Country: Philippines                          
Title:    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 Therefor and For Other Purposes
Author:            Congress of the Philippines.  
Descriptors:       Vocational education; Technical education.  
Identifiers:       Dual training system.  
Full text: SECTION 1. Short Title. - This Act shall be known as the
  "Dual Training System Act of 1994."

     SEC. 2. Declaration of Policy. - It is hereby declared the
  policy of the State to strengthen manpower education and training
  in the country so that the latter may be assured of an ever growing
  supply of an educated and skilled manpower equipped with
  appropriate skills and desirable work habits and attitudes. The
  Dual Training System, as successfully tested in some highly
  developed countries, shall be adopted in duly accredited vocational
  and technical schools, in cooperation with accredited agricultural,
  industrial and business establishments, as one of the preferred
  means of creating a dependable pool of well-trained operators,
  craftsmen and technicians for the economy.

     SEC. 3. Objectives. - This Act shall have the following
  objectives:

       a) encourage increasing utilization of the dual system in
  technical and vocational education and training by both public and
  private schools within the context of the existing education
  system;

       b) encourage increasing levels of investment in technical and
  vocational education and training by both public and private
  sectors specially in the rural areas;

       c) enhance the employability and productivity of graduates by
  equipping them with analytical and creative thinking and
  problem-solving abilities; manipulative competencies which meet
  occupational standards and requirements; values and attitudes with
  emphasis on work ethics, quality orientation, discipline, honesty,
  self-reliance and patriotism; and

       d) strengthen training cooperation between agricultural,
  industrial and business establishments and educational institutions
  by designing and implementing relevant training programs in close
  coordination with concerned local government units.

     SEC. 4. Definition of Terms. - For purposes of this Act, the
  following terms shall mean:

       a) "Appropriate Authority" refers to the government entity
  in-charge of formal technical and vocational education training.

       b) "Dual Training System" refers to an instructional delivery
  system of technical and vocational education and training that
  combines in-plant training and in-school training based on a
  training plan collaboratively designed and implemented by an
  accredited dual system educational institution/training center and
  accredited dual system agricultural, industrial and business
  establishments with prior notice and advice to the local government
  unit concerned. Under this system, said establishment and the
  educational institution share the responsibility of providing the
  trainee with the best possible job qualifications, the former
  essentially through practical training and the latter by securing
  an adequate level of specific, general and occupation-related
  theoretical instruction. The word "dual" refers to the two parties
  providing instruction; the concept "system" means that the two
  instructing parties do not operate independently of one another,
  but rather coordinate their efforts.

       c) "Trainee" refers to a person qualified to undergo the dual
  training system for the purpose of acquiring and developing job
  qualifications.

       d) "Accredited Dual Training System Educational
  Institution/Training Center" refers to a public or private
  institution duly recognized and authorized by the approprite
  authority, in coordination with the business and industry, to
  participate in the dual training system.

       e) "Establishments" refer to enterprises and/or services of
  agricultural, industrial or business establishments.

       f) "Accredited Dual Training System Agricultural, Industrial
  and Business Establishments" hereinafter referred to as
  agricultural, industrial and business establishments, refer to a
  sole proprietorship, partnership, corporation or cooperative which
  is duly recognized and authorized by the appropriate authority to
  participate in the dual training system educational institution.

     SEC. 5. Institutionalization of the Dual Training System. - The
  dual training system, hereafter referred to as the System, is
  hereby institutionalized in the Philippines in accordance with the
  provisions of this Act.

     SEC. 6. Coverage. - This Act shall apply to all public and
  private educational institutions/training centers and agricultural,
  industrial and business establishments duly accredited to
  participate in dual training system.

     SEC. 7. Planning and Coordination. - The appropriate authority
  shall plan, set standards, coordinate, monitor, and allocate
  resources in support of the implementation of the System.

     Every accredited educational institution/training center shall
  establish an industrial coordinating office which shall supervise
  the in-plant training: Provided, That the industrial establishment
  shall be required to furnish the educational institution with the
  necessary information for the purpose of supervision.

     The industrial coordinating office shall be headed by an
  industrial coordinator with, at least, an officer level rank. The
  industrial coordinator may be assisted by such other personnel as
  may be necessary for the effective discharge of the functions of
  the office.

     SEC. 8. Status of Trainee. - For the duration of the training
  under the System, the trainee is to be considered not an employee
  of the business/industrial establishment but rather a trainee of
  both the Accredited Dual Training System Educational Institution
  and the agricultural, industrial or business establishments:
  Provided, That the union or the workers of the latter have been
  duly informed in advance of such an agreement.

     A trainee who has successfully completed a training program in a
  particular agricultural, industrial or business establishment shall
  be given priority of employment in that agricultural, industrial or
  business establishment. The appropriate authority shall keep a roll
  of these successful trainees for purposes of identifying them for
  employment.

     SEC. 9. Incentives for Participating Establishments. - To
  encourage agricultural, industrial and business establishments to
  participate in the System, they shall be allowed to deduct from
  their taxable income the amount of fifty (50) percent of the actual
  system expenses paid to the Accredited Dual Training System
  Educational Institution for the establishment's trainees; Provided,
  That such expenses shall not exceed five (5) percent of their total
  direct labor expenses but in no case to exceed Twenty-five million
  pesos (P25,000,000) a year.

     Donations for the operation of the System shall be deductible
  from the taxable income of the donors.

     The Department of Finance shall issue the necessary rules and
  regulations for the purpose of tax incentives provided herein.