Records from the Department of Labor and Employment showed that 61 percent, or the bulk of establishments resorting to permanent closures and retrenchments for nine months in 2000, were located in the National Capital Region.
Labor Secretary Bienvenido Laguesma said company closures and retrenchments remained largely concentrated in the NCR while the rest were distributed in other regions.
From January to September 2000, a total of 1,714 firms closed shop due to economic woes.
Of this figure, 1,045 were companies operating in Metro Manila while Southern Tagalog posted the second highest number, with 22 firms ceasing operations.
As a result, some 52,468 workers were displaced. More than half of these workers come from Metro Manila.
Majority or 63.1 percent of the companies affected were engaged in businesses like the wholesale and retail trade, hotels and restaurants, financing, intermediation and real estate.
Among the reasons cited were slump in demand, lack of capital, peso depreciation and financial losses. — Mayen Jaymalin