PEZA Information Technology – Business Process Management To Work From Home Until 31 March 2022 And Guidelines For Compliance

On 6 September 2021, Philippine Economic Zone Authority (“PEZA”) Director General BGen Charito B. Plaza, MNSA, PhD issued Memorandum Circular No. 2021-049 informing all concerned ecozone enterprises / new applicants / PEZA zone administrators / zone managers and OICs of the approval by the Fiscal Incentive Review Board (FIRB) under Resolution No. 19-21 dated 02 August 2021  of the extension of the work from home arrangement (“WHM”) for Information Technology – Business Process Management (IT-BPM) registered enterprises until 31 March 2022, as a temporary measure under Rule 23 of R.A. No. 11534 of the CREATE IRR.

FIRB Resolution No. 19-21 dated 02 August 2021 provides that the threshold shall now apply to the total workforce under the following conditions:

1. The WFM arrangement is extended without adverse effect on the incentives of registered enterprises until 31 March 2021.

2. From 13 September 2021 to 31 December 2021, the total number of employees under WFH arrangement shall not exceed ninety percent (90%). For PEZA-registered IT Enterprises, this shall be on a per site/location basis.

3. Beginning 01 January 2022, the total number of employees under WFH arrangement shall not exceed seventy-five (75%).

4. Should the State of Calamity under Presidential Proclamation No. 1021 is extended beyond 01 January 2022, the threshold shall be maintained at ninety percent (90%) until 31 March 2022. 

5. Revenue from export shall be maintained and there shall be no reduction of workforce despite majority of employees under WFH arrangement. 

On 10 September 2021, PEZA Director General BGen Charito B. Plaza, MNSA, PhD issued Memorandum Circular No. 2021-051 providing guidelines to monitor the compliance with the conditions prescribed om the WFH for registered business enterprises (RBES) in the IT-BPM Sector. The guidelines include the submission of a  (i) list of equipment; (ii) total number of employees and the number of employees under the WFH arrangement; (iii) certification that the export requirement and number of employees will be maintained to PEZA Zone Managers/Office on or before September 30, 2021. Aside from the submission of list, certifications, Ecozone IT Enterprises are also required to submit a (i) report on the additional equipment and other assets brought out of the economic or freeport zone; and (ii) report on the total number of employees and the number of employees under WFH arrangement within five (5) days after the end of each month.