Gov’t told: Spend on jobs creation
Angara sponsored the bill that only passed on second reading after Malacañang did not certify the measure as urgent
The Philippine government should fund efforts to prevent unemployment and save workers amid the COVID-19 health crisis, senators suggested on Monday.
This was raised by Senate Finance Committee Chairman Sonny Angara as Senate Bill 1564 or the Bayanihan To Recover As One Bill otherwise known as Bayanihan 2, is being introduced to provide safety nets to the workers.
Angara sponsored the bill that only passed on second reading after Malacañang did not certify the measure as urgent.
In another statement, Senator Sherwin Gatchalian asked the Economic managers to provide a stimulus for the labor market in order to preserve jobs.
He also wants to prevent further unemployment in the country which peaked at an all-time high 17.7 percent in April 2020.
Previously, the Philippine Statistics Authority (PSA) reported that there are 7.3 million unemployed Filipinos as of April 2020.
Most of unemployed Filipinos are from Bangsamoro Administrative
Region in Muslim Mindanao (29.8 percent), followed by Central Luzon (27.3 percent) and Cordillera Administrative Region (25.3 percent).
Meanwhile, the industries heavily hit by unemployment are the arts, entertainment, and recreation with 54 percent, followed by electricity, gas, steam, and air conditioning supply with 43.1 percent and information and communication with 40.6 percent.
“The main focus of the stimulus package is job preservation. If this pandemic will last for a long time, it is important to ensure that millions of workers will retain their jobs. If the company is not earning, that is when the government should take part,” he said.
“The government should help companies to retain their employees. It is important that we overcome this until our situation becomes normal and part of it is the employees should stay in their companies,” he added.
Gatchalian, vice chairman of the Senate Committee on Economic Affairs, said that the government has yet to decide which stimulus package will be included under the proposed Bayanihan to Recover as One Act.
He said that there is a need to seek a bigger stimulus package in order to protect the jobs of millions of Filipinos.
Far from the P130 billion that the government can afford, based on figures from the Economic Team’s statement — Gatchalian said that his research team projected at least P301 billion to create direct and indirect jobs in the country for workers affected by the COVID-19 pandemic.
He also asked the Bureau of Internal Revenue to suspend taxation on small-time online sellers, especially those who have been unemployed due to the COVID-19 pandemic.
SB 1564, which Angara sponsored, critically-impacted workers will be entitled to wage subsidy which will include those who are probationary, seasonal contractual, freelancers, self-employed and repatriated OFW.
The measure also seeks to provide P15 billion for the emergency subsidy to workers from critically-impacted sectors and industries including the cash-for-work program and the DoLE’s TUPAD program, P17 billion for assistance to displaced workers and employees, P50 billion for infusion of capital to government financial institutions, P17 billion for cash subsidy and interest-free loans from the Agricultural Credit Policy Council and government financial institutions, P10 billion for the Department of Tourism’s assistance to critically-impacted businesses, among others.