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Republic Acts

AN ACT REQUIRING PRIVATE CONTRACTORS TO WHOM NATIONAL

Republic Act No. 6685

Republic of the Philippines
Congress of the Philippines

Metro Manila

Eighth Congress


Republic Act No. 6685 December 12, 1988

AN ACT REQUIRING PRIVATE CONTRACTORS TO WHOM NATIONAL, PROVINCIAL, CITY AND MUNICIPAL PUBLIC WORKS PROJECTS HAVE BEEN AWARDED UNDER CONTRACT TO HIRE AT LEAST FIFTY PERCENT OF THE UNSKILLED AND AT LEAST THIRTY PERCENT OF THE SKILLED LABOR REQUIREMENTS TO BE TAKEN FROM THE AVAILABLE BONA FIDE RESIDENTS IN THE PROVINCE, CITY OR MUNICIPALITY IN WHICH THE PROJECTS ARE TO BE UNDERTAKEN, AND PENALIZING THOSE WHO FAIL TO DO SO

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled::

Section 1. Contractor Requirement. - All private contractors, including subcontractors, to whom awards are made for the undertaking of national and local public works projects funded by either the National Government or any local government unit including foreign-assisted projects must hire at least fifty percent (50%) of the unskilled and thirty percent (30%) of the skilled labor requirements from the unemployed bona fide and actual residents in the...

Summary of Republic Act No. 6685

Contractor Requirement (Section 1):
- Private contractors awarded national, provincial, city, or municipal public works projects must:
    - Hire at least 50% of unskilled labor from unemployed bona fide residents where the project is undertaken.
    - Hire at least 30% of skilled labor from unemployed bona fide residents where the project is undertaken.
- Exemptions:
    - Labor for manufacturing prefabricated materials outside the project site.
    - Skilled labor for engineering designs and project plans.
- If available local labor is less than required percentages, the maximum available local labor shall be hired.

Public Works Projects Involved (Section 2):
- Includes national, provincial, city, municipal, and barangay projects such as roads, schools, power and water systems, piers, airports, and similar projects.

Excluded Projects (Section 3):
- Highly technical scientific projects.
- Defense and military installations under security requirements.
- Projects undertaken by the Armed Forces of the Philippines.
- Private contractors for strategic projects require clearance from the Armed Forces Chief of Staff or the Department of Science and Technology Secretary.

Notice of Labor Requirements (Section 4):
- Contractors must post notices in conspicuous areas, in Filipino, English, or local dialect, stating local residents are needed.
- Applicants must provide voter's ID, reliable identification, or barangay verification to prove local residency.
- Applicants must pass reasonable performance requirements of the contractor.

Certificate of Compliance (Section 5):
- Contractors must submit a sworn certificate of compliance with the labor requirements, including a list of hired local residents, with every progress billing.

Penalty (Section 6):
- First offense: Fine of ₱20,000.
- Second offense: 1-year suspension from public works bidding.
- Third offense: Perpetual disqualification from public works bidding.
- Penalty clause must be included in all government contracts.

Rules and Regulations (Section 7):
- The Department of Public Works and Highways Secretary, after consulting with national constructors associations and the Labor Secretary, shall issue implementing rules and regulations within 60 days of the Act's approval.

Effectivity (Section 8):
- The Act shall take effect upon complete publication in at least two national newspapers of general circulation.

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