For I command you today to love the Lord 

your
God, to walk in obedience to him, and to keep his
commands, decrees and laws; then you will live and
increase, and the Lord your God will bless you in
the land you are entering to possess.

Deuteronomy 30:16
REPUBLICACT NO. 7686
Dual
Training
Maria Shiela L. Lozada
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 therefore and for other
purposes.

This Act shall be known as

“Dual Training System Act
of 1994.”
Republic Act 7686 – Dual Training System
 Dual Training System (DTS

 It is called “dual” because the training

happens in two venues – the school and
the company
 TESDA Calabarzon awarded the Dual
Training System (DTS) accreditation
certificates to 27 companies

Republic Act 7686 – Dual Training System

 Dual Training System (DTS

 training modality for enterprise-

based training in the Philippines
 Implemented by TESDA
 combines theoretical and practical
training

Republic Act 7686 – Dual Training System

 Dual Training System (DTS

 school and workplace share the

responsibility of providing trainees
with well-coordinated learning
experiences and opportunities

Republic Act 7686 – Dual Training System

 Dual Training System (DTS

 Trainees under the DTS spend at

least 40 percent of the
training/learning time in school and
60 percent for practical training in
the company.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Declaration of Policy

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.

Republic Act 7686 – Dual Training System

 Declaration of Policy

The Dual Training System, a 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.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 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 systems:

b. encourage increasing levels of investments in technical and vocational

education and training by both public and private sectors specially in
rural areas;
Republic Act 7686 – Dual Training System
 Objectives

c. enhance the employability and productivity of graduates by equipping

them with analytical and creative thinking and problem-solving
abilities; manipulative competences which meet occupational standards
and requirements; values and attitudes with emphasis on work ethics,
quality orientation, discipline, honesty and self-reliance and patriotism;
and

Republic Act 7686 – Dual Training System

 Objectives

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.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 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.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Coverage

This act shall apply to all private and public educational

institutions/training centers and agricultural, industrial and business
establishments duly accredited to participate in dual training system.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 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.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 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 and business
establishments: Provided, That, the union or the workers of the latter
have been duly informed in advance of such an agreement.

Republic Act 7686 – Dual Training System

 Status of Trainee

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.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 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 percent (50%) 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
percent (5%) of their total direct labor expenses but in no case to exceed
Twenty-five million pesos (P25,000,000) a year.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Obligations of Accredited Agricultural, Industrial and
Business Establishments
a) ensure that the necessary abilities and knowledge for the trainee to achieve the
purpose of his training are imparted to him and shall provide such training
systematically in accordance with an approved training plan;

b) appoint the training officer to implement the training plan;

c) make available, free of charge, the consumable materials and basic hand tools and
equipment necessary for his training;

d) allow the trainee to attend his in-school training and to sit for his examinations;

Republic Act 7686 – Dual Training System

 Obligations of Accredited Agricultural, Industrial and
Business Establishments
e) require the trainee to keep his report book up-to-date and inspect such books;

f) ensure that the trainee is encouraged to develop his personality and that he is protected
from physical or moral danger;

g) entrust to the trainee such jobs as are related to the purpose of his training and are
commensurate with his capabilities;

h) pay to the accredited educational institution/training center the daily allowance of the
trainee; and

i) allow the trainee the necessary time-off for his in-school training.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Obligations of the Trainee

a) carefully perform the jobs entrusted to him as part of his training;

b) take part in training programs for which he has been granted time-off under this Act;

c) follow the instruction given to him as part of his training by the training officer or any
other person entitled to give him such instructions;

d) observe rules of behavior in the training premises;

Republic Act 7686 – Dual Training System

 Obligations of the Trainee

e) use tools, instruments, machines, and other equipment with due care;

f) not reveal any business nor trade secrets that have come to his knowledge in the course
of his training; and

g) keep his record books up-to-date.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Obligations of the Accredited Educational Institutions/
Training Centers
a) design, implement, and evaluate jointly the training plan with the accredited
establishments;

b) provide specific, general, and occupation-related theoretical instruction;

c) appoint industrial coordinators to supervise the in-plant training;

d) pay the trainee his daily allowance; and

e) perform such other tasks and activities as may be necessary and in furtherance of the
objectives of the training.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Non-diminution of Incentives

Every agricultural, industrial and business establishment undertaking training,

in accor­dance with the provisions of this Act, shall sign a life and/or accident
insurance policy on the life of the trainee with the insured and the spouse,
children or parents of the trainee as the beneficiaries thereof: Provided, That,
the agricultural, industrial and business establishments shall pay for the
premiums of said insurance policy.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Signing of Memorandum of Agreement by the
Accredited Dual Training System Agricultural,
Industrial and Business Establishments, the
Accredited Dual Training System Educational
Institution/ Training Center, and the Trainee

Republic Act 7686 – Dual Training System

a) the training plan;

b) the nature and objective of the training;

c) the commencement and duration of the training period including the total number of
in-school and in-plant training hours;

d) the normal daily training hours;

e) the trainee’s allowance and the rate to be applied, which in no case shall start below
seventy-five percent (75%) of the applicable minimum daily wage for days spent in the
establishments;

f) the rights and obligations of the parties concerned in addition to those provided in
Sections 10, 11, and 12;

Republic Act 7686 – Dual Training System

g) the definition of the status of the trainee according to Section 8 of this Act;

h) the conditions for the termination of the training agreement;

i) the performance, monitoring and evaluation system; and

j) such other essential particulars as would mutually benefit all parties concerned.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Insurance Coverage of the Trainee

Every agricultural, industrial and business establishment undertaking training,

in accor­dance with the provisions of this Act, shall sign a life and/or accident
insurance policy on the life of the trainee with the insured and the spouse,
children or parents of the trainee as the beneficiaries thereof: Provided, That,
the agricultural, industrial and business establishments shall pay for the
premiums of said insurance policy.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Revolving Fund

Any law, rule or regulation to the contrary notwithstanding, the

Accredited Dual Training System Educational Institution/Training
Center is hereby authorized to retain as a revolving fund, the amount
paid to it by the agricultural, industrial and business establishments
representing the actual dual training expenses. The fund shall be used to
improve the operation of the dual training system.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Implementing Rules

The appropriate authority and the Department of Finance, upon prior consultation with

the business and industry concerned, shall issue the necessary rules and regulations for

the effective implementation of this Act within a period of ninety (90) days after its

effectivity. Any violation of this Section shall render the concerned official/s liable under

R. A. No. 6713, otherwise known as the “Code of Conduct and Ethical Standards for

Public Officials and Employees” and other existing administrative and/or criminal laws.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Other Exemption from Taxes and Duties

a) that the importation shall be certified by the appropriate. authority;

b) that they should be actually, directly, and exclusively used in connection with
the dual training system and any unauthorized use shall subject the accredited
dual training private educational institutions to payment of taxes and duties due
thereon; and

c) that they are not available locally in sufficient quantity of comparable quality,
and at reasonable prices:

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Appropriations

For the initial implementation of this Act an amount of One

million pesos (P1,000,000) shall be charged against the current
year’s appropriation of the contingency fund. Thereafter such
sums as may be necessary for its continued implementation shall
be included in the annual General Appropriations Act.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Separability Clause

If for any reason any provision of this Act is

declared invalid or unconstitutional, the rest
shall not be affected thereby.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Repealing Clause

All laws, decrees, orders, rules and regulations or

parts thereof inconsistent with this Act are hereby
repealed or modified accordingly.

Republic Act 7686 – Dual Training System

SECTIONS:

Republic Act 7686 – Dual Training System

 Effectivity

This Act shall take effect after completion of its

publication in the Official Gazette or in two (2)
newspapers of general circulation.

Republic Act 7686 – Dual Training System

Approved,

(Sgd.) JOSE DE VENECIA (Sgd.) EDUARDO J. ANGARA

Speaker of the House President of the Senate of
Representatives

This Act, which is a consolidation of Senate Bill No. 1516 and House Bill 10450, was finally
passed by the Senate and the House of Representatives on February 22, 1994 and February 21, 1994,
respectively.

(Sgd.) CAMILO L. SABIO (Sgd.)EDUARDO E. TUMANGAN

Secretary General Secretary of the Senate
House of Representatives

Republic Act 7686 – Dual Training System

Republic Act 7686 – Dual Training System