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WHEREAS, the "Omnibus Policies", shall benefit the member-OFWs through effective delivery of OWWA programs and services, and the judicious and prudent management of the OWWA Fund;

RESOLVED therefore, as it is hereby resolved, to promulgate and adopt the herein Omnibus Policies of the Overseas Workers Welfare Administration.

Adopted: 19 Sept. 2003

Omnibus Policies of the Overseas Workers Welfare Administration

Article 1
  General Provisions

Section 1. Purpose and Scope of Omnibus Policies - These omnibus policies are promulgated to provide guidelines on matters concerning Overseas Workers Welfare Administration (OWWA) membership and its coverage, collection of contributions, and availment of benefits. This document also embodies the policies on fund management, programs and services administration, and corporate governance.

Article II
  OWWA Mandate  

Section 1. Declaration of Policy - The creation of OWWA emanates from the Constitutional mandate for the State to affirm labor, local and overseas, as a primary social economic force, and to guarantee the protection of the rights of overseas workers and the promotion of their interests and general well-being.

Section 2. Enabling Laws - The Welfare and Training Fund for Overseas Workers was created as an attached agency of the Department of Labor and Employment (DOLE) through Letter of Instructions No. 537 dated 01 May 1997. Presidential Decree No. 1694 dated 01 May 1980, as amended by Presidential Decree No. 1809 dated January 1981 created and operationalized the organization of the Welfare Fund for Overseas Workers (WFOW)

WFOW was renamed OWWA with the issuance of Executive Order 126 dated 30 January 1987.

Republic Act 8042 dated 07 June 1995, further clarified and enhanced the functions, and board membership of OWWA.

Executive Order 195 dated 13 August 1994 provides for compulsory Medicare coverage to all OFWs and their dependents except those with existing coverage with the GSIS/SSS voluntary membership program.

Section 3. Purposes and Objectives - Pursuant to the preceding Section, the main purposes and objectives of OWWA are:           

(a)	To protect the interest and promote the welfare of OFWs in recognition of their valuable contribution to the overall development effort;
(b)	To facilitate the implementation of the provisions of the Labor Code concerning the responsibility of the government to promote the well-being of OFWs;
(c)	To provide social and welfare services to OFWs, including insurance, social work assistance, legal assistance, cultural services, and remittance services;
(d)	To ensure the efficiency of collection and the viability and sustainability of the fund through sound and judicious investment and fund management policies.
(e)	To undertake studies and researches for the enhancement of their social, economic and cultural well-being; and
(f)	To develop, support and finance specific projects for the welfare of OFWs.

Section 4. Vision and Core Values - OWWA is the lead membership welfare institution that serves the interest and welfare of member-Overseas Filipino Workers (OFWs).

OWWA commits to a fund stewardship that is transparent, judicious, and responsive to the requirements of the member-OFWs.

Section 5. Mission - OWWA develops and implements responsive programs and services, while ensuring fund viability, towards the protection of the interest and promotion of the welfare of its member-OFWs.

Section 6. Quality Policy - OWWA measures its worth by total member-OFW satisfaction with timely interventions and quality standards set forth.

Section 7. Clientele - The clients of OWWA are its member-OFWs.

Section 8. Program Thrusts - The strategic program thrusts of OWWA are aligned with the broad national policies and priorities. In addressing the needs of member-OFWs, the program thrusts shall be determined by its twin mandate: 

  (a) Welfare services and benefits
  (b) Capital build-up and fund viability 

Article III
  Organization and Management

Section 1. The Organization - OWWA is composed of the Board of Trustees as the policy making body, and the Secretariat as its implementing arm.

Section 2. Board of Trustees - The Board of Trustees is a tripartite body with twelve (12) members representing government, management, and labor-OFW. The women sector is likewise represented in the Board.                                                                                         

Secretary of Labor and Employment	- Chairman
OWWA Administrator	- Vice-Chairman
Secretary of Foreign Affairs	- Member
Secretary of Finance	- Member
Secretary of Budget and Management	- Member
Undersecretary of Labor and Employment	- Member
POEA Administrator	- Member
Representative, Management Sector	- Member
Representative, Labor Sector	- Member
Representative, Sea-based OFWs	- Member
Representative, Land-based OFWs	- Member
Representative, women Sector	- Member

 

Section 3. Responsibilities and Powers of the Board of Trustees  - Pursuant to letter of Instructions No. 537 the Board is vested with the following responsibilities and powers:   

a)	To adopt policies, rules, and regulations to implement the objectives and purposes of OWWA;
b)	To approve programs, projects, and the organizational structure of the OWWA Secretariat;
c)	To formulate rules and regulations governing financial transactions, as well as fix the yearly appropriations of the Secretariat; and
d)	To ensure the efficiency of collection and the viability and sustainability of the fund through sound and judicious investment and fund management policies;
e)	To perform any other act to attain the objectives and purposes of OWWA.

Section 4. Schedule of Board Meetings - The regular meetings of the OWWA Board of Trustees shall be held every last Friday of the month. If a change of date becomes necessary, the same shall be held at the most convenient time set by the Board of Trustees.

Special Board meetings may be scheduled as the need arises.

Section 5. Board Proceedings - The Board proceedings shall be guided by the following rules:

a)	Notice of Meetings. The Board Secretary shall distribute to all Members of the Board, the Notice of Meeting together with the discussion materials at least three (3) working days prior to the scheduled meeting.
b)	Quorum. In determining the existence of a quorum, the Board shall adopt the simple majority rule of one half plus one of the total filled Board seats.
c)	Attendance of Proxies. The Board members may designate their permanent alternate in writing subject to the acceptance of the Board. The designated alternate shall have voting rights. His decision shall be deemed the decision of his principal.  The Alternate cannot further delegate such representation. However, in the event that the member and his permanent alternate are absent, any representative sent shall be on observer status.
d)	Presiding Officer. The Chairman shall preside over meetings of the Board. In the absence of the Chair, a duly designated representative, with a rank of an Undersecretary, shall preside. The Administrator acts as the Vice Chairman.
e)	Board Resolution. All decisions of the Board shall be expressed in the form of Resolutions signed by all members present. The Resolution shall be sequentially numbered and dated. Resolutions may be modified or superseded by another resolution. Resolutions shall take effect upon adoption and signing by the present Members, subject to requisite publication.
f)	Executive Sessions. The Board may decide to declare a meeting as an Executive session.
g)	Records Management and Archiving of Board Documents. The Board Secretary shall ensure a thorough recording of all proceedings during a Board meeting. The minutes of the previous meeting shall be made available for approval during the scheduled Board Meeting.  The Minutes of the Meeting shall basically contain the attendance, business arising from the minutes, major agreements reached, corresponding resolutions, and other items noted or discussed, and instructions issued by the Board.  All minutes, tapes, and other documents pertaining to the business of the Board shall be kept and archived pursuant to standard records management systems and procedures.  The minutes, transcripts and tapes are classified confidential and are not for public circulation unless otherwise authorized by the Board/Administrator.

Section 6. Board Entitlements - Board Members shall be provided with honoraria, per diem, and other emoluments as may be allowed by accounting and auditing rules and procedures.

Section 7. OWWA Secretariat – The Secretariat is the implementing arm of OWWA.

Section 8. Functions and Responsibilities of the Secretariat  – The Secretariat shall perform and assume the following functions and responsibilities:                     

(a)	To manage programs and the delivery of welfare services locally and overseas to its members, supported by advocacy and information programs;
(b)	To implement Board policies on investment and fund management;
(c)	To formulate medium term development plans responsive to the welfare, needs and demand of member-OFWs;
(d)	To submit work and financial plans for Board consideration;
(e)	To provide policy analyses and recommendations for Board consideration;
(f)	To conduct continuing researches and studies, including impact evaluation, in aid of policy and program development;
(g)	To regularly monitor and conduct assessment and evaluation of organizational performance;
(h)	To establish and maintain an on line management information system, to include databse on membership;
(i)	To establish and maintain linkages and networks with local and international social and institutional partners;
(j)	To render annual report to the Board and the President; and
(k)	To perform other functions as may be instructed by the Board.

Section 9. The Administrator - The Administrator is the Chief Executive Officer of the Secretariat. He administers the overall operations of the Secretariat. He exercises general supervision and control of all its personnel and resources, and assumes full responsibility and accountability thereof.

Section 10. The Deputy Administrator - The Deputy Administrator shall assist the Administrator in the administration and supervision of operations. The Board may assign specific functional responsibilities to the Deputy Administrator.

Section 11. Corporate Planning - OWWA shall conduct annual planning, budgeting and organizational performance assessment and r ender the report to the Board.

Section 12. Reportorial Requirements - The Secretariat shall submit written quarterly reports on the assessment, and evaluation of programs, projects and services and such other reports as may be required by the Board. 

Article IV
Membership

Section 1. Membership - Membership in OWWA may be obtained in two ways: 

  (a) By enrollment upon processing of contract at the POEA; and
  (b) By voluntary registration of OFWs at job-sites overseas.

Section 2. Proof of Membership - All members shall be issued Official Receipt upon payment of contribution. They shall likewise be issued an OWWA E-Card.

POEA and OWWA are required to maintain database of member-OFWs and to update this regularly.

Section 3. Effectivity of Membership - OWWA membership, either through the compulsory or voluntary coverages, shall be effective upon payment of membership contribution until expiration of the employment contract.

In case of voluntary members who register on-site, membership coverage shall not exceed two (2) years.

Section 4. Renewal of Membership - Membership shall be renewed upon payment of contribution on contract renewal/issuance of new contract. In the case of voluntary membership, coverage shall be renewed upon payment of contribution.

Article V
Collection Policy

Section 1. Legal Basis for Collection of Membership Contribution  - Letter of Instruction (LOI) No. 537 mandates the compulsory payment of OWWA membership contribution in the amount of US$25.00 or its equivalent.

Section 2. Separation of Sea-based and Land-based Workers Contributions - To effect a more efficient fund management between the two (2) sub-sectoral groups, the collection of membership contribution shall be accounted for in two (2) separate books of account.

Section 3. Frequency of Membership Collection - The membership contribution shall be collected on a per contract basis.

Section 4. Authorized Collecting Officers - Membership contributions shall be collected by duly authorized OWWA Collecting Officers, deputized collecting officers or accredited agents.

Section 5. Collection Centers - The collection of membership contributions shall be made at the Philippine Overseas Employment Administration (POEA) contract processing hub, OWWA regional and overseas offices, and other accredited collection centers.

Section 6. Issuance of Official Receipt - Upon payment of OWWA membership contribution, the designated Collecting Officer shall issue an Official Receipt.

SECTION 7. Deposit and Remittance of Collection -

(a)	OWWA Central Office/Regional Offices. The Collecting Officer shall, on a daily basis, deposit all membership contributions to the OWWA Capital Fund Account with the Land Bank of the Philippines and for US dollar currency collections, to Land Bank OWWA Dollar Account. Bank validated deposit slips shall be prepared in triplicate to be distributed to the servicing bank, to OWWA together with the Report of Collections and to the Collecting Officer for reconciliation/record purposes.
(b)	OWWA Overseas Offices - The Collecting Officer shall, on a daily basis, deposit all membership contributions in the same currency received to a separate bank account for collections in the name of the "Office of the Labor Attache-OWWA Collections", in the depository bank of the Department of Foreign Affairs, or in the accredited correspondent bank of the Land Bank of the Philippines. Accumulated monthly collections shall be remitted to the OWWA Land Bank-Manila Dollar Account not later than the 5th day of the following month. No withdrawals, except remittance of collections, can be made from the bank accounts for collections without prior written approval of the Administrator or his duly authorized representative, subject to the policies approved by the Board. Overseas Offices shall be authorized to retain the required amount for the beginning/maintaining balance of the abovementioned bank account for collections.
(c)	Accredited collection centers shall remit collections to OWWA Land Bank-Manila Dollar Account not later than the 5th day of the following month.

Section 8. Reportorial Requirements - The Collecting Officer/deputized collecting officer, or the accredited collecting agent shall prepare and submit the required monthly reports.

Section 9. Sanctions - Handling of collections and deposits by Collection Officers shall be governed by the usual accounting and auditing rules. Corresponding administrative sanctions and other disciplinary measures shall be imposed, including recall from post/suspension/or separation from service.

Article VI
  Fund Management and Investment Policy

Section 1. The Trust Fund - OWWA fund is a single trust fund composed of membership contributions of land-based and sea-based workers; investment and interest income; and income from other sources.

Out of the membership contribution, P165.00 shall be allocated as Insurance Benefit Program Fund to service all insurance claims

Section 2. Safeguarding the Trust Fund. The OWWA Fund, being a Trust Fund, shall be managed and expended in accordance with the purpose of the Fund and safeguarded against any possible loss and misuse.

Section 3. General Investment Policy - As a trust fund, all OWWA investments shall be placed in government securities which provide optimum earnings, liquidity and protection of the Fund. The Board of Trustees shall provide the policies and approve all investment decisions.

Portfolio management of investible fund shall be outsourced to government financial institutions (GFIs).

The Administrator shall roll-over time deposits and/or re-invest matured securities/placements, provided that the original types of securities/placements are not altered. The Administrator shall advise the Board in writing prior to and after such actions.

Section 4. Determination of Investible Fund - This Fund shall refer to the net amount available for investment after deducting the projected monthly operating, program, and contingency fund allocations.

Section 5. Investment Plan and Strategy - OWWA shall formulate medium-term investment and asset management plan that shall include projected yield sufficient to sustain program and service delivery, and programmed growth for capital formation. An annual plan shall be developed to support the investment plan and strategy. Any change in the plan shall require clearance of the Board.

Section 6. Fund Build-up - OWWA shall ensure an appropriate growth rate in the fund sufficient to sustain the growing needs of OFW members.

Section 7. Inventory and Safekeeping of Investment Instruments - OWWA shall ensure that all investment instruments are periodically inventoried and properly kept at a government bank under a custodianship agreement.

Section 8. Regular Report - Monthly report on all investment schedules showing the interest rates, yields, discount rates, and other relevant data, shall be submitted to the Board.

Section 9. Acquired Assets - OWWA shall administer all properties acquired or foreclosed. To ensure that the properties are safeguarded and preserved, the same must be properly accounted for and documented; re-inspected, re-appraised, and insured with taxes paid.

All asset development/disposal plan shall be submitted by the Administrator for the consideration of the Board.

Foreclosed properties shall be registered as OWWA assets within one (1) month after foreclosure.

Section 10. Unredeemed Investments and Other Receivables - Unredeemed investments and other receivables shall be inventoried semi-annually and corresponding redemption plan shall be submitted to the Board. All receivables shall be supported by documents appropriately acknowledged by the accountable party.

Article VII
  Fiscal and Budget Policy

Section 1. Fiscal and Budget Policy - The Board shall set the annual budget at a level sufficient to meet the needs of membership obligations while supporting the targeted growth rate of the capital fund.

Section 2. Budget Cap - A budget cap for an incoming year shall be determined by the Board to ensure fund viability. The budget cap will be reviewed annually with the end in view of achieving comparative efficiency levels of other similar agencies.

Section 3. Allocation Pattern - The proposed budget for any given year shall observe annual allocation pattern where the cost of service provision shall not exceed the cost of programs, claims and benefits.

Section 4. Budget Source - The approved operating budget shall be drawn from the Trust Fund.

Section 5. Budget Preparation and Approval. OWWA shall prepare its annual budget for operational requirements and estimated claims on insurance.

The budget preparation shall follow the national government budget system, format and cycle.

The operating budget shall support planned work programs and priorities for the year. It shall include the requirements for personal services, maintenance and other operating expenses, commitments, and capital outlay.

Section 6. Automatic Appropriation - In case the proposed annual budget has not been approved by the Board at the start of the year, OWWA shall operate within the budget level of the previous year allocated on a month to month basis. All savings realized within a previous year shall be deducted from a current year's budget.

Section 7. Work and Financial Plans - All cost centers/offices/units of OWWA shall submit their annual work and financial plans (WFP), which should correspond to the approved budget. The Directors shall endorse the WFP of their respective units for approval of the Administrator. The consolidated OWWA-WFP shall be reported to the Board.

Section 8. Budget Realignment - Realignment of funds including adjustments in targets shall be submitted to the Board for approval. Similarly, in the event that extra ordinary circumstances may occur which require additional funds beyond the coverage of the approved budget, the same shall be submitted to the Board.

Section 9. Delegation of Authority - The Administrator may delegate some of his authorities to subordinate officers as may be deemed necessary.

Section 10. Chart of Accounts - The OWWA shall adopt the appropriate and standard chart of accounts as prescribed by the Commission on Audit (COA).

Section 11. Branch Accounting System for Regional Operations - OWWA Regional Units shall maintain their respective books of account which shall be consolidated by the central office.

Section 12. Financial Reports - OWWA shall submit quarterly prescribed Financial Statements to COA such as income statement, balance sheet, and cash flow. Monthly fund utilization report shall be submitted to the Board.

Section 13. Internal Audit - Sound internal control systems shall be installed, implemented, and monitored.

Section 14. External Audit - All OWWA transactions shall be subject to post audit of the COA.

Section 15. Annual Reports - The OWWA shall render an Annual Report on its overall performance for the previous year within the first sixty (60) days of the following year. Copies of the said report shall be submitted to the Board and the President.

Article VIII
  Benefits and Services

Section 1. Guiding Principle - In pursuance of its mandate, it shall deliver social insurance benefits, loan assistance, education and training, social services and family welfare assistance subject to the qualification requirements and availability of OWWA funds.

All benefits and services shall be over and above the provisions of the employment contract, offer of employers, or the laws of the receiving country.

Section 2. Benefits and Services for OWWA Members - For a US$25.00 membership contribution, an OWWA member shall be entitled to the following benefits and services.

1. Insurance and Health-Care Benefits
    
   a. Life Insurance
   b. Disability and Dismemberment Benefits
   c. Total Disability Benefits
   d. Burial Benefits
    
2. Loan Guarantee Fund
    
   a. Pre-Departure Loan
   b. Family Assistance Loan
    
3. Education and Training Benefits
    
   a. Skills-for-Employment Scholarship Program
   b. Education for Development Scholarship Program
   c. Seafarer's Upgrading Program
    
4. Social Services and Family Welfare Assistance
    
   a. Repatriation Program
   b. Reintegration Program
    
5. Workers Assistance and On-Site Services

Section 3. Insurance and Health Care Benefits. A member shall be covered with the following insurances for the duration of his contract:

1. Life Insurance. A member shall be covered with life insurance for the duration of his employment contract. The coverage shall include P100,000.00 for natural death and P200,000.00 for incidental death.
2. Disability and Dismemberment Benefits. A member shall be entitled to disability/dismemberment benefits as a rider provision of his life insurance as provided for in the impediment schedule contained in the Manual of Systems and Procedures. The coverage is within the range of P12,000.00 to P50,000.00.
3. Total Disability Benefit. In case of total permanent disability, a member shall be entitled to P100,000.00.
4. Burial Benefit. A burial benefit of P20,000.00 shall be provided in case of the member's death.

Section 4. Loan Guarantee Fund - In compliance with Article III, Section 21 of RA 8042, OWWA shall provide Pre-Departure Loan (PDL) and Family Assistance Loan (FAL), in coordination with government financing institutions (GFIs) in the amount of P100,000,000.00 as a revolving loan guarantee fund. The loan shall not exceed P40,000.00.

PDL shall service ready-to-leave newly hired OFWs whose employers or agents have already paid the compulsory membership contribution to OWWA. The loan is designed to assist members in their pre-departure needs such as payment of placement fees, clothing requirements, pocket money, and other pre-departure expenses.

FAL is available for emergency and other family needs as endorsed by the member.

Section 5. Education and Training Benefits - A member may avail for himself or his duly designated beneficiary any of the following scholarship program, subject to a selection process and accreditation of participating institutions. Annual scholarship lists shall be submitted to the Board.

1. Skills-for-Employment Scholarship Program. - OWWA shall allocate P6M annually for technical or vocational training scholarship.
    
2. Education for Development Scholarship Program. OWWA shall allocate one hundred (100) baccalaureate slots annually. A maximum of P10,000.00 for school fees and P20,000.00 for allowances per semester shall be provided.
    
3. Seafarers' Upgrading Program. An annual amount of P10M shall be allocated for this program. To ensure the competitive advantage of Filipino Seafarers in meeting International Maritime Organization (IMO) competency standards, sea-based members shall be entitled to one upgrading program for every three (3) membership contributions. Qualified grantees shall be provided with training assistance from P1,200.00 to a maximum of P7,500.00.

Section 6. Social Services and Family Welfare Assistance.

1. Repatriation Program. Consistent with the provisions of RA No. 8042, members shall be repatriated and provided with services necessary to facilitate repatriation.
    
2. Reintegration Program. A Reintegration Program shall be implemented by DOLE through OWWA in coordination with the LGUs and NGOs.

Community organizing, capability-building and other social preparations shall be incorporated in this program. Livelihood loans will be available to members subject to the policies formulated by the Board.

An annual budget for the Reintegration Program shall be approved by the Board.

Section 7. Workers Assistance and On-site Services. OWWA shall sustain and maintain assistance to members in all its regional and overseas offices. Services shall include locating the OFW, providing information and guidance, developing materials of the Pre-Departure Orientation Seminars, conducting psycho-social counseling, conciliation services, medical and legal assistance, and outreach missions, among others. On behalf of the OFW, OWWA may provide appropriate representation with employers, agents, and host government authorities.

Article IX
  Human Resource Management and Development

Section 1. Value for Workforce. OWWA values its workforce as the most vital resource. It thus compels itself to provide a dynamic and challenging organizational environment conducive to the continuing growth and productivity of its human capital towards the attainment of its vision, mission, and core values.

It shall therefore sustain a continuous service improvement program for its human resource management and development system consistent with sound practices and Civil Service Rules.

Section 2. Code of Conduct and Ethical Standards - All officials and employees shall discharge their duties and responsibilities in adherence with the Code of Conduct and Ethical Standards for Public Officials and Employees (RA 6713).

Section 3. Personnel Actions - All personnel actions shall be governed by the pertinent provisions of the Revised Administrative Code of 1997, Administrative Rules and Regulation of DOLE, and such other rules and issuances of the Civil Service Commission.

Section 4. Capacity Building - To sustain organizational ability to respond to the continuing and changing demands of its clients, adequate investment shall be allocated annually for information management, technology, resource build-up, and staff development.

Section 5. Job Enrichment Program - OWWA shall adopt a system for rotation, reassignment, cross-posting, and overseas/regional deployment of key officers and staff of the Secretariat to ensure growth and development of a highly specialized and multi-skilled manpower complement.

Section 6. Performance Appraisal System - A performance appraisal system shall be adopted to measure individual employee performance benchmarked on organizational goals, objectives, and standards.

Section 7. Incentives and Rewards System - OWWA shall develop and implement an incentive and reward system to recognize exemplary and meritorious performance subject to Board and CSC approval.

Section 8. Employee Relations Program - Employee associations duly organized pursuant to laws shall be recognized as partners in organizational development. Grievances and conflicts shall be resolved at the lowest levels of the organization through consultative and conciliatory mechanisms.

Article X
  General administrative Policies

Section 1. Data-sharing and Information Management - Real time information shall be regarded as a critical resource. OWWA, being part of DOLE, shall hyperlink and share data-base with the various systems of the Department.

OWWA shall appropriate funds for the development and training of competent information technology (IT) staff.

Section 2. Advocacy and Social Marketing - OWWA shall pursue an aggressive advocacy and social marketing program to draw-in-socio-political support and influence for the welfare of its members.

Section 3. Procurement System - The OWWA Procurement System shall be governed by Republic Act No. 9184 also known as "Government Procurement Reform Act" which provides for an e-procurement system.

Article XI
Miscellaneous Provisions

Section 1. Repealing Clause - All Board Resolutions, Administrative Orders, Memoranda of Instructions, Special Orders, and other issuances, or part/s thereof, which are inconsistent with this Omnibus Policies, are hereby repealed or modified accordingly.

Section 2. Effectivity - The Omnibus Policies shall become effective upon its approval through a Board Resolution subject to the requisite publication.