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LETTER OF INSTRUCTIONS

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LETTER OF INSTRUCTIONS NO. 854

LETTER OF INSTRUCTIONS NO. 854 - ON THE IMPLEMENTATION OF REPUBLIC ACT NO. 809, OTHERWISE KNOWN AS THE SUGAR ACT OF 1952

TO    :    The Minister of Labor

In the light of the Supreme Court decision on the Talisay-Silay case upholding the constitutionality and enforceability of Republic Act No. 809, otherwise known as the Sugar Act of 1952, and in order to insure the systematic and expeditious distribution of the benefits involved to covered sugar workers, the Minister of Labor is hereby directed to undertake and implement the following measures:

1.    Direct payment subject to supervision. — The workers' share shall be paid directly by the planter concerned to the workers or claimants entitled thereto subject to the supervision of the Minister of Labor or his duly designated representatives. 

2.    Release of the planters' share. — No part of the 60% share of any planter shall be released to him without the certification of the Minister of Labor that the planter has fully paid the shares of all the workers or claimants entitled thereto.

3.    Unclaimed shares. — Pursuant to Article 129 of the Labor Code, as amended, any undistributed or unclaimed share of the workers shall be held in a special deposit account in an authorized depository bank in the name of the Minister of Labor to be held in trust for the worker for a period of two (2) years, after which any sum remaining unclaimed shall constitute a special fund to be used exclusively for the promotion of the welfare of rural workers.

4.    Prohibition on deductions. — No deduction whatsoever shall be made from the share of the workers for payment of attorney's or other fees for any service rendered in connection with the release and distribution of such share.

5.    Prohibition on waive of benefits. — As a matter of public policy, any contract, device or quitclaim of any sort tending to exempt the planter, in whole or in part, from his liability under the Act shall be null and void. 

6.    Funding. — For calendar year 1979, the sum of P300,000 or so much thereof as may be necessary, is hereby set aside from the available funds of the Rural Workers' Office, Ministry of Labor, for the implementation of the Act.


Beginning 1980, the implementation of the Act shall be funded from the regular budget of the Rural Workers' Office.

This Letter of Instructions shall take effect immediately.

Done in the City of Manila, this 1st day of May, 1979.

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