MANILA — A proposed measure in the Senate aims to grant tax incentives to businesses that adopt comprehensive health and wellness programs for their workers.

Filed as Senate Bill No. 1928, or the Workers Health and Wellness Act, the proposal offers tax credits to employers that implement qualified Employee Wellness Programs. Firms with fewer than 200 employees may receive up to P1,000 per worker, while those with more than 200 employees may get up to P500 per employee beyond the threshold.

Sen. Imee Marcos, who authored the bill, said the measure seeks to encourage companies to promote healthier lifestyles, improve workplace conditions, and enhance employee well-being through targeted incentives.

The bill outlines several components of Employee Wellness Programs, including health awareness initiatives such as regular screenings and referrals for follow-up care, and health education efforts addressing specific employee risks. It also highlights employee engagement in planning and assessing wellness initiatives, behavioral change programs focused on stress management, nutrition, and fitness, and workplace policies that support mental health, flexible work setups, smoke-free environments, access to healthy food, and opportunities for physical activity.

“Studies have shown that workplace wellness programs and improved working environments can significantly reduce health risks, lower absenteeism, improve employee engagement, and enhance productivity. However, many enterprises, particularly micro, small, and medium enterprises (MSMEs), face financial constraints that prevent them from implementing comprehensive wellness programs or workplace improvements,” said Marcos.

Marcos said government support is needed to help employers invest in the health of their workforce, especially those constrained by limited resources.

“If business enterprises can avail of incentives to bring down their tax liabilities, they will be encouraged to prioritize and focus on the wellness of their workers. The country can be assured of a healthier and happier workforce, as well as ensure better job satisfaction that will boost productivity and support our efforts on the road to economic recovery,” she said.

The measure also covers Workplace Improvement Programs, which include upgrades such as improving energy efficiency, enhancing ventilation systems, and integrating smart building or renewable energy technologies.

Employers undertaking these improvements may qualify for an additional 30 percent of the cost as a deductible depreciation expense, with an option for accelerated depreciation for income tax purposes, Marcos added.