Some new laws to chew on

My tokayo, Rey Dyquiangco, a retiree and former director of the defunct camp John Hay Dev. Corp., sent a wishlist of laws that he believes needs to be urgently enacted by the incoming Congress to sustain the country’s economic growth.

While this is intended as a guide for voters when choosing their candidates in the forthcoming elections, it could also form part of a longer list that our newly elected officials may wish to look at in the coming months ahead. There are three items that I have singled out for now.

We can continue expanding this list in forthcoming columns. Meantime, here are the items I chose from Dyquiangco’s enumeration:

Economic labor zones

“I completely agree with the observation of former NEDA Secretary Gerardo Sicat that the passage of an enabling law that will create “economic labor zones” in depressed towns and provinces will create employment opportunities.

“Right now, we are losing a lot of foreign investments to the competition of low wages offered by Indonesia, Vietnam and soon Myanmar or Laos. The issue here is simple: to have employment or no employment at all. This will not be exploitation of labor but rather an opportunity for employment.

“As part of the role of the National Wages and Tripartite Board, zones should be identified every three years through a “list of inclusions” that will allow an outright reduction of prescribed wages of not less than 75 percent or even 70 percent.

“However, the compulsory minimum coverage of SSS/ECC, PhilHealth and Pag-ibig is required to allow such members to benefit in these programs. This will definitely encourage businesses to locate at depressed regions in the Philippines.

“However, the business entities that operate in these areas will be required to undertake a prescribed gain-sharing arrangement equivalent to 10 percent of their audited net profits after taxes as declared in the filed income tax return. 

“In short, business is given the opportunity to pay lower salaries rates but is required to share the business profits to their employees. This is a realistic compromise to lower wages.

Split the DOTC

“Our present situation of letting DOTC handle the transport and communications program under one government agency is unrealistic.

“Transportation covers land, air and water transport licensing and franchising, integrated fast rail systems, airports, seaports (PPA). This alone is a heavy responsibility.

“There is a need to give priority development for fast train systems nationwide that would carry both passengers and cargo to their destinations at a cheaper and faster rate.

“As an archipelagic country, we need to improve our maritime capacities like large scale catamarans and ship building capacities with emphasis on roll on-roll off capacities.

“Communications and information technology should be a separate department that will handle communications, bandwidth allocation, radio TV licensing, railroad and utility post/tower, right of ways among others.

“We have to recognize that the next stage of business revolution will be in information and communications technology, which are being fused into an integrated technology and we must be prepared for it.

Clustering agencies

“The present practice of regional or government centers, spread out in different rented building, is not taxpayer friendly, and incurs a lot of rental expense that is another source of corruption. The cost of rental when summarized will be a shock to DBM.

“To address this, government should undertake a BOT/ PPP program for the building of these regional/ government centers on a lease-purchase basis under the PPP program.

“The idea is to allow the private sector to build each cluster or a whole set of clusters … and place it on a lease-purchase arrangement over a period of 25-30 years. After that, government will own the land and buildings.

“Government agencies belonging to the same cluster must be located adjoining each other in a regional or government center allocated from public lands (if available).

“To maximize the effect of savings, at the center of each cluster will be a common service center that will have a shared secretariat, seminar/ conference, events place, and hostel to save on manpower, tech support, secretarial staff and computer equipment needs.

“All vehicles will be transferred (except that of the regional director) to a common motor and drivers’ pool for joint use by all the agencies concerned upon scheduled request. This will avoid unnecessary use of government cars as they are all parked in the motorpool. To pinpoint vehicle use and responsibility, each unit is assigned to only one driver.

“In the common service area, the private sector can provide the facilities on a BOT basis and operate these for a fee. This could include a food court, hostel and conference center. This common area, after the PPP period, will be transfered to government, with the maintenance and operations processes once again bid out.

“To strengthen this program, there may still be a need to pass an enabling law in order to force subsequent presidential administration to comply with this operational process.”

Freedom of informed choice

As an ender, let me share the letter sent by Jerry Quibilan, who calls himself a crusader for peace, prosperity, unity and love.

“Your article is very apt and informative. ‘Making an informed choice’ reminds me an event during the third quarter of 2010.

“Shortly after the opening of the 15th Congress, Representatives Edsel Lagman and Rufus Rodriguez were guests at the then Kapihan sa Sulo, now Saturday Forum @Annabel’s hosted by former Rep. Jonathan dela Cruz.

“The topic discussed was the RH bill. During the presentation of Lagman, he frequently mentioned “freedom of choice.” When I was given the opportunity to raise a question, I commented first by saying:  “Cong Edsel, while freedom of choice is everybody’s right, its result may not be positive or effective due to the lack of correct information or education. I suggest that we insert ‘informed’ and make it ‘freedom of informed choice’.

“Since then Cong Edsel always used ‘freedom of informed choice’.”

Let’s all go out and vote and exercise our freedom of informed choice on Monday, May 13.

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Should you wish to share any insights, write me at Link Edge, 25th Floor, 139 Corporate Center, Valero Street, Salcedo Village, 1227 Makati City. Or e-mail me at [email protected]. For a compilation of previous articles, visit www.BizlinksPhilippines.net.