Akbayan Party-list Representative Chel Diokno has renewed legislative efforts to establish a national artificial intelligence (AI) framework by introducing House Bill (HB) No. 10362, also known as the proposed AI Governance Act, at the start of the 20th Congress’s second regular session.
Co-authored by Akbayan Representatives Perci Cendaña and Dadah Ismula alongside Dinagat Islands Representative Kaka Bag-ao, the legislation seeks to regulate AI technologies while safeguarding the public and protecting Filipino workers from job displacement.
”At present, there is no unified national framework that establishes safeguards against harmful AI systems, protects workers from AI-driven displacement, guarantees transparency in automated decision-making, promotes AI literacy, establishes accountability standards, or creates institutional mechanisms for AI governance,” Diokno said in justifying HB No. 10362.
”While we have the Data Privacy Act of 2012, the Cybercrime Prevention Act of 2012, and the Philippine Innovation Act, they only address certain AI-related issues and do not provide a complete framework for AI governance,” added the lawyer-legislator.
Pointing to findings from the Philippine AI Report 2025, Diokno highlighted that over 92 percent of surveyed local organizations have adopted AI systems, with 54 percent utilizing generative AI tools for more than a year.
To buffer the labor market against technological disruption, the measure mandates transition assistance, reskilling initiatives, social protections, and workforce redeployment plans. Employers planning to deploy high-impact AI must notify affected workers six months prior, detailing the tool’s intended scope and operational impact. Furthermore, the bill prohibits management from taking disciplinary actions based solely on automated evaluations without human oversight, or using AI tools to undermine labor rights and security of tenure.
The proposed law also outlines an “Artificial Intelligence Bill of Rights” to curb biased decision-making, protect personal data privacy, guarantee the “right to be forgotten,” and require transparency for automated operations.
Environmental standards are included as well, requiring AI facilities and data center operators to file sustainability reports on water and power usage, undergo community consultations, and secure proper environmental clearances.
To oversee policy development, the bill establishes an Artificial Intelligence Multi-Stakeholder Advisory Council consisting of representatives from civil society, government, academia, labor, media, the tech sector, and youth groups.
Under the measure, policy violations carry prison sentences ranging from six months to six years, alongside potential disqualification from public office for non-compliant government officials.
”Innovation and regulation must go hand in hand. We must put clear rules in place today if we want to protect the rights and welfare of the people while harnessing the benefits of AI,” Diokno emphasized.