Gov’t bares P1.14-T COVID-19 employment recovery plan

The Philippine government on Saturday bared its P1.14-trillion strategy to revive the country’s COVID-19-battered labor sector.

In 2020, 4.5 million Filipinos were reported to be unemployed due to the COVID-19 pandemic.

There were also around 9.1 million Filipinos who experienced being laid off from March 2020 to February 2021.

To address the situation, various government agencies crafted the National Employment Recovery Strategy (NERS) to generate 2.4 to 2.8 million jobs this year.

During the virtual Job Summit, Trade Secretary Ramon Lopez bared the government's eight-point employment recovery agenda.

“The agenda encapsulates the convergence programs of various departments and agencies that contribute to the overall objective of generating employment and entrepreneurship opportunities while reviving companies affected by the pandemic,” Lopez, who chairs the NERS Task Force, said.

“In sum, we have initially allocated P1.14 trillion for the convergence program of the NERS eight-point employment recovery agenda under the 2021 General Appropriations Act. The same will be prioritized by the implementing agencies in their 2022 proposals,” he said.

“The initial funding requirements for the implementation of the majority of the enrolled programs are charged against the current appropriations of member-agencies,” he added.

First on the agenda is the proposed P24-billion wage subsidy for private-sector workers. The program is aimed to preserve existing jobs by subsidizing the wages of workers in micro, small and medium enterprises.

The program is projected to benefit one million workers.

The second point of the plan is to organize a job summit.

“This will be a venue for high-level consultation and discussion with employer groups, labor sector, government representatives, and other key stakeholders to address the employment problems in the country brought by the pandemic,” Lopez said.

Third on the agenda is support for the passage of priority legislation and policies that strengthen the economic and employment recovery.

Priority legislation includes bills on amending the Public Service Act, Retail Trade Liberalization Act, and Foreign Investments Act.

Other priority legislation and policies were:

• Bayanihan to Arise as One Act (HB 8031 and 8628) and Bayanihan to Rebuild as Once Act (HB 8059)
• Warehouse Receipt Bills
• Policy on Local Preference on Government Procurement
• Policy on Consumer Welfare (Revised Consumer Act of the Philippines)
• Enterprise and Entrepreneurial Support: Pondo sa Pagbabago at Pag-asenso Act, amendments to the Magna Carta for MSMEs, One Town, One Product Philippines Act
• Industry-specific legislation: E-vehicles, creative industries, Philippine Rubber Industry Development, Philippine Bamboo Industry Development
• Enabling policies: Internet Transactions Act, Pandemic Protection Act, 30-year Long-term Infrastructure Development Plan

Fourth is the promotion of retooling and upskilling of workers with a budget of P11.1 billion. This would benefit around 407,804 workers.

“This is to address shifts in the labor market and ensure future-ready Filipino workforce with skills and qualifications to answer post-pandemic demand,” Lopez said.

Fifth is the full implementation of youth employability programs with a budget of P1.759 billion and 85,159 target beneficiaries.

“Due to imposed lockdowns and travel restrictions in 2020, the youth employment rate lowered to 78.5% and the unemployment rate increased to 21.5% in 2020,” Lopez said.

The full implementation of the youth employability programs is “anchored in addressing youth unemployment,” the Trade chief said.

The youth employability programs include:

•    Government Internship Program
•    Special Program for Employment of Students
•    JobStart Philippines
•    Career Advocacy and Employment Coaching
•    Scholarship Program on Continuing Education for the Youth
•    Young Filipino Farm Leaders Training Program in Japan
•    Mentoring and Attracting Youth in Agribusiness Program
•    Youth Entrepreneurship Program

Sixth on the agenda is the extending of assistance to establishments through loans, deferment of applicable fees, and upgrading of processes. This has a budget of P14.81 billion and has so far assisted 37,350 establishments and preserved 140,633 jobs.

Seventh is providing social protection to vulnerable groups such as providing subsidies and emergency employment. This has a budget of P1.1 billion and has so far assisted 28,670 beneficiaries.

The eighth and last component is the support of the continuous implementation of programs with high impact on employment such as the Build, Build, Build program; Balik Probinsya Bagong Pag-Asa; Integrating Workforce Opportunities for Rebalanced Communities; Public-Private Partnership for the People Initiative for Local Governments; and Support to National Convergence and Initiatives for Sustainable Rural Development.

These programs have a cumulative budget of P1.12 trillion and are expected to generate at least 220,000 jobs. — DVM, GMA News