The country’s largest business group has sought representation in the Inter-Agency Task Force for the Management of Emerging Infectious Diseases (IATF) to help the government craft a sound and practical plan that will ease the resumption of businesses and save the economy from a downward spiral.
The Philippine Chamber of Commerce and Industry (PCCI) made the appeal as it complained about impractical measures the IATF imposed on workplaces, including limited public transportation, weak consumer confidence, and issues with cash flow and liquidity.
“We are appealing for the inclusion of the private sector in the IATF,” said PCCI president Benedicto Yujuico. “The IATF will be able to use the on-the-ground experience of the business sector to come up with a holistic approach that will make it easier for businesses to resume operation and for workers to return to work.”
During the 29th PCCI-North Luzon Area Business Conference held online on Thursday, Yujuico recalled a recent meeting with the PCCI board of directors when he complained about the lack of a coherent plan to restart the economy, several months into the pandemic.
“For instance, mandating the use of face shields for workers, the observance of 2-meter physical distancing and the designation of an isolation area of one room for every 200 employees, is simply not realistic in a production-line setting,” Yujuico said.
“I then expressed the sentiment that despite our persistent call for a holistic approach that would address the need to immediately restart the economy, and, at the same time, ensure compliance with health protocols, it seems we have yet to see a coherent game plan that will hold back the continued downward spiral of the economy,” he said.
Stimulus bill
Yujuico reiterated the need for a stimulus bill, particularly the P1.3-trillion Arise bill, or the Accelerated Recovery and Investments Stimulus for the Economy of the Philippines, that proposes a P568-billion package for micro, small and medium enterprises and other sectors affected by the pandemic.
The House of Representatives passed the Arise bill, or House Bill No. 6815, on third and final reading on June 4 but there is still no counterpart measure in the Senate.
Moreover, the Duterte administration set aside Arise in favor of the cheaper P140-billion Bayanihan to Recover as One Act (Bayanihan 2), which was approved by the congressional bicameral conference committee on Thursday.
Yujuico also pushed for the more controversial Senate Bill No. 1357, or the Corporate Recovery and Tax Incentives for Enterprises Act (Create), which seeks to cut corporate taxes from 30 percent to 20 percent over seven years and rationalize investment incentives over five years.
Economy’s full resumption
In its statement, PCCI urged the full resumption of economic activities, as any move short of it might keep the country longer under a recession. The pandemic and the lockdown meant to contain it had sunk the economy to its lowest in four decades during the second quarter.
“We acknowledge the hard work the IATF is doing to prevent the spread of COVID-19. We understand the precarious situation of our medical workers and front-liners,” Yujuico said.
“But we also need to stress that the longer our economy stays in its current state where businesses cannot function 100 percent, nor even up to 75 percent, the more protracted the recession that will follow and the more people will be permanently out of jobs,” he added.