New pro-labor bills to drive foreign investors away, business leaders warn

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Top business leaders want President Rodrigo Duterte to focus on making the country more appealing to foreign investors, and warned that proposed laws like the 14th month pay and the ban on labor contracting could shoo investments away.

Metro Manila — Business leaders want to hear concrete steps from President Rodrigo Duterte on how he plans to attract more foreign investments to the Philippines during his State of the Nation Address on Monday.

George Barcelon, chairman of the Philippine Chamber of Commerce and Industry, said the recent law extending the maternity leave for female workers to 105 days is an added burden to businesses. As if that’s not enough, a bill banning contractual employment is pending before Malacañang, while Senate President Vicente “Tito” Sotto III also put forward a measure that will require companies to pay a 14th month pay to their employees.that the law is there to protect them… it’s prejudicial.

Former Socioeconomic Planning Secretary Gerardo Sicat again stressed the need to amend the Constitution to remove restrictive limits on foreign ownership, saying this has held back potential investments for so long. Currently, foreign firms need to have local partners across major industries to be able to operate here.

Sergio Ortiz-Luis, Jr., president of the Employers Confederation of the Philippines, also gave his wish list for the 18th Congress, which include the passage of the Public Service Act and the Retail Trade Liberalization Act. To add, the corporate executives also blamed the high cost of power and transport in the country, worsened by congested roads and ports that disrupt the flow of goods.

 

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True' it has to be balanced between employer and employee...

Yes of course, but these business leaders should also be aware of how these workers make the business run. We can have it two-way, businesses growing, workers compensated well.

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