On December 15, 2005, the Philippines and South Korea have signed a bilateral agreement providing for social security protection to their respective citizens in either country.

Under the agreement, entitlement to social security benefits pertains to retirement, disability, and death/survivorship benefits. As for coverage, Filipinos working under contract in Korea under the Korean Industrial Training System and the Employment Permit System will continue to be covered under the Philippine SSS, but those not under contract in the two systems will be covered by the Korean National Pension System (NPS). There will also be equality of treatment, such that a Filipino covered by the NPS, including his beneficiaries, will be eligible for social security benefits under the same conditions as a Korean national in Korea.

The agreement will enter into force on the first day of the third month following the month in which the contracting parties receive written notification from the other that they have complied with all legal requirements under their respective legislation. For the Philippines, this means that the bilateral agreement must have been ratified by the President and concurred by the Senate.

...back to 2 February 2006


More information:
Philippines - South Korea social security agreement forged

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The President has directed the Department of Labor and Employment (DOLE) to undertake a joint project with the Department of Energy (DOE) in providing transportation assistance benefit to workers as part of the non-wage benefits given to low-salaried workers. The DOLE will also collaborate with the Development Bank of the Philippines (DBP) in the acquisition and operation of shuttle buses fuelled with compressed natural gas (CNG) for DOLE employees.

The project is a component of the package of non-wage benefits for minimum wage earners and other low-salaried workers provided for by the Presidential directive. Funding for the project will be sourced from the DOLE savings and also through DBP financing. The DOE will facilitate access to CNG fuel for the shuttle buses at subsidized rate. The objective is to provide a prototype CNG-bus cum shuttle service for employers and workers groups and other government agencies.

The measure is contained in the Presidential directive ordering the DOLE, DOE, and DBP to provide for transportation assistance and benefits to workers to alleviate their plight brought about by increases in fuel and consumer prices and also in anticipation of the impact of the expanded VAT in 2006. The directive ordered the three agencies to undertake a pilot project on the purchase and operation of CNG-fuelled shuttle buses for DOLE employees to serve as a model for employers and labor groups.

Effective January 1, 2006, all minimum wage earners in the private and public sectors will be exempted from the collection of withholding tax pursuant to the President's directive providing for tax and other non-wage measures for low-salaried workers. About 365,000 minimum wage workers in both government and private firms or 13 percent of about 2.8 million minimum wage earners in the country stand to benefit from the presidential directive.

...back to 29 December 2005


More information:
Non-wage benefits include transportation assistance; DOLE to pilot shuttle bus project for workers

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