
Hiring Employees 101: Telecommuting Act 2 years ago
The Telecommuting Act, also known as Republic Act No. 11165, defines telecommuting as an alternative work arrangement that companies may use after reaching an agreement with their employees.
The law outlines the obligations and rights of businesses and employees participating in telecommuting programs. It also covers the handling of complaints resulting from remote work arrangements.
Several businesses may not be aware of this, but telecommuting or remote employees shall also be given the same rights, benefits, and fair treatment as employees working inside the office.
Here are the things that businesses should know about the telecommuting Act.
Alternative workplace
Employees can be allowed to work remotely or from home–outside of the office, depending on the agreed arrangement with the employer. But employers must ensure that remote workers won't feel cut off from the rest of the team; instead, they shall be encouraged to meet with colleagues regularly.
Compensation & Benefits
Despite the remote arrangements, the compensation and benefits shall not be at least the minimum labor standards. Employees shall be compensated based on their work hours and be given complete government-mandated benefits. This includes:
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13th-month pay
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Overtime Pay
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Statutory Benefits (SSS, PhilHealth, PAG-IBIG)
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Leave benefits
Rest Day
Similar to employees who work in the office, remote employees shall also be given a rest day, holiday leave, and non-working days. This is according to the Labor Code of the Philippines, which also applies to remote employees.
Workload
The workload and performance standards for a remote worker should be the same for similar employees who work in the office. However, the parties can agree upon different performance criteria that would be more suitable given the employee's location, which can be added to the employment contract.
Data Privacy
The employer and employee must agree to set some necessary precautions to protect data used and processed for professional purposes. Both parties must abide by the company's data privacy policy and ensure that intellectual and sensitive information is always protected.
According to Section 7 of the Telecommuting Act, employers who wish to implement telecommuting work arrangements must notify the Department of Labor and Employment (DOLE) by filling out the report form required by DOLE and submitting it in print or digital format to the nearest DOLE office.
Suppose you are considering having a telecommuting work arrangement. In that case, you may also read Hiring Employees 101: Managing Remote Employees to understand how to implement a more effective remote arrangement.
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