AN ACT STRENGTHENING AND EXPANDING THE COVERAGE OF THE SPECIAL PROGRAM FOR EMPLOYMENT OF STUDENTS

Case Overview and Summary

Summary of Republic Act No. 9547

Strengthening and Expanding the Coverage of the Special Program for Employment of Students (SPES)

- Definitions (Section 1):
    - Poor but deserving students: Those whose combined family income does not exceed the annual regional poverty threshold level for a family of six, as determined by NEDA.
    - Eligible age: 15 to 25 years old.

- Employment Provisions (Section 1):
    - Employers with at least 10 employees can hire eligible students.
    - Pay must be at least the minimum wage for private employers or applicable hiring rate for government agencies.
    - Secondary students can only work during summer and Christmas vacations.
    - Tertiary, vocational, or technical students can work anytime during the year.
    - Employment duration: 20 to 52 working days, except 10 to 15 days during Christmas vacation.
    - Students employed in activities related to their course may earn academic credits.

- Salary Payment (Section 2):
    - 60% paid by employers in cash.
    - 40% paid by the government in the form of an education voucher for tuition fees and books.
    - Local government units may pay the full salary.
    - Vouchers must be paid to educational institutions within 30 days.
    - Vouchers are transferable in case of death or justifiable cause.

- Implementation (Section 3):
    - Rules and regulations to be issued by the Secretaries of Labor and Employment, Education, Commission on Higher Education, Budget and Management, Social Welfare and Development, and Finance.
    - Secretary of Labor and Employment is the Program Chairman.

- Penalties (Section 4):
    - Refusing to honor education vouchers or making fraudulent claims: 6 months to 1 year imprisonment and a fine of at least ₱10,000.
    - Managing partners, general managers, or chief executive officers are criminally liable for corporations or partnerships.

- Appropriations (Section 5):
    - Funding to be included in the Department of Labor and Employment's program.
    - Appropriations in the General Appropriations Act, not to be reduced below the previous year's amount.
    - Appropriations to increase by at least 20% annually.