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Facility Evaluation / TMS

Facility Evaluation / Time And Motion Studies

Facility Evaluation (FE) is a form of evaluation conducted to determine the fair and reasonable value of facilities furnished by an employer to his/her employees.

Time and Motion Study (TMS) is the systematic determination of work methods and time standards using various tools and technologies.

Legal Bases:

  • Articles 97 and 101 of the Labor Code govern the conduct of FE and TMS.
  • Executive Order No. 366, Series of 2004 and Administrative Order No. 357, Series of 2010 mandated the National Wages and Productivity Commission to review and/or formulate guidelines, conduct capacity building, provide technical assistance, and conduct information awareness campaigns on FE and TMS.
  • Department Order Nos. 126-13 and 125-13 issued in April 2013 guide the actual conduct of FE and TMS by the Regional Tripartite Wages and Productivity Boards.

Target Beneficiaries:

Workers of micro, small and medium enterprises

In the case of TMS, a large establishment’s application is only limited to the validation of its existing piece rate/s.


Availment Mechanics:

Interested MSMEs may send their application with the necessary documentary requirements to the RTWPB which has jurisdiction over their area.

Time Frame:

The conduct of FE and TMS, from receipt of application to the issuance of the corresponding Order, is governed by a 35-day process cycle time.

Any party aggrieved by the Orders issued may, within 10 days from receipt of such Orders, file an appeal with the NWPC.

National Wages and Productivity Commission
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