Bill pushes P36K entry wage, hazard rules for BPO staff

Bill pushes P36K entry wage, hazard rules for BPO staff
SunStar Business
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A LAWMAKER has filed a bill seeking stronger workplace protections, mandatory hazard safeguards during calamities and a higher entry-level wage for employees in the country’s business process outsourcing (BPO) industry.

Senate Committee on Labor and Employment chairperson Raffy Tulfo filed Senate Bill No. 1493, or the “BPO Workers’ Welfare and Protection Act,” which aims to reinforce labor standards for one of the country’s largest employment sectors while addressing long-standing issues tied to BPO work, including safety during extreme weather, job security and access to medical benefits.

“This bill aims to uphold and safeguard the rights of many Filipinos, particularly those from the youth demographic, who seek immediate employment in BPO firms,” Tulfo said. “It reiterates the labor standards defined in the Labor Code and introduces additional benefits intended to tackle specific challenges linked to the nature of BPO work.”

Features of the bill

The measure mandates the automatic suspension of work during typhoons, earthquakes, volcanic eruptions, fires and other calamities. It follows reports that some BPO firms required employees to report on-site during Super Typhoon Uwan, forcing workers to wade through floodwaters, endure power outages and risk their safety.

Tulfo also proposed making attendance voluntary during heavy rains and other hazardous weather conditions, with eligible workers receiving hazard pay.

Under the bill, BPO employees would automatically become regular employees after completing the maximum six-month probationary period. If the training period is shorter than six months, workers would gain regular status immediately upon completing training.

The measure also seeks to establish a national entry-level wage of at least P36,000 for BPO workers — significantly higher than current regional wage rates.

Among other key provisions are access to medical benefits upon hiring, rather than only after regularization, and the right to self-organize for collective bargaining and participation in decision-making on workplace policies.

Tulfo said the bill aims to strengthen protections for an industry that employs more than a million Filipinos and remains a major pillar of the economy.

Economic pillar

In 2024, the Philippine IT-BPM industry contributed approximately $38 billion in revenue and about eight percent to the national gross domestic product. The sector employed 1.82 million people and generated this revenue through a seven percent increase from the previous year.

The sector is expected to generate around $40 billion in export revenue for 2025, with a projected growth rate of five percent, which is faster than the global average of around three percent. / KOC

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