R.a. No. 7686 - Dual Training System Act of 1994

8/9/2019 R.a. No. 7686 - Dual Training System Act of 1994

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REPUBLIC ACT NO. 7686REPUBLIC ACT NO. 7686 - AN ACT TO STRENGTHEN MANPOWER

EDUCATION AND TRAINING IN THE PHILIPPINES BY INSTITUTIONALIZING THE DUAL TRAINING SYSTEM AS AN

INSTRUCTIONAL DELIVERY SYSTEM OF TECHNICAL AND VOCATIONAL

EDUCATION AND TRAINING, PROVIDING THE MECHANISM,APPROPRIATING FUNDS THEREFORE AND FOR OTHER PURPOSES

Section 1. Short title. — This Act shall be known as the "Dual TrainingSystem Act of 1994."

Sec. 2. Declaration of olicy. — !t is hereby eclare the #olicy of the Stateto strengthen man#ower e ucation an training in the country so that thelatter may be assure of an e$er growing su##ly of an e ucate an skilleman#ower e%ui##e with a##ro#riate skills an esirable work habits an

attitu es. The Dual Training System& as successfully teste in some highlye$elo#e countries& shall be a o#te in uly accre ite $ocational an

technical schools& in coo#eration with accre ite agricultural& in ustrial anbusiness establishments& as one of the #referre means of creating ae#en able #ool of well'traine o#erators& craftsmen an technicians for theeconomy. Sec. (. )b*ecti$es. — This Act shall ha$e the following ob*ecti$es+

a, encourage increasing utili-ation of the ual system in technical an$ocational e ucation an training by both #ublic an #ri$ate schoolswithin the conte t of the e isting e ucation system/

b, encourage increasing le$els of in$estment in technical an $ocationale ucation an training by both #ublic an #ri$ate sectors s#ecially inthe rural areas/

c, enhance the em#loyability an #ro ucti$ity of gra uates by e%ui##ingthem with analytical an creati$e thinking an #roblem'sol$ingabilities/ mani#ulati$e com#etencies which meet occu#ationalstan ar s an re%uirements/ $alues an attitu es with em#hasis onwork ethics& %uality orientation& isci#line& honesty& self'reliance an#atriotism/ an

, strengthen training coo#eration between agricultural& in ustrial anbusiness establishments an e ucational institutions by esigning anim#lementing rele$ant training #rograms in close coor ination withconcerne local go$ernment units.

Sec. 4. De0nition of Terms. — or #ur#oses of this Act& the following termsshall mean+

a, "A##ro#riate Authority" refers to the go$ernment entity in'charge of formal technical an $ocational e ucation training.

b, "Dual Training System" refers to an instructional eli$ery system of



technical an $ocational e ucation an training that combines in'#lanttraining an in'school training base on a training #lan collaborati$elyesigne an im#lemente by an accre ite ual system e ucationalinstitution training center an accre ite ual system agricultural&in ustrial an business establishments with #rior notice an a $ice to

the local go$ernment unit concerne . 3n er this system& saiestablishments an the e ucational institution share the res#onsibilityof #ro$i ing the trainee with the best #ossible *ob %uali0cations& theformer essentially through #ractical training an the latter by securingan a e%uate le$el of s#eci0c& general an occu#ation'relatetheoretical instruction. The wor " ual" refers to the two #arties#ro$i ing instruction+ the conce#t "system" means that the twoinstructing #arties o not o#erate in e#en ently of one another& butrather coor inate their e orts.

c, "Trainee" refers to a #erson %uali0e to un ergo the ual trainingsystem for the #ur#ose of ac%uiring an e$elo#ing *ob %uali0cations.

, "Accre ite Dual Training System 5 ucational !nstitution Training6enter" refers to a #ublic or #ri$ate institution uly recogni-e anauthori-e by the a##ro#riate authority& in coor ination with thebusiness an in ustry& to #artici#ate in the ual training system.

e, "5stablishments" refer to enter#rises an or ser$ices of agricultural&in ustrial& or business establishments.

f, "Accre ite Dual Training System Agricultural& !n ustrial an 7usiness5stablishments" hereinafter referre to as agricultural& in ustrial anbusiness establishments& refer to a sole #ro#rietorshi#& #artnershi#&cor#oration or coo#erati$e which is uly recogni-e an authori-e bythe a##ro#riate authority to #artici#ate in the ual training system

e ucational institution.

Sec. 8. !nstitutionali-ation of the Dual Training System. — The ual trainingsystem& hereafter referre to as the System& is hereby institutionali-e in thehili##ines in accor ance with the #ro$isions of this Act.

Sec. . 6o$erage. — This Act shall a##ly to all #ublic an #ri$atee ucational institutions training centers an agricultural& in ustrial anbusiness establishments uly accre ite to #artici#ate in ual trainingsystem.

Sec. :. lanning an 6oor ination. — The a##ro#riate authority shall #lan&set stan ar s& coor inate& monitor& an allocate resources in su##ort of theim#lementation of the System.

5$ery accre ite e ucational institution training center shall establish anin ustrial coor inating o;ce which shall su#er$ise the in'#lant training+#ro$i e & that& the in ustrial establishment shall be re%uire to furnish thee ucational institution with the necessary information for the #ur#ose of



su#er$ision.

The in ustrial coor inating o;ce shall be hea e by an in ustrialcoor inator with& at least& an o;cer le$el rank. The in ustrial coor inatormay be assiste by such other #ersonnel as may be necessary for the

e ecti$e ischarge of the functions of the o;ce.

Sec. <. Status of Trainee. — or the uration of the training un er theSystem& the trainee is to be consi ere not an em#loyee of thebusiness in ustrial establishment but rather a trainee of both the Accre iteDual Training System 5 ucational !nstitution an the agricultural& in ustrialan business establishments+ #ro$i e & that& the union or the workers of thelatter ha$e been uly informe in a $ance of such agreement.A trainee who has successfully com#lete a training #rogram in a #articularagricultural& in ustrial or business establishment shall be gi$en #riority of em#loyment in that agricultural& in ustrial or business establishment. The

a##ro#riate authority shall kee# a roll of these successful trainees for#ur#oses of i entifying them for em#loyment.

Sec. 9. !ncenti$es for artici#ating 5stablishments. — To encourageagricultural& in ustrial an business establishments to #artici#ate in theSystem& they shall be allowe to e uct from their ta able income theamount of 0fty #ercent =8>?, of the actual system e #enses #ai to theAccre ite Dual Training System 5 ucational !nstitution for theestablishment@s trainees+ #ro$i e & that such e #enses shall not e cee 0$e#ercent =8?, of their total irect labor e #enses but in no case to e cee

Twenty'0$e million #esos = 28&>>>&>>>, a year.

Donations for the o#eration of the System shall be e uctible from theta able income of the onors.

The De#artment of inance shall issue the necessary rules an regulationsfor the #ur#ose of ta incenti$es #ro$i e herein.

S56T!) 1>. )bligations of Accre ite Agricultural& !n ustrial an 7usiness5stablishments. — The agricultural& in ustrial an business establishmentsshall+

a, ensure that the necessary abilities an knowle ge for the trainee toachie$e the #ur#ose of his training are im#arte to him an shall#ro$i e such training systematically in accor ance with an a##ro$altraining #lan/

b, a##oint the training o;cer to im#lement the training #lan/c, make a$ailable& free of charge& the consumable materials an basic

han tools an e%ui#ment necessary for his training/, allow the trainee to atten his in'school training an to sit for his

e aminations/



e, re%uire the trainee to kee# his re#ort book u#'to' ate an ins#ect suchbooks/

f, ensure that the trainee is encourage to e$elo# his #ersonality anthat he is #rotecte from #hysical or moral anger/

g, entrust to the trainee such *obs as are relate to the #ur#ose of his

training an are commensurate with his ca#abilities/h, #ay to the accre ite e ucational institution training center the ailyallowance of the trainee/ an

i, allow the trainee the necessary time'o for his in'school training.

S56T!) 11. )bligations of the Trainee. — A trainee shall e ert e$ery e ortto ac%uire the abilities an knowle ge necessary for him to achie$e the#ur#ose of his training. Towar s this en & he shall+

a, carefully #erform the *obs entruste to him as #art of his training/b, take #art in training #rograms for which he has been grante time'o

un er this Act/

c, follow the instruction gi$en to him as #art of his training by thetraining o;cer or any other #erson entitle to gi$e him suchinstructions/

, obser$e rules of beha$ior in the training #remises/e, use tools& instruments& machines& an other e%ui#ment with ue care/f, not re$eal any business nor tra e secrets that ha$e come to his

knowle ge in the course of his training/ ang, kee# his recor books u#'to' ate.

S56T!) 12. )bligations of the Accre ite 5 ucational !nstitutions Training6enters. — The e ucational institutions training centers that ha$e entere

into a memoran um of agreement with agricultural& in ustrial or businessestablishments to un ertake training shall+

a, esign& im#lement& an e$aluate *ointly the training #lan with theaccre ite establishments/

b, #ro$i e s#eci0c& general& an occu#ation'relate theoreticalinstruction/

c, a##oint in ustrial coor inators to su#er$ise the in'#lant training/, #ay the trainee his aily allowance/ ane, #erform such other tasks an acti$ities as may be necessary an in

furtherance ofthe ob*ecti$es of the training.

S56T!) 1(. on' iminution of !ncenti$es. — othing in this Act shall beconstrue to iminish or re uce any #ri$ilege alrea y en*oye by the #artiesconcerne un er e isting laws& ecrees& or e ecuti$e or ers.

S56T!) 14. Signing of Bemoran um of Agreements by the Accre iteDual Training System Agricultural& !n ustrial an 7usiness 5stablishments&the Accre ite Dual Training System 5 ucational !nstitution Training 6enter&



an the Trainee. — 7efore an in i$i ual establishment begins with anaccre ite e ucation institution training center an the trainee or hisre#resentati$e& the in i$i ual establishment shall #ro$i e the accre itee ucational institution training center an the trainee with a co#y of thesigne agreement.

The memoran um of agreement shall set forth& among others& thefollowing+

a, the training #lan/b, the nature an ob*ecti$e of the training/c, the commencement an uration of the training #erio & inclu ing the

total number of in'school an in'#lant training hours/, the normal aily training hours/e, the trainee@s allowance an the rate to be a##lie & which in no case

shall start below se$enty'0$e #ercent =:8?, of the a##licableminimum aily wage for ays s#ent in the establishments/

f, the rights an obligations of the #arties concerne in a ition to those#ro$i e in Sections 1>& 11& an 12/g, the e0nition of the status of the trainee accor ing to Sec. < of this

Act/h, the con itions for the termination of the training agreement/i, the #erformance& monitoring an e$aluation system/ an

*, such other essential #articulars as woul mutually bene0t all #artiesconcerne .

S56T!) 18. !nsurance 6o$erage of the Trainee. — 5$ery agricultural&in ustrial an business establishment un ertaking training& in accor ance

with the #ro$isions of this Act& shall sign a life an or acci ent insurance#olicy on the life of the trainee with the insure an the s#ouse& chil ren or#arents of the trainee as the bene0ciaries thereof+ #ro$i e & that& theagricultural& in ustrial an business establishments shall #ay for the#remiums of sai insurance #olicy.

S56T!) 1 . Ce$ol$ing un . — Any law& rule or regulation to the contrarynotwithstan ing& the Accre ite Dual Training System 5 ucational!nstitution Training 6enter is hereby authori-e to retain as a re$ol$ing fun &the amount #ai to it by the agricultural& in ustrial an businessestablishments re#resenting the actual ual training e #enses. The funshall be use to im#ro$e the o#eration of the ual training system.

S56T!) 1:. !m#lementing Cules. — The a##ro#riate authority an theDe#artment of inance& u#on #rior consultation with the business anin ustry concerne & shall issue the necessary rules an regulations for thee ecti$e im#lementation of this Act within a #erio of ninety =9>, ays afterits e ecti$ity. Any $iolation of this Section shall ren er the concerneo;cials liable un er C.A. o. :1(& otherwise known as the "6o e of 6on uct



an 5thical Stan ar s for ublic );cials an 5m#loyees" an other e istinga ministrati$e an or criminal laws.

S56T!) 1<. )ther 5 em#tion from Ta es an Duties. — Any onation&contribution& be%uest& subsi y& or 0nancial ai which may be ma e for the

o#eration of the System shall constitute as allowable e uction from theincome of the onors for income ta #ur#oses an shall be e em#t fromonor@s ta & sub*ect to such con itions as #ro$i e un er the ational

!nternal Ce$enue 6o e& as amen e . 5ssential e%ui#ment& a##aratus anmaterials im#orte by accre ite ual training #ri$ate e ucationalinstitutions shall be e em#t from ta es an uties+ #ro$i e & that& theim#ortation of these items shall be sub*ect to the following %uali0cations+

a, that the im#ortation shall be certi0e by the a##ro#riate authority/b, that they shoul be actually& irectly& an e clusi$ely use in

connection with the ual training system an any unauthori-e useshall sub*ect the accre ite ual training #ri$ate e ucational

institutions to #ayment of ta es an uties ue thereon/ anc, that they are not a$ailable locally in su;cient %uantity of com#arable%uality& an at reasonable #rices/

ro$i e & howe$er& that ta es an uties #ertaining to the im#ortations of accre ite go$ernment an ual training e ucational institutions areeeme automatically a##ro#riate .

The De#artment of inance shall formulate the necessary rules anregulations to im#lement the #ro$isions of this section.

S56T!) 19. A##ro#riations. — or this initial im#lementation of this Act&an amount of )ne million #esos = 1&>>>&>>>, shall be charge against thecurrent year@s a##ro#riation of the contingency fun . Thereafter& such sumsas may be necessary for its continue im#lementation& shall be inclu e inthe annual eneral A##ro#riations Act.

Sec. 2>. Se#arability 6lause. — !f for any reason any #ro$ision of this Act iseclare in$ali or unconstitutional& the rest shall not be a ecte thereby.

Sec. 21. Ce#ealing 6lause. — All laws& ecrees& or ers& rules anregulations or #arts thereof inconsistent with this Act are hereby re#eale ormo i0e accor ingly.

Sec. 22. 5 ecti$ity. — This act shall take e ect after com#letion of its#ublication in the );cial a-ette or in two =2, news#a#ers of generalcirculation.

Approved: February 25, 1994

R.a. No. 7686 - Dual Training System Act of 1994

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