Duterte certifies ‘end to endo’ bill as urgent

He cited the need to immediately enact Senate Bill 1826, titled “An Act Strengthening Workers Right to Security of Tenure,” in a letter to Senate President Vicente Sotto III dated Sept. 21.

MANILA, Philippines — MANILA, Philippines — President Duterte has certified as urgent a bill that seeks to prohibit contractualization and labor-only contracting, practices that he said are causing poverty and underemployment in the country.

He cited the need to immediately enact Senate Bill 1826, titled “An Act Strengthening Workers Right to Security of Tenure,” in a letter to Senate President Vicente Sotto III dated Sept. 21.

The President said the measure would strengthen workers’ security of tenure by prohibiting the “prevalent” practices of contractualization and labor-only contracting, describing these as something that “continue to immerse our workers in a quagmire of poverty and underemployment.”

“It is now certified urgent by the President, in line with his promise to put an end to endo (end of contract),” presidential spokesman Harry Roque said at a press briefing yesterday.

When the president certifies a bill as urgent, it will not be covered by the rule which states that a measure can only be approved on final reading three days after its approval on second reading.

The House of Representatives approved its version of the bill last January.

Roque said the Senate version aims to bar all forms of labor-only contracting and does not exempt contractors with huge capital.

Under the bill, there is labor-only contracting if the job contractor, whether licensed or not, merely recruits, supplies or places workers to a contractee, whether he has substantial capital or investment.

If the bill is enacted, companies would have to hire employees directly and could no longer source workers from employment agencies.

“This effectively repeals the provision of the Labor Code that permits labor-only contracting as long as the company has enough capital and assets,” Roque said.

Labor groups are becoming more optimistic that the country is closer to ending illegal short-term employment.

“We are near the goal. It’s closer than it has ever been, but we still have some work to do. The Senate has been given a directive to craft a law that will end contractualization. We must see this through and ensure that the proposed measure shall address the weaknesses of existing laws on security of tenure,” said labor coalition Nagkaisa chairman Sonny Matula.

He said the workers’ campaign to eradicate the endo scheme and other illegal forms of contractualization got a big push after Duterte certified the security of tenure bill as urgent.

“Labor’s persistence has so far paid off. Our relentless efforts have shown dividends. After more than two years, the Duterte administration has finally made a big step towards the fulfillment of a campaign promise,” Matula noted.

To ensure that legislators act on the certification, he said labor groups would mount more rallies to ask the lawmakers to pass the bill at the soonest time.“With the election season fast approaching, the Senate and House of Representatives, voting separately, are under pressure to ratify the harmonized version and submit the law for the President’s enactment,” Matula said. The Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) also lauded Duterte for certifying as urgent the security of tenure (SOT) bill, which was already approved by Congress on third reading.

Gerard Seno, ALU-TUCP national executive vice president, said the certification of the SOT bill is definitely a positive vibe to workers whose morale has been low due to rising cost of living.“We pray that it will be passed by Congress consistent with the presidential promise instead of being watered down by the corporate vested interests which are overrepresented in Congress,” he said.TUCP party-list Rep. Raymond Mendoza said the certification from the President is an early Christmas gift for workers who continue to struggle in making both ends meet.

Labor Secretary Silvestre Bello III claimed that DOLE has long recommended the need to certify the SOT bill as urgent.

“We are now looking forward to the better implementation of regulation ensuring security of tenure of workers with the expected passage of the SOT bill,” he said.Labor Undersecretary Joel Maglunsod hopes that the bill will be passed by November, if not early next year.– Alexis Romero (The Philippine Star) With Mayen Jaymalin

Palace certifies as urgent Senate’s anti-‘endo’ bill

MALACAÑANG has asked that Senate Bill 1826 or the Security of Tenure (SoT) Bill be certified as urgent, following President Rodrigo R. Duterte’s commitment to abolish “endo,” an employment practice that denies workers a path to permanent status.

In a palace document dated Sept. 21, Mr. Duterte asked Senate President Vicente C. Sotto III to “certify the necessity of the immediate enactment” of the SOT Bill.

Malacañang added that the bill needs to pass to “strengthen workers’ security of tenure by prohibiting the prevalent practice of contractualization and labor-only contracting which continue to immerse our workers in a quagmire of poverty and underemployment.”

Mr. Sotto said in an interview with reporters that the chamber will push for the bill’s passage before Congress adjourns on Oct. 12.

“We’ll do our best to pass it by Oct. 11,” he said.

Sen. Emmanuel Joel J. Villanueva, who chairs the Committee on Labor, Employment and Human Resources Development, added: “We certainly need a law that will not only uphold our workers’ basic labor rights and restore dignity of work, but also a law that will promote quality employment without jeopardizing business operations but rather create more stable jobs for every Filipino.”

The Senator, who is also the author and principal sponsor of the bill, added that the SoT bill will address the interests of both the labor and business sectors.

Labor and Employment Secretary Silvestre H. Bello expressed the hope that the law will pass and be implemented promptly.

At a briefing on Tuesday, Mr. Bello said he has a personal timetable of October passage for the bill allowing it to be signed into law by December.

Labor Undersecretary Joel B. Maglunsod said in a chance interview on Tuesday that the move to certify the bill is “(a step forward).”

Nagkaisa Labor Coalition (NAGKAISA) Chairperson Jose Sonny G. Matula said the process of certification brings the sector closer to the goal of ending contractualization.

“It’s closer than it has ever been but we still have some work to do,” Mr. Matula, who is also the President of the Federation of Free Workers, said in a statement on Tuesday.

He added, “After more than two years, the Duterte administration has finally made a big step towards the fulfillment of a campaign promise.”

Associated Labor Unions — Trade Union Congress of the Philippines (ALU-TUCP) National Executive Vice-President Gerard R. Seno said in a press release, “The moment the SOT bill is enacted into law, there is now a chance for contractual workers to be included in the country’s growing economic growth.”

For his part, Employers Confederation of the Philippines Acting President Sergio R. Luis-Ortiz, Jr. stressed that the passage of this bill could effectively reduce the labor force, adding that employers will be deterred from hiring workers especially for high-demand periods like Christmas.

He added that eliminating contractualization will also put off current and potential foreign investments from the country.

“Many foreign investors are turned off (by the measure),” he said in a phone interview with BusinessWorld on Tuesday.

“You cannot (remove contractualization); we’ll be the only one in the world to do that,” he added, noting that the contracting of services not directly affecting the company’s business is a common global business practice. — Gillian M. Cortez

Duterte certifies as urgent anti-contractualization bill

Organized labor finally got a big push in its quest to end Contractualization.

President Rodrigo Duterte has certified as urgent Senate Bill 1826 that seeks to end Contractualization and strengthen security of tenure of workers.

“NAGKAISA welcomes the certification of President Duterte,” said Atty. Sonny Matula, chairperson of the Nagkaisa! Labor Coalition.

“We are near the goal. It’s closer than it has ever been, but we still have some work to do. The Senate has been given a directive to craft a law that will end Contractualization. We must see this through and ensure that the proposed measure shall address the weaknesses of existing laws on security of tenure,” Matula said.

Nagkaisa has consistently campaigned against Contractualization since its inception in 2012.

“Labor’s persistence has so far paid off. Our relentless efforts have shown dividends. Now is not the time to rest. After more than two years, the Duterte administration has finally made a big step towards the fulfillment of a campaign promise,” said Matula, who is also the president of the Federation of Free Workers (FFW).

“We shall mount more pressure within the halls of Congress and the parliament of the streets,” said Matula.

Once passed by the Senate, a bicameral conference will be convened by both chambers of Congress to harmonize the provisions of the separate bills.

“With the election season fast approaching, the Senate and House of Representatives, voting separately, is under pressure to ratify the harmonized version and submit the law for the president’s enactment,” Matula said.

Workers' strikes result of Duterte's policy failure – labor groups

File photo

MANILA, Philippines  – Labor groups hit back at President Rodrigo Duterte, saying that strikes are a result of the Chief Executive's failure to uplift working conditions.

In a live interview with Chief Presidential Legal Counsel Salvador Panelo on on Tuesday, September 11, Duterte said investors were leaving the country because workers were staging strikes.

Duterte particularly cited the Kilusang Mayo Uno: "Itong KMU, sige strike. Eh di magsara ano [ang mga negosyo]. Sino magugutom? Pilipino." (KMU keeps on holding strikes. So businesses close. Who goes hungry? The Filipinos.)

"Walang negosyante papasok. After 3 months, mag-strike kayo. Malulugi kapital niya, kaya sila nagsiawatan. Sa China, walang strike. Trabaho lang," he added.

(Businessmen won't come here [because when they do], after 3 months, you hold strikes. There will not be enough returns for their capital, that's why they are backing out. In China, they don't have strikes. They only work.)

The KMU reminded the President that the right to strike is a "universal workers' right guaranteed by international and domestic laws."

"The upsurge of workers' strikes these past months are results of Duterte's failure to end contractualization, refusal to address the rising prices of commodities by implementing a significant wage hike, and of the government's fascist attacks against trade union and human rights," KMU chairperson Bong Labog said in a statement.

In a text message to Rappler, Sentro secretary-general Josua Mata said Duterte had failed to understand the country's economic situation. (READ: [ANALYSIS] Why is Philippine inflation now the highest in ASEAN?)

"There are certainly a number of reasons why investors are leaving – the terrible state of our infrastructure, gargantuan traffic, high power rates, unpredictable policy environment, corruption – but the labor movement's advocacy for workers' rights is not one of them," Mata said.

"It’s red tape, corruption, poor and ageing infrastructure that discourages investors not labor advocates," Alan Tanjusay said, spokesperson of Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP).

Labor groups have slammed the administration's policies, and accused Duterte of siding with businesses instead of the workers for failing to end contractualization. This year's Labor Day observance brought together 20,000 workers and various groups – the biggest protest in years.

The groups have called for a wage increase due to higher prices brought by high inflation rates.

The Global Workers' Rights Index 2018 shows the Philippines is ranked among the worst countries to work in. – Aika Rey @reyaika Rappler.com

Workers urge Roque: Check market prices

NOISE PROTEST Farmers bang empty pots during a rally in Mendiola to denounce the rapid increase in rice prices, which are now beyond the reach of poor consumers. —MARIANNE BERMUDEZ

Labor groups urged presidential spokesperson Harry Roque on Monday to go to market — a nod to a nursery rhyme — to get a sense of how Filipinos were hard-pressed in stretching their budgets amid soaring prices of basic commodities.

They issued the challenge after Roque said on Friday that while the 6.4-percent inflation rate in August was higher than usual, “it’s nothing to be worried about.”

The public may not find comfort in the Palace official’s assurance as fuel prices have increased anew, a development that can thwart efforts to tame inflation.

For the fifth week in a row, oil companies in the country increased pump prices. Prices of diesel, gasoline and kerosene went up by 65 centavos per liter starting 6 a.m. on Tuesday.

Insensitive

A moderate labor group, Sentro ng mga Nagkakaisa at Progresibong Manggagawa, said Roque’s effort to downplay the impact of the high inflation was not only antipoor but also reeked of “insensitivity.”

“The inflation rate is pushing the prices of food way beyond the capacity of the majority of poor Filipinos, whether they are employed or unemployed,” said Sentro secretary general Josua Mata.

Inflation last month was the highest in nine years. It stood at 7 percent in Metro Manila and 9 percent in Bicol.

Prices of food, especially rice, fish, meat and vegetables, and nonalcoholic beverages rose 8.5 percent.

Vegetables and fish may now be out of reach of the poor because their prices, according to government data, rose nationwide in August by 19.2 percent and 12.4 percent, respectively.

In the absence of subsidized rice from the state-owned National Food Authority (NFA) in many parts of the country, commercial rice is no longer affordable to many Filipinos as its prices have hit record highs.

The shortage of cheap NFA rice prompted the local governments to declare a state of calamity two weeks ago in Zamboanga City and Tawi-Tawi province, where prices of the staple rose to up to P70 and P80 a kilo, respectively.

Deep anxiety

Roque may have nothing to worry about the rising cost of living given the status and lifestyle of his family, according to the Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP).

“But in the case of millions of poor Filipinos already deep in poverty, this current inflation is a cause of depression and deep anxiety for them,’’ said ALU-TUCP spokesperson Alan Tanjusay.

Tanjusay said power and high-handedness might have gone into the head of Roque “that he had lost touch of what makes poor people sing.”

Nagkaisa labor coalition spokesperson Rene Magtubo said Filipinos “have every [reason] to worry.”

“Is he living on another planet?” Magtubo said, referring to the presidential spokesperson. “It’s very difficult now to fit our low wages with the continued increase in the price of basic commodities.”

As Filipinos become increasingly food insecure, the three labor groups called on President Duterte to sack his economic managers, as well as Agriculture Secretary Emmanuel Piñol and NFA Administrator Jason Aquino.

“Their incompetence is clearly part of the problem,” Mata said.

Price rigging, hoarding

In the House of Representatives, Majority Leader Rolando Andaya Jr. urged the National Price Coordinating Council to look into reports that some unscrupulous individuals may be involved in price manipulation and “widespread hoarding.”

“In some places, inflation is higher than the national average. Rice and gas prices have shot through the roof in many provinces where the cost of transporting them is expensive,” the Camarines Sur lawmaker said in a statement.

Besides a depleted NFA buffer stock and hoarding, rising fuel prices, weakening of the peso, low supply of certain commodities and the Tax Reform for Acceleration and Inclusion (TRAIN) Act were blamed for the surging cost of living.

TRAIN impact

The TRAIN law, which took effect on Jan. 1, jacked up or slapped new taxes on goods, such as oil, cigarettes, sugary drinks and vehicles, to compensate for raising the cap on tax-exempt personal income to an annual pay of P250,000.

Prices of diesel have gone up 25 times this year but have gone down 11 times for a net increase of P11.80 per liter, according to the Department of Energy.

Prices of gasoline have risen 26 times but have fallen 10 times for a net increase of P11.47.

Seeking to ease fears that inflation might worsen in the coming months, Deputy Speaker Raneo Abu said on Monday that rising prices were just a “birth pain” of the TRAIN law,

“Like in the delivery of a baby, we will all feel happiness after the child’s birth,” the Batangas lawmaker said at a news briefing. “As they say, we should relax for now. We will eventually feel its gains.”

Half cup of rice

Ako Bicol Rep. Rodel Batocabe said the TRAIN law should not be blamed for the high inflation.

Batocabe said the people had been complaining about the rising prices of goods because “they were used” to the low level of inflation during the Aquino administration.

“Maybe we should tighten our belts some more,” he said. “We should also stop wasting rice. If you cannot finish a cup of rice, then just buy half a cup instead.” -
By: Jovic Yee, Marlon Ramos, Ronnel W. Domingo - @inquirerdotnet

Labor groups lament continued rise in inflation

Labor groups on Wednesday lamented the continued rise in inflation.

Rene Magtubo of Partido Manggawa said the continued rise in inflation makes life harder for workers and their families.

(Czar Dancel/ MANILA BULLETIN)

“The continued rise in inflation makes life of ordinary workers’ families harder, struggling daily to make both ends meet against rising prices of rice and other basic commodities,” he said in a statement.

Magtubo urged the government to provide “immediate relief” by making available to low income wage earners discounted price of rice and other basic commodities.

This, he said is aside from a legislated across the board wage increase to address the widening gap between workers’ average wage and the present cost of living.

The Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) condemned government incompetence and lack of social safety net initiatives to help workers cope with rising prices of basic commodities and surging costs of utilities and services.

“It looks like government officials especially those some appointed to the Executive Department including President Duterte’s economic managers are incompetent to provide mitigating measures to relief workers affected by the incredible increases in the prices of goods and services. Are the Duterte cabinet officials still working for workers, the people?” said ALU-TUCP spokesperson Alan Tanjusay in a separate statement.

He said there is no existing initiative from Duterte administration to provide social safety net programs to ameliorate both those workers who have fallen into deeper poverty and those who are about to fall due to rising cost of living and falling value of wages.

Tanjusay said government should have been implementing targeted approach to ran after and prosecute profiteers nationwide who unnecessarily jack up the prices and help induce inflation.

“Government should have also provided safety net programs to various types of workers affected by rising cost of living,” he said.

“Employers and business owners, on the other hand, seems cold and unsympathetic to the plight of their economically distressed employees. Responsible employers and conscientious business owners take care of their workers and not wait or just depend on government assistance,” Tanjusay added.

Based on the group’s monitoring and evaluation of the inflation versus the daily minimum wage, the average total daily minimum wage nationwide fell to P200 a day effective September 1 from P208.83 in June 2018. -By Leslie Ann Aquino

House approves bill granting 100-day paid maternity leave

(5th UPDATE) The bicameral conference committee will now have to reconcile conflicting provisions of the bill, as the Senate version proposes a 120-day paid maternity leave

MATERNITY LEAVE. Lawmakers give the green light to the bill seeking to extend paid maternity leave to 100 days. 

MANILA, Philippines (5th UPDATE) – The bill seeking to grant a 100-day paid maternity leave to both government and private sector employees hurdled the House of Representatives.

Voting 191-0-0, lawmakers approved House Bill (HB) No. 4113 or the proposed 100-Day Maternity Leave Law on 3rd and final reading on Tuesday, September 4. It was approved on second reading just a week ago on August 28.

HB No. 4113 aims to extend the current 60-day leave by another 40 days and would also give female employees the option to extend their maternity leave by another 30 days without pay.

The extended paid maternity leave bill, however, will have to pass through the bicameral conference committee, composed by members of both the House and the Senate.

This is because the Senate version of HB 4113, approved on 3rd and final reading in March 2017, seeks a longer paid maternity leave of 120 days. And unlike the House bill which does not increase fathers' 7-day paid leave under Republic Act No. 7322, Senate Bill No. 1305 also seeks a 30-day paid leave for fathers.

Legislators have to reconcile conflicting provisions of the measure before President Rodrigo Duterte can sign it into law. (READ: Duterte backs longer maternity leave)

What are the provisions of the bill? HB 4113 grants the 100-day paid maternity leave to a pregnant female worker regardless of her civil status, legitimacy of her child, and whether she gave birth via caesarian section or natural delivery.

The maternity leave would also be granted to female employees in every instance of pregnancy, miscarriage, or abortion, regardless of its frequency.

The maternity leave also cannot be deferred, but it should be availed of by the woman either before or after the actual period of "delivery in a continuous and uninterrupted manner."

Section 13 of HB 4113 guarantees security of tenure of the mother who would avail of the maternity leave, and bars her company or government agency from demoting or firing her for taking her maternity leave.

What are the other benefits? A mother would also have these benefits under HB 4113:

• A female member of the Social Security System (SSS) who has paid at least 3 monthly contributions in the 12-month period immediately preceding the semester of her childbirth or miscarriage shall be paid her daily maternity benefit. This would be computed based on the average monthly salary credit for 100 days.
• Female workers in the private sector under maternity leave must receive not less than two-thirds of their regular monthly wages.
• Employers of female workers in the private sector must be responsible for the salary differential between the actual cash benefits received from SSS and their average weekly or regular wages, for the entire duration of the maternity leave.
• HB 4113, if passed into law, should not diminish the existing maternity benefits granted by the employer with or without collective bargaining agreements or under present laws, "if more beneficial to the female employee."

What are advocates saying? Gabriela Representative Arlene Brosas hailed the passage of extended paid maternity leave.

"This is historic as this is the first time that the expanded maternity leave bill hurdles all the stages at the House of Representatives since we first filed the measure 10 years ago. We congratulate various women's groups and partners of Gabriela Women's Party for tirelessly pushing the Lower House to act on the 100-day maternity leave bill," said Brosas.

"Pagkilala ito sa produktibong papel ng kababaihan sa ekonomiya at pagtataguyod ng kanilang karapatan sa maternal health na laman ng Konstitusyon (This is a recognition of the productive role that women play in the economy and their right to maternal health stipulated in the Constitution)," she added.

Akbayan Representative Tom Villarin also called HB 4113's approval a "victory for women workers."

"Naniniwala ang Akbayan na hatid nito hindi lang ang mga benepisyong pangkalusugan para sa mga manggagawang buntis, kundi maging ang proteksyon sa kanilang kapakanan at karapatan bilang manggagawang kababaihan," he said.

(Akbayan believes this would bring not only health benefits for pregnant workers, but it would also protect their rights as female employees.)

Senator Risa Hontiveros, chairperson of the Senate committee on women, children, family relations, and gender equality, congratulated her counterparts in the House who pushed for the bill.

"Enough rest will give new mothers time for recuperation and recovery from childbirth. It will also improve on families' overall well-being, with newborn infants being properly taken care of," Hontiveros said.

"A healthy working population means less sick leaves and more productivity," she added.

The Philippine Legislators' Committee on Population and Development (PLCPD), a group composed of lawmakers from the Senate and the House, said "this victory has opened new doors for advancing not only women's rights but also children's rights and welfare."

"But a few more crucial steps are needed to ensure that the expanded maternity leave bill will be a law. The [PLCPD] urges both houses of Congress to fast-track the convening of the bicameral conference committee and ratify the final version of the bill," the group said.

"We are confident that President Rodrigo Duterte will hold on to his commitment to support the expanded maternity leave and that he will immediately sign the bill into law."

The Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) also hailed the bill's approval as a "sweet victory for Filipino women workers who have lobbied and belabored for the mandatory welfare for more than a decade."

ALU-TUCP vice president and women's committee head Eva Arcos said the measure is "the country's non-cash investment in producing a healthy, intelligent, and well-developed future breed of Filipino workers." – Rappler.com

Pregnant woman image from Shutterstock

Workers' daily minimum buying power reduced to P200 per day

The Associated Labor Unions-Trade Union Congress of the Philippines said Saturday the buying power of workers' standard minimum in the private sector nationwide fell to P200 a day.

Citing the group's monitoring and evaluation of the inflation versus the daily minimum wage, ALU-TUCP spokesperson Alan Tanjusay said the average total daily minimum wage nationwide fell today to P200 a day effective this week from P208.83 in June 2018.

In June 2018, the total average of different daily minimum wage rates across the country was P335 and its equivalent buying power is P208.83, according to the labor group.

“What can workers buy for him and for his family nowadays with the value of his minimum pay of P200 a day?” Tanjusay said in a statement.

"Without a serious government social safety program in place and a significant wage increase to address the worsening economic depression, a decreasing buying power of wage bears harmful effect to workers’ health and capacity to produce quality goods and services needed by employers and business owners to thrive," he added.

According to the National Economic Development Authority (NEDA), the amount needed by a family of five in order to live decently is P44,000 a month or P1,400 a day.

The segment of work force already affected by the crisis are those entry-level, rank-and-file, contractual, short-term, and end-of-contract employees receiving minimum pay working in manufacturing and services sector, the labor group said.

However, the most heavily affected segment of the labor force by high inflation and decreasing purchasing power are those 11 million unemployed and those 15.6 million workers working in the informal economy.

“The unemployed obviously are scraping what’s left at rock bottom and very susceptible to any means to survive. While workers in the informal economy —since they have no fixed income —are also very insecure,” Tanjusay said.

With this, the labor group expects a lower output contribution to the country’s gross domestic product (GDP) by workers affected by shrinking value of their pay and continuously rising prices.

The shrinking value of their salary, ALU-TUCP said, impacted the workers health and their productivity particularly their capacity to produce quality goods and services needed by employers and business owners to prosper.

“With the poor workers option to buy quality and nutritious food for him and for his family has been decreasing, expect an unhappy and less productive employees in the weeks ahead. Take note that these very vulnerable segment of workers are already have no security of tenure, no fixed income, inadequate social protection benefits and confronted by difficult and stressful external forces,” Tanjusay said.

TUCP Party-list Rep. Raymond Mendoza has filed a bill in the House of the Representatives seeking a P320 a day across-the-board wage increase for workers in manufacturing, agriculture and service sectors.

The ALU-TUCP has also sought government for a P500 monthly grocery subsidy for minimum wage earners to help them cope with rising inflation and eroding wages.

The group also has petitioned the 17 regional wage boards nationwide to increase workers’ pay by P320 a day.

However, only nine regional wage boards have made wage adjustments since May this year ranging from P10 to P56 a day on installment basis, it said. —Ted Cordero/LBG, GMA News