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P150-B Malaysian telco project gets BoI’s green lane approval

EDOTCOGROUP.COM

THE PHILIPPINE Board of Investments (BoI) has endorsed Malaysia’s EDOTCO Towers, Inc.’s P150-billion telecommunication infrastructure project for green lane processing to fast-track the rollout of new technologies such as 5G mobile broadband networks.

In a statement, the agency said EDOTCO plans to roll out 25,000 common telecommunication towers that will be open for sharing by all mobile network operators.

“This strategic deployment spans urban and rural areas, addressing the needs of mobile network operators and aligning with government efforts to enhance mobile network access and internet penetration in underserved and unserved regions,” the BoI said.

In 2020, the Department of Information and Communications Technology released the guidelines for co-location and sharing of passive telecommunication towers.

The common tower policy seeks to widen the coverage and base of telecommunication providers to reach unserved and underserved areas.

A report by the EDOTCO Group and consultancy firm Roland Berger in 2022 projected the construction of as many as 30,500 shared towers in the Philippines by 2025, for a 10% penetration.

The BoI said the project would also form the basis for future mobile broadband networks in the country.

“The project will play a huge role in introducing new technologies such as 5G mobile broadband networks and large-scale Internet of Things applications through its shared infrastructure offered to service providers and government agencies with open access and on a nondiscriminatory basis,” it added.

Executive Order No. 18 created green lanes to expedite, streamline and automate processes for strategic investments.

It seeks to address barriers such as red tape, delays and additional requirements that hamper foreign direct investments.

“EDOTCO’s project will strengthen the telecommunication infrastructure in the country,” the BoI said. “It will attract more investors as connectivity is critical in supporting business operations.”

The Malaysian company is said to have plans to introduce green energy by tapping nonconventional energy resources such as photovoltaic systems, wind, biomass, fuel cells, energy storage systems and hybrid solutions.

“Energy costs are substantially reduced to the advantage of the mobile network operator, and this reduced consumption (on an aggregated basis) places less demand on the national grid,” the BoI said.

The project is also expected to boost the Philippine economy by creating jobs and facilitating the transfer of knowledge from multinational companies.

“Employment will not only come from the construction of infrastructure but from operations and maintenance as well,” it added.

Aside from EDOTCO, the BoI has endorsed other telecommunication infrastructure projects such as the P50-billion tower infrastructure project of Edgepoint Tower, Inc. in October and the P52-billion project of PhilTower Consortium, Inc.

EDOTCO is a unit of Malaysia’s EDOTCO Group Sdn. Bhd., which has more than 58,000 towers across nine countries.

Its business includes the construction of passive telecommunication towers and lease of towers to mobile network operators. — Justine Irish D. Tabile

Too hot to party?

YVETTE DE WIT UNSPLASH

Extreme temperatures threaten live music shows

MEXICO CITY — From hail the size of golf balls to deadly heat, concertgoers in 2023 were forced to deal with extreme weather events that put them in harm’s way during the world’s warmest year on record, with temperatures predicted to climb even higher in 2024.

Crowd safety experts and outdoor event organizers are exploring ways to protect performers and fans from the growing threat of extreme weather, after global warming neared an internationally agreed limit of 1.5° Celsius last year.

“There was not a single month during 2023 where we did not have multiple incidents like that,” said Milad Haghani, a senior lecturer specializing in public safety and disasters at Australia’s University of New South Wales (UNSW).

“It was absolutely a bad year for the music industry.”

A non-exhaustive list put together by Mr. Haghani shows at least 29 concerts and music festivals worldwide were impacted by a weather event in 2023 — with two resulting in spectator deaths.

They included Ana Clara Benevides, 23, who died of heat exhaustion in November at a Taylor Swift concert in Rio de Janeiro, Brazil, where temperatures reached a record of 59°C (138.2°F).

A statement from the Brazilian Ministry of Culture after Ms. Benevides’ death noted that the whole planet “is feeling the impacts of climate change.”

“Factors like this, increasingly, must be considered when exposing our population to its effects,” the ministry said.

Among other weather-hit events last year, 17 fans were hospitalized during an Ed Sheeran concert in Pittsburgh due to heat-related incidents, while an Elton John show in New Zealand was canceled because of torrential rain.

‘CAUSE FOR CONCERN’
Extreme weather fueled by climate change is a growing problem for all public activities held outdoors, from political rallies to sports competitions.

Last August, 600 participants at a global gathering of scouts in South Korea fell ill amid a heatwave exceeding 38°C (100.4°F), prompting the mobilization of dozens of military doctors and nurses to help the victims.

Eight days into the same gathering, about 40,000 teenage scouts were evacuated ahead of a typhoon.

A spokesperson for the World Organization of the Scout Movement said the weather had always been a risk factor when organizing such events.

But now it is “the extreme and unpredictable nature of environmental effects driven by climate change that is cause for concern,” the spokesperson said by e-mail.

The body is investigating how to strengthen its health and safety measures for future events and better prepare for the potential impacts of climate change and extreme weather.

PREPARATION AND CONTINGENCY PLANS
Testimonies shared on social media by attendees at the Taylor Swift concert in Brazil, where Ms. Benevides died, described how water bottles were confiscated at the entrance, while water was being sold inside at high prices — a common practice at commercial music events worldwide.

Serafim Abreu, chief executive of entertainment company T4F, which organized the Taylor Swift show, acknowledged in a video posted on social media that the company could have changed the performance start time and added more shaded areas.

“We know that with the climatic changes we are living through, these episodes will be more frequent. We also know that every sector must rethink its actions in the light of this new reality,” Mr. Abreu said.

Kevin Kloesel, an event safety meteorologist for the University of Oklahoma, urged organizers to make weather a priority and give it the same weight as other risk factors like terrorist attacks and active shooter situations.

“It turns out that weather is going to be the more likely threat on a daily basis than any of those other risks,” he told the Thomson Reuters Foundation.

Organizers should also hire professional meteorologists who can monitor threats and help take difficult decisions — such as calling off a show to prevent injuries and deaths, he said.

“We need a meteorologist who can advise the event staff on cooling stations, the amount of water to have available, (and) where are the most likely places in your venue that will get excessively hot,” Mr. Kloesel added.

Experts on crowd safety said rigorous contingency plans are needed in case an event has to be postponed, canceled, interrupted, or evacuated due to the weather.

For Mr. Kloesel, that includes adapting venues so that they have adequate shaded areas, cooling stations and places where audiences can shelter in case of an emergency.

In August, a Beyoncé concert in Washington D.C. was postponed for two hours as attendees took refuge from a lightning storm in an overcrowded concourse area.

“They did a phenomenal job of sheltering for lightning… but they crammed people so close together in spaces where there was no air movement that people started falling down due to heat illness,” Mr. Kloesel said.

Lack of safe shelter from extreme weather affected multiple concerts last year, including a Louis Tomlinson show in June in Colorado where a hailstorm injured 80 to 90 people and forced the gig to be called off, according to the local fire service.

EXISTENTIAL THREAT TO INDUSTRY
Participants in outdoor activities can also protect themselves from injury and death by being aware of potential weather risks, said Mr. Haghani of UNSW.

Simple things like checking the forecast can help people decide if they should take sunscreen and water, what to wear — and even whether it is worth attending an event.

“Risk assessment… is primarily the responsibility of venue operators, but people themselves are stakeholders and actually have a bigger stake, which is their life,” said Mr. Haghani, adding that they should leave if danger arises.

Venues should maintain transparent and timely communication with audiences, such as sending messages including weather forecasts and keeping them informed during the event, he said.

Lynn Thomas, medical director for St. John Ambulance, a charity that provides first aid at public events in Britain, said festival-goers need to be made aware that spending long periods in the sun can lead to heat exhaustion, especially in countries where people are not used to hot, humid weather.

Artists too can help prevent tragedy, said Mr. Haghani.

“They can afford to hire analysts to give them insights about crowd behavior and also educate them on how to monitor crowd behavior, how to identify threats, and how to intervene,” he said.

Other outdoor events, like sports competitions, are changing seasons or developing warning systems for extreme heat.

The New York Road Runners, for example, has implemented a color-coded alarm system for course conditions on the day, allowing competitors to cancel if it is deemed too dangerous.

According to Melbourne’s Lord Mayor Sally Capp, the Australian city is using reflective paint to lower temperatures in facilities like tennis courts.

It also has a heat warning system including public announcements on the street, as well as via social media and text messaging.

But even with strong contingency plans and mitigation measures, cancellation of outdoor events may become more frequent due to climate change, researchers warned.

“The viability of the event industry relies on their ability to be able to make plans and stick to them,” Mr. Haghani said. “If the weather is constantly going to intervene, it is going to threaten the very existence of the event industry.” — Thomson Reuters Foundation

CAMPI sees potential sale of 500,000 automotive units this year

FREEPIK

By Revin Mikhael D. Ochave, Reporter

THE Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) sees a robust year for the automotive sector, projecting the possibility of selling 500,000 units, its president said.

CAMPI’s optimism is fueled by expectations of slower inflation and a more robust economic growth trajectory, Rommel R. Gutierrez, the group’s president, told reporters on Jan. 23.

“[Selling 500,000 units] is possible. We had 21.9% growth last year. It is near 500,000 units sold,” he said.

If realized, this would represent a 16.3% year-on-year increase from the 429,807 units sold in 2023.

The higher projection comes as Mr. Gutierrez said on Jan. 22 that CAMPI aims for a 10% to 15% increase in vehicle sales this year.

“The drivers would be the tempered inflation rate and the remittances from overseas Filipino workers (OFWs),” he said.

During its December meeting, the Bangko Sentral ng Pilipinas maintained its benchmark rate at 6.5%.

The country’s inflation rate averaged 6% in 2023, higher than the 5.8% recorded in 2022, despite dropping to 3.9% in December.

Latest Philippine central bank data showed that cash remittances coursed through banks from January to November rose by 2.8% to $30.211 billion from $29.38 billion a year ago.

In 2023, CAMPI members sold 429,807 units, a 21.9% increase from the 352,596 units sold in 2022. 

Last year’s car sales also exceeded the group’s revised sales target of 423,000 units.

The industry’s sales were led by commercial vehicles, which rose by 20.2% to 320,543 units, while passenger car sales climbed by 27.2% to 109,264 units.

Commercial vehicle sales were driven by Asian utility vehicles (AUVs), which rose by 30.5%, and light commercial vehicles, which increased by 18.3%.

CAMPI attributed the stronger sales to “sustained consumer demand, easier access to credit, and improved supply conditions across all brands.”

“Last year was a very strong year for the industry, and we are very excited about 2024,” Mr. Gutierrez said.

“Positive economic outlook, new model introductions and the electrification trend are expected to contribute to a record-breaking sales this year,” he also said.

The country’s gross domestic product (GDP) growth accelerated to 5.9% in the third quarter from 4.3% in the second quarter. In the first nine months, economic growth averaged 5.5%, still below the government’s 6-7% full-year target.

The Philippine Statistics Authority is scheduled to announce fourth-quarter and full-year 2023 GDP figures on Jan. 31.

Nostalgia the focus of this year’s Japanese film festival

NOW ON its 27th year, the Japanese Film Festival (JFF) presents a selection of 14 full-length films from a variety of genres to “make audiences feel nostalgic for their own fond memories,” said its festival director.

The annual film festival is organized by the Japan Foundation Manila and will run from Feb. 1 to March 2 at the Shangri-La Plaza cinemas in Mandaluyong City, the University of the Philippines’ (UP) Film Center in Quezon City, and in several cities across the country: Baguio, Cebu, Iloilo, and Davao.

The JFF will kick off at the Shangri-La Plaza from Feb. 1 to 11.

“I sometimes hear that the culture of watching movies has already changed during the pandemic, but we really want JFF to be a chance for many people to remember the joy of coming to the theaters,” Yojiro Tanaka, JFF’s festival director, said during the press launch on Jan. 23.

This year, he said, the goal is to attract 30,000 Filipinos to watch Japanese films in the cinemas. Yearly, the JFF is able to attract at least 25,000 audience members.

“That’s why we really wanted to bring in the Voltes V titles. Our theme is about the past and the now, so when we encountered that The First Slam Dunk was also available, we thought it was another thing to bring back,” he added.

Hence, the festival’s opening film is Takehiko Inoue’s The First Slam Dunk (2022). It is a partial adaptation of the popular Slam Dunk basketball manga, which spawned an animé franchise of the same name.

Mr. Tanaka said that the manga is widely regarded as one of the most popular in Japan. In the Philippines, the anime adaptation was a favorite among Filipino fans of both animé and basketball in the 1990s.

Keeping the ball rolling is the four-episode conclusion to the Voltes V animé series from the 1970s. Though the conclusion was barred from airing during the Philippines’ martial law period — disappointing a generation of children — the episodes were combined into a movie titled Voltes V: The Liberation in 1999 and this will now be shown in the country through the JFF.

Meanwhile, Voltes V: Legacy (2023), the live-action Filipino take on the popular 1970s animé will also be screened. It marks an important collaboration as the Filipino production gives its spin on TOEI Studios’ property.

Audiences can also look forward to seeing a certain iconic high-school detective on the big screen. The Detective Conan movies (The Time-Bombed Skyscraper from 1997 and The Private Eyes’ Requiem from 2006) will be part of the lineup.

For cinephiles, the JFF will screen the classic masterpiece Tokyo Story (1953), by Japanese auteur Yasujiro Ozu.

Meanwhile, hopelessly romantic Filipinos can look forward to the unrequited love story set in high school, And Yet, You Are So Sweet (2023), and the heart-wrenching drama We Made a Beautiful Bouquet (2021) that star popular Japanese celebrities Masaki Suda and Kasumi Arimura.

The comedies Not Quite Dead Yet (2020) and Mondays: See You This Week! (2022) will allow audiences to laugh at absurd takes on family deaths and office culture respectively.

Then, the animated film Gold Kingdom and Water Kingdom (2023) can keep children entertained and enlightened through unique Japanese traditions, while biopic Father of the Milky Way Railroad (2023), starring veteran actor Koji Yakusho, gives adults a glimpse into one of Japan’s most beloved authors.

Rounding off the lineup are recently released, critically acclaimed “serious” films — A Man (2022) starring dramatic actor Satoshi Tsumabuki who is at the heart of a dark mystery; and Angry Son (2022) by director Kasho Iizuka, which follows a Japanese-Filipino teen discovering his identity and sexuality. The latter will have a post screening Q&A with the director.

“We hope that the wide range of films will entertain long-time festival goers and those who are already fans of Japanese films. We also welcome newcomers to enjoy the JFF,” said festival director Mr. Tanaka.

Admission is free for all screenings. Guests can simply visit their preferred participating theaters and queue before each screening of their chosen movie.

“Last year, we charged P100 but this year we decided not to. We thought it would greatly affect the number of audiences, and our purpose is to welcome as many people as possible,” Mr. Tanaka said.

The JFF will run at the Shangri-La Plaza mall cinemas from Feb. 1 to 11, at SM Seaside City Cebu from Feb. 16 to 25, at SM City Baguio, Iloilo, and Davao from Feb. 23 to March 3, and the UP Film Center in Quezon City from Feb. 22 to March 2.

For the full screening schedule and screening dates for other cities, visit the JFF Facebook page. — Brontë H. Lacsamana

Filinvest Development says payment for 10-year retail bonds finished

GOTIANUN-LED conglomerate Filinvest Development Corp. (FDC) announced on Thursday the completion of payment for its 10-year fixed rate retail bonds issued in 2014.

In a regulatory filing, FDC said that the bonds, with an aggregate amount of P8.8 billion, were issued on Jan. 24, 2014, and matured on Jan. 24 this year. 

“The bonds were paid through the company’s paying agent, the Philippine Depository & Trust Corp.,” FDC said.

The net proceeds from FDC’s retail bond issue were used to finance investments in the real estate sector and power generation, and these retail bonds received the highest PRS Aaa rating from the Philippine Rating Services Corp., according to the company.

FDC has diversified business interests encompassing property, banking services, sugar, and power, with subsidiaries including Filinvest Land, Inc., East West Banking Corp., FDC Utilities, Inc., and Pacific Sugar Holdings Corp.

For the first nine months of 2023, FDC’s attributable net income improved by 57% to P5.9 billion compared to P3.8 billion in 2022, as the conglomerate’s revenues rose by 26% to P64.6 billion.  

Shares of FDC were last traded on Jan. 22 at P5.55 apiece. — Revin Mikhael D. Ochave 

Puregold CinePanalo Film Festival announces 31 entries

THIRTY-ONE directors have received film grants that will allow them to compete in the inaugural Puregold CinePanalo Film Festival, as announced at a Jan. 23 press conference at Artson Events Place, Quezon City.

Ivy Hayagan-Piedad, Puregold’s senior manager for marketing, told the media that the festival is a platform to “uphold education and be a catalyst in the film medium that can be passed on to future generations.”

“You may be wondering why the store that is ‘always panalo’ (always winning) is shifting to this, but it is our passion to enable the youth of today to make these materials come to life,” Ms. Hayagan-Piedad said.

“It’s difficult to be a filmmaker in this country because it requires connections, publicity, timing. We want to help with that first step. One panalo push might be what can make a young, aspiring director become the next Lino Brocka, Brillante Mendoza, or Peque Gallaga,” she added.

Six full-length films and 25 short films were chosen from over 200 pitches, all adhering to the requirement of having an inspiring, family friendly message.

The full-length finalists were granted P2.5 million each to produce their films. They are:

Kurt Soberano’s Under the Piaya Moon. Set in 1988 after the sugar crisis in the province of Negros Occidental, the film follows a boy and his girlfriend who try to revamp their bakery with the help of the boy’s grandparents.

Eugene Torres’ One Day League: Dead Mother, Dead All, a sports comedy with multiple timelines about a chosen family of gays and transwomen who must join forces to win the league.

Sigrid Bernardo’s Pushcart Tales, about three employees of a grocery and three customers who are trapped in the store when a sudden disaster strikes, bringing them face to face with the different disasters in their own lives.

Raynier Brizuela’s Boys at the Back is an inspiring comedy that follows classmates who are repeaters in school and who must graduate in order to defy everyone’s view of them as failures.

Joel Ferrer’s Road to Happy, is a road film about a self-proclaimed celebrity who encounters many unexpected challenges on the way to his next hosting gig in Atimonan, Quezon.

Carlo Obispo’s A Lab Story follows an Aeta girl seeking love and romance but who instead finds an innate talent for agriculture, leading her to join a national agricultural quiz bee to overcome bullying and other injustices.

Meanwhile, the 25 short films by student directors were granted P100,000 each. They are:

Jenievive B. Adame’s Smokey Journey (STI College Cubao)

Ma. Rafaela Mae Abucejo’s Saan Ako Pinaglihi? (Polytechnic University of the Philippines or PUP)

Alexa Moneii Agaloos’ Ka Benjie (PUP)

Kent Michael Cadungog’s Text FIND DAD and Send to 2366 (University of the Philippines or UP)

John Pistol L. Carmen’s Repeater si Peter (Bicol University)

Chrisha Eseo Cataag’s Hallway Scholar (Pamantasan ng Lungsod ng San Pablo)

Patricia W. Dalluay’s Lola, Lola, Paano ba ‘Yan? (PUP)

Joanah Pearl Demonteverde’s Kang Pagpuli Ko (UP – Visayas)

Joshua Andrey A. Doce’s I Am Mutya and I Thank You! (Bicol State College of Applied Science and Technology)

Neil M. Espino’s Sa Hindi Paghahangad (De La Salle Lipa)

Terrence Gale Fernandez’s Kaibigan ko si Batman (PUP)

Daniel Gil’s Distansya (Ateneo de Davao University)

Alexandra Lapid’s Queng Apag (Mapúa University)

Reutsche Colle Rigurosa Lima’s Tiil ni Lola (University of San Carlos)

Dizelle C. Masilungan’s Kung Nag-aatubili (University of Santo Tomas)

Jose Mikyl Medina’s Lutong Bahay (De La Salle University)

Ronjay-C Mendiola’s Last Shift (PUP)

Mark Terence Molave’s Paano po gumawa ng collage college? (PUP)

Jhunel Ruth A. Monterde’s Si Mary May Crush Kay Tess (De La Salle College of Saint Benilde)

Doxford D. Perlas’ Naduea Eoman Si Brownie (Brownie’s Lost Again!) (UP – Visayas)

Andrea S. Ponce’s Layag sa Pangarap (PUP – Sta. Mesa)

Edz Haniel Teñido Purificacion’s Dzai Dzai Dzai Delilah (Mapúa Malayan Colleges Laguna)

John Wilbert Llever Sucaldito’s Tambal nga Sabaw (Far Eastern University)

Tyrone Lean J. Taotao’s Abandoned Lullabies (PUP – Sta. Mesa)

Marian Jayce R. Tiongzon’s May Kulay Rosas Ba Sa Bahaghari? (UP – Visayas)

The members of the selection committee were: film and TV director Jeffrey Jeturian; film critic Tito Valiente; filmmaker Victor Villanueva; Puregold senior marketing manager Ivy Hayagan-Piedad; Lyle Gonzales of Republic Creative; and Puregold CinePanalo festival director Chris Cahilig.

On top of the film grants, all finalists will receive complimentary color grading from Optima Digital for their respective films, as well as essential groceries from Puregold to further support them during the production phase.

The finished films will be screened at the Gateway Cinemas in Cubao from March 15 to 17, followed by potential regional screenings. The short films will be available on Puregold’s official social media channels. — Brontë H. Lacsamana

Higher LPG sales propel Pryce’s profit to P2.22 billion

PRYCE Corp. saw a 31.6% increase in its 2023 net income to P2.22 billion from P1.69 billion a year earlier, driven by higher sales volume of liquefied petroleum gas (LPG), the listed company announced on Thursday.

The company’s consolidated revenues grew by 2.6% to P19.26 billion from P18.77 billion in the previous year, it said in a regulatory filing.

Pryce Corp., through its major subsidiary Pryce Gases, Inc., imports and distributes LPG under the brand “PryceGas” and produces industrial gases. 

The sales volume of LPG “grew by 7.9%, from 276,709 tons in 2022 to 298,499 tons in 2023,” the company said.

“The growth in net income is attributed to the improvement of LPG margins, particularly in the Luzon market,” it added.

The company said that its LPG business segment accounted for P18.13 billion or 94.16% of the total consolidated revenues.

“The other segments and their respective contributions consist of the following: industrial gases P793.26 million or 4.12%, real estate P287.3 million or 1.49%, and pharmaceuticals P44.86 million or 0.23%,” Pryce Corp. said.

The company owns and operates 13 memorial parks in major cities across Mindanao, including Cagayan de Oro (CDO), Iligan City, Ozamiz, Polanco, Zamboanga City, and Davao City, as well as smaller parks in secondary cities or major municipalities like CDO-Manolo Fortich, Malaybalay City, Malita, Bislig, Alabel, Pagadian City, and Butuan City.

Pryce Pharmaceuticals, Inc., another subsidiary, acts as a wholesaler and distributor of multivitamins and select over-the-counter generic drugs.

Pryce Corp.’s operating expenses increased by 17.74%, going to P2.5 billion in 2023 from P2.12 billion in 2022, attributed to general inflation and rises in compensation, logistics, and fuel costs, the company noted.

At the local bourse on Thursday, shares in the company closed at P5.20 apiece. — Sheldeen Joy Talavera

Jon Stewart is returning to The Daily Show during US election cycle

INSTAGRAM.COM/THEDAILYSHOW

NEW YORK — Political comedian Jon Stewart is returning to The Daily Show as executive producer and will host every Monday starting Feb. 12, through the 2024 election cycle, Paramount announced on Wednesday.

The show will feature a rotating lineup of hosts for the other three nights it airs each week, the company said.

The Daily Show airs weeknights at 11 p.m. ET on the Paramount Global-owned Comedy Central cable network and the next day on the Paramount+ streaming service.

The Daily Show with Jon Stewart won 24 Emmy Awards during Stewart’s 16-year stint as host, during which time he satirized the eccentricities of American politics, TV news and culture.

He stepped down in 2015 and was replaced by comedian Trevor Noah. The show has not had a permanent host since 2022, when Mr. Noah announced he was leaving.

“Jon Stewart is the voice of our generation, and we are honored to have him return to Comedy Central’s The Daily Show to help us all make sense of the insanity and division roiling the country as we enter the election season,” Chris McCarthy, the president and chief executive officer of Showtime/MTV Entertainment Studios, said in a statement.

Mr. Stewart, an outspoken advocate for military veterans who also championed a US law to provide healthcare to ill first responders of the Sept. 11, 2001 attacks, in 2021 launched a current affairs show, The Problem With Jon Stewart on the Apple TV+ streaming platform. That show ended last year. — Reuters

SC rules gym took on employer relationship with former trainers

PHOTO BY MIKE GONZALEZ

THE Supreme Court (SC) has ruled that Fitness First Phil., Inc. had an employer-employee relationship with ex-trainers in finding that the ex-trainers were entitled to benefits and legal fees.

In a statement on Thursday, the court found that the exclusivity clauses in the ex-trainers’ contracts, making them wholly dependent on the gym for their incomes.

“Under the Freelance Personal Trainer Agreement, petitioners (the former trainers) were required to sell only the company’s products per its price schedule and were prohibited from providing training outside of the club,” according to the ruling, written by Associate Justice Amy C. Lazaro-Javier.

“Petitioners were also wholly dependent upon Fitness First for their continued employment in their line of business.”

A copy of the ruling has yet to be uploaded to the court’s website.

It held that elements of an employer-employee relationship include the selection and engagement of the employee, the payment of wages, the power to dismiss and the power to control the employee’s conduct.

Fitness First had initially hired the gym trainers as fitness consultants en route to transitioning as freelance personal trainers.

Their respective contracts involved them being paid by the company on a commission basis, the court said.

“Fitness First also held the power to dismiss petitioners when it became manifest that the latter were unqualified or unfit to discharge their duties or failed to comply with the monthly Minimum Performance Standards under the Agreement,” the Supreme Court noted.

“When the status of the employment is in dispute, the employer bears the burden to prove that the person whose service it pays for is an independent contractor and not a regular employee,” it said. — John Victor D. Ordoñez

It’s possible, but maybe not likely

ANGIE REYES-PEXELS

No, it’s not a simple question of when the Bangko Sentral ng Pilipinas (BSP) and Monetary Board (MB) will finally reverse course and start slashing its monetary policy rate from the current 6.5%. Beyond commenting that tight monetary policy restricts credit and economic growth, our civil society should be clear why the BSP would rather choose to be constructively open as to when the transition will happen.

Actually, BSP Governor Eli Remolona could not have been clearer when he announced recently that easing policy rates will not likely happen within the first half of the year.

“I would say it’s possible but maybe not likely.”

It is all anchored on the data.

And the data should include the many Antonio Gabriel S. Pe Benitos of this nation of over 112 million who are all thinking of leaving the Philippines because of inflation (!). While Mr. Pe Benito simply complains about his meager income of P20,000 as a management trainee at a local consultancy firm, the International Labor Organization cast it more broadly: “The erosion of real wages and living standards by high and persistent inflation rates and rising costs of housing is unlikely to be offset quickly.” (“Philippine government told to carry through job plan amid grim outlook,” BusinessWorld, Jan. 22, 2024)

What about the latest Pulse Asia survey in December 2023 that indicated the persistent concerns of national respondents about the economy-related issues, topped by the need for government to control inflation? Some 72% of the respondents rated it first, followed by increasing workers’ pay, creating more jobs, and reducing poverty. Our people’s revealed preferences are not surprising. With empty, or near empty, stomachs, they would rather have lower consumer prices and better working conditions than tackle the roots of their misery such as graft and corruption, criminality, bad business, or the equally pressing issues of injustice and assault on our national sovereignty in the West Philippine Sea. We could not see anything but urgency for the authorities to keep their commitment to decisively battle inflation.

Just reading the report on the MB’s December 2023 policy meeting will tell us that the crusade against inflation is far from over. True, the baseline forecasts for 2024 and 2025 at 3.7% and 3.2%, respectively, are within the 2% to 4% target. But the newly minted risk-adjusted forecasts could be bothersome. This year, with risks considered, inflation could average 4.2%, breaching the target, and next year, around 3.4%. The BSP recognizes that the risks to the inflation outlook are, in their words, skewed to the upside through 2025. The BSP would not want to have another year in 2024 when the inflation target is exceeded. Its reputation as an inflation buster might be tarnished, and inflation expectations could be upset down the line. As they are, inflation expectations seem to have eased but they are not dissimilar from the BSP’s precarious baseline forecasts.

The MB press statement was quite clear on the inflation risks that include higher power and fuel rates, transport charges, and the prolonged dry spell through the second half of 2024. It also cited that price pressures could also build up if the temporary lowering of the tariff rates on certain basic commodities like rice and corn is not extended beyond end-December 2023. We cannot also discount the lagged effects of previous wage adjustments in all the regions of the Philippines starting in 2022.

In the last two weeks, we have seen that these risks are turning out to be true.

Both WTI and Brent oil futures have been rising as there is no end in sight to the hostilities in the Gaza Strip. As a result, we also observe and experience petrol pump prices becoming more volatile on the upside. Global industry experts also cite the long prospect of continuing upticks in oil prices following the involvement of both Pakistan and Iran in the on-going Middle East conflict.

With rising fuel prices, power rates are also bound to increase. What is sad is that last year, the Supreme Court reversed the decision of the Energy Regulatory Commission to limit the Wholesale Electricity Spot Market or WESM prices in the last two months of 2013. This will now allow power companies to charge higher power generation costs to customers starting this year through possibly the next couple of years.

On the transport side, as we wrote in our previous columns, the public utility vehicle modernization program could compel the riding public to pay more in order to help jeepney operators transition from traditional to modern jeepneys. Such a transition costs money for the jeepney operators who have no option but to charge riders higher fares. In addition, fare adjustments are expected this quarter for cabs, the MRT, and the traditional jeepneys.

The El Niño dry spell is expected to be a strong one this year. Pervasive could be an understatement as to its effects. First, it is expected to be prolonged, lasting until probably the end of the first half of 2024, but its impact could last for many months. Second, with lower water levels in the hydroelectric power plants and strong demand for alternative energy sources, power rates could be pushed higher. And third, we would expect the hit on domestic food production to be serious as in the past.

The recent admission by the BSP should be a good heads up on what to expect: “Supply shocks may derail our forecast including what’s going on with rice, the imports of rice. El Niño is a factor. So, it depends on those risks.” Of course, what could only derail the BSP forecasts is when the gravity of the supply shocks surpassed the magnitude of risks that has been factored into the risk-adjusted forecasts as announced last year.

If it does — and we hope it doesn’t — even the 2025 risk-adjusted forecast of 3.4% may have to be escalated.

But the non-monetary measures are not measuring up enough.

We find it pathetic that the National Government has allocated a measly P10 billion in aid to boost rice supply. This budget will allow the distribution of fertilizer discount vouchers under the Department of Agriculture’s Production Support Services under the National Rice Program. But what’s the use of fuel and fertilizer during El Niño when our farmers cannot plant at all? Better use this instead as a cash support to affected farmers to mitigate their livelihood. We expected a more fundamental approach to our local production. A Rice Outlook released by the US Department of Agriculture’s Economic Research shows that the Philippines is now the world’s No, 1 rice importer, importing about 3.8 million tons of rice, so much more than China, Indonesia, the European Union, Nigeria, and Iraq. This should be more than enough of a wake-up call!

We don’t have to emphasize that indeed in the short run, supply shocks could be material. Knowing their potential impact, households and corporates could be influenced in the way they form their inflation expectations. They can trigger secondary effects like wage adjustments and increases in transport fares and power charges. That is why central banks have to act fast and demonstrate their firm commitment to price stability and frustrate any potential build up in unfavorable inflation expectations.

It will be useful therefore for analysts and observers to cease questioning why central banks should be adjusting their policy rates when inflation is supply-driven. Focus more on the fact that core inflation ended the year 2023 at 6.6% compared to just 6% for the headline inflation, undeniably proof that demand pressures remain heavily at work. Focus more on the fact that despite the cautious monetary policy stance of the BSP, the economy, at 5.5% in the first three quarters last year, grew to be one of the fastest in the world even as base effects contributed a great deal here.

Nomura Global Markets Research recently commented — and commented well — on the virtue of the Philippines’ central bank, and that is continuing to signal patience with a policy pivot. “While inflation returned to target earlier than BSP’s forecast of the third quarter 2024, we do not see an immediate impact on monetary policy, given BSP remains cautious of upside inflation risks and remains hawkish.”

An easing soon?

It’s possible, but maybe not likely.

 

Diwa C. Guinigundo is the former deputy governor for the Monetary and Economics Sector, the Bangko Sentral ng Pilipinas (BSP). He served the BSP for 41 years. In 2001-2003, he was alternate executive director at the International Monetary Fund in Washington, DC. He is the senior pastor of the Fullness of Christ International Ministries in Mandaluyong.

inDrive commits to app improvement after LTFRB suspension

RIDE-HAILING app inDrive, operated by RL Soft Corp., will make improvements to its application following a temporary suspension by the Land Transportation Franchising and Regulatory Board (LTFRB),  the transport network company said on Thursday.

“During our recent engagement with the LTFRB, productive discussions transpired and we are now in the process of further developing our application to ensure that there is no confusion amongst our users,” inDrive said in a statement.

The ride-hailing app announced in December that it had secured accreditation from the transport regulator.

“As part of these ongoing improvements, we will be temporarily pausing our service operations,” the company said.

“This is a necessary step to ensure that our enhancements are implemented effectively and align with both our users’ needs and regulatory standards,” it added.

The goal is “to provide a fair, transparent, and accessible service while upholding the highest standards of regulatory compliance and user satisfaction.”

The regulator’s decision to suspend the ride-hailing app was due to alleged fare haggling violations. The LTFRB has given inDrive 15 days to present its proof of compliance.  

“Haggling of fares not only goes against the principles of transparency but also jeopardizes the welfare of both passengers and drivers. We take these allegations seriously and are conducting a thorough investigation to determine the extent of the violation,” the LTFRB said.  

For its part, the ride-hailing app said: “We at inDrive acknowledge the recent concerns raised by the LTFRB regarding our fare system.”

“We affirm our company’s commitment to provide better alternatives in transportation while ensuring compliance with all regulatory standards, and we are actively collaborating with the authorities towards this end,” it added.

Based on its website, inDrive has presence in 46 countries such as the Philippines, Indonesia, Malaysia, and Thailand. — Revin Mikhael D. Ochave 

Who invented butter chicken? Indian judge to rule on dispute over global favorite

THE RECIPE of Moti Mahal’s “Signature Butter Chicken” can be found on its website. — MOTIMAHAL.IN

NEW DELHI — Butter chicken — one of India’s best-known dishes globally — is delicious and apparently also contentious, with two Indian restaurant chains doing battle in court over claims to its origins.

The lawsuit — which has become a hot topic in India — was brought by the family behind Moti Mahal, a famed Delhi restaurant brand that has counted late US President Richard Nixon and India’s first Prime Minister Jawaharlal Nehru among its guests.

It claims restaurant founder, Kundan Lal Gujral, created the curry in the 1930s when the restaurant first opened in Peshawar before it moved to Delhi. In a 2,752-page court filing it has sued rival chain Daryaganj, accusing it of falsely claiming to have invented the dish as well as dal makhani, a popular lentil dish that is also laden with butter and cream.

The Gujral family is seeking $240,000 in damages, also alleging that Daryaganj has copied the layout of Moti Mahal’s website and “the look and feel” of its restaurants.

“You cannot take away somebody’s legacy … The dish was invented when our grandfather was in Pakistan,” said Monish Gujral, managing director at Moti Mahal.

Daryaganj — which was established relatively recently in 2019 — counters that its late family member, Kundan Lal Jaggi, had partnered with Gujral to open the Delhi restaurant in 1947, and the dish was invented there. That gives it the right to also lay claim to the creation of the dish, it argues.

Daryaganj shared with Reuters a faded, hand-written partnership document registered in 1949 to back its argument.

The dispute has captured the nation’s attention with Indian TV broadcasters running segments on the history of the dish and debate raging on social media.

“It’s an offbeat, unique case. You really don’t know who created the first dish of butter chicken. The court will be hard pressed and will need to rely on circumstantial evidence,” said Ameet Datta, an intellectual property lawyer at India’s Saikrishna & Associates.

Testimonies of people who can link the brand to the dish they consumed decades ago could be critical proof, Ameet Datta added.

Made with tandoor-cooked chicken pieces mixed in a tomato gravy with dollops of cream and butter, the dish was ranked 43rd in a list of world’s “best dishes” by TasteAtlas as rated by nearly 400,000 users. It was the second-ranked Indian food after butter garlic naan bread. The two are often paired together.

The case was first heard by the Delhi High Court last week and the next hearing is scheduled for May. — Reuters