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Looking back at the women of The Flor Contemplacion Story

Author Beverly Siy, actor Julio Diaz, and screenwriters Ricky Lee and Bonifacio Ilagan at a talkback after the screening of The Flor Contemplacion Story starring Nora Aunor. — BRONTË H. LACSAMANA

CCP Cine Icons celebrates anniversary during women’s month

IN the 1995 film The Flor Contemplacion Story, the titular domestic worker Flor, played by Nora Aunor, and her husband’s mistress Neneng, played by Jaclyn Jose, are initially at odds with each other. But they are both victims in the story, having been fooled by one man.

The film later shows Neneng taking up a role at the front lines of the rallies advocating for Flor’s freedom, while Flor herself never stays quiet up until she is put to death for alleged murder.

Ricky Lee and Bonifacio Ilagan, the film’s writers, look back at the story as one which unfortunately mirrors the lives of Filipino women to this day.

“We were very conscious to show that, even if it is a real-life, personal story where the women are victims, all the women involved have a voice,” Mr. Lee said after a March 15 screening at the GSIS Theater in Pasay City, which was part of the Cine Icons program of the Cultural Center of the Philippines (CCP).

Since Cine Icons’ first anniversary coincided with International Women’s Month, The Flor Contemplacion Story was chosen for its feminist themes.

Directed almost 29 years ago by Joel Lamangan, it was based on the true story of a female overseas Filipino worker (OFW) in Singapore who was sentenced to death for allegedly killing a fellow maid and the child under her care.

“The women in the story were victimized by their circumstances, by the people around them, but they never lost their voice, even the mother-in-law and the women rallying,” said Mr. Lee, whose works are being brought back to big screens as a National Artist for Film.

Beverly “Bebang” Siy, an author who also graced the screening and its talkback session, quoted a powerful line that Flor said to her children.

Babalik ako sa Singapore dahil ayoko maging alipin kayong mga anak ko, dahil gusto ko baguhin ang mga buhay ninyo. (I will go back to Singapore because I don’t want you, my children, to be slaves, because I want to change the course of your lives),” she recalled.

This is a sentiment that many women have, not just for their children, but the people around them. It is “evidence of the great sacrifice of women for their families and for their country,” Ms. Siy said.

She also commended Mr. Lee’s work as National Artist, for uplifting the voices of all the characters in his scripts, and, by extension, the women and Filipinos that they represent in society.

Mr. Lee explained that his role as a writer is to be “faithful to the truth,” no matter the gender.

“I attribute the themes in my works to osmosis with other writers, the likes of Bebang Siy or Moira Lang. May nahihigop ako sa mga kapwa ko (I absorb a lot from my peers), which is why I choose the company that I keep,” he said.

Most importantly, the Filipino people as a whole should always be an important character, added political activist Mr. Ilagan, who co-wrote the film.

Napakahirap dati mag-organize ng mga migrante. Dahil sa kaso ni Flor, ang bilis na ng pagka-organisa nila at ng mga pamilya nila dito. (It used to be very difficult to get migrant workers to organize. Because of Flor’s case, they and their families here at home began organizing faster),” he said.

This awakening of the Filipino people to the plight of OFWs marked a triumphant end to the tragic story. Mr. Ilagan noted that many Filipinos are against the labor export policy, though it remains the norm to this day.

The audience at the screening, many younger or about the same age as the film, found the ending sad, but Mr. Lee maintained that it is bittersweet.

“It was the end of Flor Contemplacion, but it was also the beginning of many voices rising against the victimization of women, and of Filipinos,” he said.

For updates on the next films to be shown for Cinema Icons and other film programs, follow the official CCP and CCP Film, Broadcast, and New Media Division social media accounts on Facebook, Twitter, Instagram, TikTok, and YouTube. — Brontë H. Lacsamana

Alternergy taps China firm for Alabat, Tanay wind projects

ALTERNERGY Holdings Corp. announced on Monday that it has awarded the contract for its Alabat and Tanay wind power projects, with a combined capacity of 163 megawatts (MW), to China Energy Engineering Group Guangdong Electric Power Design Institute Co. Ltd. (GEDI).

Corp. announced on Monday that it has awarded the contract for its Alabat and Tanay wind power projects, with a combined capacity of 163 megawatts (MW), to China Energy Engineering Group Guangdong Electric Power Design Institute Co. Ltd. (GEDI).

The company has handed over the balance of plant (BOP) engineering, procurement, and construction (EPC) contract to GEDI and its Philippine subsidiary GEDI Construction Development Corp., Alternergy said in a statement.

“The BOP EPC contract entails the design, engineering, supply of civil and electrical works, transport of equipment, construction, and installation of the Alabat and Tanay wind farms,” it said.

GEDI has presence in more than 50 countries with more than 700 EPC projects worldwide.

The construction of the company’s 55-MW Alabat wind project in Quezon province and 86-MW Tanay wind project in Rizal province is targeted to start by the second quarter of 2024.

The projects are slated for completion by the end of 2025.

Altenergy aims to develop up to 1,370 MW of renewable sources such as onshore and offshore wind, solar, and run-of-river hydropower projects.

At the local bourse on Monday, shares of the company closed at P0.79 each. — Sheldeen Joy Talavera

The world needs a soundtrack for the climate crisis

CHRIS MARTIN and his band, Coldplay, are trying to reduce their environmental impact. — REUTERS/MARIO ANZUONI

THE GREAT social movements of history all had soundtracks. The civil rights movement had jazz, the blues, and Nina Simone; its anthem was “We Shall Overcome,” originally a 19th-century hymn. The story of gay liberation is intertwined with disco culture, and some of the greatest pop songs have been written or adopted as LGBTQ+ anthems, from Gloria Gaynor’s “I Will Survive” to “Born This Way” by Lady Gaga. Music brought people together and helped move the dial on public acceptance by introducing ideas to the mainstream.

Now, the planet itself needs a new social movement. Widespread behavioral changes are needed to reduce carbon emissions, along with public support for net-zero policies. We need to create a culture of environmentalism, which values nature, if we’re to defeat the climate crisis and biodiversity collapse. So, many people — including Brian Eno, the champion of ambient music — are asking: Where are our climate anthems?

Musicians may struggle to play the same role in the fight for climate action as they’ve done for other societal changes, given the industry’s carbon footprint and the private planes favored by its superstars.

There’s a temptation to dismiss art and culture’s role in climate communication. Isn’t this a science issue? Shouldn’t musicians just shut up and sing? Scientists and their research have been, and will always be, crucial in raising the alarm on fossil fuels and humanity’s damage to the planet. Rapid weather-attribution studies help make climate change visible and present; the development of low-carbon technologies are helping slash emissions.

But who’s more influential to the masses: an atmospheric physicist, or a pop star? Musicians are able to reach far more people — and an entirely different demographic — than scientists or politicians. Nobody needs to hear what musicians think of, say, electricity market reform, but they can be advocates for sustainable lifestyle changes (perhaps “Thrift Shop” by Macklemore and Ryan Lewis ought to be considered a green tune), raise awareness and compel us to reflect on environmental issues.

Plus, debating whether musicians should use their platforms to talk about the climate crisis ignores how art works. Artists make music about Black rights and queer liberation because these issues affect them, or the people around them, personally. Nina Simone’s “Mississippi Goddam” came from a place of real rage, as did “Strange Fruit,” sung by Billie Holiday. In 1985, a supergroup including Bob Dylan, Keith Richards, and Pat Benatar recorded Steve Van Zandt’s “Sun City” under the collective name Artists United Against Apartheid to protest the South African government’s policies. Australian band Midnight Oil had a worldwide hit with 1987’s “Beds are Burning” after witnessing the land-rights abuses suffered by Aboriginal communities.

People adopt songs as anthems because the music speaks to themes they can relate to. The same will happen with climate change: as more of us start to feel the impacts of unabated fossil fuel burning, the more open we’ll become to art exploring climate themes. It’s no surprise that one of the recent topical tunes, “All the Good Girls Go to Hell,” references the wildfires that ripped through her home state of California.

Those who doubt whether artists can rouse actual political change ought to be introduced to Taylor Swift. With one Instagram post, today’s most powerful cultural figure inspired more than 35,000 people to register to vote through Vote.org, a nonpartisan nonprofit organization, on a single September day. The number of 18-year-olds registered to vote doubled over the previous year.

But here’s where it gets challenging. Music insiders tell me that artists don’t feel like they can speak up about climate change like they can on other issues, for fear of being accused of hypocrisy.

It’s unlikely that Swift, for instance, will speak out on the environment given there’s entire series of memes around her private jet use. When I wrote about Swift’s Eras tour confronting the climate crisis in Brazil, I received plenty of e-mails pointing out the carbon footprint of doing 152 shows on five continents. Imagine the criticism Swift receives.

Some musicians have tried facing the allegations head-on. A group of artists including Eno, Radiohead’s Thom Yorke, and Mel B (a.k.a. Scary Spice) signed an open letter in 2019 which began:

“Dear journalists who have called us hypocrites, you’re right. We live high carbon lives and the industries that we are part of have huge carbon footprints. Like you — and everyone else — we are stuck in this fossil-fuel economy and without systemic change, our lifestyles will keep on causing climate and ecological harm.”

Others are challenging themselves to make the industry greener. Coldplay has partnered with Deutsche Post AG’s DHL to do the logistics of the band’s current world tour while cutting CO2 emissions by at least 50% compared with their 2016-17 run. That means using biofuels, electric vehicles, and powering the show with rechargeable batteries. It’s an impressive effort, but one which only a group as successful as Coldplay could undertake at the moment.

So where are our anthems? I’ve created, with help from my Opinion colleagues, a playlist of contenders, but none of them fit the bill. Anthems have meme-able lyrics — memorable, easy to chant, and catchy — and they’re imbued with hope. Too many songs about global warming are currently laced with anxiety. If art reflects how we see the world, what does that say about the state of climate action?

BLOOMBERG OPINION

Ramon Ang drops Pasig River Expressway project

SAN MIGUEL Corp. (SMC) said it will no longer pursue its proposed Pasig River Expressway (PAREX) project.

“We are very sensitive to the opinion of the public, [so] the project will not push through,” SMC President and Chief Executive Officer Ramon S. Ang told a media briefing on Monday. 

The P95-billion elevated toll road project along Pasig River secured government approval in 2021.

Last year, the Department of Environment and Natural Resources said it would study the project’s environmental impact.

The 19.37-kilometer PAREX has received criticisms from various groups, saying the project may compromise the waterway’s functionality, cause air pollution, and affect heritage structures and sites.

SMC has said that the project would be “safe, reliable, and sustainable.” — Ashley Erika O. Jose

2GO boosts presence in Davao, GenSan

SM Group’s logistics unit 2GO Group, Inc. said on Monday that it expanded operations in Davao and General Santos (GenSan) to bolster the company’s presence in Mindanao.

2GO Group announced its expansion with the addition of MV 2GO Masigla to its fleet.

The vessel embarked on its first operational voyage on Monday, sailing from Davao and General Santos to Iloilo and back to Manila via the Manila-Davao-GenSan-Iloilo-Manila route, the company said in a statement.

Sea travel reservations are available from Manila to Davao or General Santos, and from Davao or General Santos to Iloilo and Manila, starting at P1,140.

“Beyond their immediate surroundings, Davao and General Santos provide logistical and travel support to areas such as Tagum, Digos, Kidapawan, Socksargen, and others. This strategic positioning allows efficient coordination and seamless operations across this extended network,” the 2GO Group said.

“The move is part of 2GO’s commitment to fostering economic growth and facilitating seamless connections in the Mindanao region,” it added. — Revin Mikhael D. Ochave

Road House remake honors Patrick Swayze, says Jake Gyllenhaal

LONDON — Celebrating the legacy of late actor Patrick Swayze was essential in remaking his 1989 hit movie Road House, says the new film’s star Jake Gyllenhaal.

In the 2024 version Mr. Gyllenhaal plays former Ultimate Fighting Championship (UFC) fighter Dalton, who runs into trouble as he takes on a job as a bouncer at a bar in the Florida Keys.

“It was important to me. He originated the character and I wanted to bring it through,” Mr. Gyllenhaal said at the film’s premiere in London on Thursday.

Mr. Swayze, who passed away in 2009, and Mr. Gyllenhaal worked together on Donnie Darko some two decades ago.

“Patrick was always so lovely to me, so supportive at the beginning of my career. I carried with me some of the tattoos, we designed some tattoos in honor of him, just because I really loved him.”

The new Doug Liman-directed movie marks the acting debut for former UFC champion Conor McGregor.

The Irishman, who plays savage contract killer Knox, described the experience as “a learning curve.”

“I went in humble. I went in looking to learn. And I knew my level. I was a white belt and I’m a white belt still. I was blessed with an amazing cast who were patient and very helpful for me,” he said.

Mr. McGregor, 35, said he was not eyeing further Hollywood roles and would refocus on his UFC career once the publicity run for the movie ends.

“Not right now. I’m going to regroup after this work and get back to work for my fighting career. I’ve got more in the Octagon to do. I’m excited to do it. That’s where I’m at,” he said.

Some of Mr. Gyllenhaal’s fighting scenes were filmed in the Octagon in front of a real audience during the UFC 285 event headlined by Jon Jones and Cyril Gane. The 43-year-old actor spent some two months getting in shape for the stunts and action scenes in the movie, shot in the Dominican Republic.

The film also stars Jessica Williams as Frankie, the owner of the roadhouse, Daniela Melchior in the role of local doctor Ellie and Billy Magnussen as crime boss Ben Brandt.

“I hope you don’t compare ours to the original because I think art is not a competition. You got to just celebrate,” said Magnussen.

Road House starts streaming on Prime Video on March 21. — Reuters

Pattie Boyd selling letters, lyrics by exes George Harrison, Eric Clapton

The Rose Garden (George Harrison and Pattie Boyd), 1968, chromogenic print, printed 2024 signed and numbered ‘1/1’ — ONLINEONLY.CHRISTIES.COM

LONDON — Model and photographer Pattie Boyd is selling handwritten lyrics and personal letters that reveal her relationships with late Beatle George Harrison and guitarist and singer Eric Clapton.

Ms. Boyd, who turned 80 on Sunday, was married to both musicians, inspiring songs such as Harrison’s “Something” and Clapton’s “Wonderful Tonight” and “Layla.”

More than 100 lots, including jewelry, clothes, photographs, handwritten lyrics and drawings by Harrison, are for sale in the “The Pattie Boyd Collection,” which runs for auction online at Christie’s until March 22.

“If I had one big treasure chest that explained me and my life, all these items here would be in it … these are all examples of the wonderful life I have been living,” Ms. Boyd told Reuters at a press preview on Thursday.

Lots leading the sale include the original artwork chosen by Mr. Clapton for the cover of Derek and The Dominos 1970 album Layla and Other Assorted Love Songs, with an estimated sale price of £40,000-£60,000 ($51,228-$76,842) and original handwritten lyrics for Mr. Harrison’s 1982 song “Mystical One” (£30,000- £50,000 pounds).

Ms. Boyd met Harrison on the set of 1964 Beatles film A Hard Day’s Night. They married in 1966. Photos of the couple and handwritten postcards from the Beatle are included in the auction.

Mr. Clapton would stay at their countryside house and became enamored with Ms. Boyd, sending her a letter — included in the sale — in 1970 in which he wrote “… what I wish to ask you is if you still love your husband … all these questions are very impertinent, I know, but if there is still a feeling in your heart for me … you must let me know!”

Ms. Boyd eventually split from Mr. Harrison and was married to Mr. Clapton from 1979 to 1989. Photos of the guitarist, including alongside Mr. Harrison and other famous faces, are also being auctioned.

“When I looked at the letters from Eric in particular, it kind of broke my heart because I realized that … I was young, when he wrote them, it was too large to take in, (it) was so emotional and full of deep, deep passion that as a … girl, woman I couldn’t absorb it all too much,” Ms. Boyd said.

“… I want somebody else to sort of feel the pain, feel the love, feel the vibration, the energy.”

The lots are on public display at Christie’s March 15-21. — Reuters

Globe turns over 154 telecom towers to Miescor

GLOBE.COM.PH

MIESCOR Infrastructure Development Corp. (MIDC) said it has acquired 154 more towers from Globe Telecom, Inc. 

With this  development, MIDC has now acquired more than 1,000 towers.

“This announcement reflects another milestone in MIDC’s previously announced P26.2-billion acquisition of a portfolio of telecom towers from Globe,” MIDC said in a statement on Monday.

MIDC is a joint venture between Meralco Industrial Engineering Services Corp., a subsidiary of Manila Electric Co. (Meralco), and alternative investment firm Stonepeak.

“We continue to work with our strategic partner Globe to transfer the remaining balance of SLB towers, whilst working with our fellow independent tower companies to strengthen connectivity nationwide,”  said Ricky Steyn, interim chief executive officer of MIDC.

In a separate stock exchange disclosure, the Ayala-led telecommunications company said it has closed the sale of 154 towers to MIDC for P1.85 billion. In total, Globe has now closed 1,348 out of 2,180 towers to be acquired by MIDC.

“We are pleased to announce the successful culmination of the acquisition of 154 tower sites in Globe’s landmark tower Sale and Leaseback deal with MIDC. This achievement marks a significant milestone, bringing us to 62% completion and further advancing our cost transformation program,” Rizza Maniego-Eala, chief finance officer of Globe, said in a media release.

Globe described the tower sales as a strategic streamlining of its infrastructure ownership, which will allow it to allocate funds in enhancing its network. 

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

DFNN board OK’s JV to expand Asian operations of Spanish firm

LISTED DFNN Corp.’s board has approved a plan to incorporate a joint venture (JV) company with Spain-registered IT project development and engineering company Consulting Informático de Cantabria S.L. (CIC) to expand the latter’s Asian operations.

In a regulatory filing on Monday, DFNN said the JV company with CIC also aims to “support the Philippines and other Asian countries.

The total investment in the JV company is at P12.5 million, of which 60% or P7.5 million is from DFNN while the remaining 40% or P5 million is from CIC.

“The transaction aligns seamlessly with DFNN’s expansion program and empowering it to pursue JVs with foreign entities,” the company said.

“This strategic move promises to enhance DFNN’s investment income, bolstering its financial outlook and positioning it for sustained growth,” it added.

CIC specializes in providing solutions for mission-critical infrastructures. It has presence in more than 30 countries. Some of its partners include Microsoft, Apple, Oracle, Dell, Cisco, and Amazon Web Services. Its clients include PTT, and Siemens.

On Monday, DFNN shares rose by 4.67% or 14 centavos to P3.14 apiece. — Revin Mikhael D. Ochave

The Color Purple cast tops NAACP Image Awards

A scene from The Color Purple. — IMDB

LOS ANGELES — While The Color Purple actress Danielle Brooks didn’t take home the Oscar for best supporting actress at the Oscars last weekend, she and cast members took home the NAACP Image award on Saturday for outstanding motion picture.

On the red carpet, Ms. Brooks told Reuters that out of all her accolades, she’s most grateful to the NAACP awards for acknowledging The Color Purple team with several nominations.

“If nobody gonna see us, I’m glad that our people see us,” she said, referencing the film’s lack of nominations throughout the 2024 awards season.

While Hollywood has made progress on diversifying talent and storytelling since the 2015 outcry of #OscarsSoWhite — when all 20 acting nominations went to white actors — the pace of change still has not leveled the playing field for some.

Most recently, indigenous actress Lily Gladstone lost to Emma Stone for the best actress Oscar despite Ms. Gladstone being the awards frontrunner, having won the Golden Globe and Screen Actors Guild award for her role in Killers of the Flower Moon.

The Image Awards organized by the National Association for the Advancement of Colored People (NAACP) are considered the top entertainment honors focused on Black actors.

Ms. Brooks wasn’t the only one relishing the celebrations. Fellow cast members Fantasia Barrino and Taraji P. Henson also took home awards.

Ms. Barrino took home outstanding actress and Ms. Henson won outstanding supporting actress for their roles in the musical adaptation of the 1985 film.

These historical wins come after the original 1985 adaptation of the Alice Walker novel was met with controversy by many Black-led organizations, including the NAACP.

For many within the Hollywood branch of the Black civil rights organization, Steven Spielberg’s movie adaptation of The Color Purple was seen as degrading to Black men.

The film follows the story of two Black American teenage sisters, Celie and Nettie, in the American South during the early 1900s.

Celie embarks on a journey to find her freedom and must overcome years of abuse, after she and Nettie are separated by the men in their lives.

The original film starring Whoopi Goldberg gained 11 Oscar nominations, but it failed to win a single one.

Similarly, the 2023 musical adaptation directed by Ghanaian filmmaker Blitz Bazawule didn’t have any major cast members take home Hollywood’s biggest prize.

Other Image winners include poet and activist Amanda Gorman, who won the chairman award; R&B singer Usher, who won the entertainer of the year award; and Rustin actor Colman Domingo, who won the outstanding actor award.

For many Black actors, this year’s nominations served as inspiration for their own careers to flourish.

As Ghosts actor Danielle Pinnock told Reuters: “We would not be able to play all these roles without all the people that paved the way for us, you know?” — Reuters

PLDT Enterprise, Cisco target to accelerate private 5G adoption 

PANGILINAN-LED PLDT Inc., through its unit PLDT Enterprise, has partnered with global technology company Cisco on private 5G adoption.

The partnership aims to collaborate and bring the technology and managed services that will allow enterprises to deploy private 5G for businesses, specifically those in the manufacturing, financial services, port operations and logistics, healthcare, and retail sectors, the company said in a statement on Monday.

“With private 5G-as-a-service, we are helping businesses to reduce the technical, financial, and operational risks associated with managing 5G networks, so they can focus on driving business agility and efficiency,”  said Jonathan Davidson, executive vice-president and chief executive officer of Cisco Networking.

Cisco said the service is a technology innovation that simplifies both 5G and the network of connected devices and technologies.

“Our commitment is rooted in introducing cutting-edge capabilities and services, empowering our customers in their journey to digitally transform and modernize their businesses,” said Jojo G. Gendrano, senior vice-president and head of enterprise business group at PLDT and its wireless subsidiary Smart Communications, Inc.

At the local bourse on Monday, shares in the company closed P13 or 0.96% lower at 1,342 apiece.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

The SME Financial Toolkit: Business loans, credit lines, and salary loans

VECTORJUICE-FREEPIK

One of the essential skills that small and medium enterprises (SMEs) need to master in order to survive growing pains is the strategic use of the financial tools available to them. Beyond the day-to-day management of expenses and business revenue, SMEs are faced with the pressure to generate enough cash flow to break even, cover the maintenance of capital assets as they wear out, and finance growth so the business can eventually earn a return on investment. When used correctly, financial tools, such as business loans, credit lines, and employee salary loans, can ease this pressure and help SMEs optimize their operational efficiency, enhance financial stability, and secure a competitive edge in the rapidly evolving market landscape.

BUSINESS LOANS: THE CATALYST FOR EXPANSION
The structured nature of business loans, with their defined repayment terms, allow for precise financial planning for SMEs that need a lump sum of capital. Business loans are fundamental and instrumental for businesses that already know the amount they need to finance a major project. Thus, business loans are ideally used for expansion, new equipment, property purchases, and other large purchases. It enables businesses to undertake investments that would otherwise be impossible to finance, accelerating their development trajectory.

CREDIT LINES: FINANCING FLEXIBILITY AND FLUIDITY
A credit line works like a credit card for your business: you get a credit limit that you can borrow from and pay off repeatedly as needed. You only pay interest on the amount you borrow, and you can keep borrowing against your credit limit as long as it is not exhausted or expired. Credit lines are often active for one year, subject to renewal.

Credit lines offer unparalleled flexibility for SMEs that need to manage cash flow gaps or seize unexpected business opportunities. The most strategic use for credit lines, however, is to simply have it on standby as an emergency fund. Some credit lines are non-collateral and free to open, which means businesses pay nothing unless it is used. Credit lines are also excellent for maintaining operational continuity, sustaining financial solvency, and financing minor spends, like research and development. They are a cost-effective solution for businesses seeking to balance financial preparedness with cost efficiency.

EMPLOYEE SALARY LOANS: A NOVEL APPROACH TO EMPLOYEE WELFARE
For SMEs, maintaining a healthy cash flow is critical to sustaining operations and pursuing growth opportunities. However, the practice of employees requesting advances on their salaries can present a significant challenge in this regard. Such advances may seem like a benign accommodation at first, but they can easily lead the business into a precarious financial situation. Each advance potentially disrupts the carefully planned allocation of funds, diverting resources away from crucial business needs, such as inventory purchases, marketing efforts, or essential infrastructure improvements. Over time, frequent advances could strain the business’ liquidity.

Employee salary loans are a novel financial tool to help SMEs support both the financial well-being of the business and their employees. Offering salary loans is a tangible manifestation of a business’ commitment to employee welfare, bolstering job satisfaction and morale by alleviating employees’ financial stress. By integrating employees’ financial well-being into the company’s operational strategy, SMEs can also attract and retain top talent — a critical factor in sustaining competitive advantage.

INTEGRATING FINANCIAL STRATEGIES FOR HOLISTIC GROWTH
The integration of business loans, credit lines, and employee salary loans into an SME’s financial strategy offers a comprehensive approach to managing both business operations and employee welfare. Here’s how SMEs can harness these tools effectively:

1. Leverage Business Loans for Strategic Investments: Use business loans to pay for major growth-oriented investments, ensuring that these ventures have the potential to generate returns that exceed the cost of borrowing.

2. Utilize Credit Lines for Operational Flexibility: Maintain a credit line to manage cash flow effectively, ensuring that your business can navigate the ups and downs of market demand and operational costs with agility.

3. Offer Employee Salary Loans as a Benefit: Introduce employee salary loans as part of your benefits package. This aids employees in financial emergencies and builds a supportive company culture, enhancing employee loyalty and well-being.

STRATEGIC INSIGHTS
For SMEs aiming to thrive beyond their survival stages, the strategic use of financial instruments extends beyond mere capital acquisition. It encompasses a balanced approach to investment, operational flexibility, and employee welfare. By adopting this multi-faceted financial strategy, SMEs can not only navigate the complexities of the market, but also foster a resilient and committed workforce — laying the groundwork for sustained growth and success.

 

Benedict S. Carandang is a member of the Management Association of the Philippines’ ICT Committee. He is vice-president for External Relations of First Circle, a fintech provider that helps SMEs grow through partnership, financing, and free tools to find opportunities. This article was co-written with Jess Jacutan, First Circle’s content marketing lead.

map@map.org.ph

benedict@firstcircle.ph