DOLE: 1.9M workers affected by temporary closure of businesses

MANILA, Philippines — Around 1.9 million workers have so far been affected by the temporary closure of some business establishments in the country amid the coronavirus crisis, the Department of Labor and Employment said on Thursday.

Labor Secretary Silvestre Bello III said these are employees of businesses that have sent notices to DOLE for temporary closure as they struggled to retain operations during the pandemic.

“Ang natanggap namin ay mahigit 1,900,000, pero ito temporary closure. Bihira ‘yung permanent closure,” Bello said in an interview with ABS-CBN’s Teleradyo.

(We have received notices of temporary closure affecting 1,900,000 [workers]. Submission of notices for permanent closure is seldom.)

Asked if he was referring to workers, Bello said: “Opo (Yes). 1.9 million workers.”

Despite this figure, the labor chief noted that many businesses still opt to implement a flexible working schedule for their employees instead of closing down the establishments so they can maintain the employment of their staff.

To help cushion the impact of the coronavirus pandemic to micro, small, and medium enterprises (MSMEs), Bello said DOLE had proposed that a cash subsidy also be provided for employers of MSMEs.

Under the proposal, DOLE will subsidize from 25 to 50 percent of the salary of employees of MSMEs so the entrepreneurs will only have to shoulder a portion of their workers’ incomes.

“Kung ikaw ay employer bibigyan kita ng—halimbawa ang sweldo ng empleyado mo ay P10,000, maaaring bibigyan kita ng P2,500 or P5,000 para ang babayaran mo sa worker mo ay kalahati lang or 75 percent lang,” he explained.

(For example, if your employee is earning P10,000, we may give you P2,500 or P5,000 so that you will only have to pay half or 75 percent of the amount to your employee.)

He said around P20 billion will be needed for the program and that DOLE had already asked Congress for funds for the said subsidy.

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