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TAMBULI APRIL 2006 Issue 2Nd EDIT Senator Ralph Recto as Chairperson of the Senate Committee on Ways and Means with Senator Juan Ponce Enrile, held recently a public hearing on the proposed Fiscal Incentives Bill and the Anti- Smuggling Bill, which FPI has been vigorously supporting. FPI on Anti-Smuggling and Fiscal Incentives Bills he Federation of Philippine Industries (FPI) presented its T recommendations to the Senate Ways and Means Committee for possible incorporation on the proposed Anti-Smuggling and Fiscal Incentives Bills. Senator Ralph Recto, with Senators Juan Ponce Enrile and Juan Flavier as members tackling the two essential bills, chairs the Senate Committee on Ways and Means during a well-attended public hearing held recently at the Philippine Senate. FPI Recommendations on the Anti-Smuggling Bill: FPI, through its President, Mr. Jesus L. Arranza, recommended the following for possible incorporation on the proposed Anti- FPI President Jesus L. Arranza joined the round table discussions Smuggling Bill: with President Gloria Macapagal-Arroyo on various issues of • All Inward Foreign Manifests (IFMs) should be published in national concerns, which was aired, live via NBN Channel 4. the Bureau of Customs and/or in the Department of Trade and Industry’s web sites. President Gloria Macapagal- FPI Legal Team to assist BOC • All Import Declarations should follow the Harmonized System Arroyo approved in principle the of 8-digit heading to prevent misclassification. issuance of an Executive Order, President Gloria Macapagal-Arroyo • Every classification by Tariff Heading should have value range requiring all government welcomed the assistance of the and date, which should be published in the BOC and/or DTI agencies and government Federation of Philippine Industries websites and periodically updated. owned or controlled cor- (FPI) to help the Bureau of • The Department of Finance (DOF) should do all encoding of porations including barangay Customs (BOC) prosecute import documents. units to procure locally-made smugglers. In the round table • All import documents should be microfilmed. products, during the roundtable discussion which was shown live • Private lawyers should be allowed to prosecute customs and discussion which was recently in NBN-Channel 4, Mr. Jesus L. smuggling related cases under the control and supervision aired live in NBN-Channel 4. If Arranza, FPI President, reported to of the Bureau of Customs. this E.O. is finally issued, it will President Arroyo that the continue on page 4... continue on page 2... continue on page 2... continued from page 1... continued from page 1... FPI to conduct symposium on best PGMA endorses... FPI Legal Team... industry practices on productivity boost the local industry, preserve Federation has formed a legal team and increase local employment and that will assist the BOC in the base pay at the enterprise level save our country’s dollar reserves. preparation and prosecution of smugglers and other violators of the Tariff and Customs Code of the In the expanding global economy, it is critical to improve the competitiveness Mr. Jesus L. Arranza, President of Philippines. of the labour-management partnership to keep business growing. the Federation of Philippine Industries (FPI), who suggested Mr. Arranza said that the reception In this light, the FPI Labour and Productivity Committee will conduct a the subject to President Arroyo, of President Arroyo on the matter Symposium on Best Industry Practices on Productivity Base Pay at the said that the issuance of the E.O. will further encourage the FPI Legal Enterprise Level with the theme Achieving Enterprise Growth, Expansion Team to push through with its and Profitability Through Labor and Management Social Partnering, which would be very timely, because the assistance to BOC and help the will be held on the third week of July 2006. Philippines is not yet a signatory latter prosecute the smugglers until on Government Procurement conviction. The objective of this event is for selected companies to present the under the WTO. President Arroyo productivity based pay and other incentive schemes that have been proven instructed Mr. Arranza to President Arroyo said that while effective in their enterprise and in their respective industries. This will be there are so many cases filed in immediately draft the E.O. so that court, the ultimate objective is to organized to show how that CEOs and HRs with labour involvement worked it can be reviewed by government obtain final conviction. to develop and apply the said different productivity and incentives schemes. lawyers to determine if it will With this in mind, the Federation will invite enterprises which adopt Volunteer lawyers from FPI industry productivity based pay scheme, which belongs to labour intensive industries violate any existing international agreement. members as well as concerned and ideally from the glass, garments and textiles, ceramic tiles, chemicals lawyers coming from different law steel, food and beverages, home appliances, semiconductors and offices have come forward to help electronics and other sectors like furniture making. The support by Pres. Arroyo to the assist the national economy by recommendation of FPI is well preventing the unlawful deprivation The format of the presentations should answer the following questions, appreciated by both local industry of the Government of much- namely: and labor. needed revenues and protect the interest of the various industries and businesses in the Philippines. The 1. What are the parameters measured? The E.O. will require government 2. How are they measured? campaign will help prevent smuggled agencies to procure locally imported goods from unfairly 3. When are they measured? competing with legitimate 4. Who conducts the measurement? produced products, materials and supplies, provided, it is adequately businesses in the Philippines and 5. What are the quantifiable results and how these translated into insure national security via the the monetary or peso value? Or their comparative percentage available, the price is competitive prevention of prohibited articles from increases if the information are confidential. and within standards required by entering the country. 6. How was it sustained? the users. Meanwhile, this project is still Invitees in this event are the CEOs, HR practitioners, labour group Hence, the issuance of this E.O. pending with the BOC as their initial reaction is that only customs lawyer representatives, and other stakeholders such as members of academe will not motu proprio ban (faculty and students) and LGU social covenant signatories representatives can handle these cases. However, from Davao, Benguet, Negros and Cavite. importations. FPI believes otherwise. To make the discussions more meaningful, the Federation will invite experts from the International Labor Organization (ILO), United Nations More significantly, both biofuels are environmental friendly and Development Programme (UNDP), Freiderich Erbert Stiftung (FES), the therefore non-polluting. They do not contain any toxic substances, Department of Labor and Employment-Institute of Labour Studies (DOLE- hence, their burning do not produce any harmful emissions nor green ILS), and the U.P. School of Labor Relations (UPSOLAIR) as resource persons. house gases. Furthermore, they promote fuel security as well as accelerate countryside growth with the use of sugar cane for bioethanol FPI calls for immediate passage and coconut for CME production. of Ethanol and CME Bills FPI President Jesus Arranza said “Never have we seen such The Federation strongly supports the immediate enactment Philippine made products that offers a win-win solution to our people, of the House proposed Cocodiesel Act of 2005 which mandates to our environment, to our motorists, to our farmers and to our biofuel CocoMethyl Ester (CME) blending in diesel fuel, and the Senate producers and distributors”. Biofuel Act of 2005 for the mandatory blending of both BioEthanol and CME in gasoline and diesel, respectively, under one bill. The House of Representatives already passed on its third and final Meanwhile, Senate Bill No. 2226 otherwise known as the Biofuels reading Substitute House Bill 4629 on ethanol blending in gasoline. Bill has been endorsed by the Senate Joint Committee headed by the Committee on Energy chaired by Sen. Miriam Santiago. Ethanol and CME fuels are indigenous, renewable, biodegradable and it is safe to store. In general, they serve as substitute, additives and alternative fuel resources. Both fuels are The proposed measure was also endorsed by twenty Senators, energy efficient. They can be blended in any ratio up to 100% which if approved, shall implement the mandatory blending of ethanol and increases engine efficiency due to their superior detergency, lubricity and solvency properties. It is reported that a 1-% CME on gasoline and biodiesel on diesel as enhanced motor fuels. Presently, blend can increase engine mileage by as much as 17% or more. the bill is subject for floor deliberations. BUSINESS OPTIONBUSINESS OPTION by FPI Director George S. Chua Turn your job into a P.E.A.R.L. There are a lot of people who would go through anything to get a people a chance to explain their actions before jumping to job or a promotion they wanted and once they get it, they blotch conclusions and taking action without the benefit of hearing both up the whole thing. I have a simple reminder to everyone to sides. keep the luster of their jobs just like a shiny and valuable pearl. Your job is a constant
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