Senator Imee Marcos has proposed tax incentives for companies that invest in their employees' health and wellness to boost productivity and strengthen workforce performance. The announcement was made on Thursday, April 30, 2026.
Under Senate Bill 1928, or the proposed "Workers Health and Wellness Act," employers implementing qualified wellness programs may avail themselves of tax credits of up to P1,000 per employee for firms with fewer than 200 workers, and up to P500 per employee for those exceeding that threshold.
Marcos emphasized that the measure aims to encourage businesses to adopt programs that support the physical, mental, and emotional well-being of employees.
"Studies have shown that workplace wellness programs and improved working environments can significantly reduce health risks, lower absenteeism, improve employee engagement, and enhance productivity," Marcos said.
She noted that many enterprises, particularly micro, small and medium enterprises (MSMEs), face financial constraints that limit their ability to implement comprehensive wellness initiatives.
"However, many enterprises, particularly MSMEs, face financial constraints that prevent them from implementing comprehensive wellness programs or workplace improvements," she added.
The bill outlines key components of employee wellness programs, including periodic health screenings, health education, employee engagement initiatives, behavioral change programs, and supportive workplace policies such as flexible work arrangements and mental health awareness.
In addition to wellness programs, the measure also incentivizes workplace improvement initiatives such as upgrading ventilation systems, adopting energy-efficient technologies, and integrating smart building systems. Employers may avail themselves of an additional 30 percent deductible depreciation expense, with an option for accelerated depreciation for tax purposes.
Marcos said the proposed incentives aim to create healthier workplaces while improving job satisfaction and overall workforce productivity.
"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," she said.
The measure also supports existing policies such as the Mental Health Act and government workplace health standards, while promoting collaboration between the public and private sectors in advancing employee welfare.
