1

Migrants bolster social, economicdev’t of RP, host countries

Migrant workers contribute heavily to economic and socialdevelopment of the Philippines and of their host countries.

Such is one of the conclusions ofthe two IIWE-supported FFW Seminarson The Importance of Migration in theEconomic Development of thePhilippines held on February 10, 2007in Davao City and February 17, 2007 inManila.

More than merely the value of theirremittances, migrant workers contributeto economic development not only intheir countries of origin but also in labor-importing countries in more ways thanone.

Contribution of Filipino migrantsIn the Philippines, for example, aside

from easing unemployment currentlypegged at a rate of 9 percent, the 8-9

million migrants deployed in some 198countries and territories, remitted to thecountry some US$ 10 -12 billion in 2006.Accordingly, this is more than thecombined amount of FDIs that has gotinto the country and the earnings fromthe main exports of goods.

Remittances of Overseas FilipinoWorkers (OFW) made up 9.6 percentof the country’s GNP in 2000, up from4.8 percent in the 1990s, and where 6percent of all households receive financialsupport from their relatives abroad.

The remittances are used to lift theirfamilies out of poverty and want,educate and train their children, buildtheir houses, improve their health care.

WORKSHOP. FFW leaders attending the IIWE-supported seminar on migration discussappropriate migration policies. Albert Pedregoza (standing), President of the MalayanEmployees Union-FFW and one of the implementers of the IIWE SEDP facilitates theworkshop.

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Trafficking in personsWomen, entertainers, domestic helpers and caregivers

often become victims of trafficking. According to the ILO,the Philippines, for example, is a source, transit anddestination of trafficked persons. A 2006 UNODC Traffickingin Persons Report cites the Philippines as “High” amongorigin countries, “Medium” among destination countries and“Very Low” among transit countries.

But trafficking in persons involves other countries aswell. Bangkok, Thailand is a transit country for Filipinonationals being trafficked to Italy. Australia, HK-SAR, China,Japan, South Korea and Taiwan are major destinations oftrafficking for forced prostitution sourced from Indonesiaand the Philippines, according to UN and ILO reports.

State Protection: InadequateIn the Philippines as well as among other sending

countries, there are quite a number of protective measuresfor migrant workers. But all are inadequate, while most glossover the rights of migrant workers to freedom of associationand to freely collectively bargain.

In addition, in the Philippines:• The Social Security System (SSS) allows migrant

workers to become voluntary members even as those whohave been SSS members continue to benefit from theirprevious contributions. The SSS Flexi Fund, a providentfund focused on migrant workers, adds to benefits due tothe lifetime membership of former member-workers; butthis is also on a voluntary basis. Furthermore, the SSSnegotiates with its counterparts in other countries toprotect overseas Filipino workers; but the scope so far islimited to a few developed countries.

• The Philippine Overseas Employment Authority(POEA) regulates recruitment and recruiters as well asdocuments all those intending to work abroad, while theOverseas Workers’ Welfare Fund (OWWA) provides

Their consumption also has multiplier effects on theeconomy, specifically in employing more people inenterprises whose products and services are bought bythem.

Global DataIn UK, migrants contribute 10 percent of the country’s

total tax take; while in the USA, the country receives 18times more benefits than what they give to migrants,according to studies made.

In all host countries, migrant workers fill up the jobsthat locals do not want to do or where there is skilled laborshortage.

Worldwide, there are some 150 -180 million migrantpeoples, less than 100 million of whom are migrant workers.The 2005 World Migration Report estimates that by year2050, some 500 million peoples will be moving around theworld as migrants.

While male migrant workers still dominate worldwide,the reverse is true in the Philippines where about 60 percentwho go to work abroad are women.

Exploitation and AbuseOf the world’s migrant workers, 80 percent are placed

by private agencies and about 40 percent are irregularmigrants, the latter growing by 4 to 8 percent a year. Herebegins the exploitation of, and abuses perpetrated on,migrant workers.

Many local recruiters for overseas jobs mulch intendingmigrant workers in their countries of origin with fantasticrecruitment fees and miscellaneous fees. Employers in hostcountries would withhold their passports, pay them lessthan their contracted wages and benefits and make themwork sometimes under sweatshop conditions, accordingto first hand reports and experiences of migrant workersthemselves.

HUMAN SMUGGLING. Trafficking is one of the dangers a migrant worker faces as discussed by Atty. Robert Larga, NationalProject Coordinator of the ILO-HSF Project on “Economic and Social Empowerment of Returned Victims of Trafficking”

Trafficking is...• The recruitment, transportation, transfer,

harboring, and receipt of persons;• By means of threat, use of force, coercion,

abduction. Deception. Abuse of power, abuseof position of vulnerability and giving orreceiving payment for benefits;

• For the purpose of forced labour or services,prostitution of others, slavery or practicessimilar to slavery, servitude, other formsof sexual exploitation or removal of organs.

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insurance to overseas workers, financial assistance to themand their families, as well as takes care of repatriationexpenses where the need arises. But recruitment fees arefelt to be so high for deployment in some countries, whilemany recruiters unofficially collect fees even more than themandated rates.

• The Technical Education and Skills DevelopmentAuthority (TESDA) provides for competency-basededucation and training for those who are willing and able,for purposes of local or overseas employment, includingassessment and certification of skills. With the PhilippineNational Qualifications Framework (PNQF), tech-voc andhigher education have been “ladderized”, now notnecessitating formal training provision while recognizing prioror experiential learning, but at the same time helpingworkers gain qualifications even while they are working.Complaints, however, have been aired to include too highan assessment and certification fees for certain lines ofcompetencies particularly for household services workers,while the private sector-dominated tech-voc system maybe charging fees not commensurate to the quality of trainingthat they provide.

• The Department of Labor and Employment (DOLE)has overseas offices in many countries where Filipino workersare deployed. They are mandated to assist migrant workerswhen they meet problems at work or about their stay intheir host countries. Yet many migrant workers complainthat the attention given them does not suffice. The DOLEalso promulgates rules and regulations, as for thedeployment of household services workers abroad, thelatest of which increased the minimum age of hiring andset a minimum wage that they may receive, as also itrequired skills certification of household service workers whowill be deployed overseas. Yet abuses particularly onhousehold service workers persist overseas.

GDP AND EMPLOYMENT GROWTH RATES, PHILIPPINES: 2001-2005

3.32.23.21.93.16.2EMPLOYMENT

4.55.06.26.13.31.8GDP

Ave-rage20052004200320022001Indicator

Source: NSCB

Recommendations of the Seminars on MigrantWorkers and Economic Development• Support the new DOLE Order on the Protection

of Migrant Household Service Workers, increasingthe age requirement, pegging their minimum wageand requiring certification of the their skills to workabroad. However, monitor its implementation andregularly review its effectiveness.

• Engage the ILO in its project on economicempowerment of returned victims of trafficking bysubmitting an FFW proposal to implement a tradeunion-managed project on the same, particularlyby the communities of migrant workers alreadyorganized by the FWN in Manila and Davao City.

• Coordinate with partner NGOs who are engagedin monitoring, lobbying for better policies andprograms for migrant workers and those servicingmigrant workers and their families, particularly inrespect to re-integration of returning migrantworkers.

• Lobby for improvements in the SSS benefits formigrant workers.

• Work for the improvement of POEA services,particularly in the pre-departure orientation ofintending overseas contract workers and inbringing down the fees charged by recruitmentagencies.

• Engage the TESDA in more training-for-workscholarship and training programs and include thechildren of migrant workers in this endeavor.

• Lobby government to promote more job-generating activities and better-paying jobs in thecountry to stem the exodus of Filipino workers,whether skilled or semi-skilled.

-5

0

5

10

15

20

GN

P G

row

th r

at

GNP 17.2 9.3 5 5.5 4.8 6.5 6.3 -1.7 5.4 2.9 2.8 4.95

1946-50

1951-55

1956-60

1961-65

1966-70

1971-75

1976-80

1981-85

1986-90

1991-95

1996-2000

2001-2005

Philippine GNP Growth Rates (1946-2005)

Source: National Statistics Office (various years)

4

The project on Creating Enabling Environment for Trade Unions in the Philippines through EffectiveUse of the International Instruments took off, with the first four-day training program conducted atPranjetto Hills in Sampaloc, Tanay, Rizal from February 27 to March 2, 2007.

Training for unionists on the use ofint’l standards, instruments kicks off

Attended by 23 trade union officers from 12different national federations, national unions andcenters, the training will immerse the participants in a25-day session with task assignments spread over 11months in 2007. They will learn how international laborstandards and international instruments can be usedeffectively by unions to create an enabling environmentfor unionism in the Philippines, and apply them in theirconcrete situation. (see Training Plan, next page).

The FFW is the lead organization implementing thisILO-SRO-funded project. The FFW’s Philippine SocialInstitute (PSI) drafted the project proposal, helpeddesign the project activities and is taking charge ofcoordinating the year-long training program.

FFW National Treasurer and Norms CoordinatorJose D. Cayobit, heads the five participants of the FFWin this training program.

Participating organizations other than the FFW includethe AFW, APL, ITGLWF-Philippine Council, NAMAWU-IMF,PSLINK-PSI; ALU, YES-ISP and PTGWO that are all affiliatedwith TUCP-ITUC; TUPAS-WFTU, UST Faculty Union, andtwo affiliates of the UNI Philippine Labor Council.

The ILO trainers include Michihiro Ishibashi, Specialiston Workers’ Activities, Samuel Temesgen, Specialist onLabor Standards and Hilda Tidalgo of the ILO-SRO in Manila.Other experts will be tapped in their respective areas ofspecialization to train the participants, including severalexperts coming from trade unions.

However, the FFW has gone ahead in training its leaderson the use of international instruments. This was madepossible by the funding support of the IIWE-CSC-ACV andthe shared expertise of the ILO-SRO in Manila for a four-day training on the use of international instruments held atGems Resort in Antipolo City last January 16-20, 2007.

WORKING TOGETHER.Union Officers

representing differentnational unions, national

federations, laborcenters and global union

federations cometogether in an ILO-

supported and FFW-ledworkshop . MichihiroIshibashi (third from

right, second row), ILO-SRO Specialist for

Workers’ Activities islead trainor. Tony Asper(second from right, last

row), coordinates theyear-long training

program .

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1st Follow-up Program (March 16-17) Review and exam Teaching sessions Examination of draft Article 22 reports

CHART: TRAINING PLAN

1st Training Program (Feb. 27-March 2) ILO and International Labour Standards Article 22 Regular Reporting Article 24 Representation Article 26 Complaint Writing Art. 22 Report & Art. 24 Representation

2nd Training Program (Apr. 11-14) Convention 87 and 98 Convention 135 Committee on Freedom of Association Digest of Decisions Examination of the Philippines laws/regulations Writing a complaint to CFA

3rd Training Program (Jun. 13-16) OECD MNE Guidelines ILO Tripartite Declaration on MNEs UN Global Compact Writing a complaint to NCP(s) Preparation of national action plan on UN G.C.

4th Training Program (Aug. 22-25) International Framework Agreements Codes of Conduct Multi-stakeholder guidelines and audit How to use IFAs and private codes/guidelines

2nd Follow-up Program (May 18-19) Review and exam Teaching sessions Examination of draft complaints to CFA

3rd Follow-up Program (July 13-14) Review and exam Teaching sessions Examination of draft complaints to NCP

Assignment: Preparation of a draft complaint to CFA (individual work)

Assignment: Preparation of a draft Article 22 Report (individual work)

Assignment: Preparation of a draft complaint to NCP (individual/group work)

Write Shop (Sept. 21-22) Completing Article 22 Report (Joint and/or Individual) Action plans

Assignment: - Draft Action plan on effective use of private initiatives - Draft Article 22 Report

Final Exam and Evaluation

Report to the ILO

ILO/ACTRAVWorkers Project:Creating an EnablingEnvironmentfor Trade Unionsin the Philippinesthrough Effective Use of the InternationalInstruments(Jan. – Dec. 2007)

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ADB Core Labor Standards HandbookFFW National Treasurer and Norms Coordinator, Jose

D. Cayobit, and Julius Cainglet, FFW focal person in theAsian Labor Network on IFIs/Philippine Chapter (ALNI/P)Task Force Media, attended the launching of the ADB’s CoreLabor Standards Handbook.

The event was held on December 13, 2006 at the ADBOffices in Ortigas Center, Pasig, Metro Manila. ALNI/P groupstogether unions and civil society organizations that arelobbying the IFI’s. The Handbook is a product of the ADB’sRegional Technical Assistance on “Strengthening the Roleof Labor Standards in Selected Developing MemberCountries”, with in-kind contribution from ILO.

Its content was influenced, among others, by tradeunions in the Philippines led by ALNI/P, including the FFW,who participated in the series of conferences conductedby the ADB and the ILO between 2004 and 2006. TheHandbook will guide the ADB Staff in preparing andimplementing the Bank’s projects. ALNI/P is Co-chaired bythe FFW and TUCP.

DOLE Strategic Planning Conference, other lobbyingefforts

FFW National President Atty. Allan S. Montañopresented the FFW’s Policy and Program of Action (2006-2011) under the theme Affirming a Legacy: Building theCapacity of the FFW as a Trade Union-Social Movementfor Decent Work, when he was invited to do so during thestrategic planning conference of the Department of Laborand Employment (DOLE) held on January 17, 2007 at theDOLE Conference Room.

He was one of the two labor leaders invited to theoccasion. In addition, as FFW President, Bro. Montañorepresented the FFW in various functions at different datesthat included meetings of the National Peace and OrderCouncil, hearings of the House of RepresentativesCommittee on Labor on strengthening voluntaryarbitration, meetings held by the ILO-SRO Manila Office onvarious topics, and the launching of the UNDP HumanDevelopment Report for 2006.

Migration Conferences, SeminarsAntonio C. Asper, OIC of the Philippine Social Institute,

acted as one of the four panel discussants in theInternational Conference and Panel Discussion on East AsianLabor Migration and presented labor’s views on the subjectmatter. The Conference cum panel discussion was held onMarch 9, 2007 at the C.P. Romulo Hall, NEDA Building inMakati City.

The Conference was conducted by the PhilippineInstitute of Development Studies and the East AsianDevelopment Network. Previous to this, Bro. Asper alsolectured on the same topic during the Asia-Pacific Seminaron Labor Migration Critical to Trade Unions, conducted inthe Philippines by the UITBB- WFTU, held at the TUPASSeminar House in Wawa, Montalban, Rizal last February 22,2007 and at the OSHC from February 21-24, 2007.

Electoral, Party ReformsInvited by the Konrad Adeanaur Foundation (KAF),

Attys. Allan S. Montano, Sonny Matula and FFW VP forLuzon, Alfredo “Bowie” Maranan, attended the Workshop

LOBBYINGIFIs.

Joe Cayobitrepresenting

the FFW inthis ADB

event

7

on Electoral and Party Reforms, held last March 8, 2007at Diamond Hotel in Manila.

The Workshop tackled topics on strengtheningpolitical structures and reforming the electoral process.The Workshop was preceded by a book launching on“Electoral Reforms in the Philippines” and a presentationof the new “Survey Results on Political Parties”.

Tripartite MeetingsAtty Allan S. Montaño and Atty. Sonny Matula,

National President and National Vice President of the FFW,respectively, attended the meetings of the TripartiteIndustrial Peace Council (TIPC), the premier tripartitebody of the country.

Both sit as members of the TIPC representing theFFW. The TIPC serve as a consultation machinery forthe shaping of policies on labor and as a forum fordiscussion of proposed and pending legislative measuresdealing with labor and social matters.

In both meetings, FFW representatives expressed theview that any kind of violence, including killings perpetratedby any armed force for political purposes is condemnableand should be stopped. The FFW, luckily, has not beenvictimized by politically-motivated killings; however, it hasexperienced threats and harassments of its local leadersmostly perpetrated by employers, due to the workers’organizing activities

BATU-WSM MeetingsFFW National Vice President, Atty. Sonny Matula,

headed an FFW delegation that involved Allan Lumbo andLucas Compel, both FFW-BATU-WSM ProgramImplementors, in the Evaluation Meeting of BATU-WSMPrograms in Asia, last March 3-4, 2007 in Bangkok, Thailand.Bro. Lumbo is also Chairperson of FFW’s TF 1 – Agricultureand Food while Bro, Compel is formerly Vice President ofthe Malayan (Insurance) Employees’ Union-FFW.

PRACTICING WHAT WE PREACH. NCMB Exec. Dir. Rey Ubaldo(Standing) witnesses the signing of the CBA between the FFW and theFFW Staff Association last Oct. 10, 2006. Seated from left to right areDan Laserna, outgoing Staff Association President, Attys. AllanMontaño and Sonny Matula, National President and National VicePresident of the FFW, respectively.

Condemning Political KillingsFFW NVP Sonny Matula and National Treasurer Jose D.

Cayobit attended last Feb. 12, an ILO-organized meetingwith the UN Special Rapporteur on Political Killings, PhilipAlston at the ILO-SRO Manila. On the very next day, Feb.13, FFW President Allan Montaño attended a similar meeting,this time organized by the Public Service International (PSI)whose top officers presided over the meeting.

Daisy Samson, President of Prudential LifePlan Employees Union-FFW and OliverMondigo, Member of the FFW GoverningBoard, attended a BATU-WSM Conference onSocio-economic Ventures at Indra RegentHotel, Bangkok Thailand, last December 5-7,2006. They presented in that Conference theFFW Training-for-Work Program for Call CenterAgents, a TESDA-supported 100- hourEnglish Language Finishing Course, as anexample of an FFW-managed socio-economicventure, an economic activity suffused witha social dimension, including organizing thesetypes of workers into a trade union.

Training Programs in Turin, ItalyExequiel “Jojo” Bacarro, Chairperson of

TF 3, recently arrived from Turin ILO TrainingCenter after attending a month-longACTRAV-conducted “Trade Union Training onILS and the ILO Declarat ion on theFundamental Principles and Rights at Workand its follow up” from 29 January to 23February.

Last year (2006), in the month of July,FFW Vice President for Luzon, Alfredo “Bowie”Maranan, also attended an ILO ITC Training

on Health and Safety, while earlier, in the month of January,Danilo “Dan” Laserna, then President of the FFW StaffAssociation, was in the same place for a training onOrganizing Non-Traditional Workers, such as workers inthe ICT industry and export processing zones. Bothcourses were conducted by the ACTRAV-Turin unit.

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7

HOW FARE THE POORHOW FARE THE POOR

Distribution of Establishments by Employment Size & Employment in the Private Sector: 2003

60,7857.4%

1,319,16623.1%

2,9220.4%

402,9277.1%

3,0270.4%

1,832,81532.1%

743,62891.8%

2,151,55237.7%

Micro(1-9)

Small(10-99)

Medium(100-199)

Large(200 & above)

Total 810,362 5,706,460

EstablishmentsEstablishments WorkersWorkers

Source: NWPC

Period Unemployment (%)

Underemployment (%)

1970-75 5.33 11.76

1975-80 5.40 12.68

l980-85 9.93 24.88

l985-90 10.46 21.88

l990-95 8.57 21.02

l995-2000 9.68 21.28

2000-2004 10.96 16.90

Source: NSO, various years

Unemployment and underemployment Rate, 1960-2004 (in per cent)

Self-Assessment – employing 200+ workers• Unionized with registered collective bargaining

agreement

Inspection – employing 10 to 199 workers

Technical Advisory Visit (TAV) – employing 1 to 9 workers• Registered as Barangay Micro Business

Enterprise (BMBEs)

Labor Standards Enforcement Framework(How will it be implemented)

Three 3 Modes/ Approaches

62%62%25%21%47%50%Total

----51%58%Self-Assessment

59%57%23%22%46%45%Inspection GLS

67.2%

2005

29.5%

2005

50%

2005

77%37%63%

200420042004Advisory Services

Total Compliance Rate

Correction RateCompliance RateMode of

Enforcement

Compliance Rate = No. of complying estabs. upon orientation, inspection or submission of Checklist No. of covered establishments

x 100

Correction Rate = No. of violating establishments corrected No. of violating establishments

x 100

Total Compliance Rate = Total no. of complying establishments

No. of covered establishmentsx 100

Table 2: Compliance Rates, Correction Rates and Total Compliance RatesCY 2004 and 2005

How decent is work in the Philippines?

59.2959.2960.3160.31Productive WorkProductive Work

19.9419.94rr15.3615.36Representation at WorkRepresentation at Work

72.7872.7872.2472.24rrSecurity at WorkSecurity at Work

66.1766.1765.1765.17Equity in WorkEquity in Work

53.7153.7154.6754.67Freedom of ChoiceFreedom of Choice

71.8971.8972.4672.46Opportunities for WorkOpportunities for Work

58.6758.6758.4258.42rrDecent Work IndexDecent Work Index

2002200220012001DimensionDimension

r- Revised. Source: BLES and ILS, 2006