Philippines Higher Education Act
Philippines Higher Education Act
Begun and held in Metro Manila, on Monday the twenty-sixth day of July, nineteen hundred and ninety-three.
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SEC. 1. Title. – This Act shall be known as the “Higher Education Act of 1994”.
SEC. 2. Declaration of Policy. – The State shall protect, foster and promote the right of all citizens to
affordable quality education at all levels and shall take appropriate steps to ensure that education shall be
accessible to all. The State shall likewise ensure and protect academic freedom and shall promote its exercise
and observance for the continuing intellectual growth, the advancement of learning and research, the
development of responsible and effective leadership, the education of high-level and middle-level
professionals, and the enrichment of our historical and cultural heritage.
State-supported institutions of higher learning shall gear their programs to national, regional or local
development plans. Finally, all institutions of higher learning shall exemplify through their physical and natural
surroundings the dignity and beauty of, as well as their pride in, the intellectual and scholarly life.
SEC. 3. Creation of the Commission on Higher Education. – In pursuance of the above mentioned policies,
the Commission on Higher Education is hereby created, hereinafter referred to as the Commission.
The Commission shall be independent and separate from the Department of Education, Culture and Sports
(DECS), and attached to the Office of the President for administrative purposes only. Its coverage shall be both
public and private institutions of higher education as well as degree-granting programs in all post-secondary
educational institutions, public and private.
SEC. 4. Composition of the Commission. – The Commission shall be composed of five (5) full-time
members. During the transition period which begins upon approval of this Act, the President may appoint the
Secretary of Education, Culture and Sports as ex officio chairman of the Commission for a maximum period of
one (1) year. Thereafter, the President shall appoint a Chairman of the Commission and four (4)
commissioners, who shall be holders of earned doctorate(s), who have been actively engaged in higher
education for at least ten (10) years, and must not have been candidates for elective positions in the elections
immediately preceding their appointment. They shall be academicians known for their high degree of
professionalism and integrity who have distinguished themselves as authorities in their chosen fields of
learning. The members of the Commission shall belong to different academic specializations.
In no case shall any and all of the Commissioners appoint representatives to act on their behalf.
SEC. 5. Term of Office. – The President shall appoint the full-time chairman and the commissioners for a term
of four (4) years, without prejudice to one reappointment. The terms of the initial appointees shall be on a
staggered basis: the full-time chairman shall hold office for a term of four (4) years, the next two (2)
commissioners for three (3) years, and the last two (2) commissioners for two (2) years.
The commissioners shall hold office until their successors shall have been appointed and qualified. Should a
member of the Commission fail to complete his term, his successor shall be appointed by the President of the
Philippines but only for the unexpired portion of the term.
SEC. 6. Rank and Emoluments. – The chairman and the commissioners shall have the rank of a Department
Secretary and Undersecretary, respectively. They shall receive the compensation and other emoluments
corresponding to those of a Department Secretary and Undersecretary, respectively, and shall be subject to the
same disqualifications.
SEC. 7. Board of Advisers. – There shall be constituted a Board of Advisers which shall meet with the
Commission at least once a year to assist it in aligning its policies and plans with the cultural, political and
socioeconomic development needs of the nation and with the demands of world-class scholarship.
b. the Director-General of the National Economic and Development Authority, as co-chairman;
f. the President of the Federation of Accrediting Associations of the Philippines (FAAP); and
g. the President of the Fund for Assistance to Private Education (FAPE).
Two (2) additional members of the Board of Advisers may be appointed by the President upon
recommendation of the Commission.
SEC. 8. Powers and Functions of the Commission. -The Commission shall have the following powers and
functions:
a. formulate and recommend development plans, policies, priorities, and programs on higher education and
research;
b. formulate and recommend development plans, policies, priorities and programs on research;
c. recommend to the executive and legislative branches, priorities and grants on higher education and research;
d. set minimum standards for programs and institutions of higher learning recommended by panels of experts
in the field and subject to public hearing, and enforce the same;
e. monitor and evaluate the performance of programs and institutions of higher learning for appropriate
incentives as well as the imposition of sanctions such as, but not limited to, diminution or withdrawal of
subsidy, recommendation on the downgrading or withdrawal of accreditation, program termination or school
closure;
f. identify, support and develop potential centers of excellence in program areas needed for the development of
world-class scholarship, nation building and national development;
g. recommend to the Department of Budget and Management the budgets of public institutions of higher
learning as well as general guidelines for the use of their income;
h. rationalize programs and institutions of higher learning and set standards, policies and guidelines for the
creation of new ones as well as the conversion or elevation of schools to institutions of higher learning, subject
to budgetary limitations and the number of institutions of higher learning in the province or region where
creation, conversion or elevation is sought to be made;
i. develop criteria for allocating additional resources such as research and program development grants,
scholarships, and other similar programs: Provided, That these shall not detract from the fiscal autonomy
already enjoyed by colleges and universities;
j. direct or redirect purposive research by institutions of higher learning to meet the needs of agro-
industrialization and development;
l. administer the Higher Education Development Fund, as described in Section 10 hereunder, which will
promote the purposes of higher education;
m. review the charters of institutions of higher learning and state universities and colleges including the
chairmanship and membership of their governing bodies and recommend appropriate measures as basis for
necessary action;
n. promulgate such rules and regulations and exercise such other powers and functions as may be necessary to
carry out effectively the purpose and objectives of this Act; and
o. perform such other functions as may be necessary for its effective operations and for the continued
enhancement, growth or development of higher education.
SEC. 9. The Secretariat. – The Commission shall organize a secretariat which shall be headed by an executive
officer, subject to the national compensation and position classification plan. It shall fix the secretariat’s
staffing pattern, determine the duties, qualifications, responsibilities and functions, as well as the compensation
scheme for the positions to be created upon the recommendation of the executive officer. It shall also prepare
and approve its budget.
The Commission shall appoint the members of the staff upon the recommendation of the executive officer.
SEC. 10. The Higher Education Development Fund. -A Higher Education Development Fund, hereinafter
referred to as the Fund, is hereby established exclusively for the strengthening of higher education in the entire
country.
1. the amount of Five hundred million pesos (P500,000,000) as seed capital;
2. the amount of Fifty million pesos (P50,000,000) for the initial operation of the Commission;
3. the equivalent of forty percent (40%) annual share on the total gross collections of the travel tax;
4. the equivalent of thirty percent (30%) share of the collections from the Professional Registration Fee; and
5. the equivalent of one percent (1%) of the gross sales of the lotto operation of the Philippine Charity
Sweepstakes Office (PCSO).
b. Starting Fiscal Year 1995 and every year thereafter, government financing institutions identified and
requested by the Commission may contribute to the Fund an amount equivalent to not less than three percent
(3%) but not more than five percent (5%) of their unimpaired surplus realized during the immediately
preceding year.
c. The Fund shall have a private portion to be raised from donations, gifts, and other conveyances including
materials, equipment, properties and services by gratuitous title.
SEC. 11. Management and Administration of the Higher Education Development Fund. – The Fund shall
be administered by the Commission. For sound and judicious management of the Fund, the Commission shall
appoint a reputable government financial institution as portfolio manager of the Fund, subject to the following
conditions.
As administrator of the Fund, the Commission shall prepare the necessary guidelines for its use, subject to the
following conditions:
a. No part of the seed capital of the Fund, including earnings thereof, shall be used to underwrite overhead
expenses for administration;
b. Unless otherwise stipulated by the private donor, only earnings of private contributions shall be used for
administrative expenses;
c. The Commission shall appoint and organize a separate staff, independent administratively and budgetarily
separate from the Commission Secretariat; and
SEC. 12. The Technical Panels. – The Commission shall reconstitute and/or organize technical panels for
different disciplines/program areas. They shall assist the Commission in setting standards and in program and
institution monitoring and evaluation. The technical panels shall be composed of senior specialists or
academicians to be appointed by the Commission.
SEC. 13. Guarantee of Academic Freedom. – Nothing in this Act shall be construed as limiting the academic
freedom of universities and colleges. In particular, no abridgment of curricular freedom of the individual
educational institutions by the Commission shall be made except for: (a) minimum unit requirements for
specific academic programs; (b) general education distribution requirements as may be determined by the
Commission; and (c) specific professional subjects as may be stipulated by the various licensing entities. No
academic or curricular restriction shall be made upon private educational institutions which are not required for
chartered state colleges and universities.
SEC. 14. Accreditation. – The Commission shall provide incentives to institutions of higher learning, public
and private, whose programs are accredited or whose needs are for accreditation purposes.
SEC. 15. Tax Exemptions. – Any donation, contribution, bequest, and grant which may be made to the
Commission shall constitute as allowable deduction from the income of the donor for income tax purposes and
shall be exempt from donor’s tax, subject to such conditions as provided under the National Internal Revenue
Code, as amended.
SEC. 16. Authority. – The Commission shall exercise such authority as may be deemed necessary within its
premises or areas of operation to effectively carry out its powers and functions and to attain its
objectives: Provided, That the Commission may seek the assistance of other government agencies for the
proper implementation of this Act.
SEC. 17. Appropriation. – The amount of Five hundred million pesos (P500,000,000) is hereby authorized to
be appropriated for the seed capital of the Fund. The additional amount of Fifty million pesos (P50,000,000) is
hereby authorized to be appropriated out of the funds in the National Treasury not otherwise appropriated or
out of the Philippine Amusement and Gaming Corporation (PAGCOR) funds for the initial operation of the
Commission.
The sum equivalent to the appropriations for the current year for the Bureau of Higher Education and the
degree-granting-programs of the Bureau of Technical-Vocational Education, including those for higher and
tertiary education and degree granting vocational and technical programs of the Bureau of Technical-
Vocational Education in the regional offices, as well as parts of the budgetary items under the DECS budget
that are concerned with higher and tertiary education and degree-granting vocational and technical programs
such as those for personal services, maintenance and other operating expenses and capital outlay, shall be
transferred to the Commission.
Thereafter, the funds necessary shall be included in the General Appropriations Act.
SEC. 18. Transitory Provisions. – Such personnel, properties, assets and liabilities, functions and
responsibilities of the Bureau of Higher Education, including those for higher and tertiary education and
degree-granting vocational and technical programs in the regional offices, under the Department of Education,
Culture and Sports, and other government entities having functions similar to those of the Commission are
hereby transferred to the Commission.
The Commission shall have the authority to appoint its own personnel.
All regular or permanent employees transferred to the Commission shall not suffer any loss of seniority or rank
or decrease in emoluments. Personnel of the Bureau of Higher Education not otherwise transferred to the
Commission shall be reassigned by the DECS in any of its offices and bureaus: Provided, however, That, any
employee who cannot be accommodated shall be given all the benefits as may be provided under existing laws,
rules and regulations.
A transitory body is hereby created which shall be composed of the Secretary of Education, Culture and Sports
(DECS), Chair of the Senate Committee on Education, Arts and Culture, Chair of the House Committee on
Education and Culture, a representative each of the Association of Christian Schools and Colleges (ACSC), the
Catholic Educational Association of the Philippines (CEAP), the Philippine Association of Colleges and
Universities (PACU), the Philippine Association of Private Schools, Colleges and Universities (PAPSCU), the
Philippine Association of State Universities and Colleges (PASUC), and the Philippine Association of Private
Technical Institutions (PAPTI).
The transitory body shall facilitate the complete and full operation of the Commission which shall not be later
than three (3) months after the effectivity of this Act. It shall likewise, promulgate the rules and regulations
necessary to effectively implement the smooth and orderly transfer to the Commission. The transition period
not exceeding three (3) months shall commence from the approval of this Act.
SEC. 19. Repealing Clause. -All laws, presidential decrees, executive orders, rules and regulations or parts
thereof which are inconsistent with the provisions of this Act are hereby repealed or modified accordingly.
SEC. 20. Separability Clause. – If any part or provision of this Act shall be held unconstitutional or invalid,
other provisions hereof which are not affected thereby shall continue to be in full force and effect.
SEC. 21. Effectivity. – This Act shall take effect upon its approval.
Approved,
This Act, which is a consolidation of Senate Bill No. 1453 and the House Bill No. 12200, was finally passed by
the Senate and the House of Representatives on May 4, 1994 and May 17, 1994, respectively.
Begun and held in Metro Manila, on Monday, the twenty-fifth day of July, nineteen hundred and
ninety-four.
SECTION 1. Title. – This Act shall be known as the “Technical Education and Skills-Development
Act of 1994” or the “TESDA Act of 1994.”
SEC. 2. Declaration of Policy. – It is hereby declared the policy of the State to provide relevant,
accessible, high quality and efficient technical education and skills development in support of the
development of high quality Filipino middle-level manpower responsive to and in accordance with
Philippine development goals and priorities.
The State shall encourage active participation of various concerned sectors, particularly private
enterprises, being direct participants in and immediate beneficiaries of a trained and skilled
workforce in providing technical education and skills development opportunities.
SEC. 3. Statement of Goals and Objectives. – It is the goal and objective of this Act to:
a) Promote and strengthen the quality of technical education and skills development programs to
attain international competitiveness;
b) Focus technical education and skills development on meeting the changing demands for quality
middle-level manpower;
c) Encourage critical and creative thinking by disseminating the scientific and technical knowledge
base of middle-level manpower development programs;
d) Recognize and encourage the complementary roles of public and private institutions in technical
education and skills development and training systems; and
e) Inculcate desirably values through the development of moral character with emphasis on work
ethic, self-discipline, self-reliance and nationalism.
a) “Skill” shall mean the acquired and practiced ability to carry out a task or job;
b) “Skills Development” shall mean the process through which learners and workers are
systematically provided with learning opportunities to acquire or upgrade, or both, their ability,
knowledge and behavior pattern required as qualifications for a job or range of jobs in a given
occupational area;
c) “Technical Education” shall refer to the education process designed at post-secondary and lower
tertiary levels, officially recognized as non-degree programs aimed at preparing technicians, para-
professionals and other categories of middle-level workers by providing them with a broad range of
general education, theoretical, scientific and technological studies, and related job skills training;
d) “Trade” shall mean any group of interrelated jobs or any occupation which is traditionally or
officially recognized as craft or artisan in nature requiring specific qualifications that can be acquired
through work experience and/or training;
1) who have acquired practical skills and knowledge through formal or non-formal education and
training equivalent to at least a secondary education but preferably a post-secondary education with
a corresponding degree or diploma; or
2) skilled workers who have become highly competent in their trade or craft as attested by industry;
f) “Private Enterprises” refers to an economic system under which property of all kinds can be
privately owned and in which individuals, alone or in association with another, can embark on a
business activity. This includes industrial, agricultural, or agro-industrial establishments engaged in
the production, manufacturing, processing, repacking or assembly of goods including service-
oriented enterprises;
g) “Trainers” shall mean persons who direct the practice of skills towards immediate improvement in
some task;
h) “Trainors/trainers” shall mean persons who provide training to trainers aimed at developing the
latter’s capacities for imparting attitudes, knowledge, skills and behavior patterns required for specific
jobs, tasks, occupations or group of related occupations;
i) “Trainees” shall mean persons who are participants in a vocational, administrative or technical
training program for the purpose of acquiring and developing job-related skills;
l) “Apprenticeship Agreement” is a contract wherein a prospective employer binds himself to train the
apprentice who in turn accepts the terms of training for a recognized apprenticeable occupation
emphasizing the rights, duties and responsibilities of each party;
n) “Learners” refer to persons hired as trainees in semi-skilled and other industrial occupations which
are non-apprenticeable. Learnership programs must be approved by the Authority.
q) “Levy Grant System” refers to a legal contribution from participating employers who would be
beneficiaries of the program (often as a percentage of the payroll) which is subsequently turned over
or rebated to enterprises offering employee training programs.
SEC. 5. Technical Education and Skills Development Authority; Creation. – To implement the policy
declared in this Act, there is hereby created a Technical Education and Skills Development Authority
(TESDA), hereinafter referred to as the Authority, which shall replace and absorb the National
Manpower and Youth Council (NMYC), the Bureau of Technical and Vocational Education (BTVE)
and the personnel and functions pertaining to technical-vocational education in the regional offices of
the Department of Education, Culture and Sports (DECS) and the apprenticeship program of the
Bureau of Local Employment of the Department of Labor and Employment.
SEC. 6. Composition of the Authority. – The Authority shall be composed of the TESDA Board and
the TESDA Secretariat.
SEC. 7. Composition of the TESDA Board. – The TESDA Board shall be composed of the following:
In addition, the President of the Philippines shall appoint the following members from the private
sector: two (2) representatives, from. the employer/industry organization, one of whom shall be a
woman; three (3) representatives, from the labor sector, one of whom shall be a woman; and two (2)
representatives of the national associations of private technical-vocational education and training
institutions, one of whom shall be a woman. As soon as all the members of the private sector are
appointed, they shall so organize themselves that the term of office of one-third (1/3) of their number
shall expire every year. The member from the private sector appointed thereafter to fill vacancies
caused by expiration of terms shall hold office for three (3) years.
The President of the Philippines may, however, revise the membership of the TESDA Board,
whenever the President deems it necessary for the effective performance of the Board’s functions
through an administrative order.
The TESDA Board shall meet at least twice a year, or as frequently as may be deemed necessary by
its Chairperson. In the absence of the Chairperson, a Co-Chairperson shall preside. In case any
member of the Board representing the Government cannot attend the meeting, he or she shall be
regularly represented by an undersecretary or deputy-director general, as the case may be, to be
designated by such member for the purpose.
The benefits, privileges and emoluments of the Board shall be consistent with existing laws and
rules.
SEC. 8. Powers and Functions of the Board. – The Authority shall primarily be responsible for
formulating, continuing, coordinated and fully integrated technical education and skills development
policies, plans and programs taking into consideration the following:
a) the State policy declared herein of giving new direction and thrusts to efforts in developing the
quality of Filipino human resource through technical education and skills development;
b) the implementation of the above-mentioned policy requires the coordination and cooperation of
policies, plans, and programs of different concerned sectors of Philippine society;
d) improved linkages between industry, labor and government shall be given priority in the
formulation of any national-level plan.
1) promulgate, after due consultation with industry groups, trade associations, employers, workers,
policies, plans, programs and guidelines as may be necessary for the effective implementation of this
Act;
2) organize and constitute various standing committees, subsidiary groups, or technical working
groups for efficient integration, coordination and monitoring technical education and skills
development programs at the national, regional, and local levels;
3) enter into, make, execute, perform and carry-out domestic and foreign contracts subject to existing
laws, rules and regulations;
4) restructure the entire sub-sector consisting of all institutions and programs involved in the
promotion and development of middle-level manpower through upgrading, merger and/or phase-out
following a user-led strategy;
5) approve trade skills standards and trade tests as established and conducted by private industries;
6) establish and administer a system of accreditation of both public and private institutions;
8) end support and encourage increasing utilization of the dual training system as provided for by
Republic Act No. 7686;
9) exact reasonable fees and charges for such tests and trainings conducted and retain such
earnings for its own use, subject to guidelines promulgated by the Authority;
10) Allocate resources, based on the Secretariat’s recommendations, for the programs and projects
it shall undertake pursuant to approved National Technical Education and Skills Development Plan;
11) determine and approve systematic funding schemes such as the Levy and Grant scheme for
technical education and skills development purposes;
12) create, when deemed necessary, an Advisory Committees which shall provide expert and
technical advice to the Board to be chosen from the academe and the private sector: Provided, That
in case the Advisory Committee is created, the Board is hereby authorized to set aside a portion of
its appropriation for its operation; and
13) perform such other duties and functions necessary to carry out the provisions of this Act
consistent with the purposes of the creation of TESDA.
SEC. 9. Power to Review and Recommend Action. – The Authority shall review and recommend
action to concerned authorities on proposed technical assistance programs and grants-in-aid for
technical education or skills development, or both, including those which may be entered into
between the Government of the Philippines and other nations, including international and foreign
organizations, both here and abroad.
SEC. 10. The TESDA Secretariat. – There is hereby created a Technical Education and Skills
Development Authority Secretariat which shall have the following functions and responsibilities:
a) to establish and maintain a planning process and formulate a national technical education and
skills development plan in which the member-agencies and other concerned entities of the Authority
at various levels participate;
c) to recommend measures, and implement the same upon approval by the Authority for the effective
and efficient implementation of the national technical education and skills development plan;
d) to propose to the Authority the specific allocation of resources for the programs and projects it
shall undertake pursuant to approved national technical education and skills development plan;
e) to submit to the Authority periodic reports on the progress and accomplishment of work programs
of implementation of plans and policies for technical education and skills development;
f) to prepare for approval by the Authority an annual report to the President on technical education
and skills development;
g) to implement and administer the apprenticeship program as provided for in Section 18 of this Act;
h) to prepare and implement upon approval by the Authority a program for the training of trainers,
supervisors, planners and managers as provided for in Section 23 of this Act;
i) to enter into agreement to implement approved plans and programs and perform activities as shall
implement the declared policy of this Act; and
j) to perform such other functions and duties as may be assigned by the Board.
As Chief Executive Officer of the TESDA Secretariat, the Director-General shall exercise general
supervision and control over its technical and administrative personnel.
The Deputy Directors-General shall enjoy the benefits, privileges and emoluments equivalent to the
rank of Assistant Secretary.
SEC. 13. Chief of Services for Administration. – The Director-General shall also be assisted by a
Chief of Services for Administration who shall be a Career Civil Service Official to be appointed by
the TESDA Board.
SEC. 14. Structural Organization and Personnel. – The TESDA Secretariat, in addition to the offices
of the Director-General, Deputy Director-General and Chief of Services for Administration shall be
composed of the following offices to be headed by an Executive Director to be appointed by the
Director-General and shall have the rank and emoluments of Director IV
a) Planning Office (PO) – The Planning Office shall be under the Office of the Deputy Director-
General and shall have the following functions:
1) to design and establish planning processes and methodologies which will particularly enhance the
efficiency of resource allocation decisions within the technical education and skills development
sector;
2) to lead in the preparation and periodic updating of a national” plan for technical education and
skills development which shall become the basis for resource allocation decisions within the sector;
3) to conduct researches, studies and develop information systems for effective and efficient
planning and policymaking within the sector;
4) to develop and implement programs and projects aimed at building up planning capabilities of
various institutions within the sector; and
5) to perform such other powers and functions as maybe authorized by the Authority.
b) Skills Standards and Certification Office (SSCO). – The Skills Standards and Certification Office
shall be under the office of the Deputy Director-General and shall have the following functions:
1) to develop and establish a national system of skills standardization, testing and certification in the
country;
2) to design, innovate and adopt processes and methodologies whereby industry groups and
workers’ guilds take note on progressively the responsibility of setting skills standards for identified
occupational areas, and the local government units actively participate in promoting skills standards,
testing and certification;
3) to establish and implement a system of accrediting private enterprises, workers’ associations and
guilds and public institutions to serve as skills testing venues;
c) National Institute for Technical Vocational and Education Training (NITVET). – The National
Institute for Technical Vocational and Education Training to be under the office of the Deputy
Director-General and shall have the following functions:
1) to serve as the research and development arm of the government in the field of technical-
vocational education and training;
2) to develop curricula and program standards for various technical-vocational education and training
areas;
3) to develop and implement and integrated program for continuing development of trainors, teachers
and instructors within the technical education and skills development sector;
4) to develop programs and projects which will build up institutional capabilities within the sector; and
1) to provide policies, measures and guidelines for effective and efficient administration of formal
technical-vocational education and training programs implemented by various institutions in the
country;
2) to establish and maintain a system for accrediting, coordinating, integrating, monitoring and
evaluating the different formal technical-vocational education and training programs vis-a-vis the
approved national technical education and skills development plan;
e) Office of the Non-Formal Technical-Vocational Education and Training (ONFTVET). – The Office
of the Non-Formal Technical-Vocational Education and Training to be under the Office of the Deputy
Director-General and shall have the following functions:
1) to provide direction, policies and guidelines for effective implementation of non-formal community-
based technical-vocational education and training;
3) to establish and maintain a network of institutions including local government units, non-
government organizations implementing non-formal, community-based technical-vocational
education and training;
f) Office of Apprenticeship (OA). – The Office of Apprenticeship shall be under the Office of the
Deputy Director-General and shall have the following functions:
1) to provide direction, policies and guidelines on the implementation of the Apprenticeship system;
2) to accredit, coordinate, monitor and evaluate all apprenticeship schemes and program
implemented by various institutions and enterprises;
g) Regional TESDA Offices. – The Regional TESDA Offices shall be headed by Regional Directors
with the rank and emoluments of Director IV to be appointed by the President.
The Regional TESDA Offices shall be under the direct control of the Director-General and shall have
the following functions:
2) to provide effective supervision, coordination and integration of technical education and skills
development programs, projects and related activities in their respective jurisdiction;
3) to develop and recommend TESDA programs for regional and local-level implementation within
the policies set by the Authority;
SEC. 15. The Provincial TESDA Offices. – The Provincial Offices shall be headed by Skill
Development Officers who shall have the rank and emoluments of a Director III.
The Provincial TESDA Offices shall be under the direct control of the Director-General and shall
have the following functions:
2) to provide technical assistance particularly to local government units for effective supervision,
coordination, integration and monitoring of technical-vocational education and training programs
within their localities;
3) to review and recommend TESDA programs for implementation within their localities; and
Furthermore, the TESDA Secretariat may be further composed by such offices as may be deemed
necessary by the Authority. The Director-General shall appoint such personnel necessary to carry
out the objectives, polices and functions of the Authority subject to Civil Service laws, rules and
regulations.
SEC. 16. Compliance with the Salaries Standardization Law. –The compensation and emoluments of
the officials and employees of the Authority shall be in accordance with the salary standardization
law and other applicable laws under the national compensation and classification plan.
SEC. 17. Consultants and Technical Assistance, Publication and Research. – In pursuing its
objectives, the Authority is hereby authorized to set aside a portion of its appropriation for the hiring
of services of qualified consultants, and private organizations for research work and publication in the
field of technical education and skills development. It shall avail itself of the services of other
agencies of the Government as may be required.
SEC. 18. Transfer of the Apprenticeship Program. – The Apprenticeship Program of the Bureau of
Local Employment of the Department of Labor and Employment shall be transferred to the Authority
which shall implement and administer said program in accordance with existing laws, rules and
regulations.
SEC. 19. Technical Education and Skills Development Committees. – The Authority shall establish
Technical Education and Skills Development Committees at the regional and local levels to
coordinate and monitor the delivery of all skills development activities by the public and private
sectors, These committees shall likewise serve as the Technical Education and Skills Development
Committees of the Regional and local development councils. The composition of the Technical
Education and Skills Development Committees shall be determined by the Director-General subject
to the guidelines to be promulgated by the Authority.
SEC. 20. Skills Development Centers. – The Authority shall strengthen the network of national,
regional and local skills training centers for the purpose of promoting skills development.
This network shall include skills training centers in vocational and technical schools, technical
institutes, polytechnic colleges, and all other duly accredited public and private dual system
educational institutions. The technical education and skills development centers shall be
administered and operated under such rules and regulations as may be established by the Authority
in accordance with the National Technical Education and Skills Development Plan.
SEC. 21. Formulation of a Comprehensive Development Plan for Middle-Level Manpower. – The
Authority shall formulate a comprehensive development plan for middle-level manpower based on a
national employment plan or policies for the optimum allocation, development and utilization of
skilled workers for employment entrepreneurship and technology development for economic and
social growth. This plan shall, after adoption by the Authority, be updated periodically and submitted
to the President of the Philippines for approval. Thereafter, it shall be the plan for technical education
and skills development for the entire country within the framework of the National Development Plan.
The Authority shall direct the TESDA Secretariat to call on its member-agencies, the private sector
and the academe to assist in this effort.
The comprehensive plan shall provide for a reformed industry-based training program including
apprenticeship, dual training system and other similar schemes intended to:
b) improve the quality and relevance and social accountability of technical education and skills
development;
d) expand the range of opportunities for upward social mobility of the school-going population
beyond the traditional higher levels of formal education.
All government and non-government agencies receiving financial and technical assistance from the
government shall be required to formulate their respective annual agency technical education and
skills development plan in line with the national technical education and skills development plan. The
budget to support such plans shall be subject to review and endorsement by the Authority to the
Department of Budget and Management.
The Authority shall evaluate the efficiency and effectiveness of agencies skills development program
and schemes to make them conform with the quantitative and qualitative objectives of the national
technical education and skills development plan.
SEC. 22. Establishment and Administration of National Trade Skills Standards. -There shall be
national occupational skills standards to be established by TESDA-accredited industry committees.
The Authority shall develop and implement a certification and accreditation program in which private
industry groups and trade associations are accredited to conduct approved trade tests, and the local
government units to promote such trade testing activities in their respective areas in accordance with
the guidelines to be set by the Authority.
The Secretary of Labor and Employment shall determine the occupational trades for mandatory
certification.
All certificates relating to the national trade skills testing and certification system shall be issued by
the Authority through the TESD A Secretariat.
SEC. 23. Administration of Training Programs. – The Authority shall design and administer training
programs and schemes that will develop the capabilities of public and private institutions to provide
quality and cost-effective technical education and skills development and related opportunities. Such
training programs and schemes shall include teacher’s trainors’ training, skills training for
entrepreneur development and technology development, cost-effective training in occupational
trades and related fields of employment, and value development as an integral component of all
skills training programs.
SEC. 24. Assistance to Employers and Organizations. – The Authority shall assist any employer or
organization engaged in skills training schemes designed to attain its objectives under rules and
regulations which the Authority shall establish for this purpose.
SEC. 25. Coordination of All Skills Training Schemes. – In order to integrate the national skills
development efforts, all technical education and skills training schemes as provided for in this Act
shall be coordinated with the Authority particularly those having to do with the setting of trade skills
standards. For this purpose, existing technical education and skills training programs in the
Government and in the private sector, specifically those wholly or partly financed with government
funds, shall be reported to the Authority which shall assess and evaluate such programs to ensure
their efficiency and effectiveness.
SEC. 26. Industry Boards. -The Authority shall establish effective and efficient institutional
arrangements with industry boards and such other bodies or associations to provide direct
participation of employers and workers in the design and implementation of skills development
schemes, trade skills standardization and certification and such other functions in the fulfillment of
the Authority’s objectives.
SEC. 27. Incentives Schemes. – The Authority shall develop and administer appropriate incentive
schemes to encourage government and private industries and institutions to provide high-quality
technical education and skills development opportunities.
SEC. 28. Skills development Opportunities. – The Authority shall design and implement an effective
and efficient delivery system for quality technical education and skills development opportunities
particularly in disadvantaged sectors, with new tools of wealth creation and with the capability to take
on higher value-added gainful activities and to share equitably in productivity gains.
SEC. 29. Devolution of TESDA’s Training Function to Local Governments. – In establishing the
delivery system provided for in the preceding Section, the Authority shall formulate, implement and
finance a specific plan to develop the capability of local government units to assume ultimately the
responsibility for effectively providing community-based technical education and skills development
opportunities: Provided, however, That there shall be formulated and implemented, and effective and
timely retraining of TESDA personnel that would be affected by the devolution to ensure their being
retained if the concerned local government units would not be able to absorb them.
SEC. 30. Skills Olympics. – To promote quality skills development in the country and with the view of
participating in international skills competitions, the Authority, with the active participation of private
industries, shall organize and conduct annual National Skills Olympics. The Authority, through the
TESDA Secretariat, shall promulgate the necessary rules and guidelines for the effective and
efficient conduct of Annual National Skills Olympics and for the country’s participation in international
skills Olympics.
SEC. 31. The TESDA Development Fund. – A TESDA Development Fund is hereby established, to
be managed/ administered by the Authority, the income from which shall be utilized exclusively in
awarding of grants and providing Assistance to training institutions, industries, local government units
for upgrading their capabilities and to develop and implement training and training-related activities.
The contribution to the fund shall be the following:
b) an annual contribution from the Overseas Workers Welfare Administration Fund, the amount of
which should be part of the study on financing in conjunction with letter (D) of Section 34;
The TESDA Board shall be the administrator of the fund, and as such, shall formulate the necessary
implementing guidelines for the management of the fund, subject to the following: a) unless
otherwise stipulated by the private donor, only earnings of private contributions shall be used; and b)
no part of the seed capital of the fund, including earnings, thereof, shall be used to underwrite
expenses for administration.
The Board shall appoint a reputable government-accredited investment institution as fund manager,
subject to guidelines promulgated by the Board.
SEC. 32. Scholarship Grants. – The Authority shall adopt a system of allocation and funding of
scholarship grants which shall be responsive to the technical education and skills development
needs of the different regions in the country.
SEC. 33. TESDA Budget. – The amount necessary to finance the initial implementation of this Act
shall be charged against the existing appropriations of the NMYC and the BTVE. Thereafter, such
funds as may be necessary for the continued implementation of this Act shall be included in the
annual General Appropriations Act.
SEC. 34. Transitory Provisions. – a) Within two (2) months after the approval of this Act, the
President shall, in consultation with the Secretary of Labor and Employment and the Secretary of
Education, Culture and Sports, appoint the private sector representatives of the TESDA Board.
b) Within three (3) months after the appointment of the private sector representatives, the President
shall, upon the recommendation of the Board, appoint the Director-General.
c) Within four (4) months after the appointment of the Director-General, the Board shall convene to
determine the organizational structure and staffing pattern of the Authority.
d) Within one (1) year after the organization of the Authority, the Board shall commission an expert
group on funding schemes for the TESDA Development Fund, as provided in Section 31, the results
of which shall be used as the basis for appropriate action by the Board.
e) The personnel of the existing National Manpower and Youth Council (NMYC) of the Department of
Labor and Employment and the Bureau of Technical and Vocational Education (BTVE) of the
Department of Education, Culture and Sports, shall, in a holdover capacity, continue to perform their
respective duties and responsibilities and receive their corresponding salaries and benefits until such
time when the organizational structure and staffing pattern of the Authority shall have been approved
by the Board: Provided, That the preparation and approval of the said new organizational structure
and staffing pattern shall, as far as practicable, respect and ensure the security of tenure and
seniority rights of affected government employees.
Those personnel whose positions are not included in the new staffing pattern approved by the Board
or who are not reappointed or who choose to be separated as a result of the reorganization shall be
paid their separation or retirement benefits under existing laws.
SEC. 35. Automatic Review. – Every five (5) years, after the effectivity of this Act, an independent
review panel composed of three (3) persons appointed by the President shall review the
performance of the Authority and shall make recommendations, based on its findings to the
President and to both Houses of Congress.
SEC. 36. Implementing Rules and Guidelines. – The TESDA Board shall issue, within a period of
ninety (90) days after the effectivity of this Act, the rules and regulations for the effective
implementation of this Act.
The TESDA Board shall submit to the Committees on Education, Arts and Culture of both Houses of
Congress copies of the implementing rules and guidelines within thirty (30) days after its
promulgation.
Any violation of this Section shall render the official/s concerned liable under R. A. No. 6713,
otherwise known as the “Code of Conduct and Ethical Standards for Public Officials and Employees”
and other existing administrative and/or criminal laws.
SEC. 37. Repealing Clause. – All laws, presidential decrees, executive orders, presidential
proclamations, rules and regulations or parts thereof contrary to or inconsistent with this Act are
hereby repealed or modified accordingly.
SEC. 38. Separability Clause. – If any provision of this Act is declared unconstitutional, the same
shall not affect the validity and effectivity of the other provisions hereof.
SEC. 39. Effectivity. – This Act shall take effect fifteen (15) days after its complete publication in two
(2) newspapers of general circulation.
Approved,
This Act, which is a consolidation of Senate Bill No. 1283 and House Bill No. 12194, was finally
passed by the Senate and the House of Representatives on August 23, 1994.
Section 1. Presidential Decree Numbered One Hundred Forty-Six (P.D. No. 146), entitled,
"Upgrading the Quality of Education in the Philippines by Requiring All High School
Graduates Seeking Admission to Post Secondary Degree Programs Necessitating a Minimum
of Four Years Study To Pass a National Entrance Examination and Appropriating Funds
Therefor", is hereby repealed.chan robles virtual law library
Sec. 2. Those who failed the examinations, as required under P.D. No. 146, and failed to make
the grade for admissions shall no longer be denied or refused enrollment by any school,
college or university to any post-secondary program necessitating a minimum of four (4)
years as prescribed under the said Decree subject to the admission requirements of the
institutions concerned.cralaw
Sec. 3. No national entrance examination shall be required for admission to post-secondary
degree programs.
Sec. 4. This Act shall take effect upon its approval. chan robles virtual law library
PURPOSES
SECTION 1. Declaration of Policy. — It is hereby declared the national policy to promote the
moral and intellectual well-being of the people: elevate the literacy level of every Filipino to the
end that illiteracy is eradicated by the end of the century; and recognize the vital role of
congressional district, city and municipality, and reading centers in every barangay throughout
the Philippines.
SECTION 2. Establishment of Public Libraries and Reading Centers. — The National Library
in coordination with the Department of the Interior and Local Government (DILG) shall
undertake the establishment of additional public libraries to serve all congressional districts
cities and municipalities in the Philippines and reading centers in every barangay except in cities
or municipalities where there are existing public libraries or in barangays where there are existing
reading centers: Provided, That the establishment of such libraries and reading centers shall be
based on the development program of the National Library, in coordination with the development
council of each city or municipality and in the case of the barangay reading
centers in coordination with the respective barangay councils: Provided further, That where
these public libraries and reading centers already exist the National Library shall continue to
The National Library shall continue to coordinate and organize seminars, workshops and other
SECTION 3. Role of the National Library. — The National Library shall provide the standard
set of reference books and other materials such as but not limited to encyclopedias,
dictionaries, maps and globes upon the establishment of the libraries. The National Library shall
continue to supply the public libraries with the other books, non-book materials, equipment
Philippines
supplies and other appropriate and relevant reference and reading materials taking into
SECTION 4. Site. — The establishment of the public libraries and reading centers shall be an
integral part of the development plan of each local government unit: Provided, That barangays
cover initially a period of five (5) years: Provided, That those congressional districts, cities and
municipalities with no existing public libraries as well as barangays situated in remote, isolated
Within one hundred twenty (120) days from the effectivity of this Act, the National Library in
consultation with the DILG, the Department of Public Works and Highways (DPWH) and the
different local government units, shall come out with the list of priority areas, taking into account
the commitment of the local government units in the establishment and maintenance of public
SECTION 6. Functions of the Public Libraries and Barangay Reading Centers. — The public
libraries and barangay reading centers shall have the following functions:
a) to make available to the members of the community reading materials of wide array
including reading materials prescribed by the Department of Education Culture and Sports and
b) to be used as a venue for audio-visual presentation in the community and other kinds of
exhibitions and activities aimed at increasing the literacy rate by government agencies,
nongovernmental organizations or private entities in the dissemination of information of general
interest; and
SECTION 7. Appropriations. — The amount necessary to carry out the provisions of this Act
shall be included in the General Appropriations Act of the year following its enactment into law
and for the next five (5) years; thereafter, the local government units shall undertake the
maintenance of public libraries and reading centers while the National Library shall continue to
provide reading materials and supplies to the said libraries and reading centers.
SECTION 8. Submission of Reports. — Within ninety (90) days from the approval of this Act,
and at the end of every calendar year thereafter the Director of the National Library shall submit
SECTION 9. Rules and Regulations. — Within sixty (60) days from the approval of this Act,
the National Library, in coordination with the DILG and the Philippine Information Agency (PIA),
issuances inconsistent with this Act are hereby repealed or amended accordingly.
SECTION 11. Separability Clause. — If any provision of this Act is declared unconstitutional or
inoperative, the other provisions not so declared shall remain in force and effect.
SECTION 12. Effectivity Clause. — This Act shall take effect fifteen (15) days after publication
Published in the Manila Times on June 22, 1994. Published in the Official Gazette, Vol. 90 No.
SECTION 1. Declaration of Policy – It is the declared policy of the State to protect and promote the
right of all citizens to quality education at all levels and shall take appropriate steps to make such
education accessible to all. It is likewise universally recognized that the teacher is the key to the
effectiveness of the teaching-learning process by drawing out and nurturing the best in the learner as
a human being and a worthy member of society Thus, this Act aims to provide and ensure quality
education by strengthening the education and training of teachers nationwide through a national
system of excellence for teacher education.
Our vision is a teacher education system whose mission is to educate an train teachers of
unquestionable integrity and competence, and who are committed to their continuing professional
growth and obligation to help their students grow as responsible individuals and citizens of the
Philippines and of the world.
(a) “Teacher” shall mean all persons engaged in the classroom teaching of any subject, including
practical/vocational arts, at the elementary and secondary levels of instruction including persons
performing guidance and counseling, instructional supervision in all private or public education
institutions, but shall not include school nurses, school physicians, school dentists, school
administrators, and other school administrative support employees. Graduates of education who
have passed the government examination for teachers although not actually employed as such, are
hereby included in this definition.
(b) “Teacher education” shall mean the pre-service education, in-service education, and graduate
education of teachers, in various areas of specialization.
(c) “Excellence” pertains to the efficient, effective and innovative delivery of relevant, functional, and
quality programs in teacher education, training, research and community service.
(d) “Center of excellence” shall be a public or private college, institute, school or agency, engaged in
the pre-service and continuing education, formal and non-formal, of teachers and teacher educators,
that has established and continues to maintain a track record in teacher education (in terms of
number of graduates and their performance in the government examination for teachers and their
professional achievement), research, and community service; whose graduates are models of
integrity, commitment and dedication in education. The centers of excellence may exist by
themselves or within a university or college.
Should the need arise, certain centers of excellence for teacher education at the provincial level may
later be identified and developed.
The criteria in identifying schools and colleges as centers of excellence shall include the following:
(a) highly educated, professionally qualified and experienced faculty dedicated to the philosophy,
mission, vision and goals of the institution and education; (b) well-selected students; (c) adequate
library, research and study facilities; (d) competent administrative and support staff; (e) well-planned
and relevant instructional programs; (f) adequate student development programs; (g) adequate
student services; (h) relevant extension service and outreach programs; (i) percentage of graduates
who become teachers; and (j) such other criteria as may be established and operationalized by the
Teacher Education Council.
The Teacher Education Center of Excellence shall form a national network which in turn shall
network with elementary schools, high schools and/or a part thereof for laboratory purposes.
Any center of excellence that is established shall be maintained for at least five (5) years before any
proposal or review is made to transfer it elsewhere.
SEC. 4: Objectives and Functions of a Center of Excellence. – The objectives and functions of a
center of excellence shall be to:
(a) Experiment and try out relevant and innovative pre-service/in-service teacher education/training
programs;
(b) Organize and coordinate collaborative research on identified areas for systematic investigation in
teacher education as basis for improving teacher education programs;
(d) Serve as the central node for networking specific disciplines in teacher education in the region;
(e) Provide professional assistance to Teacher Education Institutions (TEIs) that have expressed the
need for such assistance;
(f) Encourage mutual support among TEIs in the region for upgrading and improving their programs;
and
SEC. 5. Creation of the Teacher Education Council. – There shall be a Teacher Education Council
composed of eleven (11) members with the Secretary of Education, Culture and Sports as ex
officio chairman, and three (3) other ex officio members, namely: a Commissioner of the Commission
on Higher Education (CHED), a representative of the National Commission on Culture and Arts
(NCCA), and the Chairman of the Professional Regulations Commission (PRC).
The seven (7) regular members of the Council who shall be appointed by the President of the
Republic of the Philippines are:
(a) Three (3) representatives of centers of teacher education: one (1) from Luzon, one (1) from the
Visayas, and one (1) from Mindanao who shall take into account the views of the parents-teachers
and community associations, student associations, nongovernmental organizations, and people
organizations concerned with basic education;
The other officers of the Council shall be elected by the members from among the regular members.
The members of the Council shall serve without any compensation but shall be reimbursed for actual
and necessary expenses incurred by them in carrying out their duties under this Act.
The Council shall meet at least four (4) times a year and hold such other meetings at the call of the
chairman or a majority of the members.
All regular members of the Council shall hold office for a -period of three (3) years.
SEC 6. Criteria for the Selection of Regular Council Members. – The criteria for the selection of the
regular Council members are as follows:
(a) Integrity;
SEC. 7. Powers and Functions of the Council. – The Council shall have the following powers and
functions:
(a) To identify and designate among existing private and public schools, teacher education
institutions as Centers of Excellence for Teacher Education, at the national, regional, and provincial
levels;
(b) To formulate policies and standards that shall strengthen and improve the system of teacher
education in all existing public and private schools;
(c) Initiate a periodic review of curricula and programs for teacher education and training through
participatory methods, such as self-assessment by institutions;
(d) To adopt an adequate and effective system of incentives such as scholarship grants, loan
programs, subsidies, stipends and other similar benefits and incentives, in order to attract and
encourage outstanding high school graduates whether from public or private schools, to pursue
teacher education;
(e) To encourage the establishment of consortia and other cooperative arrangements among teacher
education schools, public or private, for greater efficiency and economy in the use of resources;
(f) Design collaborative programs or projects that will enhance pre-service teacher training, in-service
training, re training, orientation, and teacher development;
(g) To direct the conduct of relevant studies as may be needed in the formulation of policies and in
the planning and successful implementation of plans, programs and projects required in attaining the
purposes of this Act;
(h) To review existing and recommend new legislation and policies of the government in order to
improve teacher education and promote the welfare of teachers;
(i) To recommend appropriate measures to the President, Congress, and heads of other government
offices and agencies to improve, enhance and strengthen teacher education; and
(j) To call upon any department, bureau, office, or government corporation, local government unit
and other concerned agencies for assistance in areas falling within their mandate.
SEC. 8. Secretariat. – The Council shall organize and appoint a secretariat headed by an executive
director, that shall assist the Council in executing its policies and programs and provide the
necessary administrative support therefor.
SEC. 9. Active Participation of Local Government Units. -Local government units shall include in their
plans, programs, and projects the development and’ improvement of teacher education through the
centers of excellence in their respective regions.
SEC. 10. Appropriation. – The sum of One hundred million pesos (P100, 000,000) is hereby
authorized to be appropriated from the income of duty-free shops or otherwise known as the Trust
Liability Account of the Department of Tourism, for the initial organizational and developmental
activities of the Centers and the Council: Provided, however, That .lot more than five percent (5%)
shall be devoted to Council’s expenses. Thereafter, such amount as may be necessary to carry out
the provisions of this Act shall be included in the annual budget of the Department of Education,
Culture and Sports.
SEC. 11. Implementing Rules and Guidelines. – The Teacher Education Council created under this
Act shall promulgate the implementing rules and regulations sixty (60) days from the approval of this
Act.
SEC. 12. Repealing Clause. – All laws, presidential decrees, rules or regulations or parts thereof
inconsistent with the provisions of this Act arc hereby repealed or modified accordingly.
SEC 13. Effectivity Clause. – This Act shall lake effect upon its approval.
Approved,
This Act which is a consolidation of House Bill No. 10493 and Senate Bill No. 1352 was finally
passed by the House of Representatives and the Senate on June 1, 1994.
Approved:
04 AUG 1994
(Sgd.) FIDEL V. RAMOS
President of the Philippines
Section 1. Short title. - This Act shall be known as the "Higher Education
Modernization Act of 1997."
(b) Term of office - The president of the faculty and alumni associations
and the student regents or trustees shall sit in the board until expiration of
their term of office in such capacities.
The prominent citizens shall serve for a term of two (2) years.
A majority of all members holding office shall constitute a quorum for board
meetings: Provided, that the Chairman of the CHED who is the chairman of the
Board or the president of the university or college is among those present in
the meeting. In the absence of the Chairman of the CHED, a commissioner of
the CHED, duly designed by him, shall represent him in the meeting all the
rights and responsibilities of a
regular member: Provided, however, That in the said meeting, the president of
the university or college as vice chairman shall be the presiding officer:
Provided, further, That this proviso notwithstanding, the Chairman of the CHED
is hereby authorized to designate a CHED Commissioner the regular Chair to
the Board of a particular university or college, in which case said CHED
Commissioner shall act as the presiding officer.
Section 4. Powers and duties of Governing Boards. - The governing board shall have
the following specific powers and duties in addition to its general powers of
administration and the exercise of all the powers granted to the board of directors of
a corporation under Section 36 of Batas Pambansa Blg. 68 otherwise known as the
Corporation Code of the Philippines;
(b) to receive and appropriate all sums as may be provided, for the support of
the university or college in the manner it may determine, in its discretion, to
carry out the purposes and functions of the university or college;
(c) to receive in trust legacies, gifts and donations of real and personal
properties of all kinds, to administer and dispose the same when necessary for
the benefit of the university or college, subject to limitations, directions and
instructions of the donors, if any. Such donations shall be exempt from all
taxes and shall be considered as deductible items from the income tax of the
donor: Provided, however, That the rights, privileges and exemptions extended
by this Act shall likewise be extended to non-stock, non-profit private
universities and colleges: Provided, finally, That the same privileges shall also
be extended to city colleges and universities with the approval of the local
government to city colleges and universities with the approval of the local
government unit concerned and in coordination with the CHED;
(d) to fix the tuition fees and other necessary school charges, such as but not
limited matriculation fees, graduation fees and laboratory fees, as their
respective boards may deem proper to impose after due consultations with the
involved sectors.
Such fees and charges, including government subsidies and other income
generated by the university or college, shall constitute special trust funds and
shall be deposited in any authorized government depository bank, and all
interests shall accrue therefrom shall part of the
same fund for the use of the university or college: Provided, That income
derived from university hospitals shall be exclusively earmarked for the
operating expenses of the hospitals.
If, for reason of control, the university or college, shall not be able to pursue
any project for which funds have been appropriated and, allocated under its
approved program of expenditures, the Board of Regents/Trustees may
authorize the use of said funds for any reasonable purpose which, in its
discretion, may be necessary and urgent for the attainment of the objectives
and goals of the universities or college;
(e) to adopt and implement a socialized scheme of tuition and school fees for
greater access to poor but deserving students;
(h) to fix and adjust salaries of faculty members and administrative officials
and employees subject to the provisions of the revised compensation and
classification system and other pertinent budget and compensation laws
governing hours of service, and such other duties and conditions as it may
deem proper; to grant them, at its discretion, leaves of absence under such
regulations as it may promulgate, any provisions of existing law to the
contrary not with standing; and to remove them for cause in accordance with
the requirements of due process of law;
(m) to establish research and extension centers of the SUC where such will
promote the development of the latter;
(o) to delegate any of its powers and duties provided for hereinabove to the
president and/or other officials of the university or college as it may deem
appropriate so as to expedite the administration of the affairs of the university
or college;
(q) to collaborate with other governing boards of SUCs within the province or
the region, under the supervision of the CHED and in consultation with the
Department of Budget and Management, the restructuring of said colleges
and universities to become more efficient, relevant, productive, and
competitive;
(r) to enter into joint ventures with business and industry for the profitable
development and management of the economic assets of the college or
institution, the proceeds from which to be used for the development and
strengthening of the college or university;
(s) to develop consortia and other forms of linkages with local government
units, institutions and agencies, both public and private, local and foreign, in
furtherance of the purposes and objectives of the institution;
(x) to extend the term of the president of the college or university beyond the
age of retirement but not later than the age of seventy (70), whose
performance has been unanimously rated as outstanding and upon unanimous
recommendation by the search committee for the president of the institution
concerned.
The president shall be assisted by a vice president for academic affairs who shall
be appointed by the Board upon the former's recommendation without prejudice to
the appointment of more than one vice president when so warranted.
Section 7. The Secretary of the University or College. - The Board shall appoint a
secretary who shall serve as such for both the Board and the university or college and
shall keep all records and proceedings of the Board. He shall communicate to each
member of the Board notice of meetings.
Section 8. The Treasurer of the Philippines. - The Treasurer of the Philippines shall
be the ex-officio treasurer of the university or college. All accounts and expenses of
the university or college shall be audited by the Commission on Audit or its duly
authorized representative.
Section 10. Academic Council. - There shall be an academic council with the
president of the university or college as Chairman and all members of the instructional
staff with the rank of not lower than assistant professor as members.
The academic council shall have the power to review and recommend the curricular
offerings and rules of discipline of the university or college subject for appropriate
action of the Board of Regents/Trustees. It shall fix the requirements for the
admission of students as well as for graduation and the conferment of degrees subject
to review and/or approval by the Board of Regents/Trustees through the president of
the university or college.
Section 13. Exclusion clause. - Except for the chairmanship of the Board, the
provisions of this Act shall not affect the charter of the University of the Philippines
System. Likewise, this Act shall not affect the charter of the Mindanao State
University (MSU) except for the provision of this Act on chairmanship of the Board,
and the membership of the Chairmen of the Congressional Committees on Education
and Culture.
Section 14. Filing of report. - On or before the fifteenth (15th) day of the second
month after the opening of regular classes each year, the president of the university
or college shall file with the Office of the President of the Philippines through the
Chairman of the CHED, and with the Senate and House of Representatives a detailed
report on the progress, conditions and needs of the university or college.
Section 15. Implementation. - The Chairman of the CHED is hereby directed to take
such steps as are necessary for the immediate implementation of this Act.
Section 16. Separability clause. - If, for any reason, any part or provision of this Act is
declared invalid or unconstitutional, the remaining parts or provisions not affected thereby
shall remain in full force and effect.
Section 17. Repealing clause. - All laws, presidential decrees, executive orders, letters of
instruction and SUC charters contrary to or inconsistent with this Act are hereby repealed or
amended accordingly.
Section 18. Effectivity clause. - This Act shall take effect upon its approval.
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 “Governance of Basic Education Act of 2001.”
SEC. 2. Declaration of Policy. – It is hereby declared the policy of the State to protect and promote the right of all
citizens to quality basic education and to make such education accessible to all by providing all Filipino children a
free and compulsory education in the elementary level and free education in the high school level. Such education
shall also include alternative learning systems for out-of-school youth and adult learners. It shall be the goal of
basic education to provide them with the skills, knowledge and values they need to become caring, self- reliant,
productive and patriotic citizens.
The school shall be the heart of the formal education system. It is where children learn. Schools shall have a single
aim of providing the best possible basic education for all learners.
Governance of basic education shall begin at the national level. It is at the regions, divisions, schools and learning
centers — herein referred to as the field offices — where the policy and principle for the governance of basic
education shall be translated into programs, projects and services developed, adapted and offered to fit local
needs.
The State shall encourage local initiatives for improving the quality of basic education. The State shall ensure that
the values, needs and aspirations of a school community are reflected in the program of education for the children,
out-of-school youth and adult learners. Schools and learning centers shall be empowered to make decisions on
what is best for the learners they serve.
SEC. 3. Purposes and Objectives. – The purposes and objectives of this Act are:
(a) To provide the framework for the governance of basic education which shall set the general directions for
educational policies and standards and establish authority, accountability and responsibility for achieving higher
learning outcomes;
(b) To define the roles and responsibilities of, and provide resources to, the field offices which shall implement
educational programs, projects and services in communities they serve;
(c) To make schools and learning centers the most important vehicle for the teaching and learning of national
values and for developing in the Filipino learners love of country and pride in its rich heritage;
(d) To ensure that schools and learning centers receive the kind of focused attention they deserve and that
educational programs, projects and services take into account the interests of all members of the community;
(e) To enable the schools and learning centers to reflect the values of the community by allowing
teachers/learning facilitators and other staff to have the flexibility to serve the needs of all learners;
(f) To encourage local initiatives for the improvement of schools and learning centers and to provide the means
by which these improvements may be achieved and sustained; and
(g) To establish schools and learning centers as facilities where schoolchildren are able to learn a range of core
competencies prescribed for elementary and high school education programs or where the out-of-school youth and
adult learners are provided alternative learning programs and receive accreditation for at least the equivalent of a
high school education.
Sec. 4. Definition of Terms. – For purposes of this Act, the terms or phrases used shall mean or be understood as
follows:
(a) Alternative Learning System – is a parallel learning system to provide a viable alternative to the existing
formal education instruction. It encompasses both the non-formal and informal sources of knowledge and skills;
(b) Basic Education – is the education intended to meet basic learning needs which lays the foundation on which
subsequent learning can be based. It encompasses early childhood, elementary and high school education as well
as alternative learning systems for out-of-school youth and adult learners and includes education for those with
special needs;
(c) Cluster of Schools – is a group of schools which are geographically contiguous and brought together to
improve the learning outcomes;
(d) Formal Education – is the systematic and deliberate process of hierarchically structured and sequential
learning corresponding to the general concept of elementary and secondary level of schooling. At the end of each
level, the learner needs a certification in order to enter or advance to the next level;
(e) Informal Education – is a lifelong process of learning by which every person acquires and accumulates
knowledge, skills, attitudes and insights from daily experiences at home, at work, at play and from life itself;
(f) Integrated Schools – is a school that offers a complete basic education in one school site and has unified
instructional programs;
(g) Learner – is any individual seeking basic literacy skills and functional life skills or support services for the
improvement of the quality of his/her life;
(h) Learning Center – is a physical space to house learning resources and facilities of a learning program for out-
of-school youth and adults. It is a venue for face-to-face learning activities and other learning opportunities for
community development and improvement of the people’s quality of life;
(i) Learning Facilitator – is the key-learning support person who is responsible for supervising/facilitating the
learning process and activities of the learner;
(j) Non-Formal Education – is any organized, systematic educational activity carried outside the framework of the
formal system to provide selected types of learning to a segment of the population;
(k) Quality Education – is the appropriateness, relevance and excellence of the education given to meet the needs
and aspirations of an individual and society;
(l) School – is an educational institution, private and public, undertaking educational operation with a specific age-
group of pupils or students pursuing defined studies at defined levels, receiving instruction from teachers, usually
located in a building or a group of buildings in a particular physical or cyber site; and
(m) School Head – is a person responsible for the administrative and instructional supervision of the school or
cluster of schools.
CHAPTER 1
Sec. 5. Principles of Shared Governance. – (a) Shared governance is a principle which recognizes that every unit
in the education bureaucracy has a particular role, task and responsibility inherent in the office and for which it is
principally accountable for outcomes;
(b) The process of democratic consultation shall be observed in the decision-making process at appropriate
levels. Feedback mechanisms shall be established to ensure coordination and open communication of the central
office with the regional, division and school levels;
(c) The principles of accountability and transparency shall be operationalized in the performance of functions and
responsibilities at all levels; and
(d) The communication channels of field offices shall be strengthened to facilitate flow of information and expand
linkages with other government agencies, local government units and nongovernmental organizations for effective
governance;
Sec. 6. Governance. – The Department of Education, Culture and Sports shall henceforth be called the
Department of Education. It shall be vested with authority, accountability and responsibility for ensuring access to,
promoting equity in, and improving the quality of basic education. Arts, culture and sports shall be as provided for
in Sections 8 and 9 hereof.
Sec. 7. Powers, Duties and Functions. – The Secretary of the Department of Education shall exercise overall
authority and supervision over the operations of the Department.
In addition to his/her powers under existing laws, the Secretary of Education shall have authority, accountability
and responsibility for the following:
(6) Enhancing the employment status, professional competence, welfare and working conditions of all personnel
of the Department; and
(7) Enhancing the total development of learners through local and national programs and/or projects.
The Secretary of Education shall be assisted by not more than four (4) undersecretaries and not more than four (4)
assistant secretaries whose assignments, duties and responsibilities shall be governed by law. There shall be at
least one undersecretary and one assistant secretary who shall be career executive service officers chosen from
among the staff of the Department.
There shall be as many regional offices as may be provided by law. Each regional office shall have a director, an
assistant director and an office staff for program promotion and support, planning, administrative and fiscal
services.
Consistent with the national educational policies, plans and standards, the regional director shall have authority,
accountability and responsibility for the following:
(1) Defining a regional educational policy framework which reflects the values, needs and expectations of the
communities they serve;
(3) Developing regional educational standards with a view towards benchmarking for international
competitiveness;
(5) Undertaking research projects and developing and managing regionwide projects which may be funded
through official development assistance and/or other funding agencies;
(6) Ensuring strict compliance with prescribed national criteria for the recruitment, selection and training of all staff
in the region and divisions;
(7) Formulating, in coordination with the regional development council, the budget to support the regional
educational plan which shall take into account the educational plans of the divisions and districts;
(8) Determining the organization component of the divisions and districts and approving the proposed staffing
pattern of all employees in the divisions and districts;
(9) Hiring, placing and evaluating all employees in the regional office, except for the position of assistant director;
(10) Evaluating all schools division superintendents and assistant division superintendents in the region;
(11) Planning and managing the effective and efficient use of all personnel, physical and fiscal resources of the
regional office, including professional staff development;
(12) Managing the database and management information system of the region;
(13) Approving the establishment of public and private elementary and high schools and learning centers; and
A division shall consist of a province or a city which shall have a schools division superintendent, at least one
assistant schools division superintendent and an office staff for programs promotion, planning, administrative,
fiscal, legal, ancillary and other support services.
Consistent with the national educational policies, plans and standards, the schools division superintendents shall
have authority, accountability and responsibility for the following:
(2) Planning and managing the effective and efficient use of all personnel, physical and fiscal resources of the
division, including professional staff development;
(3) Hiring, placing and evaluating all division supervisors and schools district supervisors as well as all employees
in the division, both teaching and non-teaching personnel, including school heads, except for the assistant division
superintendent;
(4) Monitoring the utilization of funds provided by the national government and the local government units to the
schools and learning centers;
(5) Ensuring compliance of quality standards for basic education programs and for this purpose strengthening the
role of division supervisors as subject area specialists;
(6) Promoting awareness of and adherence by all schools and learning centers to accreditation standards
prescribed by the Secretary of Education;
(7) Supervising the operations of all public and private elementary, secondary and integrated schools, and
learning centers; and
Upon the recommendation of the schools division superintendents, the regional director may establish additional
schools district within a schools division. Schools districts already existing at the time of the passage of this law
shall be maintained. A schools district shall have a schools district supervisor and an office staff for program
promotion.
The schools district supervisor shall be responsible for:
(1) Providing professional and instructional advice and support to the school heads and teachers/facilitators of
schools and learning centers in the district or cluster thereof;
There shall be a school head for all public elementary schools and public high schools or a cluster thereof. The
establishment of integrated schools from existing public elementary and public high schools shall be encouraged.
The school head, who may be assisted by an assistant school head, shall be both an instructional leader and
administrative manager. The school head shall form a team with the school teachers/learning facilitators for
delivery of quality educational programs, projects and services. A core of non-teaching staff shall handle the
school’s administrative, fiscal and auxiliary services.
Consistent with the national educational policies, plans and standards, the school heads shall have authority,
accountability and responsibility for the following:
(1) Setting the mission, vision, goals and objectives of the school;
(2) Creating an environment within the school that is conducive to teaching and learning;
(3) Implementing the school curriculum and being accountable for higher learning outcomes;
(4) Developing the school education program and school improvement plan;
(5) Offering educational programs, projects and services which provide equitable opportunities for all learners in
the community;
(6) Introducing new and innovative modes of instruction to achieve higher learning outcomes;
(7) Administering and managing all personnel, physical and fiscal resources of the school;
(8) Recommending the staffing complement of the school based on its needs;
(10) Establishing school and community networks and encouraging the active participation of teachers
organizations, non-academic personnel of public schools, and parents-teachers-community associations;
(11) Accepting donations, gifts, bequests and grants for the purpose of upgrading teachers’/learning facilitators’
competencies, improving and expanding school facilities and providing instructional materials and equipment.
Such donations or grants must be reported to the appropriate district supervisors and division superintendents; and
The Secretary of Education shall create a promotions board, at the appropriate levels, which shall formulate and
implement a system of promotion for schools division supervisors, schools district supervisors, and school heads.
Promotion of school heads shall be based on educational qualification, merit and performance rather than on the
number of teachers/learning facilitators and learners in the school.
The qualifications, salary grade, status of employment and welfare and benefits of school heads shall be the same
for public elementary, secondary and integrated schools.
No appointment to the positions of regional directors, assistant regional directors, schools division superintendents
and assistant schools division superintendents shall be made unless the appointee is a career executive service
officer who preferably shall have risen from the ranks.
CHAPTER 2
Sec. 8. Cultural Agencies. – The Komisyon ng Wikang Pilipino, National Historical Institute, Record Management
and Archives Office and the National Library shall now be administratively attached to the National Commission for
Culture and the Arts (NCCA) and no longer with the Department of Education. The program for school arts and
culture shall remain part of the school curriculum.
CHAPTER 3
Sec. 9. Abolition of BPESS. – All functions, programs and activities of the Department of Education related to
sports competition shall be transferred to the Philippine Sports Commission (PSC). The program for school sports
and physical fitness shall remain part of the basic education curriculum.
The Bureau of Physical Education and School Sports (BPESS) is hereby abolished. The personnel of the BPESS,
presently detailed with the PSC, are hereby transferred to the PSC without loss of rank, including the plantilla
positions they occupy. All other BPESS personnel shall be retained by the Department.
CHAPTER 4
Sec. 10. The Secretary of Education and the Secretary of Budget and Management shall, within ninety (90) days
from the approval of this Act, jointly promulgate the guidelines on the allocation, distribution and utilization of
resources provided by the national government for the field offices, taking into consideration the uniqueness of the
working conditions of the teaching service.
The Secretary of the Department of Education shall ensure that resources appropriated for the field offices are
adequate and that resources for school personnel, school desks and textbooks and other instructional materials
intended are allocated directly and released immediately by the Department of Budget and Management to said
offices.
Sec. 11. The Secretary of the Department of Education, subject to civil service laws and regulations, shall issue
appropriate personnel policy rules and regulations that will best meet the requirements of the teaching profession
taking into consideration the uniqueness of the working conditions of the teaching service.
Sec. 12. The Commission on Audit, in the issuance of audit rules and regulations that will govern the utilization of
all resources as well as the liquidation, recording and reporting thereof, shall take into account the different
characteristics and distinct features of the department’s field offices, its organizational set-up as well as the nature
of the operations of schools and learning centers.
CHAPTER 5
Final Provisions
Sec. 13. Governance in the ARMM. – The Regional Education Secretary for the Autonomous Region in Muslim
Mindanao (ARMM) shall exercise similar governance authority over the divisions, districts, schools and learning
centers in the region as may be provided in the Organic Act without prejudice to the provisions of Republic Act No.
9054, entitled “An Act to Strengthen and Expand the Organic Act for the Autonomous Region in Muslim Mindanao,
Amending for the Purpose Republic Act No. 6734, entitled ‘An Act Providing for the Autonomous Region in Muslim
Mindanao, as amended.'”
Sec. 14. Rules and Regulations. – The Secretary of Education shall promulgate the implementing rules and
regulations within ninety (90) days after the approval of this Act: Provided, That, the Secretary of Education shall
fully implement the principle of shared governance within two (2) years after the approval of this Act.
Sec. 15. Separability Clause. – If for any reason, any portion or provision of this Act shall be declared
unconstitutional, other parts or provisions hereof which are not affected thereby shall continue to be in full force
and effect.
Sec. 16. Repealing Clause. – All laws, decrees, executive orders, rules and regulations, part or parts thereof,
inconsistent with the provisions of this Act, are hereby repealed or modified accordingly.
Sec. 17. Effectivity Clause. – This Act shall take effect fifteen (15) days following its publication in at least two (2)
newspapers of general circulation.
Lapsed into law on August 11, 2001 without the President’s signature, pursuant to Sec. 27(1), Article VI of the
Constitution.
REPUBLIC ACT NO. 660
AN ACT TO AMEND COMMONWEALTH ACT NUMBERED ONE HUNDRED AND EIGHTY-SIX ENTITLED “AN ACT TO
CREATE AND ESTABLISH A GOVERNMENT SERVICE INSURANCE SYSTEM, TO PROVIDE FOR ITS ADMINISTRATION,
AND TO APPROPRIATE THE NECESSARY FUNDS THEREFOR,” AND TO PROVIDE RETIREMENT INSURANCE AND FOR
OTHER PURPOSES
SECTION 1. Subsections (a), (d), and (f) of section two of Commonwealth Act Numbered One hundred and
eighty-six are hereby amended to read as follows and subsection (g) is hereby added:
“SEC. 2. Definitions. — When used in this Act the following terms shall, unless the context otherwise indicates,
have the following respective meanings: cdt
“(a) ‘Employer’ shall mean the National or a local government, an agency, board, or corporation controlled or
owned by the Government. “Employee” shall mean any Filipino citizen in the service of said “employer”.
“(f) ‘Membership policy’ shall mean a life insurance policy for an amount, the monthly premium of which is
equivalent to two, five or six per centum of an employee’s monthly salary or compensation.
“(g) ‘Regular officer’ or ‘enlisted man’ shall mean one whose commission or enlistment is in the regular force of
the Armed Forces of the Philippines and not in the reserve force thereof.”
SECTION 2. Section four of Commonwealth Act Numbered One hundred and eighty-six is hereby amended to read
as follows:
“SEC. 4. Scope of application of System. — (a) Membership in the System shall be compulsory upon all regularly
and permanently appointed employees, including those whose tenure of office is fixed or limited by law; upon
all teachers except only those who are substitutes; and upon all regular officers and enlisted men of the Armed
Forces of the Philippines: Provided, That it shall be compulsory upon regularly and permanently appointed
employees of a municipal government below first class only if and when said government has joined the System
under such terms and conditions as the latter may prescribe.
“(b) Membership in the System shall be optional with an elective official of the National Government or of a
local government that is a member of the System: Provided, That if he desires to come within the purview of
this Act, he must notify the System in writing to that effect: Provided, further, That he complies with the
requirements of the System and that he is in the Government service when his insurance takes effect: And
provided, finally, That after his admission into the System he shall be entitled to life insurance benefit for
which he shall pay either one per centum or three per centum of his monthly salary, depending on the kind of
insurance selected by him, and his employer shall likewise pay for him the same amount.”
SECTION 3. Section five of Commonwealth Act Numbered One hundred and eighty-six is hereby amended to read
as follows:
“SEC. 5. (a) Rates of contributions. — For the benefits described hereunder, each employee who is a member of
the System and his employer shall pay the monthly rates of premiums specified in the following schedule:
MONTHLY PREMIUMS
___________________________________________________________
Percentage of monthly
Employee Employer
I. Life Insurance 1 1 Payment of premium shall begin 3 3 on the last day of the 5 0 calendar month preceding
the month when one’s insurance takes effect. Except as otherwise provided in this Act, the first rate shall apply
to a civilian employee insured on or after the approval of this Act. The second rate shall apply to a civilian
employee already insured prior to the approval of this Act unless he chooses term insurance in which case the
first rate shall apply. The third rate shall apply to a regular officer or an enlisted man.
II. Retirement 6 If employee’s monthly salary is insurance P200 or less. 5 If employee’s monthly salary is more
than P200, but his premium for this benefit shall not exceed P37.50 per month.
“Payment of premiums for retirement insurance shall begin on the last day of the third calendar month
following the month of this Act was approved or the employee entered the service, whichever is the later date:
Provided, however, That such premiums shall not be required of Justices of the Supreme Court, elective
officials, and regular officers and enlisted men, who are hereby excluded from said benefit.
“(b) Premiums for optional insurance. — The amount of premium on one’s optional insurance described in
section ten hereof shall be as provided in his policy. The premiums on this optional insurance shall be entirely
borne by the insured.
“(c) Premiums for optional retirement annuity. — Each employee may at his option and under such rules and
conditions as the System may prescribe deposit additional amounts from time to time, the total of which shall
not exceed ten per cent of the total salaries he has received from his employer prior to his retirement. These
deposits shall be credited with interest of three per centum per annum, compounded monthly, and together
with said interest shall at the date of his retirement be available to purchase in addition to the annuity
described in section eleven hereof such an annuity as he will elect and the System will offer. In the event of his
death or separation before becoming eligible for retirement, the total amount so deposited, with interest, shall
be refunded to him or his beneficiaries as recorded in his application for optional retirement annuity filed with
the System.
“(d) Collection and remittance of premiums. — Each employer concerned shall at the end of each month deduct
and withhold from the monthly salary of every employee in its service the premiums payable by him in
accordance with the preceding schedule plus the additional premiums, if any, required in section seven hereof.
It shall advance and remit to the System beginning April 1 of each year and quarterly thereafter the monthly
premiums for the current quarter, together with its corresponding shares as described in the said schedule, plus
extra premiums and additional amounts, if any, as required in the following sections: Provided, That if such
employee is separated from the service, then any premiums not due and payable shall be refunded or credited
to his employer. A member no longer in the service may pay his premiums directly to the System or as provided
herein below.
“Except as otherwise specified herein, payment of any premium on one’s optional insurance and/or retirement
annuity in the System may be made to an employer whose location is convenient to the member, and such
employer is hereby authorized and required to accept such payment, issue receipt therefor, and remit the same
immediately to the System.”
SECTION 4. Section six of Commonwealth Act Numbered One hundred and eighty-six is hereby amended to read
as follows:
“SEC. 6. Employer’s premiums. — Each employer shall include in its annual appropriation and remit to the
System the necessary amounts for its corresponding shares of the premiums described in subsection (a) of
section five, plus any extra premiums that may be required on account of the hazards or risks of its employees’
occupations, plus the additional amounts, if any, required in the next following section: Provided, however,
That if one’s compulsory membership policy matures, the employer’s premium for his life insurance shall cease
until he acquires a new membership policy, which, however, shall be granted only upon satisfactory evidence of
insurability: And provided, finally, That in case of transfer of an employee from one employer to another, the
former employer shall be relieved of paying further premiums for him and the new employer whether or not it
has joined the System, shall assume the same, appropriating therefor the necessary amount.
“The Board shall have the full power and authority to adopt rules and regulations for the collection and
remittance of premiums or other amounts payable as provided in this Act and/or any indebtedness to the
System, and impose a fine not exceeding the loss or damage that the System may suffer on the official or
officials responsible for the delay or failure in collecting or remitting said premiums or indebtedness without
prejudice to such other punishment as may be imposed in accordance with existing Civil Service rules and
regulations. Notwithstanding any law to the contrary, the Board may give extra remuneration to officials in
charge of collecting and remitting said premiums, amounts, or indebtedness, if by so doing the best interest of
the System shall be advanced.”
SECTION 5. Section seven of Commonwealth Act Numbered One hundred and eighty-six is hereby amended to
read as follows:
“SEC. 7. Additional premiums. — (a) For the amount of annuity corresponding to the services rendered by an
employer prior to the approval of this Act, his employer shall pay under such rules and regulations as the System
may prescribe the necessary additional amounts or premiums.
“(b) The Board is hereby authorized and empowered, in carrying out the provisions of this Act, to supplement
the individual premiums of members with moneys received in the form of donations, gifts, legacies, or
bequests, or otherwise, and to receive and deposit to the credit of the System, and invest all moneys which may
be donated by private individuals, organizations, or corporations.
“(c) All savings in appropriations for salaries and wages that may be realized by each employer during each
fiscal year shall be transferred by said employer to the System which shall use the same for the payment of
benefits provided in this Act.”
SECTION 6. Section eight of Commonwealth Act Numbered One hundred and eight-six is hereby amended to read
as follows:
“SEC. 8. (a) Compulsory membership insurance. — An employee whose membership in the System is compulsory
shall be automatically insured on the first day of the seventh calendar month following the month he was
appointed or on the first day of the sixth calendar month if the date of his appointment is the first day of the
month: Provided, That his medical examination, if required, has been approved by the System.
(b) Optional membership insurance. — The life insurance of an employee whose membership in the System is
optional shall take effect, if he is alive, on the first day of the calendar month following the calendar month
during which the first premium thereon was paid to the System: Provided, That his application for membership
and his medical examination, if required, have been approved by the System.
(c) Amount and kind of insurance. — Compulsory membership insurance shall be term insurance of an amount
equal to the employee’s current annual salary: Provided, however, That this subsection shall not apply to any
civilian employee who prior to the approval of this Act is already insured in the System nor to a regular officer
or an enlisted man: And provided, further, That upon his request a civilian employee may have his old
membership insurance changed into a paid-up endowment insurance and be reinsured under a term insurance
on submission of satisfactory evidence of insurability unless such request be made within one year from the date
of approval of this Act. Optional membership insurance shall be, as he may select, either the term insurance
described above or an endowment insurance whose amount shall be whatever the six per centum monthly
premium will buy.
SECTION 7. Section ten of Commonwealth Act Numbered One hundred and eighty-six is hereby amended to read
as follows:
“SEC. 10. Optional insurance. — Upon application to the Board and on satisfactory evidence of insurability, each
member may obtain, at any time, additional life insurance as he may desire, subject to the provision of section
fourteen hereof: Provided, That the amount of said additional life insurance shall be in multiple of one hundred
pesos and that its aggregate amount shall not exceed an amount, to the nearest hundred pesos, equal to his
current annual salary: And provided, further, That the full amount of the premiums on such additional insurance
shall be paid by said member, and the amount thereof may be deducted from his pay or compensation, when
expressly authorized by him.”
SECTION 8. The following new sections are hereby inserted in Commonwealth Act Numbered One hundred and
eighty-six:
“SEC. 11. (a) Amount of annuity. — Upon retirement a member shall be automatically entitled to a life annuity
payable monthly for at least five years and thereafter as long as he live. The amount of the monthly annuity at
the age of fifty-seven years shall be twenty pesos, plus, for each year of service rendered after the approval of
this Act, one and six-tenths per centum of the average monthly salary received by him during the last five years
of service, plus, for each year of service rendered prior to the approval of this Act, if said service was at least
seven years, one and two-tenths per centum of said average monthly salary: Provided, That this amount shall be
adjusted actuarially if retirement be at an age other than fifty-seven years: Provided, further, That the
maximum amount of monthly annuity at age fifty-seven shall not in any case exceed two-thirds of said average
monthly salary or five hundred pesos, whichever is the smaller amount: And provided, finally, That retirement
benefit shall be paid not earlier than one year after the approval of this Act. In lieu of this annuity, he may
prior to his retirement elect one of the following equivalent benefits:
“(2) Monthly annuity during the joint-lives of the employee and his wife or other designated beneficiary, which
annuity, however, shall be reduced upon the death of either to one-half and be paid to the survivor;
“(3) For those who are at least sixty-five years of age, lump sum payment of present value of annuity for first
five years and future annuity to be paid monthly; or
“(b) Survivors benefit. — Upon death before he becomes eligible for retirement, his beneficiaries as recorded in
the application of retirement annuity filed with the System shall be paid his own premiums with interest of
three per centum per annum, compounded monthly. If on his death he is eligible for retirement, then the
automatic retirement annuity or the annuity chosen by him previously shall be paid accordingly.
“(c) Disability benefit. — If he becomes permanently and totally disabled and his services are no longer
desirable, he shall be discharged and paid his own contributions with interest of three per centum per annum,
compounded monthly, if he has served less than five years; if he has served at least five years but less than
fifteen years, he shall be paid also the corresponding employer’s premiums, without interest, described in
subsection (a) of section five hereof; and if he has served at least fifteen years he shall be retired and be
entitled to the benefit provided under subsection (a) of this section.
“(d) Upon dismissal for cause or on voluntary separation, he shall be entitled only to his own premiums and
voluntary deposits, if any, plus interest of three per centum per annum, compounded monthly.
“SEC. 12. Conditions for retirement. — (a) On completion of thirty years of total services and attainment of age
fifty-seven years, a member shall have the option to retire. In all cases, the last three years of service before
the retirement must be continuous, and he has made contributions for at least five years, which contributions
may, upon his request approved by the Board, be deducted from his life annuity under such terms and
conditions as the Board may prescribe. In the case of those who are at least fifty-seven years of age a period of
service shorter than thirty years may be allowed, provided that each year decrease in service shall be
compensated by one-half year increase in age over fifty-seven years. A younger age of retirement may be
permitted provided that each year decrease below fifty-seven years shall be compensated by one year increase
in service over thirty years. If an employee is a laborer or one whose work is mostly manual, the ages mentioned
above may be decreased by not more than five years at the discretion of the System. In all cases no one shall be
entitled to retirement benefit if his age is below fifty-two years or his total service is less than fifteen years.
“(b) The employer concerned may request the retirement of any such employee described in the preceding
subsection who, by reason of a disqualification, is unable to perform satisfactorily and efficiently the duties of
his position or some other position of the same grade or class as that occupied by the employee and to which he
could be assigned, but such request shall be submitted to the Civil Service Board of Appeals only after the said
employee had been notified in writing of the proposed retirement. No such employee, however, shall be so
retired unless the Civil Service Board of Appeals has given him a hearing and found him after examination that
he is so disqualified. The decision of the Civil Service Board of Appeals as to whether or not the said employee
shall be retired under this sub-section shall be final and conclusive.
“(c) Retirement shall be automatic and compulsory at the age of sixty-five years, if he has completed fifteen
years of service, and if he has not, he shall be allowed to continue in the service until he shall have completed
fifteen years unless he is otherwise eligible for disability retirement. This clause shall not apply to members of
the judiciary and constitutional officers whose tenure of office is guaranteed. Upon specific approval of the
President of the Philippines, an employee may be allowed to continue to serve after the age of sixty-five years
if he possesses special qualifications and his services are needed. It shall be the duty of the employer concerned
to notify each such employee under its direction of the date of his automatic separation from the service at
least sixty days in advance thereof.
“(d) An employee separated from the service who is receiving an annuity described under section eleven shall
not be eligible again to appointment to any appointive position or employment under any “employer” unless the
appointing authority determines that he is possessed of special qualifications and his medical examination has
been approved by the System, in which event payment of his annuity shall be suspended during the period of his
new employment: Provided, however, That nothing in this Act shall be so construed as to affect the rights of
the annuitant’s beneficiary if the annuitant has been receiving or had elected, and was otherwise entitled to, a
reduced annuity under subsection (a) of section eleven: And provided, further, That upon the termination of his
new appointment, the payment of the annuity which was suspended shall be resumed.
“(e) If an employee who is not receiving the annuity mentioned in the next preceding subsection be reinstated
in the service, he shall be given full credit for services rendered by him prior to the approval of this Act for the
purpose of determining the amount of annuity under section eleven hereof to which he may be entitled:
Provided however, That said credit shall not be given if the employee shall not refund to the System any
amount he received therefrom with interest of three per centum per annum compounded monthly from the
date he received them up to the date of their payment, or any gratuity or benefit he received under any
pension or retirement plan of an employer unless expressly exempted by law from refunding said gratuity or
pension: Provided, further, That if separated before, and reinstated after, the approval of this Act, only three-
fourths of said prior services shall be credited to the employee after complying with the condition stated above.
“SEC. 13. Computation of service. — The aggregate period of service which forms the basis for retirement and
calculating the amount of annuity described in section eleven hereof shall be computed from the date of
original employment, whether as a classified or unclassified employee in the service of an ’employer’, including
periods of service at different times and under one or more employers, and also periods of service performed
overseas under the authority of the Republic of the Philippines and periods of honorable service in the Armed
Forces of the Philippines prior to the approval of this Act, and periods of honorable service in the Philippines
under the authority of the United States Government if rendered prior to July fourth nineteen hundred and
forty-six: Provided, however, That in the case of an employee who is eligible for and receives retirement pay on
account of military or naval service or on account of disability incurred therein, the period of service upon
which such retirement pay is based shall be excluded: Provided, also, That periods of service rendered after the
approval of this Act during which premiums are not required shall be excluded, unless the premiums
corresponding to said service be later on paid to the System with interest: And provided, further, That the
period February twenty-eight nineteen hundred and forty-five and from January first nineteen hundred and
forty-two to any period not exceeding one year at a time during which an officer or employee had been
thereafter out of the service to the date of his reinstatement or reappointment before the approval of this Act
shall be included for those who were in the service on December eight, nineteen hundred and forty-one, except
those who were separated prior to Japanese occupation, in the computation of total service, the annuity
mentioned herein, and payment of premiums therefor.”
SECTION 9. Section eleven of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section fourteen and is amended to read as follows:
“SEC. 14. Special rights attached to life insurance policy. — Any life insurance policy issued under the provisions
of this Act shall not be assignable, except to the System, and shall be entitled to participation in the surplus, as
provided in section twenty-five hereof. It shall continue in force, except as otherwise provided herein, whether
the member is in or out of the service, so long as he complies with the provisions and conditions thereof. Such
policy and the proceeds thereof shall be exempted from all taxes, and shall not be considered a gratuity.”
SECTION 10. Section twelve of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section fifteen.
SECTION 11. Section thirteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section sixteen and is amended to read as follows:
“SEC. 16. Administration of the System. — The System shall be a non-stock corporation, with its principal place
of business in Manila, Philippines. It shall be managed by a Board of Trustees to consist of five members to be
appointed by the President of the Philippines with the consent of the Commission on Appointments. The
trustees shall elect from among themselves a chairman and a vice-chairman. Each trustee shall hold office for
three years or until his successor is duly qualified, except that of the Board first appointed, one shall hold office
for one year, two for two years, and two for three years. At the expiration of their respective terms, a
successors shall be appointed for the term of three years, from the date of such expiration. All vacancies,
except through the expiration of the terms, shall be filled for the unexpired term only. The trustees shall be
entitled to a per diem of twenty-five pesos for each day of actual attendance in session.”
SECTION 12. Section fourteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section seventeen and is amended to read as follows:
“SEC. 17. General powers of the Board. — The Board shall have the powers specified in this Act and the usual
general corporate powers. Among others, it shall have the following exclusive powers and authority: (a) to
adopt by-laws, rules and regulations for the administration of the System and the transaction of its business; (b)
to adopt from time to time a budget of expenditures, including salaries of personnel, and appropriate therefor
the necessary amounts; (c) to set up its accounting unit and provide the necessary personnel therefor; (d) to
invest its funds directly or indirectly; to discount pensions guaranteed under this Act at such rate of discount it
may prescribe; (e) to establish branches of the System whenever and wherever it may be expedient or
necessary, fix their domiciles and in general prescribe the other complementary rules of organization which this
Act imposes; ( f ) to lease, purchase, construct or otherwise acquire real property and/or buildings and such
facilities which may be necessary or expedient to the effective execution of the purposes of this Act; (g) to
prescribe the forms of life insurance and annuity contracts to be issued and the benefits thereof including
accident benefits; (h) to fix the premium rates, conditions and terms thereof, taking into consideration the kind
of insurance, age, health, and other factors affecting the insurability of the employee or member, and to
authorize the issuance thereof when so determined; (i) to construct, establish and/or operate hospitals and
sanatoriums when possible and expedient or necessary to the employees’ welfare; ( j) to enter into agreements
or contracts with Government and private hospitals or health institutions and with medical associations or duly
licensed physicians, nurses, or other competent persons who may be needed in connection with medical and
obstetrical services for members of the System and their dependents, paying them, and authorizing them to
accept, reasonable necessary compensation therefor, notwithstanding any provision of law to the contrary; (k)
except as otherwise provided in this Act, to extend, when possible and expedient, directly or through other
agencies, and under such rules, regulations, and conditions it may prescribe, medical and obstetrical services to
other members of the System and their dependents, and, in general, promote the health of the members of the
System and appropriate necessary sums therefor from the surplus of the System; (l) having regard to any
periodic audit and valuation of the retirement insurance fund, to make such immediate readjustments or
modifications in any of the rates or periods of benefits granted under this Act and prescribe rules and conditions
therefor, notwithstanding any provision of this Act to the contrary, as appear necessary in order to make said
fund sufficient or no more than reasonably sufficient to discharge its liabilities: Provided, That no person may
allege vested rights for reason of these readjustments or modifications; (m) to have the power of succession; (n)
to sue and be sued; and (o) to exercise such other powers as may be necessary to carry on the business for
which the System has been created. casia
SECTION 13. Section fifteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section eighteen and is amended to read as follows:
“SEC. 18. Personnel. — The Board shall have the power to appoint a general manager, or a general manager and
actuary, who shall be a person of recognized experience and capacity in the subject of life and social insurance,
and who shall be the chief executive officer of the System, one or more assistant general managers, one or
more managers, a medical director, and an actuary, and fix their compensation. The general manager shall,
subject to the approval of the Board, appoint additional personnel whenever and wherever they may be
necessary to the effective execution of the provisions of this Act and fix their compensation. He shall have the
power to prescribe their duties, grant leave, prescribe certain qualifications to the end that only competent
persons may be employed, and appoint committees: Provided, however, That said additional personnel shall be
selected from civil service eligibles certified by the Commissioner of Civil Service and shall be subject to civil
service rules and regulations except as herein otherwise provided.
“The Auditor General shall appoint a representative who shall be the auditor of the corporation, and the
necessary personnel to assist said representative in the performance of his duties. The number and salaries of
the auditor and said personnel shall be determined by the Auditor General, subject to appropriation by the
Board of Directors; in case of disagreement, the matter should be submitted to the President of the Philippines
whose decision shall be final. Said salaries and all other expenses of maintaining the auditor’s office shall be
paid by the System.” acd
SECTION 14. Section sixteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section nineteen and is amended to read as follows:
“SEC. 19. Records and reports. — The Board shall cause to be kept records as may be required for the purpose
of making actuarial valuations of the System including such data necessary in the computation of rates of
disability, mortality, and withdrawal among the members and any other information that may be useful for the
adjustment of the benefits for the members of the System. Separate and distinct records of operation of each
fund of the System and of disbursements for the same and all accounts of payments made out of each fund
shall, likewise, be made and kept by the System.
“Within four months after the end of each fiscal year, the Board shall submit to the President of the Philippines
who shall furnish a copy thereof to the Congress of the Philippines, a report of operations of the preceding year
under the provisions of this Act.”
SECTION 15. Section seventeen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed
to section twenty.
SECTION 16. Section eighteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section twenty-one.
SECTION 17. Section nineteen of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section twenty-two.
SECTION 18. Section twenty of Commonwealth Act Numbered One hundred and eighty-six is hereby changed to
section twenty-three.
SECTION 19. Section twenty-one of Commonwealth Act Numbered One hundred and eighty-six is hereby changed
to section twenty-four and is amended to read as follows:
“SEC. 24. Accounts to be maintained. — The System shall keep separate and distinct from one another the
following funds:
“(a) Life insurance fund. — This shall consist of all premiums for life insurance benefit and/or earnings and
savings therefrom. It shall meet death claims as they may arise or such equities as any member may be entitled
to, under the conditions of his policy, and shall maintain the required reserves to the end of guaranteeing the
fulfillment of the life insurance contracts issued by the System. Said reserves shall be computed yearly in
accordance with approved valuation standards and with an interest rate of not higher than four per centum per
annum.
“(b) Retirement insurance fund. — This shall consist of all contributions for retirement insurance benefit and of
earnings and savings therefrom. It shall meet annuity payments and establish the required reserves to the end
of guaranteeing the fulfillment of the contracts issued by the System. Said reserves shall be determined yearly
on such annuity tables, with an interest rate of not higher than three per centum per annum, as shall be
adopted by the Board. cd
“(c) Contingency reserve fund. — This shall consist of such portion of the surplus of each fund mentioned above
as may be set aside each year by the Board pursuant to section twenty-five hereof: Provided, That it shall not
exceed ten per centum of the required reserves of the System.
“(d) General fund. — This shall consist of such amounts as may be set aside by the Board from each fund, to
meet the expenses incidental to the enforcement of the provisions of this Act.
“The Government of the Republic of the Philippines hereby guarantees the fulfillment of the obligations of the
Government Service Insurance System to the members thereof when and as they shall become due.”
SECTION 20. Section twenty-two of Commonwealth Act Numbered One hundred and eighty-six is hereby changed
to section twenty-five and is amended to read as follows:
“SEC. 25. Disposable surplus. — Any disposable surplus that may result from the operations of the life insurance
fund shall be apportioned among the members whose policies are in force for at least one year, when and if the
Board deems it expedient, in accordance with the schedule prepared by the Actuary and approved by the Board.
The disposable surplus shall be that amount left after the mean reserves of the policies, contingency reserves,
the expenses incidental to the operation of said fund, the expenses incurred in promoting the health of the
members, and other liabilities of the fund have been determined and set aside or satisfied.”
SECTION 21. Section twenty-three of Commonwealth Act Numbered One hundred and eighty-six is hereby
changed to section twenty-six and is amended to read as follows:
“Sec. 26. Exemptions from legal process and liens. — No policy of life insurance issued under this Act, or the
proceeds thereof, when paid to any member thereunder, nor any other benefit granted under this Act, shall be
liable to attachment, garnishment, or other process, or to be seized, taken, appropriated, or applied by any
legal or equitable process or operation of law to pay any debt or liability of such member, or his beneficiary, or
any other person who may have a right thereunder, either before or after payment; nor shall the proceeds
thereof, when not made payable to a named beneficiary, constitute a part of the estate of the member for
payment of his debt: Provided, however, that this section shall not apply when obligations or indebtedness to
the employer are concerned.”
SECTION 22. Section twenty-four of Commonwealth Act Numbered One hundred and eighty-six is hereby
changed to section twenty-seven and is amended to read as follows:
“SEC. 27. Appropriations. — There is hereby appropriated for the current fiscal year, and annually thereafter,
out of any fund in the Philippines Treasury or other depository not otherwise appropriated, including special and
corporate funds, such sums as may be necessary to pay the contributions or premiums payable by each employer
under this Act.”
SECTION 23. Section twenty-five of Commonwealth Act Numbered One hundred and eighty-six is hereby changed
to section twenty-eight and is amended to read as follows:
“SEC. 28. Miscellaneous provisions. — (a) Act Numbered Two thousand five hundred and eighty-nine, as
amended, and all other retirement or pension plans heretofore in force in any chartered city or corporation
owned or controlled by the Government are hereby declared inoperative or abolished, and Act Numbered Four
thousand one hundred and eighty-three shall cease to be applicable to employees of any local government that
may be admitted to the System, and hereafter no insurance or retirement plan for employees shall be created
by any employer without the prior approval of the System: Provided, That the rights of those already retired
shall not be affected: Provided, further, That as of the date of approval of this Act the present value of the
benefit as may be computed by the actuary of the System or the gratuity payable to any member who has
established his right before the approval of this Act to retire under either Act Numbered Two thousand five
hundred and eighty-nine or Act Numbered Four thousand one hundred and eighty-three or under any retirement
or pension plan mentioned above shall be credited and paid by the employer concerned to the retirement
insurance fund of the System in installments to be determined by the System and approved by the President and
shall be included in the computation of the additional premiums or amounts required in section seven hereof for
the service annuity described in subsection (a) of section eleven hereof: And provided, finally, That such a
member shall be entitled to the retirement benefit described in this Act only if he so notifies the System within
six months from the approval of this Act, otherwise it shall be deemed that he does not desire to be retired
under this Act and accordingly the gratuity or benefit payable to him under either aforementioned Act shall be
exclusively reserved for him by the System. If such member elects the retirement benefit of this Act, but his
position is abolished or he dies or becomes disable before becoming eligible to said benefit, his legal heirs may
be paid the retirement benefit to which he has established his right prior to the approval of this Act and his
contributions under this Act shall be refunded as provided in section 11 (d) hereof. cdasia
“(b) Except as herein otherwise provided, the Government Service Insurance System including all its forms or
documents required of its members, shall be exempt from all types of taxes, documentary stamps, duties and
contributions, fiscal or municipal, direct or indirect, established or to be established; and more specially, it
shall not be subject to the provisions of Act Numbered Twenty-four hundred and twenty-seven, as amended,
and Commonwealth Act Numbered Four hundred and sixty-six, as amended, and no law hereafter enacted shall
apply to said System unless it is provided therein that the same is applicable to the System by expressly stating
the name of said entity.
“(c) Any provision of law inconsistent with the provisions of this Act is hereby repealed.”
SECTION 24. Section twenty-nine to read as follows is hereby added to Commonwealth Act Numbered One
hundred and eighty-six:
“SEC. 29. Penalty. — Any person found to have participated, directly or indirectly, in the commission of fraud,
collusion, falsification, misrepresentation of facts, or any other kind of anomaly in the issuance of any
certificate or document for any purpose connected with this Act, or in obtaining any benefit or payment under
this Act, whether for him or some other person, shall be punished by a fine not exceeding one thousand pesos or
imprisonment not exceeding one year, or by both such fine and imprisonment at the discretion of the court,
besides disqualification from holding public office and from practicing any profession or calling licensed by the
Government.”
SECTION 25. Section twenty-six of Commonwealth Act Numbered One hundred and eighty-six is hereby changed
to section thirty. cd
SECTION 26. Notwithstanding the provisions of this Act to the contrary, any officer or employee who died in the
service within three years before said Act went into effect and who had rendered at least thirty-five years of
service and who was entitled to or who could have established his right to the retirement gratuity provided for
in Act Numbered Twenty-five hundred and eighty-nine, as amended, or to any other retirement benefits from
any pension fund created by law shall be considered retired under the provisions of this Act if his wife, or in her
default, his other legal heirs shall so elect and notify the System to that effect. Upon making such election, the
wife or legal heirs of the deceased officer or employee shall be paid the monthly annuity for five consecutive
years or such other benefit as provided in said Act, in lieu of the retirement gratuity or retirement benefits to
which the deceased was entitled at the time of his death; and any portion of such gratuity or retirement
benefits already paid to his wife or other legal heirs shall be refunded to the System: Provided, That
contributions corresponding to his last five years of service shall be deducted monthly from his life annuity.
Notwithstanding any provisions of this Act to the contrary, any officer or employee whose position was abolished
or who was separated from the service as a consequence of the reorganization provided for in the Republic Act
Numbered Four hundred and twenty-two may be retired under the provisions of this Act if qualified: Provided,
That any gratuity or retirement benefit already received by him shall be refunded to the System: Provided,
further, That contributions corresponding to his last five years of service shall be paid as provided in section
twelve of this Act. This provision shall also apply to any member of the judiciary who, prior to the approval of
this Act, was separated from the service after reaching seventy years of age and rendering at least thirty years
of service and who is not entitled to retirement benefit under any law.
Notwithstanding any provisions of this Act to the contrary, any officer or employee, who has not established his
right to retire under Act Numbered Twenty-five hundred and eighty-nine or under Act Numbered Forty-one
hundred and eighty-three, both as amended, but who has rendered not less than twenty-five years of service
and has attained the age of fifty-seven years may elect to retire under either of said Acts if he shall establish
such right within one year from the date of the approval of this Act, or under this Act if otherwise qualified.
SECTION 27. This Act shall take effect upon its approval: Provided, That if the financial condition of an
employer does not permit payment of its contributions for retirement insurance herein required, such payment
may be deferred under such conditions as the System may prescribe.
SECTION 1. Short Title. — This Act shall be known as the “Philippine Teachers Professionalization Act of
1994.”
Sec. 2. Statement of Policy. — The State recognizes the vital role of teachers in nation-building and development
through a responsible and literate citizenry.Towards this end, the State shall ensure and promote quality education
by proper supervision and regulation of the licensure examination and professionalization of the practice of the
teaching profession.cralaw
(a) The promotion, development and professionalization of teachers and the teaching profession; and
(b) The supervision and regulation of the licensure examination.
Sec. 4. Definition of Terms. — For purposes of this Act, the following terms shall mean:
(a) “Teaching” — refers to the profession concerned primarily with classroom instruction, at the elementary and
secondary levels in accordance with the curriculum prescribed by the Department of Education, Culture and
Sports, whether on part-time or full-time basis in the private or public schools.
(b) “Teachers” — refers to all persons engaged in teaching at the elementary and secondary levels, whether on
full-time or part-time basis, including industrial arts or vocational teachers and all other persons performing
supervisory and/or administrative functions in all schools in the aforesaid levels and qualified to practice teaching
under this Act.
(c) “Board” — refers to the Board for Professional Teachers duly established and constituted under this Act.
(d) “Commission” — refers to the Professional Regulation Commission.
ARTICLE II
BOARD FOR PROFESSIONAL TEACHERS
Sec. 5. Creation and Composition of the Board. — There is hereby created under this Act a Board for
Professional Teachers, hereinafter called the Board, a collegial body under the general supervision and
administrative control of the Professional Regulation Commission, hereinafter referred to as the Commission,
composed of five (5) members who shall be appointed by the President of the Philippines from among the
recommendees chosen by the Commission.The recommendees shall be chosen from the list of nominees selected
by the accredited association of teachers, who duly possess all the qualifications prescribed in Section 8 of this
Act.
The chairman and the voice-chairman of the Board shall be appointed from these five (5) members by the
President: Provided, That the members of the first Board appointed under this Act shall be automatically registered
as professional teachers and issued with the certificate of registration and professional license upon payment of
the fees for examination, registration, and other fees prescribed by the Commission.
Sec. 6. Duties and Function of the Board. — The Board shall have the following duties and functions:
(a) Promulgate, administer and enforce rules and regulations necessary for carrying out the provisions of this
Act in accordance with the charter of the Professional Regulation Commission;
(b) Determine and fix the frequency, dates, and places of examination, appoint supervisors, proctors, and other
personnel as needed who shall be entitled to a daily allowance to be fixed by the Board for every examination day
actually attended, use buildings and facilities of public or private schools for examination purposes;
(c) Issue, suspend, or revoke the certificate of registration for the practice of the teaching profession;
(d) Prescribe and collect examination and other fees as it may deem proper;
(e) Prescribe and/or adopt a code of ethical and professional standards for the practice of the teaching
profession.Such ethical standards, rules and regulations to take effect sixty (60) days after its publication in the
Official Gazette or in any newspaper of general circulation;
(f) Administer oaths in connection with the administration of this Act;
(g) Supervise and regulate the registration, licensure and practice of professional teachers in the Philippines;
(h) Adopt an official seal of the Board;cralaw
(i) Look into the conditions affecting the practice of the teaching profession and whenever necessary, adopt
such measures as may be deemed proper for the enhancement and maintenance of high professional and ethical
standards of the profession;
(j) Ensure that all educational institutions offering elementary and secondary education comply with the essential
requirements for curricula, faculty and facilities for the elementary and secondary levels;
(k) Investigate such violations of this Act, the rules and the code of ethical and professional standards for
professional teachers as it may come to the knowledge of the Board, and for this purpose, to issue subpoena and
subpoena duces tecum to secure the appearance of witnesses and the production of documents in connection
therewith; and
(l) Discharge such other powers, duties and functions as the Board may deem necessary for the practice of the
teaching profession and the upgrading, enhancement, development and growth of education in the Philippines.
Sec. 7. Term of Office. — The members of the Board shall hold office for a term of three (3) years from the date
they assume office: Provided, That the first appointees to the Board under this Act shall hold office according to the
following terms: one (1) member shall serve for one (1) year; one (1) member for two (2) years; the chairman, vice-
chairman, and one (1) member for three (3) years. Vacancies shall be served for the unexpired term only. No
person who has served for two (2) consecutive terms shall be eligible for reappointment.Appointment to fill an
unexpired term shall be considered an appointment to a complete term.
The chairman or any member shall take his oath of office prior to the performance of his duties.
Sec. 8. Qualification of Board Members. — Each Board member must at the time of his appointment:
Provided, however,That, the membership to the Board shall be evenly distributed to cover all levels of education,
including equitable representation of the different fields of specialization.
Sec. 9. Compensation of the Board. — The chairman, vice-chairman, and members of the Board shall receive
compensation comparable to the compensation received by existing regulatory boards under the Professional
Regulation Commission, computed on the basis of the number of examinees/candidates.
Sec. 10. Supervision of the Board and Custodian of its Records. — The Board shall be under the supervision
and control of the Commission. All records, including applications for examination, examination papers and results,
minutes of deliberation, administrative cases and investigative cases and investigations involving professional
teachers shall be kept by the Commission.
Sec. 11. Secretariat and Support Services. — The Professional Regulation Commission, through its chairman,
shall provide the secretariat and other support services to implement effectively the provisions of this Act.cralaw
Sec. 12. Removal of a Board Member. — The chairman or any member of the Board may be removed by the
President of the Philippines upon recommendation of the Commission for neglect of duty, incompetence,
unprofessional, unethical, immoral or dishonorable conduct, commission or toleration of irregularities in the
examination, after having been given the opportunity to defend himself in a proper administrative investigation.
In the course of investigation, the President may preventively suspend the respondent.
ARTICLE III
EXAMINATION AND REGISTRATION
Sec. 13. Examination, Registration and License Required. — Except as otherwise specifically allowed under
the provisions of this Act, all applicants for registration as professional teachers shall be required to undergo a
written examination which shall be given at least once a year in such places and dates as the Board may
determine upon approval by the Commission. A valid certificate of registration and a valid professional license from
the Commission are required before any person is allowed to practice as a professional teacher in the Philippines,
except as otherwise allowed under this Act.
Sec. 14. Scope of Examination. — The examinations for the elementary and secondary school teachers shall be
separate. The examination for teachers in the elementary level shall consist of two (2) parts, namely: professional
education and general education. The examination for teachers in the secondary level shall consist of three (3)
parts, namely: professional education, general education, and field of specialization.
Sec. 15. Qualification Requirements of Applicants. — No applicant shall be admitted to take the examination
unless, on the date of filing of the application, he shall have complied with the following requirements:
(a) A citizen of the Philippines or an alien whose country has reciprocity with the Philippines in the practice of the
teaching profession;
(b) At least eighteen (18) years of age;
(c) In good health and of good reputation with high moral values;
(d) Has not been convicted by final judgment by a court for an offense involving moral turpitude;
(e) A graduate of a school, college or university recognized by the government and possesses the minimum
educational qualifications, as follows:
(1) For teachers in preschool, a bachelor’s degree in early childhood education (BECED) or its equivalent;
(2) For teachers in the elementary grades, a bachelor’s degree in elementary education (BSEED) or its
equivalent;
(3) For teachers in the secondary grades, a bachelor’s degree in education or its equivalent with a major and
minor, or a bachelor’s degree in arts and sciences with at least ten (10) units in professional education; and
(4) For teachers of vocational and two-year technical courses, a bachelor’s degree in the field of
specialization or its equivalent, with at least eighteen (18) units in professional education.
Sec. 16. Report of the Results of the Examination. — The Board shall, within one hundred twenty (120) days
after the examination, report the ratings obtained by each candidate to the Professional Regulation Commission for
approval and appropriate action.
Sec. 17. Issuance of Certificate of Registration and Professional License. — The registration of a professional
teacher commences from the date his name is enrolled in the roster of professional teachers.
Every registrant who has satisfactorily met all the requirements specified in this Act shall, upon payment of the
registration fee, be issued a certificate of registration as a professional teacher bearing the full name of the
registrant with serial number and date of issuance signed by the chairman of the Commission and the chairman,
vice-chairman, and members of the Board, stamped with the official seal, as evidence that the person named
therein is entitled to practice the profession with all the rights and privileges appurtenant thereto. The certificate
shall remain in full force and effect until withdrawn, suspended and/or revoked in accordance with law.cralaw
A professional license signed by the chairman of the Commission and bearing the registration number and date of
issuance thereof and the month of expiry or renewability shall likewise be issued to every registrant who has paid
the annual registration fees for three (3) consecutive years. This license shall serve as evidence that the licensee
can lawfully practice his profession until the expiration of its validity.
Sec. 18. Oath Before Practice. — Every registrant shall be required to take his professional oath before practicing
as a professional teacher.
Sec. 19. Periodic Merit Examination of Teachers. — To encourage continuing professional growth and
development and to provide additional basis for merit promotion, in addition to their performance rating, teachers
may take an oral and written examination at least once in five (5) years as basis for merit promotion. In taking this
examination, no fee shall be required.
Sec. 20. Failure to Pass the Merit Examination. — If a teacher fails to pass the merit examination, he or she
shall be allowed to take the examination for a second time. Should he or she fail to pass the merit examination for
the second time, then he or she shall be required to take a DECS accredited refresher course or program before
being allowed to retake the examination.
Failure of any permanent teacher to pass the merit examination shall not, however, be used as a ground for his/her
dismissal or demotion.
Sec. 22. Integration of the Teaching Profession. — The teaching profession shall be integrated into one
national organization which shall be recognized by the Board and the Commission as the one and only integrated
and accredited association of professional teachers. Upon registration with the Board, every professional teacher
shall be encouraged to become a member of the integrated national organization. Those who have been
registered with the Board but are not members of the said integrated organization shall be allowed to register as
members of the said integrated organization within three (3) years after the effectivity of this Act. Membership in
the integrated organization shall not be a bar to membership in other associations of the teaching profession. The
professional teachers shall receive the benefits and privileges appurtenant to their membership in the said
integrated and accredited organization of professional teachers only upon payment of the required membership
fees and dues.
Sec. 23. Revocation of the Certificate of Registration, Suspension from the Practice of the Teaching
Profession, and Cancellation of Temporary or Special Permit. — The Board shall have the power, after due
notice and hearing, to suspend or revoke the certificate of registration of any registrant, to reprimand or to cancel
the temporary/special permit of a holder thereof who is exempt from registration, for any of the following causes:
(a) Conviction for any criminal offense by a court of competent jurisdiction;
(b) Immoral, unprofessional or dishonorable conduct;
(c) Declaration by a court of competent jurisdiction for being mentally unsound or insane;
(d) Malpractice, gross incompetence, gross negligence or serious ignorance of the practice of the teaching
profession;
(e) The use of or perpetration of any fraud or deceit in obtaining a certificate of registration, professional license
or special/temporary permit;
(f) Chronic inebriety or habitual use of drugs;cralaw
(g) Violation of any of the provisions of this Act, the rules and regulations and other policies of the Board and the
Commission, and the code of ethical and professional standards for professional teachers; and
(h) Unjustified or willful failure to attend seminars, workshops, conferences and the like or the continuing
education program prescribed by the Board and the Commission.
The decision of the Board to revoke or suspend a certificate may be appealed to the regional trial court of the place
where the Board holds office within fifteen (15) days from receipt of the said decision or of the denial of the motion
for reconsideration filed in due time.
Sec. 24. Registration by Reciprocity. — No teacher of a foreign nationality shall be admitted to the examination,
or be given a certificate of registration or be entitled to any of the rights and privileges provided under this Act;
unless the country or state of which he is a subject permits Filipino professional teachers to practice within its
territorial limits on the same basis as subjects or citizens of said country or state: Provided, that the requirements
of certification of teachers with said foreign state or country are substantially the same as those required and
contemplated under this Act: Provided, further, That the laws of such state or country grant the same privilege to
Filipino professional teachers on the same basis as the subject or citizens of such foreign country or state.
Sec. 25. Roster of Professional Teachers. — A roster of professional teachers containing the names and
addresses of professional teachers, date of registration or issuance of certificate, and other data which in the
opinion of the Board may appear pertinent shall be maintained. Copies of the roster shall be provided by the
Commission to the Board, the Department of Education, Culture and Sports, and the integrated and accredited
organization of professional teachers.
Sec. 26. Registration and Exception. — Two (2) years after the effectivity of this Act, no person shall engage in
teaching and/or act as a professional teacher as defined in this Act, whether in the preschool, elementary or
secondary level, unless he is a duly registered professional teacher, and a holder of a valid certificate of
registration and a valid professional license or a holder of a valid special/temporary permit.
Upon approval of the application and payment of the prescribed fees, the certificate of registration and professional
license as a professional teacher shall be issued without examination as required in this Act to a qualified
applicant, who at the time of the approval of this Act, is:
(a) A holder of a certificate of eligibility as a teacher issued by the Civil Service Commission and the Department
of Education, Culture and Sports; orcralaw
(b) A registered professional teacher with the National Board for Teachers under the Department of Education,
Culture and Sports (DECS) pursuant to Presidential Decree No. 1006; or
(c) Not qualified under paragraphs one and two but with any of the following qualifications. to wit:
(1) An elementary or secondary teacher for five (5) years in good standing and a holder of Bachelor of
Science in Education or its equivalent; or
(2) An elementary or secondary teacher for three (3) years in good standing and a holder of a master’s
degree in education or its equivalent.
Provided, That they shall be given two (2) years from the organization of the Board for professional teachers within
which to register and be included in the roster of professional teachers: Provided, further, That those incumbent
teachers who are not qualified to register without examination under this Act or who, albeit qualified, were unable
to register within the two-year period shall be issued a five-year temporary or special permit from the time the
Board is organized within which to register after passing the examination and complying with the requirements
provided this Act and be included in the roster of professional teachers: Provided, furthermore, That those who
have failed the licensure examination for professional teachers shall be eligible as para-teachers and as such,
shall be issued by the Board a special or temporary permit, and shall be assigned by the Department of Education,
Culture and Sports (DECS) to schools as it may determine under the circumstances.
ARTICLE IV
PROVISIONS RELATIVE TO THE PRACTICE OF THE TEACHING PROFESSION
Sec. 27. Inhibition Against the Practice of the Teaching Profession. — Except as otherwise allowed under this
Act, no person shall practice or offer to practice the teaching profession in the Philippines or be appointed as
teacher to any position calling for a teaching position without having previously obtained a valid certificate of
registration and a valid professional license from the Commission.
Sec. 28. Penal Provisions. — The following shall be punishable by a fine of not less than Five thousand pesos
(P5,000.00) nor more than Twenty thousand pesos (P20,000.00) or imprisonment of nor less than six (6) months
nor more than five (5) years, or both, at the discretion of the court:cralaw
(a) Any person who practices the teaching profession in the Philippines without being certified in accordance
with the provisions of this Act;
(b) Any person who represents or attempts to use as his own certificate of registration that of another;
(c) Any person who gives any false, or fraudulent evidence of any kind to the Board or any member thereof in
obtaining a certificate of registration as teacher;
(d) Any person who impersonates any registrant of the same or different name;
(e) Any person who uses a revoked or suspended certificate of registration;
(f) Any person who, in connection with his name, otherwise assumes, uses or advertises any title or description
tending to convey or conveys the impression that he is a teacher without holding a valid certificate; and
(g) Any person who violates or who abets the violation of any of the provisions of this Act.
The penalty of fine or imprisonment or both, as provided in this section, shall also apply to any school official who
shall cause or be responsible for the commission of any of the above-enumerated acts.
Sec. 29. Appropriations. — Such sums as may be necessary to carry out the provisions of this Act shall be
included in the 1996 General Appropriations Act and thereafter.
Sec. 30. Implementing Guidelines. — The Board shall formulate and adopt the necessary guidelines for the
effective implementation of the provisions of this Act within sixty (60) days of its approval.cralaw
The Board shall submit to both Committees on Education, Arts, and Culture; and the Committees on Civil Service
and Professional Regulation of the Senate and House of Representatives, copies of the implementing rules and
guidelines within thirty (30) days after its promulgation.
Any violation of this section shall render the official/s concerned liable under Republic Act No. 6713, otherwise
known as the “Code of Conduct and Ethical Standards for Public Officials and Employees” and other pertinent
administrative and/or penal laws.
Sec. 31. Transitory Provision. — All incumbent teachers in both the public and private sector not otherwise
certified as professional teachers by virtue of this Act, shall be given (5) years temporary certificates from the time
the Board for Professional Teachers is organized within which to qualify as required by this Act and be included in
the roster of professionals.
Provided, however, That the Professional Board Examination for Teachers (PBET) shall still be administered by
the Civil Service Commission and the Department of Education, Culture and Sports for the year 1995.cralaw
Sec. 32. Separability Clause. — If, for any reason, any section or provision of this Act or the application of such
section or provision to any person or circumstance is declared unconstitutional or invalid, no other section or
provision of this Act shall be affected thereby.
Sec. 33. Repealing Clause. — All laws, presidential decrees, executive orders, rules and regulations or parts
thereof inconsistent with the provisions of this Act are hereby repealed or modified accordingly.
Sec. 34. Effectivity Clause. — This Act shall take effect after fifteen (15) days following its complete publication in
the Official Gazette or in two (2) newspapers of general circulation.
Sec. 1. Declaration of Policy. It is hereby declared to be the policy of this Act to promote and
improve the social and economic status of public school teachers, their living and working
conditions, their terms of employment and career prospects in order that they may compare
favorably with existing opportunities in other walks of life, attract and retain in the teaching
profession more people with the proper qualifications, it being recognized that advance in
education depends on the qualifications and ability of the teaching staff and that education is an
essential factor in the economic growth of the nation as a productive investment of vital
importance.
Sec. 2. Title Definition. This Act shall be known as the "Magna Carta for Public School Teachers" and
shall apply to all public school teachers except those in the professorial staff of state colleges and
universities.
As used in this Act, the term "teacher" shall mean all persons engaged in classroom teaching, in any
level of instruction, on full-time basis, including guidance counselors, school librarians, industrial
arts or vocational instructors, and all other persons performing supervisory and/or administrative
functions in all schools, colleges and universities operated by the Government or its political
subdivisions; but shall not include school nurses, school physicians, school dentists, and other
school employees.
Sec. 3. Recruitment and Qualification. Recruitment policy with respect to the selection and
appointment of teachers shall be clearly defined by the Department of Education: Provided,
however, That effective upon the approval of this Act, the following shall constitute the minimum
educational qualifications for teacher-applicants:
(a) For teachers in the kindergarten and elementary grades, Bachelor's degree in
Elementary Education (B.S.E.ED.);
(b) For teachers of the secondary schools, Bachelor's degree in Education or its equivalent
with a major and a minor; or a Bachelor's degree in Arts or Science with at least eighteen
professional units in Education.
(c) For teachers of secondary vocational and two years technical courses, Bachelor's degree
in the field of specialization with at least eighteen professional units in education;
(d) For teachers of courses on the collegiate level, other than vocational, master's degree
with a specific area of specialization;
Provided, further, That in the absence of applicants who possess the minimum educational
qualifications as hereinabove provided, the school superintendent may appoint, under a
temporary status, applicants who do not meet the minimum qualifications: Provided, further, That
should teacher-applicants, whether they possess the minimum educational qualifications or not, be
required to take competitive examinations, preference in making appointments shall be in the
order of their respective ranks in said competitive examinations: And provided, finally, That the
results of the examinations shall be made public and every applicant shall be furnished with his
score and rank in said examinations.
Sec. 4. Probationary Period. When recruitment takes place after adequate training and professional
preparation in any school recognized by the Government, no probationary period preceding regular
appointment shall be imposed if the teacher possesses the appropriate civil service eligibility:
Provided, however, That where, due to the exigencies of the service, it is necessary to employ as
teacher a person who possesses the minimum educational qualifications herein above set forth but
lacks the appropriate civil service eligibility, such person shall be appointed on a provisional status
and shall undergo a period of probation for not less than one year from and after the date of his
provisional appointment.
Sec. 5. Tenure of Office. Stability on employment and security of tenure shall be assured the
teachers as provided under existing laws.
Subject to the provisions of Section three hereof, teachers appointed on a provisional status for
lack of necessary civil service eligibility shall be extended permanent appointment for the position
he is holding after having rendered at least ten years of continuous, efficient and faithful service in
such position.
Sec. 6. Consent for Transfer Transportation Expenses. Except for cause and as herein otherwise
provided, no teacher shall be transferred without his consent from one station to another.
Where the exigencies of the service require the transfer of a teacher from one station to another,
such transfer may be effected by the school superintendent who shall previously notify the teacher
concerned of the transfer and the reason or reasons therefor. If the teacher believes there is no
justification for the transfer, he may appeal his case to the Director of Public Schools or the
Director of Vocational Education, as the case may be. Pending his appeal and the decision thereon,
his transfer shall be held in abeyance: Provided, however, That no transfers whatever shall be
made three months before any local or national election.
Necessary transfer expenses of the teacher and his family shall be paid for by the Government if his
transfer is finally approved.
Sec. 7. Code of Professional Conduct for Teachers. Within six months from the approval of this Act,
the Secretary of Education shall formulate and prepare a Code of Professional Conduct for Public
School Teachers. A copy of the Code shall be furnished each teacher: Provided, however, That
where this is not possible by reason of inadequate fiscal resources of the Department of Education,
at least three copies of the same Code shall be deposited with the office of the school principal or
head teacher where they may be accessible for use by the teachers.
Sec. 8. Safeguards in Disciplinary Procedure. Every teacher shall enjoy equitable safeguards at each
stage of any disciplinary procedure and shall have:
c. the right to defend himself and to be defended by a representative of his choice and/or
by his organization, adequate time being given to the teacher for the preparation of his
defense; and
No publicity shall be given to any disciplinary action being taken against a teacher during the
pendency of his case.
Sec. 9. Administrative Charges. Administrative charges against a teacher shall be heard initially by
a committee composed of the corresponding School Superintendent of the Division or a duly
authorized representative who should at least have the rank of a division supervisor, where the
teacher belongs, as chairman, a representative of the local or, in its absence, any existing
provincial or national teacher's organization and a supervisor of the Division, the last two to be
designated by the Director of Public Schools. The committee shall submit its findings and
recommendations to the Director of Public Schools within thirty days from the termination of the
hearings: Provided, however, That where the school superintendent is the complainant or an
interested party, all the members of the committee shall be appointed by the Secretary of
Education.
Sec. 10. No Discrimination. There shall be no discrimination whatsoever in entrance to the teaching
profession, or during its exercise, or in the termination of services, based on other than
professional consideration.
Sec. 11. Married Teachers. Whenever possible, the proper authorities shall take all steps to enable
married couples, both of whom are public school teachers, to be employed in the same locality.
Sec. 12. Academic Freedom. Teachers shall enjoy academic freedom in the discharge of their
professional duties, particularly with regard to teaching and classroom methods.
Sec. 13. Teaching Hours. Any teacher engaged in actual classroom instruction shall not be required
to render more than six hours of actual classroom teaching a day, which shall be so scheduled as to
give him time for the preparation and correction of exercises and other work incidental to his
normal teaching duties: Provided, however, That where the exigencies of the service so require,
any teacher may be required to render more than six hours but not exceeding eight hours of actual
classroom teaching a day upon payment of additional
compensation at the same rate as his regular remuneration plus at least twenty-five per cent of his
basic pay.
Sec. 14. Additional Compensation. Notwithstanding any provision of existing law to the contrary,
co-curricula and out of school activities and any other activities outside of what is defined as
normal duties of any teacher shall be paid an additional compensation of at least twenty-five per
cent of his regular remuneration after the teacher has completed at least six hours of actual
classroom teaching a day.
In the case of other teachers or school officials not engaged in actual classroom instruction, any
work performed in excess of eight hours a day shall be paid an additional compensation of at least
twenty-five per cent of their regular remuneration.
The agencies utilizing the services of teachers shall pay the additional compensation required under
this section. Education authorities shall refuse to allow the rendition of services of teachers for
other government agencies without the assurance that the teachers shall be paid the remuneration
provided for under this section.
Sec. 15. Criteria for Salaries. Teacher's salaries shall correspond to the following criteria:
(a) they shall compare favorably with those paid in other occupations requiring equivalent
or similar qualifications, training and abilities;
(b) they shall be such as to insure teachers a reasonable standard of life for themselves and
their families; and
(c) they shall be properly graded so as to recognize the fact that certain positions require
higher qualifications and greater responsibility than others: Provided, however, That the
general salary scale shall be such that the relation between the lowest and highest salaries
paid in the profession will be of reasonable order. Narrowing of the salary scale shall be
achieved by raising the lower end of the salary scales relative to the upper end.
Sec. 16. Salary Scale. Salary scales of teachers shall provide for a gradual progression from a
minimum to a maximum salary by means of regular increments, granted automatically after three
years: Provided, That the efficiency rating of the teacher concerned is at least satisfactory. The
progression from the minimum to the maximum of the salary scale shall not extend over a period of
ten years.
Sec. 17. Equality in Salary Scales. The salary scales of teachers whose salaries are appropriated by
a city, municipal, municipal district, or provincial government, shall not be less than those
provided for teachers of the National Government.
Sec. 18. Cost of Living Allowance. Teacher's salaries shall, at the very least, keep pace with the rise
in the cost of living by the payment of a cost-of-living allowance which shall automatically follow
changes in a cost-of-living index. The Secretary of Education shall, in consultation with the proper
government entities, recommend to Congress, at least annually, the appropriation of the necessary
funds for the cost-of-living allowances of teachers employed by the National Government. The
determination of the cost-of-living allowances by
the Secretary of Education shall, upon approval of the President of the Philippines, be binding on
the city, municipal or provincial government, for the purposes of calculating the cost-of- living
allowances of teachers under its employ.
Sec. 19. Special Hardship Allowances. In areas in which teachers are exposed to hardship such as
difficulty in commuting to the place of work or other hazards peculiar to the place of employment,
as determined by the Secretary of Education, they shall be compensated special hardship
allowances equivalent to at least twenty-five per cent of their monthly salary.
Sec. 20. Salaries to be Paid in Legal Tender. Salaries of teachers shall be paid in legal tender of the
Philippines or its equivalent in checks or treasury warrants. Provided, however, That such checks or
treasury warrants shall be cashable in any national, provincial, city or municipal treasurer's office
or any banking institutions operating under the laws of the Republic of the Philippines.
Sec. 21. Deductions Prohibited. No person shall make any deduction whatsoever from the salaries of
teachers except under specific authority of law authorizing such deductions: Provided, however,
That upon written authority executed by the teacher concerned, (1) lawful dues and fees owing to
the Philippine Public School Teachers Association, and (2) premiums properly due on insurance
policies, shall be considered deductible.
Sec. 22. Medical Examination and Treatment. Compulsory medical examination shall be provided
free of charge for all teachers before they take up teaching, and shall be repeated not less than
once a year during the teacher's professional life. Where medical examination show that medical
treatment and/or hospitalization is necessary, same shall be provided free by the government
entity paying the salary of the teachers.
In regions where there is scarcity of medical facilities, teachers may obtain elsewhere the
necessary medical care with the right to be reimbursed for their traveling expenses by the
government entity concerned in the first paragraph of this Section.
Sec. 23. Compensation For Injuries. Teachers shall be protected against the consequences of
employment injuries in accordance with existing laws. The effects of the physical and nervous
strain on the teacher's health shall be recognized as a compensable occupational disease in
accordance with existing laws.
Sec. 24. Study Leave. In addition to the leave privileges now enjoyed by teachers in the public
schools, they shall be entitled to study leave not exceeding one school year after seven years of
service. Such leave shall be granted in accordance with a schedule set by the Department of
Education. During the period of such leave, the teachers shall be entitled to at least sixty per cent
of their monthly salary: Provided, however, That no teacher shall be allowed to accumulate more
than one year study leave, unless he needs an additional semester to finish his thesis for a
graduate study in education or allied courses: Provided,
further, That no compensation shall be due the teacher after the first year of such leave. In all
cases, the study leave period shall be counted for seniority and pension purposes.
The compensation allowed for one year study leave as herein provided shall be subject to the
condition that the teacher takes the regular study load and passes at least seventy-five per cent of
his courses. Study leave of more than one year may be permitted by the Secretary of Education but
without compensation.
Sec. 25. Indefinite Leave. An indefinite sick leave of absence shall be granted to teachers when the
nature of the illness demands a long treatment that will exceed one year at the least.
Sec. 26. Salary Increase upon Retirement. Public school teachers having fulfilled the age and
service requirements of the applicable retirement laws shall be given one range salary raise upon
retirement, which shall be the basis of the computation of the lump sum of the retirement pay and
the monthly benefits thereafter.
Sec. 27. Freedom to Organize. Public school teachers shall have the right to freely and without
previous authorization both to establish and to join organizations of their choosing, whether local
or national to further and defend their interests.
Sec. 28. Discrimination Against Teachers Prohibited. The rights established in the immediately
preceding Section shall be exercised without any interference or coercion. It shall be unlawful for
any person to commit any acts of discrimination against teachers which are calculated to (a) make
the employment of a teacher subject to the condition that he shall not join an organization, or
shall relinquish membership in an organization,
(b) to cause the dismissal of or otherwise prejudice a teacher by reason of his membership in an
organization or because of participation in organization activities outside school hours, or with the
consent of the proper school authorities, within school hours, and (c) to prevent him from carrying
out the duties laid upon him by his position in the organization, or to penalize him for an action
undertaken in that capacity.
Sec. 29. National Teacher's Organizations. National teachers' organizations shall be consulted in the
formulation of national educational policies and professional standards, and in the formulation of
national policies governing the social security of the teachers.
Sec. 30. Rules and Regulations. The Secretary of Education shall formulate and prepare the
necessary rules and regulations to implement the provisions of this Act. Rules and regulations issued
pursuant to this Section shall take effect thirty days after publication in a newspaper of general
circulation and by such other means as the Secretary of Education deems reasonably sufficient to
give interested parties general notice of such issuance.
Sec. 31. Budgetary Estimates. The Secretary of Education shall submit to Congress annually the
necessary budgetary estimates to implement the provisions of the Act concerning the benefits
herein granted to public school teachers under the employ of the National Government.
Sec. 32. Penal Provision. A person who shall willfully interfere with, restrain or coerce any teacher
in the exercise of his rights guaranteed by this Act or who shall in any other manner commit any act
to defeat any of the provisions of this Act shall, upon conviction, be punished by a fine of not less
than one hundred pesos nor more than one thousand pesos, or by imprisonment, in the discretion of
the court.
If the offender is a public official, the court shall order his dismissal from the Government service.
Sec. 33. Repealing Clause. All Acts or parts of Acts, executive orders and their implementing rules
inconsistent with the provisions of this Act are hereby repealed, amended or modified accordingly.
Sec. 34. Separability Clause. If any provision of this Act is declared invalid, the remainder of this
Act or any provisions not affected thereby shall remain in force and in effect.
Sec. 35. This Act shall take effect upon its approval.
CODE OF ETHICS FOR PROFESSIONAL TEACHERS
Pursuant to the provisions of paragraph (e), Article 11, of R.A. No. 7836, otherwise known as the
Philippine Teachers Professionalization Act of 1994 and paragraph (a), section 6, P.D. No. 223, as
amended, the Board for Professional Teachers hereby adopt the Code of Ethics for Professional
Teachers.
Preamble
Teachers are duly licensed professionals who possesses dignity and reputation with high moral
values as well as technical and professional competence in the practice of their noble profession,
and they strictly adhere to, observe, and practice this set of ethical and moral principles,
standards, and values.
Section 2. This Code covers all public and private school teachers in all educational institutions at
the preschool, primary, elementary, and secondary levels whether academic, vocational, special,
technical, or non-formal. The term “teacher” shall include industrial arts or vocational teachers
and all other persons performing supervisory and /or administrative functions in all school at the
aforesaid levels, whether on full time or part-time basis.
Section 2. Every teacher or school official shall actively help carry out the declared policies of the
state, and shall take an oath to this effect.
Section 3. In the interest of the State and of the Filipino people as much as of his own, every
teacher shall be physically, mentally and morally fit.
Section 4. Every teacher shall possess and actualize a full commitment and devotion to duty.
Section 5. A teacher shall not engage in the promotion of any political, religious, or other
partisan interest, and shall not, directly or indirectly, solicit, require, collect, or receive any
money or service or other valuable material from any person or entity for such purposes.
Section 6. Every teacher shall vote and shall exercise all other constitutional rights and
responsibility.
Section 7. A teacher shall not use his position or official authority or influence to coerce any
other person to follow any political course of action.
Section 8. Every teacher shall enjoy academic freedom and shall have privilege of expounding the
product of his researches and investigations; provided that, if the results are inimical to the
declared policies of the State, they shall be brought to the proper authorities for appropriate
remedial action.
Section 2. Every teacher shall provide leadership and initiative to actively participate in
community movements for moral, social, educational, economic and civic betterment.
Section 3. Every teacher shall merit reasonable social recognition for which purpose he shall
behave with honor and dignity at all times and refrain from such activities as gambling, smoking,
drunkenness, and other excesses, much less illicit relations.
Section 4. Every teacher shall live for and with the community and shall, therefore, study and
understand local customs and traditions in order to have sympathetic attitude, therefore, refrain
from disparaging the community.
Section 5. Every teacher shall help the school keep the people in the community informed
about the school’s work and accomplishments as well as its needs and problems.
Section 6. Every teacher is intellectual leader in the community, especially in the barangay, and
shall welcome the opportunity to provide such leadership when needed, to extend counseling
services, as appropriate, and to actively be involved in matters affecting the welfare of the
people.
Section 7. Every teacher shall maintain harmonious and pleasant personal and official relations
with other professionals, with government officials, and with the people, individually or
collectively.
Section 8. A teacher posses freedom to attend church and worships as appropriate, but shall not
use his positions and influence to proselyte others.
Section 2. Every teacher shall uphold the highest possible standards of quality education, shall
make the best preparations for the career of teaching, and shall be at his best at all times and
in the practice of his profession.
Section 3. Every teacher shall participate in the Continuing Professional Education (CPE) program of
the Professional Regulation Commission, and shall pursue such other studies as will improve his
efficiency, enhance the prestige of the profession, and strengthen his competence, virtues, and
productivity in order to be nationally and internationally competitive.
Section 4. Every teacher shall help, if duly authorized, to seek support from the school, but shall
not make improper misrepresentations through personal advertisements and other questionable
means.
Section 5. Every teacher shall use the teaching profession in a manner that makes it dignified
means for earning a descent living.
Section 2. A teacher is not entitled to claim credit or work not of his own, and shall give due
credit for the work of others which he may use.
Section 3. Before leaving his position, a teacher shall organize for whoever assumes the
position such records and other data as are necessary to carry on the work.
Section 4. A teacher shall hold inviolate all confidential information concerning associates and
the school, and shall not divulge to anyone documents which has not been officially released,
or remove records from files without permission.
Section 5. It shall be the responsibility of every teacher to seek correctives for what may appear
to be an unprofessional and unethical conduct of any associate. However, this may be done only
if there is incontrovertible evidence for such conduct.
Section 6. A teacher may submit to the proper authorities any justifiable criticism against an
associate, preferably in writing, without violating the right of the individual concerned.
Section 7. A teacher may apply for a vacant position for which he is qualified; provided that he
respects the system of selection on the basis of merit and competence; provided, further, that all
qualified candidates are given the opportunity to be considered.
Section 2. A teacher shall not make any false accusations or charges against superiors,
especially under anonymity. However, if there are valid charges, he should present such
under oath to competent authority.
Section 3. A teacher shall transact all official business through channels except when special
conditions warrant a different procedure, such as when special conditions are advocated but are
opposed by immediate superiors, in which case, the teacher shall appeal directly to the
appropriate higher authority.
Section 4. Every teacher, individually or as part of a group, has a right to seek redress against
injustice to the administration and to extent possible, shall raise grievances within acceptable
democratic possesses. In doing so, they shall avoid jeopardizing the interest and the welfare of
learners whose right to learn must be respected.
Section 5. Every teacher has a right to invoke the principle that appointments, promotions, and
transfer of teachers are made only on the basis of merit and needed in the interest of the service.
Section 6. A teacher who accepts a position assumes a contractual obligation to live up to his
contract, assuming full knowledge of employment terms and conditions.
Section 2. School officials, teachers, and other school personnel shall consider it their cooperative
responsibility to formulate policies or introduce important changes in the system at all levels.
Section 3. School officials shall encourage and attend the professional growth of all teachers under
them such as recommending them for promotion, giving them due recognition for meritorious
performance, and allowing them to participate in conferences in training programs.
Section 4. No school officials shall dismiss or recommend for dismissal a teacher or other
subordinates except for cause.
Section 5. School authorities concern shall ensure that public school teachers are employed in
accordance with pertinent civil service rules, and private school teachers are issued contracts
specifying the terms and conditions of their work; provided that they are given, if qualified,
subsequent permanent tenure, in accordance with existing laws.
Section 2. A teacher shall recognize that the interest and welfare of learners are of first and
foremost concern, and shall deal justifiably and impartially with each of them.
Section 4. A teacher shall not accept favors or gifts from learners, their parents or others in
their behalf in exchange for requested concessions, especially if undeserved.
Section 5. A teacher shall not accept, directly or indirectly, any remuneration from tutorials
other what is authorized for such service.
Section 6. A teacher shall base the evaluation of the learner’s work only in merit and quality of
academic performance.
Section 7. In a situation where mutual attraction and subsequent love develop between
teacher and learner, the teacher shall exercise utmost professional discretion to avoid
scandal, gossip and preferential treatment of the learner.
Section 8. A teacher shall not inflict corporal punishment on offending learners nor make
deductions from their scholastic ratings as a punishment for acts which are clearly not
manifestation of poor scholarship.
Section 9. A teacher shall ensure that conditions contribute to the maximum development of
learners are adequate, and shall extend needed assistance in preventing or solving learner’s
problems and difficulties.
Section 2. Every teacher shall inform parents, through proper authorities, of the progress and
deficiencies of learner under him, exercising utmost candor and tact in pointing out the learner's
deficiencies and in seeking parent’s cooperation for the proper guidance and improvement of the
learners.
Section 3. A teacher shall hear parent’s complaints with sympathy and understanding, and shall
discourage unfair criticism.
Section 2. A teacher shall maintain a good reputation with respect to the financial matters such as
in the settlement of his debts and loans in arranging satisfactorily his private financial affairs.
Section 3. No teacher shall act, directly or indirectly, as agent of, or be financially interested in,
any commercial venture which furnish textbooks and other school commodities in the purchase
and disposal of which he can exercise official influence, except only when his assignment is
inherently, related to such purchase and disposal; provided they shall be in accordance with the
existing regulations; provided, further, that members of duly recognized teachers cooperatives
may participate in the distribution and sale of such commodities.
Section 2. A teacher shall place premium upon self-discipline as the primary principle of
personal behavior in all relationships with others and in all situations.
Section 3. A teacher shall maintain at all times a dignified personality which could serve as a
model worthy of emulation by learners, peers and all others.
Section 4. A teacher shall always recognize the Almighty God as guide of his own destiny and of
the destinies of men and nations.
ARTICLE I
TITLE
SECTION 1. Short Title. — This Act shall be known as the "Philippine Teachers
Professionalization Act of 1994."
Sec. 2. Statement of Policy. — The State recognizes the vital role of teachers in nation- building
and development through a responsible and literate citizenry.Towards this end, the State shall
ensure and promote quality education by proper supervision and regulation of the licensure
examination and professionalization of the practice of the teaching profession.
(b) "Teachers" — refers to all persons engaged in teaching at the elementary and
secondary levels, whether on full-time or part-time basis, including industrial arts or
vocational teachers and all other persons performing supervisory and/or administrative
functions in all schools in the aforesaid levels and qualified to practice teaching under this
Act.
(c) "Board" — refers to the Board for Professional Teachers duly established and
constituted under this Act.
ARTICLE II
BOARD FOR PROFESSIONAL TEACHERS
Sec. 5. Creation and Composition of the Board. — There is hereby created under this Act a Board for
Professional Teachers, hereinafter called the Board, a collegial body under the general supervision
and administrative control of the Professional Regulation Commission,
hereinafter referred to as the Commission, composed of five (5) members who shall be appointed
by the President of the Philippines from among the recommendees chosen by the Commission.The
recommendees shall be chosen from the list of nominees selected by the accredited association of
teachers, who duly possess all the qualifications prescribed in Section 8 of this Act.
The chairman and the voice-chairman of the Board shall be appointed from these five (5) members
by the President: Provided, That the members of the first Board appointed under this Act shall be
automatically registered as professional teachers and issued with the certificate of registration and
professional license upon payment of the fees for examination, registration, and other fees
prescribed by the Commission.
Sec. 6. Duties and Function of the Board. — The Board shall have the following duties and functions:
(a) Promulgate, administer and enforce rules and regulations necessary for carrying out the
provisions of this Act in accordance with the charter of the Professional Regulation
Commission;
(b) Determine and fix the frequency, dates, and places of examination, appoint
supervisors, proctors, and other personnel as needed who shall be entitled to a daily
allowance to be fixed by the Board for every examination day actually attended, use
buildings and facilities of public or private schools for examination purposes;
(c) Issue, suspend, or revoke the certificate of registration for the practice of the teaching
profession;
(d) Prescribe and collect examination and other fees as it may deem proper;
(e) Prescribe and/or adopt a code of ethical and professional standards for the practice of
the teaching profession. Such ethical standards, rules and regulations to take effect sixty
(60) days after its publication in the Official Gazette or in any newspaper of general
circulation;
(g) Supervise and regulate the registration, licensure and practice of professional teachers
in the Philippines;
(i) Look into the conditions affecting the practice of the teaching profession and whenever
necessary, adopt such measures as may be deemed proper for the enhancement and
maintenance of high professional and ethical standards of the profession;
(j)Ensure that all educational institutions offering elementary and secondary education
comply with the essential requirements for curricula, faculty and facilities for the
elementary and secondary levels;
(k) Investigate such violations of this Act, the rules and the code of ethical and professional
standards for professional teachers as it may come to the knowledge of the Board, and for
this purpose, to issue subpoena and subpoena duces tecum to secure the appearance of
witnesses and the production of documents in connection therewith; and
(l) Discharge such other powers, duties and functions as the Board may deem necessary for
the practice of the teaching profession and the upgrading, enhancement, development and
growth of education in the Philippines.
Sec. 7. Term of Office. — The members of the Board shall hold office for a term of three (3) years
from the date they assume office: Provided, That the first appointees to the Board under this Act
shall hold office according to the following terms: one (1) member shall serve for one (1) year; one
(1) member for two (2) years; the chairman, vice-chairman, and one (1) member for three (3)
years. Vacancies shall be served for the unexpired term only. No person who has served for two (2)
consecutive terms shall be eligible for reappointment. Appointment to fill an unexpired term shall
be considered an appointment to a complete term. The chairman or any member shall take his oath
of office prior to the performance of his duties.
Sec. 8. Qualification of Board Members. — Each Board member must at the time of his
appointment:
(b) Be at least thirty-five (35) years of age, of proven integrity, and possessed of high moral
values in his personal as well as professional conduct and has not been convicted of any
offense involving moral turpitude;
(c) Be a holder of the degree of Bachelor of Arts or Bachelor of Science in Education and
preferably a holder of a master's or doctorate degree in education, or their equivalents,
from a university, school, college, academy or institute duly constituted, recognized
and/or accredited by the Philippine government;
(d) Be a professional teacher with a valid certificate of registration and valid professional
license, save those members who shall compose the first Board for Professional Teachers;
(e) Has been a professional teacher in the active practice of the teaching profession for at
least ten (10) years in the elementary and secondary level; and
(f) Not be an official or member of the faculty of, nor have pecuniary interest in any
university, college, school, or institution conferring a bachelor's degree in education or its
equivalents for at least three (3) years prior to his appointment, and neither connected
with a review center or with any group or association where review classes or lectures in
preparation for the licensure examination are offered or conducted.
Provided, however, that, the membership to the Board shall be evenly distributed to cover all
levels of education, including equitable representation of the different fields of specialization.
Sec. 9. Compensation of the Board. — The chairman, vice-chairman, and members of the Board
shall receive compensation comparable to the compensation received by existing regulatory boards
under the Professional Regulation Commission, computed on the basis of the number of
examinees/candidates.
Sec. 10. Supervision of the Board and Custodian of its Records. — The Board shall be under the
supervision and control of the Commission. All records, including applications for examination,
examination papers and results, minutes of deliberation, administrative cases and investigative
cases and investigations involving professional teachers shall be kept by the Commission.
Sec. 11. Secretariat and Support Services. — The Professional Regulation Commission, through its
chairman, shall provide the secretariat and other support services to implement effectively the
provisions of this Act.
Sec. 12. Removal of a Board Member. — The chairman or any member of the Board may be removed
by the President of the Philippines upon recommendation of the Commission for neglect of duty,
incompetence, unprofessional, unethical, immoral or dishonorable conduct, commission or
toleration of irregularities in the examination, after having been given the opportunity to defend
himself in a proper administrative investigation.
In the course of investigation, the President may preventively suspend the respondent.
Sec. 13. Examination, Registration and License Required. — Except as otherwise specifically allowed
under the provisions of this Act, all applicants for registration as professional teachers shall be
required to undergo a written examination which shall be given at least once a year in such places
and dates as the Board may determine upon approval by the Commission. A valid certificate of
registration and a valid professional license from the Commission are required before any person is
allowed to practice as a professional teacher in the Philippines, except as otherwise allowed under
this Act.
Sec. 14. Scope of Examination. — The examinations for the elementary and secondary school
teachers shall be separate. The examination for teachers in the elementary level shall consist of
two (2) parts, namely: professional education and general education. The examination for
teachers in the secondary level shall consist of three (3) parts, namely: professional
education, general education, and field of specialization.
Sec. 15. Qualification Requirements of Applicants. — No applicant shall be admitted to take the
examination unless, on the date of filing of the application, he shall have complied with the
following requirements:
(a) A citizen of the Philippines or an alien whose country has reciprocity with the
Philippines in the practice of the teaching profession;
(d) Has not been convicted by final judgment by a court for an offense involving moral
turpitude;
(1) For teachers in preschool, a bachelor's degree in early childhood education (BECED) or
its equivalent;
(2) For teachers in the elementary grades, a bachelor's degree in elementary education
(BSEED) or its equivalent;
(3) For teachers in the secondary grades, a bachelor's degree in education or its equivalent
with a major and minor, or a bachelor's degree in arts and sciences with at least ten (10)
units in professional education; and
(4) For teachers of vocational and two-year technical courses, a bachelor's degree in the
field of specialization or its equivalent, with at least eighteen (18) units in professional
education.
Sec. 16. Report of the Results of the Examination. — The Board shall, within one hundred twenty
(120) days after the examination, report the ratings obtained by each candidate to the Professional
Regulation Commission for approval and appropriate action.
Sec. 17. Issuance of Certificate of Registration and Professional License. — The registration of a
professional teacher commences from the date his name is enrolled in the roster of professional
teachers.
Every registrant who has satisfactorily met all the requirements specified in this Act shall, upon
payment of the registration fee, be issued a certificate of registration as a professional teacher
bearing the full name of the registrant with serial number and date of issuance signed by the
chairman of the Commission and the chairman, vice-chairman, and members of the Board, stamped
with the official seal, as evidence that the person named therein is entitled to practice the
profession with all the rights and privileges appurtenant thereto. The certificate shall remain in full
force and effect until withdrawn, suspended and/or revoked in accordance with law.
A professional license signed by the chairman of the Commission and bearing the registration
number and date of issuance thereof and the month of expiry or renewability shall likewise be
issued to every registrant who has paid the annual registration fees for three (3) consecutive years.
This license shall serve as evidence that the licensee can lawfully practice his profession until the
expiration of its validity.
Sec. 18. Oath Before Practice. — Every registrant shall be required to take his professional oath
before practicing as a professional teacher.
Sec. 19. Periodic Merit Examination of Teachers. — To encourage continuing professional growth
and development and to provide additional basis for merit promotion, in addition to their
performance rating, teachers may take an oral and written examination at least once in five (5)
years as basis for merit promotion. In taking this examination, no fee shall be required.
Sec. 20. Failure to Pass the Merit Examination. — If a teacher fails to pass the merit examination,
he or she shall be allowed to take the examination for a second time. Should he or she fail to pass
the merit examination for the second time, then he or she shall be required to take a DECS
accredited refresher course or program before being allowed to retake the examination.
Failure of any permanent teacher to pass the merit examination shall not, however, be used as a
ground for his/her dismissal or demotion.
Sec. 21. Incentives. — Teachers who pass the merit examination shall:
(b) Earn merit points for purposes of promotion in salary or to a higher position or grade
level;
Similar incentives shall be given to teachers who make inventions, develop new methods of
teaching, write a book or books and create works of artistic merit.
Sec. 22. Integration of the Teaching Profession. — The teaching profession shall be integrated into
one national organization which shall be recognized by the Board and the Commission as the one
and only integrated and accredited association of professional teachers. Upon registration with the
Board, every professional teacher shall be encouraged to become a member of the integrated
national organization. Those who have been registered with the Board but are not members of the
said integrated organization shall be allowed to register as members of the said integrated
organization within three (3) years after the effectivity of this Act. Membership in the integrated
organization shall not be a bar to membership in other associations of the teaching profession. The
professional teachers shall receive the benefits and privileges appurtenant to their membership in
the said integrated and accredited organization of professional teachers only upon payment of the
required membership fees and dues.
Sec. 23. Revocation of the Certificate of Registration, Suspension from the Practice of the Teaching
Profession, and Cancellation of Temporary or Special Permit. — The Board shall have the power,
after due notice and hearing, to suspend or revoke the certificate of registration of any registrant,
to reprimand or to cancel the temporary/special permit of a holder thereof who is exempt from
registration, for any of the following causes:
(c) Declaration by a court of competent jurisdiction for being mentally unsound or insane;
(d) Malpractice, gross incompetence, gross negligence or serious ignorance of the practice
of the teaching profession;
(g) Violation of any of the provisions of this Act, the rules and regulations and other
policies of the Board and the Commission, and the code of ethical and professional
standards for professional teachers; and
(h) Unjustified or willful failure to attend seminars, workshops, conferences and the like or
the continuing education program prescribed by the Board and the Commission.
The decision of the Board to revoke or suspend a certificate may be appealed to the regional trial
court of the place where the Board holds office within fifteen (15) days from receipt of the said
decision or of the denial of the motion for reconsideration filed in due time.
Sec. 24. Registration by Reciprocity. — No teacher of a foreign nationality shall be admitted to the
examination, or be given a certificate of registration or be entitled to any of the rights and
privileges provided under this Act; unless the country or state of which he is a subject permits
Filipino professional teachers to practice within its territorial limits on the same basis as subjects or
citizens of said country or state: Provided, that the requirements of certification of teachers with
said foreign state or country are substantially the same as those required and contemplated under
this Act: Provided, further, That the laws of such state or country grant the same privilege to
Filipino professional teachers on the same basis as the subject or citizens of such foreign country or
state.
Sec. 25. Roster of Professional Teachers. — A roster of professional teachers containing the names
and addresses of professional teachers, date of registration or issuance of certificate, and other
data which in the opinion of the Board may appear pertinent shall be maintained. Copies of the
roster shall be provided by the Commission to the Board, the Department of Education, Culture and
Sports, and the integrated and accredited organization of professional teachers.
Sec. 26. Registration and Exception. — Two (2) years after the effectivity of this Act, no person
shall engage in teaching and/or act as a professional teacher as defined in this Act, whether in the
preschool, elementary or secondary level, unless he is a duly registered professional teacher, and a
holder of a valid certificate of registration and a valid professional license or a holder of a valid
special/temporary permit.
Upon approval of the application and payment of the prescribed fees, the certificate of registration
and professional license as a professional teacher shall be issued without examination as required in
this Act to a qualified applicant, who at the time of the approval of this Act, is:
(b) A registered professional teacher with the National Board for Teachers under the
Department of Education, Culture and Sports (DECS) pursuant to Presidential Decree No.
1006; or
(c) Not qualified under paragraphs one and two but with any of the following qualifications.
to wit:
(1) An elementary or secondary teacher for five (5) years in good standing and a holder of
Bachelor of Science in Education or its equivalent; or
ARTICLE IV
PROVISIONS RELATIVE TO THE PRACTICE OF THE TEACHING PROFESSION
Sec. 27. Inhibition Against the Practice of the Teaching Profession. — Except as otherwise allowed
under this Act, no person shall practice or offer to practice the teaching profession in the
Philippines or be appointed as teacher to any position calling for a teaching position without having
previously obtained a valid certificate of registration and a valid professional license from the
Commission.
Sec. 28. Penal Provisions. — The following shall be punishable by a fine of not less than Five
thousand pesos (P5,000.00) nor more than Twenty thousand pesos (P20,000.00) or imprisonment of
nor less than six (6) months nor more than five (5) years, or both, at the discretion of the court:
(a) Any person who practices the teaching profession in the Philippines without being
certified in accordance with the provisions of this Act;
(b) Any person who represents or attempts to use as his own certificate of registration that
of another;
(c) Any person who gives any false, or fraudulent evidence of any kind to the Board or any
member thereof in obtaining a certificate of registration as teacher;
(d) Any person who impersonates any registrant of the same or different name;
(f) Any person who, in connection with his name, otherwise assumes, uses or advertises any
title or description tending to convey or conveys the impression that he is a teacher
without holding a valid certificate; and
(g) Any person who violates or who abets the violation of any of the provisions of this Act.
The penalty of fine or imprisonment or both, as provided in this section, shall also apply to any
school official who shall cause or be responsible for the commission of any of the above-
enumerated acts.
Sec. 29. Appropriations. — Such sums as may be necessary to carry out the provisions of this Act
shall be included in the 1996 General Appropriations Act and thereafter.
Sec. 30. Implementing Guidelines. — The Board shall formulate and adopt the necessary guidelines
for the effective implementation of the provisions of this Act within sixty (60) days of its approval.
The Board shall submit to both Committees on Education, Arts, and Culture; and the Committees on
Civil Service and Professional Regulation of the Senate and House of Representatives, copies of the
implementing rules and guidelines within thirty (30) days after its promulgation.
Any violation of this section shall render the official/s concerned liable under Republic Act No.
6713, otherwise known as the "Code of Conduct and Ethical Standards for Public Officials and
Employees" and other pertinent administrative and/or penal laws.
Sec. 31. Transitory Provision. — All incumbent teachers in both the public and private sector not
otherwise certified as professional teachers by virtue of this Act, shall be given (5) years temporary
certificates from the time the Board for Professional Teachers is organized within which to qualify
as required by this Act and be included in the roster of professionals.
Provided, however, That the Professional Board Examination for Teachers (PBET) shall still be
administered by the Civil Service Commission and the Department of Education, Culture and Sports
for the year 1995.cralaw
Sec. 32. Separability Clause. — If, for any reason, any section or provision of this Act or the
application of such section or provision to any person or circumstance is declared
unconstitutional or invalid, no other section or provision of this Act shall be affected
thereby.
Sec. 33. Repealing Clause. — All laws, presidential decrees, executive orders, rules and
regulations or parts thereof inconsistent with the provisions of this Act are hereby repealed
or modified accordingly.
Sec. 34. Effectivity Clause. — This Act shall take effect after fifteen (15) days following its
complete publication in the Official Gazette or in two (2) newspapers of general
circulation.
ARTICLE XV
GENERAL PROVISIONS
Section 1. The flag of the Philippines shall be red, white, and blue, with a sun and three
stars, as consecrated and honored by the people and recognized by law.
Section 2. The Interim National Assembly may by law adopt a new name for the
country, a national anthem, and a national seal, which shall all be truly reflective and
symbolic of ideas, history, and traditions of the people. Thereafter the national name,
anthem, and seal so adopted shall not be subject to change except by constitutional
amendment.
Section 3.
2. The National Assembly shall take steps towards the development and formal
adoption of a common national language to be known as Filipino.
3. Until otherwise provided by law, English and Pilipino shall be the official languages.
Section 4. All public officers and employees and members of the armed forces shall
take an oath to support and defend the Constitution.
Section 5. No elective or appointive public officer or employee shall receive additional
or double compensation unless specifically authorized by law, nor accept, without the
consent of the National Assembly, any present, emolument, office or title of any kind
from any foreign state.
Section 6.No salary or any form of emolument of any public officer or employee,
including constitutional officers, shall be exempt from payment of income tax.
Section 7.
1. The ownership and management of mass media shall be limited to citizens of the
Philippines or corporations or associations wholly owned and managed by such
citizens.
Section 8.
1. All educational institutions shall be under the supervision of and subject to regulation
by the State. The State shall establish and maintain a complete, adequate, and
integrated system of education relevant to goals of national development.
3. The study of the Constitution shall be part of the curricula in all schools.
4. All educational institutions shall aim to inculcate love of country, teach the duties of
citizenship, and develop moral character, personal discipline, and scientific,
technological, and vocational efficiency.
5. The State shall maintain a system of free public elementary education and, in areas
where finances permit, establish and maintain a system of free public education at least
up to the secondary level.
6. The State shall provide citizenship and vocational training to adult citizens and out-of-
school youth, and create and maintain scholarships for poor and deserving students.
8. At the option expressed in writing by the parents or guardians, and without cost to
them and the government, religion shall be taught to their children or wards in public
elementary and high schools as may be provided by law.
Section 9.
1. The State shall promote scientific research and invention. The advancement of
science and technology shall have priority in the national development.
2. Filipino culture shall be preserved and developed for national identity. Arts and letters
shall be under the patronage of the State.
3. The exclusive right to inventions, writings, and artistic creations shall be secured to
investors, authors and artists for a limited period. Scholarships, grants-in-aid, or other
forms of incentives shall be provided for specially gifted children.
Section 10. It shall be the responsibility of the State to achieve and maintain population
levels most conducive to the national welfare.
Section 11. The State shall consider the customs, traditions, beliefs, and interests of
national cultural communities in the formulation and implementation of State policies.
Section 12. The State shall establish and maintain an integrated national police force
whose organization, administration, and operation, shall be provided by law.
Section 13.
1. The armed forces of the Philippines shall include a citizen army composed of all able-
bodied citizens of the Philippines who shall undergo military training as may be provided
by law. It shall keep a regular force necessary for the security of the State.
2. The citizen army shall have a corps of trained officers and men in active duty status
as may be necessary to train, service, and keep it in reasonable preparedness at all
times.
Section 14. The National Assembly shall establish a central monetary authority which
shall provide policy direction in the areas of money, banking, and credit to achieve
national economic objectives. It shall have supervisory authority over the operation of
banks and exercise such regulatory authority as may be provided by law over the
operations of finance companies and other institutions performing similar functions. Until
the National Assembly shall otherwise provide, the Central Bank of the Philippines,
operating under existing laws, shall function as the central monetary authority.
Section 15. The separation of the church and the State shall be inviolable.
ARTICLE 2
SECTION 17
Section 17. The State shall give priority to education, science and technology, arts,
culture, and sports to foster patriotism and nationalism, accelerate social progress, and
promote total human liberation and development.
This was an act providing for the establishment and maintenance of an integrated system of
education. In accordance with Section 2, this act shall apply to and govern both formal and
non- formal system in public and private schools in all levels of the entire educational
system.
The State shall promote the right of every individual to relevant quality education,
regardless of sex, age, creed socio- economic status, physical and mental conditions, racial
or ethnic origin, political or other affiliation. The State shall therefore promote and maintain
equality of access to education as well as the benefits of education by all its citizens.
AN ACT AMENDING REPUBLIC ACT NO. 6728, OTHERWISE KNOWN AS “AN ACT
PROVIDING GOVERNMENT ASSISTANCE TO STUDENTS AND TEACHERS IN
PRIVATE EDUCATION AND APPROPRIATING FUNDS THEREFOR,”
ESTABLISHING A FUND FOR THE PURPOSE OF SUBSIDIZING SALARIES OF
PRIVATE SCHOOL TEACHERS, AND APPROPRIATING FUNDS THEREFOR
SECTION 1. Republic Act No. 6728, otherwise known as the “Government Assistance
to Students and Teachers in Private Education Act,” is hereby amended to read as
follows:
“SEC. 1. Title. — This Act shall be known as the ‘Expanded Government Assistance to
Students and Teachers in Private Education Act.’
“Elementary education is the first six (6) years of basic education, excluding pre-school
and grade seven, the completion of which is attested by a certificate issued by or with
permission of the Department of Education, Culture and Sports. Secondary education is
the next four (4) years of basic education, the completion of which is attested by a high
school diploma issued by or with permission of the Department of Education, Culture
and Sports.
“SEC. 3. Criteria for Assistance. — The programs for assistance shall be based on a set
of criteria which shall include, among others, tuition fees charged by the schools, the
socioeconomic needs of each region giving priority to the Social Reform Agenda (SRA)
provinces, overall performance of the schools, the academic qualifications and the
financial needs of the students and the teachers and the financial needs of the schools,
as well as the geographic spread and size of student population.
“In addition to the foregoing criteria, within such reasonable time as the respective State
Assistance Council may determine, student grantees under the Private Education
Student Financial Assistance Program shall be enrolled in schools which have
accredited programs or are applying for accreditation as may be recognized by the
respective State Assistance Council.
“Preference shall be given to students whose family income is not more than Seventy-
two thousand pesos (P72,000.00) or such amounts as may be determined by the
respective councils, as defined hereinafter.
“For purposes of this Act, programs of assistance to students and teachers of private
post-secondary vocational and technical institutions and higher educational institutions
shall likewise be extended to students and teachers of community colleges in degree
and non-degree programs. Implementation of the program shall encourage students to
undergo post-secondary vocational and technical and higher education courses in the
same region where their families reside.
“The programs of assistance under this Act shall be extended only to students who are
citizens of the Philippines.
“The State Assistance Council, jointly with the Department of Education, Culture and
Sports (DECS), the CHED and the TESDA shall formulate measurement standards for
the evaluation of the quality of courses as well as the standing and status of the
recipient institutions.
“Within five (5) years from the approval of this Act, the assistance shall be given to
schools: Provided, That the present allocation of the tuition fee and other income of the
schools shall be used at the same proportion and allocation as provided by law.
“(1) Tuition fee supplements for students in private high schools, including students in
vocational and technical courses;
“(2) High School Textbook Assistance Fund: Provided, That the textbook assistance per
student in private high schools shall be determined by the council and shall not exceed
what students in public high schools are provided on a per student basis under a
comprehensive textbook program of the Secondary Education Development Program
(SEDP): Provided, further, That the textbook assistance shall be granted only to
beneficiaries of tuition fee supplements and educational service contracting scheme
provided in this Act;
“(4) The voucher system of the Private Education Student Financial Assistance Program
(PESFA);
“(6) Tuition fee supplements to students in private colleges and universities; and
“The following are forms of assistance to teachers and faculty in private education:
“(1) In-service training fund for teachers in private high schools; and
“SEC. 5. Tuition Fee Supplements for Students in Private High Schools. — (1) Financial
Assistance for tuition for students in private high schools shall be provided by the
government through a voucher system in the following manner:
“(a) For students enrolled in schools charging an amount as may be determined by the
State Assistance Council, the government shall provide them with a voucher in such an
amount as may be determined by the council: Provided, That the government shall
reimburse the vouchers from the schools concerned within one hundred twenty (120)
days from the close of the registration period.
“(2) Assistance under paragraph (1), subparagraph (a) shall be guaranteed to all
private high schools participating in the program for a number of slots as of the
effectivity of this Act as the total number of students who availed of tuition fee
supplements for school year 1997-1998: Provided, That the State Assistance Council
may in subsequent years determine additional slots and/or additional participating high
schools as may be deemed necessary.
“SEC. 6. High School Textbook Assistance Fund. — There shall be established in the
Department of Education, Culture and Sports (DECS), a High School Textbook
Assistance Fund, so that assistance on a per student basis shall be given to students
enrolled in private schools exclusively for the purchase of high school textbooks, in
support of the implementation of the Secondary Education Development Program:
Provided, That the textbook assistance per student in private high schools shall be
determined by the council and shall not exceed what students in public high schools are
provided on a per student basis: Provided, further, That the textbook assistance shall be
granted only to beneficiaries of tuition fee supplements and educational service
contracting scheme provided in this Act.
“(b) The Department shall also enter into contracts with private schools in communities
where there are no public high schools, in which case the Department shall shoulder the
tuition and other fees of students who shall enroll in said private schools.
“(c) The amount of assistance to be given by the government under this section shall
not exceed that determined as the per student cost in public high schools.
“(d) The Department shall fully pay the subsidized amount to participating schools not
later than one hundred eighty (180) days from the close of the registration period.
“(e) The amount of assistance shall be allocated and distributed among the sixteen (16)
regions in proportion to the total population as well as the high school age population for
the first school year: Provided, That starting school year 1998, an equalization scheme
shall be implemented by the State Assistance Council.
“(f) The amount of assistance to private high schools participating in the program shall
be guaranteed for a number of slots as of the effectivity of this Act as the number of
students availing of educational service contracting assistance for school year 1997-
1998: Provided, That the State Assistance Council may, in subsequent years determine
additional slots and/or additional participating private high schools as may be deemed
necessary.
“For purposes of this Act, an underprivileged student shall refer to a student whose
gross income, if any, and that of the combined annual gross income of his/her parents
do not exceed Seventy-two thousand pesos (P72,000.00).
“(b) Tuition Waiver. Private post-secondary vocational and technical institutions and
higher educational institutions shall provide for full or half tuition waivers for five percent
(5%) of the entering freshmen, which shall include among others, valedictorians and
salutatorians of both public high schools and private high schools: Provided, That those
valedictorians and salutatorians meet admission tests of the schools concerned.
“(d) Allowance for other Honorees. In case the graduating class is composed of more
than two hundred and fifty (250) students, all salutatorians and first honorable mention
graduates thereof may also be entitled to the allowance granted to valedictorians under
the preceding paragraph.
“For students in priority programs in schools charging an effective per unit tuition rate of
such amount as may be determined by the State Assistance Council, the government
shall provide the student with a voucher for the amount of tuition fee supplement
determined by the State Assistance Council.
“SEC. 10. Education Loan Fund. — (a) ‘Study Now, Pay Later Plan.’ There is hereby
created a special fund to be known as the Students’ Loan Fund to be administered by
the CHED and the TESDA or upon delegation by the CHED by the Student Loan Fund
Authority created under Republic Act No. 6014 which is hereby reinstituted pursuant to
the terms of the same Republic Act which shall be used to finance educational loans to
cover matriculation and other school fees and educational expenses for book
subsistence, and board and lodging.
“(b) Amounts covering payments for tuition and other school fees shall be paid directly
to the school concerned.
“(c) Any loan granted under this section shall be paid by the student-debtor after he has
finished the course or profession for which the proceeds of the loan was expended, but
only after a period of two (2) years from the time he has acquired an employment:
Provided, however, That interest at the rate of not more than six percent (6%) per
annum shall accrue on the balance thereof.
“(d) Social Security Fund. The Social Security System shall make available low interest
educational loans to its members and to private educational institutions for school
buildings and/or improvement of their plants and facilities.
“SEC. 11. The right of any student to avail himself/herself of the benefits under this Act
shall not apply if he/she fails for one (1) school year in the majority of the academic
subjects in which he/she has enrolled during the course of his/her study unless such
failure is due to some valid cause beyond his/her control.
“SEC. 12. In-service Training Fund (Inset Fund). — For the purpose of improving the
quality of teaching in private secondary education, there is hereby established in the
Department of Education, Culture and Sports an Inset Fund to provide for the upgrading
of knowledge and teaching competencies in critical subject areas and for the
modernization of teaching techniques and strategies, including training in the use of
computers and of other multi-media educational technologies to assist instruction:
Provided, That the Inset Fund shall be available only to qualified licensed teachers in
participating private high schools as determined by the State Assistance Council:
Provided, further, That the amount of Inset Fund available to private secondary
education shall not exceed that available to public secondary education on a per capita
basis.
“SEC. 13. College Faculty Development Fund. — For the purpose of improving the
quality of teaching in private post-secondary vocational and technical institutions and
higher educational institutions, there is hereby established in the TESDA and the
CHED, a College Faculty Development Fund to provide for scholarships for graduate
degree, degree and non-degree workshops or seminars for faculty members in private
post-secondary vocational and technical institutions and higher educational institutions:
Provided, That faculty member recipients of such scholarships shall serve as many
number of years return service for every year of scholarship availed of as may be
determined by the State Assistance Council in conformity with prevailing National
Economic and Development Authority (NEDA) policies on return service of government
scholars. The scholarship shall be in priority courses as determined by the TESDA and
the CHED and cannot be awarded to promote or inhibit sectarian purposes.
“SEC. 14. Teachers’ Salary Subsidy Fund. — A Teachers’ Salary Subsidy Fund is
hereby established in the DECS to grant government subsidy to teachers in private high
schools participating in the programs of assistance provided in this Act: Provided, That
the total monthly salary which includes the subsidy to be received by such private high
school teachers shall not be more than eighty percent (80%) of the salary of his
counterpart in the public sector: Provided, further, That the amount of monthly subsidy
shall not exceed the amount of any monthly salary increase that teachers in public high
schools shall after the effectivity of this Act hereinafter receive: Provided, further, That
private high school teachers qualified to receive subsidy under this Act are duly licensed
by the Professional Regulation Commission: Provided, further, That the government
shall provide them with a voucher for the salary subsidy which shall be reimbursed
directly to the teachers within sixty (60) days after the close of the school year upon
submission of proof of qualification and actual teaching service in a participating private
high school: Provided, further, That the present allocation out of increases from tuition
and other income shall be maintained: Provided, finally, That in case of insufficiency of
funds, priority shall be given to married teachers supporting a family.
“The State Assistance Council, hereinafter known as the Council, shall be headed by
the Secretary of Education, Culture and Sports as chairperson, the chairperson of the
CHED and the director-general of the TESDA as co-chairpersons, with representatives
from the National Economic and Development Authority, the Department of Budget and
Management, the Department of Science and Technology, and representatives from
duly organized nationwide associations of teachers, students, parents, and school
administrators concerned with secondary, post-secondary vocational and technical
education and higher education as members. The last three (3) members shall be
appointed by the Council upon the recommendation of their respective sectors for a
term of one (1) school year subject to re-appointment for a maximum term of four (4)
school years. A representative each from the Committees on Education of both Houses
of Congress shall be designated resource persons to the Council.
“The Council shall meet, from time to time, as the need arises, to assess the effectivity
of the programs and to ensure that the secondary schools, post-secondary vocational
and technical institutions and higher educational institutions where student recipients
are enrolled continue to provide quality education. For this purpose, the Council shall
establish criteria, to determine which secondary schools, post-secondary vocational and
technical institutions and higher educational institutions may continue to enroll students
and teachers/faculty as recipients of government assistance under this Act.
“SEC. 16. Appropriations. — The amount needed to implement these programs shall be
provided for in the annual General Appropriations Act for the year 1998. The
appropriation of One billion pesos (P1,000,000,000.00) already appropriated under the
General Appropriations Act of 1998 shall be used for this purpose.
“All funds appropriated for this purpose shall be constituted as a trust fund to be
administered by the State Assistance Council, which shall be directly and automatically
released to the different regional offices of the DECS.
“SEC. 17. Penalties. — In case of violations of the provisions of this Act or the rules
and regulations promulgated pursuant thereto by an institution, the Department of
Education, Culture and Sports, the TESDA and the CHED, upon the recommendation of
the Council, may bar the institution from participating in or benefiting from the programs
of this Act, and from other programs of the Department, without prejudice to
administrative and criminal charges as may be filed against the school and/or its
responsible officers under existing laws.
“SEC. 18. Repealing Clause. — All laws and decrees, particularly Presidential Decree
Nos. 932 and 1371, and such letters of instructions, rules and regulations or parts
thereof which are inconsistent with this Act are hereby repealed or modified accordingly.
“SEC. 20. Effectivity Clause. — This Act shall take effect immediately upon its
publication in English in an English newspaper and in Filipino in a Filipino newspaper,
both of general circulation: Provided, That the implementation of new programs of
assistance provided in this Act shall be effective in the school year of the succeeding
fiscal year within which the appropriations necessary to implement the new programs
shall have been approved into law.”
SECTION 2. Effectivity Clause. — This Act shall take effect immediately upon its
publication in English in an English newspaper and in Filipino in a Filipino newspaper,
both of general circulation.
FAPE was created on November 5, 1968 by Executive Order No. 156, in implementation of the
project agreement between the Philippine and United States governments to establish a permanent
trust fund that would address the needs of the private education sector in the country.
FAPE has evolved as it not just refers to the Fund but also to an organization that assists the PEAC
in administering the Fund. Through the years, FAPE has become a unique entity as it is not just a
funding agency but also an active player in Philippine education as it manages and develops
programs of assistance to private education and participates in initiatives affecting the sector.
Today, FAPE serves as the key government instrumentality to support the development of private
education as an indispensable partner of the public school system. It manages programs under the
Government Assistance to Students and Teachers of Private Schools, or GASTPE, such as the
Educational Service Contracting (ESC) scheme, Teachers’ Salary Subsidy Fund, and In-Service
Training Fund, among others.