Around 1.5 million Filipinos are digital nomads who are tapped via the freelance market based on the Paypal published report on global freelancer insights in 2018. With the onset of pandemic, more will be joining the digital industry as freelancers due to rising unemployment.

Along this line, House Bill No. 8817 or the Freelance Workers Protection Act was approved to cater to the welfare of freelancers. Here are some highlights of the proposed bill:

Freelance worker

• A written contract is required between the employer and the freelance worker which will state the breakdown of services, compensation and benefits, length of contract, grounds for breach of contract, and other conditions in accordance with the mandates of the Department of Labor and Employment (DOLE).

• Provision of night differential which is not less than 10% of the regular pay and a hazard pay of at least 25% of the total payment for the service provided.

• Freelance workers are mandated to register with the Bureau of Internal Revenue (BIR) to pay their taxes.

Employer

• Paying the compensation/salary must not be later than 15 days after the compensation date stated in the contract. If there is no contract, the basis will be the day after services have been rendered.

• Cannot pay less than what is stated in the contract of services.

• Commit any act of retaliation to the freelance worker.

Violators will be fined with a minimum of Php 50,000 and a maximum of Php 500,000.