COVERAGE

1. RA 8972 The Solo Parents

Welfare Act of 2000
2. RA 7641 - The Retirement
Pay Law

Solo Parents Welfare Act of 2000

(RA 8972)

What is the Solo Parents Welfare Act?

- Provides for benefits and privileges to solo
parents and their children.
- Aims to develop a comprehensive
package of social development and welfare
services for solo parents and their children.

When did RA 8972 take effect?

RA 8972 was signed into law on
November 7, 2000 and took effect on
November 28, 2000.
Its implementing rules and regulations
(IRR) was approved in April 2002.

Who are considered as solo

parent?
Solo Parent is any individual who falls under
any of the following categories:
1. A woman who gives birth as a result of
rape and other crimes against chastity
even without a final conviction of the
offender, provided that mother keeps and
raises the child.

2. Parent left solo or alone with

responsibility of parenthood due to
following circumstances:

the
the

a. Due to death of spouse

b. Spouse is detained or is serving sentence

c. Physical or mental incapacity of spouse
d. Legal or de facto separation from spouse

e. Declaration of nullity or annulment of marriage

3. Unmarried mother/father who has preferred

to keep and rear her/his child/children instead
of having others care for them or give them up
to a welfare institution..
4. Any other person who solely provides
parental care and support to a child or
children. (foster parent or legal guardian)
5. Any family member who assumes the
responsibility of head of family as a result of
the death, abandonment, disappearance or
prolonged absence of the parents or solo
parent.

What are the benefits available

to a solo parent?
a. Flexible work schedule;
b. Parental leave of not more than seven (7)
working days;
c. Educational benefits;
d. Housing benefits on liberal terms in lowcost government housing; and
e. Medical Assistance.

What is Flexible Work-schedule?

is the right granted to a solo parent
employee to vary his/her arrival and
departure time without affecting the
core work hours as defined by the
employer;

What is Parental leave?

leave benefits granted to a solo parent to
enable him/her to perform parental duties
and responsibilities where physical
presence is required.
Not more than 7 working days every year;
Non-cumulative;
Not convertible to cash, if unused.

What are the conditions to be

entitled to parental leave?
a. have rendered at least 1 year of service,
whether continuous or broken.
b. give prior notice to the employer within
reasonable time period; and
c. present his Solo Parent ID Card to the
employer.

Housing benefits
given allocation in government low-cost
housing projects on liberal terms of
payment.
Conditions:
a. meet the qualification criteria for housing
assistance under the Urban Development
and Housing Act.
b. file directly with NHA projects offices.

Educational benefits
(a) Scholarship programs for qualified solo
parents and their children in institutions of
basic,
tertiary
and
technical/skills
education;
(b) Non-formal education programs
appropriate
for solo parents and their
children.

Educational benefits
(a) Scholarship programs for qualified solo
parents and their children in institutions of
basic,
tertiary
and
technical/skills
education;
(b) Non-formal education programs
appropriate
for solo parents and their
children.

Medical Assistance
Only solo parents whose income are below
the poverty threshold as set by NEDA are
eligible.

Procedure in Accessing Services

a. Visit the Social Welfare and Development office to
manifest need for assistance;
b. Fill up application form

c. Undergo Assessment process

d. Social Worker to prepare a Social Case
Study Report
e. Forward study report with referral to the
concerned agency.
f. Issuance of Solo Parent ID Card within 30 days

Procedure in Accessing Services

f. Issuance of Solo Parent ID Card within 30 days
. Fill up application form
c. Undergo Assessment process

d. Social Worker to prepare a Social Case

Study Report
e. Forward study report with referral to
concerned agency.

RETIREMENT PAY LAW

(RA 7641)
enacted on 09 December 1992

RETIREMENT
DEFINED:

A. withdrawal from one's position or

occupation or from active working life
B. The period of a person's life during
which he/she is no longer working, or
the commencement of that period.

GENERAL RULE:

R.A. 7641

a. OPTIONAL at 60 years with

minimum 5 years of service

b. MANDATORY at 65 years,
no service requirement

EXCEPTION:
Where the company provides
for a Retirement Plan with
earlier retirement age, then the
companys Retirement Plan
will apply

GENERAL RULE: R.A. 7641

month for every year of service
EXCEPTION:
Where the company provides for a
Retirement Plan with better benefits,
then the companys Retirement Plan
will apply

1. WHO MAY BENEFIT?

ALL EMPLOYEES IN THE PRIVATE COMPANY,
REGARDLESS OF POSITION AND CLASSIFICATION.
They shall include part-time employees, employees of service
and other job contractors and domestic helpers or persons in
personal service of another.

2. WHO MAY NOT BENEFIT?

GOVERNMENT EMPLOYEES
EMPLOYEES OF RETAIL AND AGRICULTURAL
ESTABLISHMENTS EMPLOYING TEN OR LESS
EMPLOYEES

3. PARAMETERS FOR AVAILMENT

MANDATORY AT 65 YEARS OF AGE, NO
SERVICE REQUIREMENT

OPTIONAL AT AGE 60, WITH FIVE (5) YEARS

SERVICE REQUIREMENT
IF COMPLIED WITH, BENEFITS ARE TAXEXEMPT.

HOW MUCH IS THE BENEFIT?

4.1 FOR THOSE PAID REGULARLY -- ONE-HALF
MONTH SALARY COMPUTED AT 22.5 DAYS PER
CAPITOL WIRELESS VS. CONFESOR CASE.
(REITERATED IN STA. CATALINA SCHOOL VS. NLRC 2003 CASE)

Components of one-half month salary

15 days x latest salary per day)

+ 5 days leave x latest salary per day)
+ 1/12 of 13th month pay
+ All other benefits that the employer and
employee may agree upon that should be included
in the computation of the employees retirement
pay.

IS THE RETIREMENT PAY UNDER RA

7641 TAX-EXEMPT?
YES, any retiree who satisfies the requirements
of R.A. No. 7641 (retirement under a CBA or
other applicable employment, and service for at
least five years) is entitled to the tax exemption,
even if he is a member of a reasonable private benefit
plan established by his employer and approved by the
BIR,
PROVIDED that the retirement benefit he receives
from the Plan is equal to or less than the minimum
requirement benefit provided by R.A. No. 7641

REQUIREMENTS FOR TAX

EXEMPTION UNDER RA 7641
There is no collective bargaining agreement or
other applicable employment contract providing
for retirement benefits for an employee; OR there
is a collective bargaining agreement or other
applicable employment contract providing for
retirement benefits for an employee, but it is below
the requirements set for by law.
Employees reached the age of 60 years or more,
but not beyond 65 years

Employees rendered at least 5 years in service