DTI wants Congress to handle contractualization issues

The Department of Trade and Industry (DTI) backed the move to address the issues of contractualization through legislation, instead of an executive order.

On the sidelines of a trade show yesterday, Trade Secretary Ramon Lopez said it would be better if stakeholders would present their views in Congress.

This echoes the statement of Labor Secretary Silvestre Bello Jr. who, according to Presidential Spokesperson Harry Roque, had left the issue to Congress. This, reportedly, is also the position of Malacañang.

Lopez reiterated his previous comment that changing the current arrangements on contractualization would be bad for investments and for the workers, as well.

“Frankly, the labor code, as it is now, provides for protection and flexibility. If ever we update that, maybe it would just be some terms or [the introduction of] new business models,” Lopez said.

When asked to expound on what else he was willing to update, he said “the bottom line is that contractualization is a global practice.” Doing away with that would be a disadvan tage for the country, he added.
“It’s not just one company that says we’ll transfer to another country,” he said.

Duterte was expected to sign an executive order on contractualization next month. However, Roque yesterday said this would not push though anymore.

Some business groups have yet to comment on the issue as of press time.

However, Ma. Alegria Sibal-Limjoco, president of the Philippine Chamber of Commerce and Industry (PCCI), said they shared the DTI’s position, particularly on how limiting contractualization would ward off investments.