Gov’t pushes Labor Code amendments

MANILA, Philippines - The Philippine government is pushing for certain amendments to the Labor Code in the next Congress as the country’s labor practices are being reviewed by the US to determine if the country should continue to enjoy trade benefits under the Generalized System of Preferences (GSP) program.

A transcript of the Office of the US Trade Representative’s  public hearing held on March 28, for review of country practices in relation to the GSP released by the agency, showed the Philippine government is committed to pass into legislation the bills on assumption of jurisdiction and union registration in the 16th Congress.

“On the two remaining bills, an action plan for the prioritization in the 16th Congress is being finalized,” Labor undersecretary Rebecca Chato said.

The assumption of jurisdiction bill seeks to amend Section 263 of the Labor Code of the Philippines, by adopting the “essential services” criteria to limit the assumption of jurisdiction order.

The “essential services” criteria will be determined through tripartite consultation.

The union registration bill, meanwhile, seeks to amend Section 237 of the Labor Code of the Philippines by reducing the required 10 local unions to five for the registration of federations.

Chato said the passage of the proposed measures is quite nil now as the 15th Congress, which is in recess, will only have three days when they assemble again in June.

She said the government is committed to uphold human rights and afford workers internationally recognized rights, as legislative reforms have already been taken earlier this year.

In March, President Aquino signed into law Republic Act (RA) 10395, which seeks to strengthen tripartism by creating monitoring body National Tripartite Industrial Peace Council, and RA 10396, which makes all issues arising from employment subject to mandatory conciliation-mediation.

“Both (enacted) measures, together with the enforcement of the labor and employment education services, and the labor law compliance system, are the foundation to judicialize the labor justice administration in the country,” Chato said.

The USTR is reviewing the Philippines’ practice on workers’ rights following a case filed by non-profit advocacy group International Labor Rights Forum (ILRF) in 2007.

The ILRF asked the USTR to look into the country’s practices on workers’ rights citing unionist killings between 2001 and 2007.

The group notes that trade benefits under the GSP should only be given to countries which afford “internationally recognized worker rights.”

The ILRF has said that while there have been improvements in labor practices in the country since the case was filed, the USTR should continue to review the petition next year.

The GSP which was instituted in 1971, provides preferential duty-free entry for up to 5,000 products when imported from one of the 127 designated beneficiary countries and territories.

Products that are eligible for duty-free treatment under the program include most manufactured items; chemicals; minerals and building stone; jewelry; many types of carpets; and certain agricultural and fishery products.

The Philippines has been part of the program since 1989.

In October 2011, US President Barack Obama signed a legislation to reauthorize the GSP through July 31 of this year.