compostela Valley in 2008, Semirara Coal Mine in 2013, and Masara, Davao de Oro in 2024 have caused considerable damage and loss of life. Recently, a failure of the tailings storage facility at the Siana Gold Mine in Surigao del Norte displaced 55 families, though fortunately, no casualties were reported. One particularly tragic incident occurred in November 2012, in Sitio Bulaay, Barangay Palanas, Paracale, Camarines Norte, known as the "Bulaay Tragedy." This event resulted in the burial of approximately 120 small-scale miners. Reports suggest that a media blackout was implemented by authorities in connection with the incident.

It is also necessary to underscore that the most common occupational health hazards posed by mining to workers are exposure to intense heat, poor ventilation, vibration, dust, fumes, repetitive stress injury, intense noise, manual handling (such as lifting) of heavy machinery and equipment and biological and chemical hazards. Due to the nature of underground mining, workers on the site are constantly exposed to the dangers of cave-in, mine fire, explosion, exposure to harmful gases and intense heat while hydration is very limited. Miners usually have fluid and salt deficiency due to constant sweating, increased stress on the heart, heat stroke, opacity of the lens, and reduced fertility due to high heat. (Institute for Occupational Health and Safety Development, 2006). These conditions may also contribute to significant mental stress and emotional strain among mine workers, effectively affecting their mental health. The 1987 Constitution mandates that the State shall promote a just and dynamic social order aimed at ensuring national prosperity and independence while alleviating poverty through policies that provide adequate social services, foster full employment, enhance living standards, and improve the quality of life for all citizens. To advance these objectives, it is recognized that the country would benefit from focused efforts to address unemployment, underemployment, and the development of sustainable livelihoods, particularly for rural communities. Rights to and at work are also guaranteed under a range of conventions adopted by the International Labour Organization (ILO) that set out detailed standards, including in relation to freedom of association and protection of the right to organize, equal remuneration, discrimination, minimum wage and occupational health and safety, among others. The Philippines is a party to many of these conventions, including all eight "fundamental conventions", which cover subjects that are considered to be fundamental principles and rights at work. This includes prohibitions against forced labour and child labour and support for the freedom of association and the right to collective bargaining. Mining in the Philippines presents ongoing challenges due to its potential impacts on workers' health, local communities, and the environment. Ensuring the health and safety of mining workers is of paramount importance, and it is essential

for all stakeholders and involved parties to responsibly fulfill their respective roles in addressing these concerns. This initiative seeks to empower miners and their communities by prioritizing their health and safety in the workplace and establishing equitable revenue-sharing arrangements that benefit both host local government units and the national government. It is imperative to emphasize that, in all circumstances, human rights must be respected, protected, and upheld. The pursuit of development and economic growth should never come at the cost of substantial and irreversible harm to the environment or the fundamental rights of Filipinos. In view of the foregoing, the passage of this measure is earnestly sought. Spear ROBINHOOD C. PADILLA Senator

SAai d Offic of the Barrela ) TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES 25 JUL 10 P2:29 First Regular Session SENATE RECEIVED BY: S. No. _ Introduced by Senator Robinhood Padilla AN ACT PROVIDING FOR THE MAGNA CARTA OF MINERS Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled: CHAPTER I DECLARATION OF POLICY

Section 1. Short Title. - This Act shall be known as "The Magna Carta of

Miners."

Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to

promote and uphold the rights and welfare of Filipino miners, through the enactment of appropriate legislation and the formulation of policies consistent with the principles enshrined in International Labor Organization (ILO) Convention No. 176 on Safety and 9 Health in Mines. In line with this policy, the State reaffirms its commitment to ensuring that all miners are afforded access to decent and productive work, in conditions that respect 12 the inherent dignity of every person. This includes the protection of fundamental human rights, the promotion of safe and healthy working environments, fair terms of employment, just and adequate remuneration, and the assurance of a dignified livelihood that enables miners to sustain themselves and their families.

CHAPTER II GENERAL PROVISIONS

Sec. 3. Definition of Terms. - As used in this Act:

a. Contractor refers to any person or entity engaged in a legitimate contracting or subcontracting arrangement providing services for a specific job or undertaking farmed out by a principal under a Service Agreement; b. Employer refers to any physical or legal person who employs one or more workers in a mine and, as the context requires, the operator, the principal contractor, contractor or subcontractor. The definition of employer under Presidential Decree No. 442 is likewise adopted. C. Mine refers to: i. Surface or underground sites where the following activities, in particular take place: 1. Exploration for minerals, excluding oil and gas, that involves the mechanical disturbance of the ground; 2. Extraction of minerals, excluding oil and gas; 3. Preparation, including crushing, grinding, concentration or washing of the extracted material; and ii. All machinery, equipment, appliances, plant buildings and civil engineering structures used in conjunction with the activities referred to in (i) above; d. Minerals refers to all naturally occurring inorganic substance in solid, gas, liquid or any intermediate state excluding energy materials such as coal, petroleum, natural gas, radioactive materials, and geothermal energy;

e. Mining operations refers to activities carried out for the purpose of extracting minerals from the ground or injecting minerals into the ground, or, exploring for minerals by mechanical means that disturb the ground, and activities carried out in connection with mining activities at a site, or at a site adjoining or in a vicinity of a site, at which mining activities are carried out; f. Principal refers to any natural or juridical entity, whether an employer or not, who puts out or farms out a job or work to a contractor; and g. Subcontracting refers to an arrangement whereby a principal agrees to farm out to a contractor the performance or completion of a specific job or work within a definite or predetermined period, regardless of whether such job or work is to be performed or completed within or outside the premises of the principal;

Sec. 4. Coverage. - This Act shall apply to all individuals, whether engaged

directly or through a subcontractor or other third-party arrangement, by any natural or juridical person or entity involved in the exploration, development, extraction, processing, or utilization of mineral resources, among others, within the territorial jurisdiction of the Republic of the Philippines. CHAPTER III-A TERMS OF EMPLOYMENT, SECURITY OF TENURE

Sec. 5. Right to a Written Employment Contract; Use of Local Dialect. -

Employment contracts for the engagement and hiring of miners shall be in writing with a copy translated in the local dialect of the locality where the mining operations shall be conducted. In the event that the miner cannot read, it shall be the duty of the employer or principal to procure reliable third persons to read and explain all the terms of the contract before signing. In case of controversy arising from the consent given by a miner who cannot read, it is incumbent on the part of the employer or principal to prove otherwise.

Sec. 6. Employment Contracts for a Definite or Indefinite Period; Rights. -

2 Employment of miners whose services are engaged for an indefinite period shall be 3 deemed regular employees of the employer engaged in the mining business. 4 Employment for a fixed or definite term may be allowed provided that the following 5 requirements are met: a. The fixed or definite period of employment was knowingly and voluntarily agreed upon by the parties without any force, duress, or improper pressure being brought to bear upon by the miner and absent any other circumstances that vitiates consent; and b. The employer shall be able to demonstrate, to the satisfaction of the appropriate authority, that its dealings with the miner were conducted on terms that reflect fairness and equity, free from any form of moral coercion, undue influence, or abuse of superior position. Miners, irrespective of the period or duration stipulated in their engagement or employment contracts, shall be entitled to all rights, protections, and benefits provided under this Act. These include, but are not limited to: (a) the full enjoyment of labor standards, such as service incentive leave, rest days, overtime pay, holiday pay, and 13th month pay; (b) mandatory coverage under social security, welfare, and other government-mandated benefit programs; and (c) the right to self- organization, collective bargaining, and participation in lawful and peaceful concerted activities, in accordance with existing laws

Sec. 7. Ratio Between Miners Hired for an Indefinite and Definite Period. - In

no case shall the number of miners under contracts for a definite period exceed thirty percent (30%) of the total regular employees engaged for the entire duration of the mining project or season.

Sec. 8. Subcontracting. - Employers may subcontract the hiring of miners:

Provided that both parties shall be solidarily liable for any violations of this Act; 29 Provided, Further, That contracting out jobs of miners when the same results in the

1 termination or reduction of regular employees or reduction of work hours or splitting 2 of the bargaining unit shall be prohibited. It is also prohibited to require miners to sign, as a condition to employment or 4 continued employment, an antedated resignation letter, blank payroll, a waiver of 5 labor standards including wages and social or welfare benefits, or a quitclaim releasing 6 the principal and/or contractor from any liability as to payment of future claims, or 7 require the miner to become a member of a cooperative. Contractors are prohibited from fixing the period of employment to a term 9 shorter than the term of the Service Agreement, unless the contract is divisible into phases for which substantially different skills are required that are made known to the miner at the time of engagement. Contracting out jobs, works, or services analogous to the above when not done in good faith and not justified by the exigencies of the business is likewise prohibited.

Sec. 9. Obligations of Contractors. - Service agreements are required to ensure

15 compliance with all the rights and benefits for all the employees of the contractor or 16 subcontractor under applicable labor and industry related laws, rules and regulations. Contractors shall maintain an effective program of manpower training and development throughout the term of the service agreement.

Sec. 10. Access to Service Agreements. - In the case of subcontracting, the

20 principal has the obligation to furnish a copy of the Service Agreement and the 21 employment contracts between the contractor and the employees deployed to work in the bargaining unit to the sole and exclusive bargaining agent.

Sec. 11. Prohibition on the Hiring of Minors. - In no case shall minors below

24 the age of eighteen be permitted to work in any capacity in mining projects.

Sec. 12. Wages. - Employers shall adopt and implement a policy of providing

wages and salaries that are fair, just, and competitive with those prevailing in comparable industries, in accordance with law and established standards.

Miners shall have the right to receive their wages directly, in an amount not lower than the applicable regional minimum wage. Such wages shall be paid promptly and regularly, in accordance with the terms set forth in the employment contract or applicable Collective Bargaining Agreement, provided that in no case shall the interval between wage payment exceed fifteen (15) days. In the event that the subcontractor fails to pay the wages of miners, the employer or principal shall be held jointly and severally liable with the subcontractor to such employees to the extent of the work performed under the contract, in the same manner and extent that he is liable to employees directly employed by him.

Sec. 13. Right to Self-Organization and to Collective Bargaining. - Miners shall

have the right to form, join, or assist in the formation of a labor organization of their own choosing for purposes of collective bargaining, to engage in concerted activities in accordance with law, and to participate in the deliberation of issues and formulation of policies that affect them, including the guarantee of representation in governing bodies or appointment in government instrumentalities. In the exercise of this right, the exemptions from taxes, duties, and other assessments provided in Article 251 of Presidential Decree No. 442, as amended, shall continue to be enjoyed by legitimate labor organizations of miners, without need to apply for or confirm such exemptions, which may be withdrawn only by a special law expressly repealing this provision. CHAPTER III - B RIGHT TO INFORMATION

Sec. 14. Right to Information on Safety and Health Risks. - Miners shall be

informed about the safety and health risks they face in the workplace and all other information relating to hazards, safety procedures, and the measures taken to control risks. Such information shall be disseminated in clear and understandable language, and in the local dialect spoken by the miners.

Sec. 15. Right to Proper Training and Education. - Miners are entitled to

receive from their employers or principals, and from their local government units 30 (LGUs), in coordination with the Mines and Geosciences Bureau (MGB) and

1 Department of Health (DOH), adequate training on safety and health matters. 2 Trainings should be conducted regularly and always updated to keep workers informed 3 of new hazards, safety procedures, and technologies. CHAPTER III - C RIGHT TO SAFETY

Sec. 16. Right to Protection from Occupational Hazards. - Miners shall have

7 the right to require employers, including principals or contractors, to take all 8 reasonable and appropriate measures to eliminate, control, or minimize risks to health, 9 safety, and well-being in the workplace, as well as to address any other occupational 10 hazards that may pose a risk of injury, illness, or loss of life. Such measures shall be 11 consistent with applicable laws, standards, and internationally recognized best practices on occupational safety and health.

Sec. 17. Right to a Safe and Healthy Work Environment. - Miners are entitled

to a work environment that is safe and healthy with priority given to ventilation, lighting, sanitation and maintenance of equipment and machinery. 16 The use of mercury in any phase of mineral processing, hydraulicking, and 17 compressor mining are prohibited.

Sec. 18. Right to Risk Assessment. - Employers or principals engaging the

services of miners shall carry out risk assessments on various stages of their mining projects to identify and evaluate potential hazards in the mining site to be made known to the miners as part of their right to information.

Sec. 19. Right to have Access to Quality Safety Equipment. - Miners have the

right to have access and use quality and appropriate protective equipment such as but not limited to personal protective devices such as but not limited to helmets, gloves, and respirators, among others, to minimize the risk of injury.

Sec. 20. Right to Consultation and Participation in Safety Measures. - Miners

have the right to be consulted and actively participate in the development and implementation of safety and health policies. Such right includes the formation of 29 committees pertaining to safety where miners can raise concerns and contribute.

Sec. 21. Right to Work Under Supervision of Qualified Safety Personnel. — All

2 mines are required to have safety officers or personnel qualified and highly educated in occupational safety and health at all times so long as miners are within the mining 4 sites to ensure compliance with safety regulations and procedures. 5 All mining operations that employ more than thirty (30) workers shall have at least 6 one (1) licensed mining engineer with at least five (5) years of experience in mining 7 operations and one (1) registered foreman.

Sec. 22. Right to Safety Inspections. - Miners have the right to work in mines

9 subject to mandatory regular and independent health and safety inspections conducted by government authorities, LGUs concerned, and internal or external safety experts, to ensure compliance with safety standards for the entire duration of all mining projects.

Sec. 23. Right to Report Accidents and other Hazardous Incidents. - Employers

or principals, the LGU concerned and the MGB shall respectively set systems in place for the reporting and recording of accidents and other dangerous occurrences in the mines that are easily understood by and accessible to all miners. Such system shall automatically call for an investigation for corrective actions to prevent recurrence. CHAPTER III - D RIGHT AGAINST DISCRIMINATION

Sec. 24. Right to Report Unsafe Working Conditions or Non-Compliance with

Work Standards without Fear of Retaliation. - Miners must be empowered to report through clear and accessible channels abuses, violation of the standards of employment provided by law and contracts, unsafe conditions, violation of laws, ordinances, rules and regulations, among others, without fear of reprisal. CHAPTER III - E GRIEVANCE MECHANISM AND RIGHT TO LEGAL ASSISTANCE

Sec. 25. Right to Appropriate Grievance Mechanism. - Miners shall have the

right to avail of an expeditious and inexpensive grievance mechanism to address and resolve their complaints, disputes, grievances, and controversies.

Sec. 26. Right to Free Legal Consultation and Representation. - In cases of

2 violations of this Act or breach of contract and the miner cannot afford the services of a counsel, miners shall have the right to free legal assistance and protection at the 4 expense of the government, and to the fair and speedy disposition of cases, including 5 the expeditious settlement of money claims, subject to existing rules and regulations. CHAPTER III - F RIGHT TO COMPENSATION

Sec. 27. Right to Compensation. - Employers or principals are obliged to set in

9 place reasonable, commensurate, and dignified compensation schemes or systems for workers who suffer injury, illness, or death in relation to their employment in mining projects. CHAPTER III - G RIGHT TO MEDICAL ATTENTION AND CARE

Sec. 28. Right to Emergency Procedures, First Aid and Medical Care. -

15 Employers or principals shall provide well-practiced and clear emergency procedures 16 communicated in the local dialect spoken by the miners together with provision of first-aid facilities, emergency exits, and effective evacuation plans in case of emergencies. In cases where accidents happen or when miners acquire disease/s in relation to the nature of the working environment of mines, it shall be the obligation of the employer and/or principal to cover the costs of hospitalization, treatment, and medication and after-care of the miners.

Sec. 29. Right to Medical Surveillance and Health Services. - Early detection

of occupational diseases and prevention of health deterioration shall be prioritized in 25 all mines. Regular health checks and medical surveillance shall be provided to all miners, particularly those exposed to hazardous conditions. CHAPTER IV ROLE OF GOVERNMENT AGENCIES

Sec. 30. Capacity Building; DILG. - Local Government Units and the

30 Department of Labor and Employment shall endeavor to invest in resources and

1 develop their institutional capacity through training on various laws, rules and 2 regulations relating to the rights of all miners, legal obligations of mining companies, 3 and all other environmental, social and governance guidelines to combat abuses and illegal mining. It shall also equip itself with resources to have greater capacity to monitor the 6 situation and operation of mining sites.

Sec. 31. Capacity Building; DOLE. - the Department of Labor and Employment

8 (DOLE) shall likewise build institutional capacity to ensure that only registered 9 contractors compliant with the Labor Code of the Philippines are engaged by mining companies and to ensure compliance with applicable labor laws during regular inspections. The Department shall endeavor to significantly increase the number of its labor compliance officers under its Bureau of Working Conditions to ensure proportionality with the existing workforce especially in rural areas.

Sec. 32. Industry Tripartite Councils. - The DOLE shall ensure the

establishment and active participation of Industry Tripartite Councils in Mining in all provinces where mining operations are present to maintain an open dialogue and avenue to redress grievances.

Sec. 33. Closure Protocols. - The Department of Environment and Natural

Resources (DENR) shall require the submission of proper closure plans in accordance 21 with established protocols as among the requirements prior to the issuance of permits 22 to effectively manage post-mining transitions subject to monitoring by the LGU 23 concerned.

Sec. 34. Review. - The DOLE, DILG, DENR and MGB shall endeavor to review

25 and settle their fragmented mandates and unclear delineation of responsibilities, as well as lapses in communication and coordination to ensure meaningful enforcement 27 of rights of miners.

Sec. 35. Notification Systems. - As part of improving communication and

29 coordination among agencies, notification systems should be set in place to ensure

1 that the MGB could relay reports pertaining to safety of working conditions and terms 2 and conditions of employment to DOLE, as well as the reporting of contractor 3 accreditation from DOLE to MGB.

Sec. 36. Free Legal Assistance. - The Public Attorney's Office (PAO) shall

render, free of charge, legal representation, assistance, and counseling to miners or 6 their families in criminal, civil, labor, administrative, and other quasi judicial cases. 7 The PAO may issue appropriate guidelines to ensure effective legal representation to 8 miners.

Sec. 37. Establishment of Miner Welfare Centers. - LGUs with mining operations

shall establish miners welfare facilities that shall offer services which promote the welfare of, and cater to the recreational, cultural, communication, and legal needs of 12 all miners, regardless of whether they are actively engaged, employed, or not working due to the expiration or termination of contract. The PAO shall, appoint at least one (1) public attorney who shall be posted in miner welfare centers and shall render free-of-charge legal assistance and counseling 16 to miners or their families in criminal, civil, labor, administrative, and other quasi- 17 judicial cases. The LGUs concerned shall, in consultation with relevant government agencies and stakeholders, annually review and develop the welfare facilities and services to ensure that they are appropriate in light of changes in the needs of miners resulting from technical, operational, and other developments in the mining industry. CHAPTER V FINAL PROVISIONS

Sec. 38. Filing of Cases. - Upon finding of the DOLE that a person or entity,

whether public or private, has violated any provision of this Act or its Implementing Rules and Regulations, the sanctions under administrative, civil, criminal or other laws shall be recommended to the appropriate government agency exercising judicial or quasi-judicial functions. If the violation is committed by a private entity or individual, the person directly responsible for the violation shall be liable to pay damages.

Sec. 39. Administrative Fines and Penalties; Filing of Criminal Cases. - the

2 following penalties shall be imposed: a. Violation of any of the provisions under Chapter Ill-A of this Act shall penalized with a fine not less than Five Hundred Thousand Pesos (P500,000.00) but not exceeding One Million Pesos and / or suspension of license to operate for a period not less than three (3) months; b. Violation of any of the provisions under Chapter III-B of this Act shall penalized with a fine of Three Hundred Thousand Pesos (P300,000.00); c. Violation of any of the provisions under Chapter III - C, D, F and G shall be penalized with a fine not less than One Million Pesos (P1,000,000.00) but not exceeding Five Million Pesos and / or suspension of license to operate for a period not less than five (5) months. In addition to the above mentioned penalties, the penalty of imprisonment of no less than six years but not more than twelve years together with payment of damages in the amount not less than Five Hundred Thousand Pesos (P500,000.00) shall likewise be imposed upon responsible the personnel, agent, officers and/or directors of the employer or contractor for violation of Chapter III - C, F and G. The maximum penalty shall be imposed if such violation/s resulted in serious physical injuries or death of a miner; and d. The proper administrative fines and penalties under applicable laws shall be imposed upon government agents, personnel or officers remiss of their duties and obligations under this Act.

Sec. 40. Illegal Obstruction to Government Personnel. - Any person who

illegally prevents or obstructs the performance of duties of agencies concerned pursuant to their mandates under the provisions of this Act and of the regulations promulgated hereunder shall be punished, with a fine not exceeding One Hundred 28 Thousand Pesos (P100,000.00) or by imprisonment not exceeding one (1) year, or 29 both, at the discretion of the court.

Sec. 41. Creation of Offices and Hiring of Personnel. - The DOLE, DILG, DENR,

2 and MGB and other concerned agencies, upon consultation with the DBM, shall create 3 the necessary offices and hire appropriate personnel to ensure the effective 4 implementation of this Act.

Sec. 42. Implementing Rules and Regulations. - The DOLE, in consultation and

6 in coordination with the DILG, DENR, DOH, MGB, PAO, and all other relevant agencies 7 shall promulgate the Implementing Rules and Regulations within ninety (90) days from 8 the effectivity of this Act.

Sec. 43. Appropriations. - The implementation of this Act shall be charged in

10 the General Appropriations Act of the respective agencies concerned.

Sec. 44. Repealing Clause. - All laws, decrees, letters of instruction, executive

orders, rules and regulations, and other issuances, or parts thereof, in conflict or inconsistent with this Act are hereby repealed or modified accordingly.

Sec. 45. Separability Clause. - Any section or provision of this Act which may

15 be declared unconstitutional shall not affect the other sections or provisions hereof.

Sec. 46. Effectivity. - This Act shall take effect fifteen (15) days after its

17 publication in the Official Gazette or in a national newspaper of general circulation. Approved,