MANILA – The House of Representatives has approved on third and final reading a bill that raises the annual service incentive leave of employees to 10 from five days.
A total of 203 lawmakers present at the plenary voting unanimously approved House Bill 6770, principally authored by Rep. Mark Go (Baguio City).
Under the bill, every employee who has rendered at least one year of service shall be entitled to a yearly service incentive leave of 10 days from the current five days.
This will not be applicable to those already enjoying such benefit, those enjoying vacation leave with pay of at least 10 days, and those in establishments regularly employing less than 10 employees or in establishments exempted from granting this benefit by the Labor secretary after considering the viability or condition of such establishments.
“The granting of such incentive boosts the morale and satisfaction of employees which is manifested in their increased productivity,” said Go.
“Leave credits also minimize the risks of health and safety issues among employees which may even be costlier for both employers and employees in the long run,” he added.
According to Go, work incentives are given based on the prerogative of the employers, either by expressed stipulation on the employee’s contract or through collective bargaining agreement.
“With the increase in the number of leave credits in the form of sick or vacation leave credits left purely at the discretion of the employers, employees constrained by limited leave credits are left vulnerable to sickness, emergencies and other fortuitous events that would cost them a day of paid work,” said Go./PN
