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AI used by 75% of businesses worldwide, Microsoft reports 

REUTERS

ARTIFICIAL INTELLIGENCE (AI) has been adopted by 75% of businesses worldwide, IDC Research, Inc. and Microsoft said in a report.

“AI’s reach is expanding into every corner of the economy, and in the Philippines,” Peter D. Maquera, chief executive officer of Microsoft Philippines, said in a statement on Tuesday in the wake of the release of the IDC X Microsoft Business Opportunity of AI report.

“Generative AI is changing the way Filipino businesses approach their work,” Mr. Maquera added.

Microsoft found separately in its 2024 Work Trend Index that 89% of Filipino leaders believe adopting AI keeps their companies competitive, while 86% of Filipino knowledge workers use AI at work, well above the global average of 75%.

“With AI adoption rising, there is a growing need for local talent equipped to manage and develop AI solutions,” Mr. Maquera said.

Microsoft said Philippine companies are starting to tailor AI solutions to “streamline logistics and optimize other core operations.”

It added that companies in the Philippines deploying AI tools commonly report measurable returns within 13 months.

Businesses turning to AI are realizing returns averaging $3.70 globally for every dollar invested, with finance and media companies in the Philippines reporting returns on the order of $10 per dollar spent.

“AI’s value lies not only in what it can achieve today but in the speed with which businesses are realizing that value,” Mr. Maquera said.

Over the next two years, the application of AI in healthcare, manufacturing, and education is projected to rise, according to Microsoft.

“We look forward to seeing how Filipino organizations will continue to push the boundaries of what’s possible with AI,” Mr. Maquera added. — Almira Louise S. Martinez 

Council to enforce economic sabotage law could convene before end of year

PHILIPPINE STAR/MIGUEL DE GUZMAN

A DEPARTMENT of Agriculture (DA) official said the council that will enforce Republic Act (RA) No. 12022, or the Anti-Agricultural Economic Sabotage Act, could hold its first meeting before year’s end.

Felicisimo F. Madayag, special assistant to the DA assistant secretary for Inspectorate and Enforcement said at a forum that the first meeting will focus on appointing technical experts, organizing the executive committee, and other staffing matters.

The law created the Anti-Agricultural Economic Sabotage Council to oversee the implementation of RA 12022.

The council is composed of representatives from the DA, the departments of Justice, Finance, Interior and Local Government, Transportation, and Trade and Industry, the Anti-Money Laundering Council, and the Philippine Competition Commission. It is chaired by the President.

RA 12022 classifies agricultural smuggling, hoarding, profiteering, and its financing as economic sabotage. It levies fines equivalent to five times the value of any smuggled or hoarded agricultural products, with violators also facing the prospect of life imprisonment.

Mr. Madayag said seized agricultural and fisheries products have been valued at “more than P2 billion” in the year to date. He did not give a more detailed estimate. 

The law also requires the establishment of a daily price index (DPI) to help determine the value of commodities where smuggling and hoarding is alleged.

The DA has released Special Order No. 1804, which created a technical working group to establish guidelines on the compilation of the DPI. — Adrian H. Halili

DBM ‘dashboard’ to track LGU funding

BW FILE PHOTO

THE Department of Budget and Management (DBM) said it has introduced a dashboard to improve monitoring of Local Government Support Fund (LGSF) releases.

The LGSF helps local government units (LGUs) implement priority programs, the DBM said in a statement on Tuesday.

“At DBM, we embrace digitalization and transparency. Anyone can use the dashboard which is now up and running on the DBM website. Here, you can monitor our fund releases under LGSF anytime, anywhere, and with ease,” Budget Secretary Amenah F. Pangandaman said.

The dashboard can refine results by region, province, and city/wmunicipality and graphs each region’s share of released support funding, tracking data going back to 2021.

The DBM said the LGSF dashboard will be updated on the 15th of each month. — Aubrey Rose A. Inosante

Senate vows to remain impartial as Duterte faces impeachment moves

VICE-PRESIDENT SARA DUTERTE-CARPIO — PPA POOL/YUMMIE DINGDING

THE PHILIPPINE Senate is prepared to act as an impartial court ahead of a potential impeachment trial against Vice-President Sara Z. Duterte-Carpio, the Senate President said on Tuesday, as more groups seek the ouster of the country’s second highest ranking official.

“It is crucial that members of the Senate approach it with the impartiality and objectivity demanded of us,” Senate President Francis G. Escudero said in a statement.

“Experience has shown that impeachment proceedings are inherently divisive and have the potential to polarize the government and public.”

The Presidential Palace has denied it had a hand in the filing of the complaint, reiterating President Ferdinand R. Marcos, Jr.’s initial pronouncement against the pursuit of an impeachment case.

Civil groups on Monday filed an impeachment complaint against Ms. Duterte, alleging she committed graft and corruption, bribery, and betrayal of public trust among other crimes. The complaint was endorsed by Party-list Rep. Percival V. Cendaña.

The complainants cited 24 grounds overall, including Ms. Duterte’s alleged misuse of billions of pesos in confidential funds during her term as Davao City mayor and Vice-President, failure to account for government budgets, and refusal to attend hearings in Congress. 

Of the 24 articles in the complaint, nine were under culpable violation of the constitution and graft and corruption, with the complainants citing Ms. Duterte’s failure to account for her confidential funds in 2022 and 2023 at the Office of the Vice-President (OVP) and Department of Education (DepEd), which she headed from June 2022 to June 2024.   

They also cited “rigged” bidding for DepEd equipment and her office’s P15 billion in unutilized funds in 2023.

Ms. Duterte was also accused of bribery and having unexplained wealth, with complainants citing her alleged accumulation of P111 million in personal accounts and hundreds of million more in joint accounts with her father.

They also wrote two articles for betrayal of public trust, accusing Ms. Duterte of abandoning her duties during the onslaught of Super Typhoon Gaemi as she left for Germany, and failing to condemn Chinese aggression in the West Philippine Sea.

The complainants also cited nine articles for high crimes, such as direct involvement in extrajudicial killings and threats made against high-ranking officials.

ANOTHER IMPEACHMENT COMPLAINT
A bloc of minority lawmakers on Tuesday announced they will be endorsing what would be Ms. Duterte’s second impeachment complaint on Wednesday with around 50 representatives from “progressive organizations and concerned citizens” planning to file on the grounds of alleged corruption and misuse of funds.

“Not just the confidential funds, but also the regular funds of the Office of the Vice-President and the Department of Education,” Party-list Rep. Raoul Danniel A. Manuel said in Filipino in an earlier media briefing, citing the complaint’s basis. “Part of it is also her failure to fulfill her responsibility to explain how she used the funds.”

The complaint comes amid the chamber’s ongoing probe into the OVP’s alleged misuse of P612.5 million worth of confidential and intelligence funds in 2022 and 2023.

Under the 1987 Constitution, grounds for impeachment include treason, bribery, graft and corruption, high crimes or betrayal of public trust.

Both impeachment complaints zeroed in on Ms. Duterte’s use of secret funds, which has been the subject of a congressional investigation. She denies any wrongdoing stemming from the probe, saying it’s politically charged and could be laying the groundwork for her ouster.

The House will hear the complaint, requiring one-third of its members, or at least 102 congressmen, to agree with the impeachment rap before the case is elevated to the Senate for trial. The chamber is headed by Speaker Ferdinand Martin G. Romualdez, a cousin of the president.

Mr. Escudero also directed his colleagues in the Senate to avoid making public comments on the allegations against the Vice-President, in line since with the chamber’s rules on impeachment.

“The Senate stands ready to fulfill its constitutional mandate with integrity and impartiality while upholding national interest,” he said.

“The outcome, whether in favor of or against the official involved, should not impede the Senate’s broader mission to serve our countrymen.”

Meanwhile, the Presidential Palace on Tuesday distanced itself from the first impeachment complaint filed against Ms. Duterte.

Questions now center as to whether the complaint will actually help advance efforts to hold the country’s second highest official to account for her alleged misuse of funds at the OVP and DepEd given the one-year bar rule in the post-EDSA charter.

Executive Secretary Lucas P. Bersamin said the impeachment complaint filed in the House of Representatives by several private citizens is clearly the complainants’ independent initiative.”

The endorsement of the complaint is “the prerogative of any member of the House of Representatives,” he added in a statement.

“The Office of the President has nothing to do with it.”

President Ferdinand R. Marcos, Jr. last week confirmed that the text message discouraging Congress from pursuing an impeachment rap against Ms. Duterte was indeed his.

“The President’s earlier statement on the matter is unambiguous,” Mr. Bersamin said.

CAMPAIGN PERIOD
Commenting on the impeachment rap, Manila Rep. Joel R. Chua said lawmakers will be “busy” not just in Congress but also in their respective districts as the 2025 midterm polls approach.

“We know that it’s already the campaign period next year,” he told reporters in Filipino on the sidelines of an event at the presidential palace.

Mr. Chua chairs the House Committee on Good Government and Public Accountability, which is leading inquiries into Ms. Duterte’s alleged fund misuse.

The House leader, meanwhile, said the committee will include in its report the Philippine Statistics Authority’s certification that one of the declared recipients of Ms. Duterte’s confidential funds has no birth, marriage, and death records.

A certain “Mary Grace Piattos” appeared on acknowledgement receipts submitted by Ms. Duterte’s office to state auditors in 2022.

“It appears that the acknowledgement receipt was bogus,” Mr. Chua said in Filipino, adding that the committee will check the identities of other declared recipients.

The committee is seeking the help of the National Bureau of Investigation to verify the signatures in the receipts, he added. — John Victor D. Ordoñez, Kenneth Christiane L. Basilio, and Kyle Aristophere T. Atienza

South Korean military wares, tech transfer to boost PHL defense

PHILIPPINE COAST GUARD PHOTO

By John Victor D. Ordoñez, Reporter

MANILA should push for the acquisition of more South Korean military jets, frigates, and an increase of technology transfer with Seoul to boost the Southeast Asian nation’s defense posture amid tensions with China, according to security experts.

“We hope for the technology transfer from South Korea so that we can build our own offshore patrol vessels which would be beneficial to the Philippine defense industry,” retired Major General and former spokesperson of the Armed Forces of the Philippines Restituto F.  Padilla, Jr. told reporters on the sidelines of a forum on the unification of the Korean Peninsula.

This comes amid growing tensions between the Philippines and China over disputed areas of the South China Sea, including Scarborough Shoal, one of Asia’s most contested features.

China claims almost the entire South China Sea, a conduit for more than $3 trillion of annual ship-borne commerce. The Permanent Court of Arbitration in 2016 said China’s claims had no legal basis, a ruling Beijing rejects.

In October, South Korean President Yoon Suk Yeol met with Philippine President Ferdinand R. Marcos, Jr. and vowed to pursue deeper cooperation between their coast guards.

Both leaders agreed to uphold an international rules-based order, including on safety of navigation in the South China Sea, with Seoul vowing to take part in the modernization program of the Philippine military.

“The thing is, the crucial aspect is to gain the capacity to effectively use them (military equipment) and to have sustainability,” former Philippine Navy Flag Officer in Command Alexander P. Pama told reporters at the same event.

“It has to be in conjunction with whatever strategy we have, and the next thing is our capacity to maintain it.”

The Chinese Coast Guard on Monday said in a statement that it had taken “necessary control measures” against an “illegal gathering” of Philippine vessels in disputed waters of the Iroquois reef in the South China Sea.

This followed the China Coast Guard’s confirmation that it conducted patrols around the Scarborough Shoal, Reuters reported last week.

Reports of an alleged harassment of Filipino fishermen by a Chinese Navy helicopter have also prompted the Philippine Coast Guard to deploy two of its vessels to Rozul Reef, it said on Monday.

At the forum, Jae Woo Choo, a professor of Chinese foreign policy at Kyung Hee University in South Korea, said a multilateral coalition between the Philippines, Japan, the United States is likely to continue flourishing amid China’s growing assertiveness in the waterway.

“We are in the same shoes, we cannot defend our own waters, our own airspace independently and on our own feet,” he said.

“This is where the coalition is called upon and this is where Japan has also shared concern very much.”

The Philippine Senate Committee on Foreign Relations in November moved to endorse Manila’s Reciprocal Access Agreement (RAA) with Tokyo to the chamber’s plenary, as the deal aims to boost interoperability between their troops amid tensions with China in the South China Sea.

On Tuesday’s plenary session, Senator and Foreign Relations Committee Chairperson Maria Imelda R. Marcos sponsored the RAA treaty before the floor, citing the need for the Senate’s concurrence to ensure Manila has a credible defense posture.

Both countries signed the deal in July to ease the entry of equipment and troops for combat training from Japan.

The Philippines has a visiting forces agreement with the US and Australia. Tokyo, which hosts the biggest concentration of US forces abroad, has a similar deal with Australia and Britain, and is negotiating another with France.

“Because after all, what is being defined are rules that are made by the world itself so that there will be order in the world,” Mr. Padilla said.

China and the Philippines have been at loggerheads over confrontations near disputed features in the South China Sea, with Manila accusing China’s coast guard of aggression and Beijing furious over what it calls repeated provocations and territorial incursions.

DMW bats for green jobs for OFWs in Germany, Finland

PHILIPPINE STAR/WALTER BOLLOZOS

THE DEPARTMENT of Migrant Workers (DMW) is enhancing its agreements with various countries to strengthen green jobs, emphasizing sustainability for overseas Filipino workers (OFWs).

In its Overseas Labor Market Situationer report, launched on Tuesday in Makati City, the department said it is working with European nations Germany and Finland to create green jobs for Filipinos.

“This initiative helps expand employment prospects for Filipino workers and extensively aligns with global sustainability efforts by promoting environmentally friendly industries,” it said.

“The DMW is committed to ensuring that the Filipino workforce is equipped with the necessary knowledge and competency to thrive in the green industry, thereby contributing to both the economic development of the Philippines and the environmental goals of Germany,” it added.

It said it is also exploring new opportunities for OFWs in the Finnish market, targeting green jobs and various non-healthcare industries, reflecting the department’s commitment to diversify employment options and promote sustainable development for OFWs.

Apart from the Western nations’ emphasis on green jobs, Asian neighbor Japan is opening its labor market to about 820,000 overseas workers in the next five years, specifically opening for 24,000 taxi drivers, the study said.

Other job opportunities in the archipelago include nursing care, building cleaning management, electronics and industrial machinery, construction, shipbuilding and ship machinery, automobile repair and maintenance, aviation industry, accommodation industry, agriculture, fishery and aquaculture, manufacturing of food and beverages, and food service industry.

“The DMW acknowledges that Japan remains a suitable labor market for Filipinos due to its safety, stability, and straightforward and stringent labor laws and regulations providing more decent working terms and conditions for Filipino workers,” the study said.

DMW Secretary Hans Leo J. Cacdac told reporters on the sidelines of the launch that demand for OFWs stems from countries and employers, who aim to employ quality OFWs. — Chloe Mari A. Hufana

House panel OKs extension of village, youth council officers’ term limits

By Kenneth Christiane L. Basilio, Reporter

A HOUSE of Representatives committee on Tuesday approved a bill extending the term limits of barangay and Sangguniang Kabataan (SK) officials to six years from the current three to insulate local leaders from patronage politics.

Approved by the House local government panel, the unnumbered substitute bill provided for a maximum of two consecutive terms for barangay officials, capping their tenure at 12 years; while restricting SK leaders to a single term in office.

The extended office terms could help provide stability for local governance, while insulating barangay leaders from political pressures by higher-ranking city and provincial officials, said Oriental Mindoro Rep. Arnan C. Panaligan, who headed the bill’s technical working group.

“The committee’s goal is to provide continuity, stability, and to insulate barangay officials from politicking,” he told BusinessWorld in an interview in Filipino.

Parochial politics in the Philippines often revolve around the transactional relationship between higher-ranking leaders and barangay officials, with the dynamic often leading to local policies or programs that could help them secure re-election.

“The tendency is that after local elections, they (barangay officials) go to mayors or governors to strengthen their foothold. They seek protection and submit to their will because they only have three years. They want to be re-elected too,” Mr. Panaligan said.

The proposed law also seeks to defer the elections of barangay and SK officials to the second Monday of May 2029, according to a copy of the measure obtained by BusinessWorld. Incumbent local officials elected in 2023 would remain in office up until their successors have been elected.

The deferment could help save taxpayer money and deal with logistical challenges due to the awkward timing of barangay elections, Mr. Panaligan told congressmen during the hearing.

Congress allotted P15 billion for the conduct of the 2025 midterm elections, while pegging an additional P11.6 billion to fund the conduct of the barangay and SK elections in December of that same year.

The bill’s Senate counterpart has been referred to its plenary in November, with Senator Maria Imelda “Imee” R. Marcos urging the chamber to approve the proposal.

Funding for first 1,000 days flagged

PHILSTAR FILE PHOTO

ONLY a small portion of government funding for the health of children is set aside for their first 1,000 days, the Department of Health on Tuesday said.

“We found out that most of our government funds were actually more on the latter part of a child’s nutrition,” Health Secretary Teodoro J. Herbosa, fresh from a Cabinet meeting, said in a news briefing.

This means that the budget of the Department of Education for the school age feeding program and budget of the Social Welfare Department for preschool kids are bigger than the budget for the first 1,000 days of children, he explained.

“The emphasis should be on the first one thousand days which involve a pregnant mother,” he said, noting that the government should focus on boosting maternal nutrition, which will boost fetuses’ access to micronutrients such as iron and folic acid.

The government should also provide an enabling environment for mandatory initiation of breastfeeding “which actually helps the first six months of life.”

“And then when they go into supplemental feeding, continue to be able to feed good nutritious food up to the first 1,000 days,” Mr. Herbosa said.

He said the President wants the National Nutrition Council “to take the lead” in boosting children’s nutrition.

“We cannot depend on local government units alone. We need to help the LGUs so he’s ordering us to strengthen the National Nutrition Council.”

He said that during the meeting, Budget Secretary Amenah F. Pangandaman proposed a convergence budgeting approach to health and nutrition, which has already been implemented for efforts in the face of climate change.

“It’s also been implemented for livelihood projects and for gender and development,” he said. “So, this will be the fourth one for the 2026 budget when we frame it, it will be convergence in nutrition.”

“Health and nutrition are actually closely linked.”

Mr. Herbosa said the Philippines is among countries in the East Asia Pacific Region with the highest prevalence of stunting or malnutrition.

“The Philippines is experiencing a triple burden of malnutrition — these include undernutrition, micronutrient deficiency and overnutrition or obesity,” he said.

“The consequences of this include low performance at school, economic cost due to mortality and productivity losses and increased infant mortality,” he added. — Kyle Aristophere T. Atienza

Pay guide for Dec. holidays set

WORKERS make customized pet plushies at a factory in Angeles City, Pampanga, March 10, 2023. — REUTERS

THE Department of Labor and Employment (DoLE) reminded employers of the pay guide for the five holidays in the Philippines this December.

Under Labor Advisory No. 14, Series of 2024, the department said Dec. 8, Dec. 24 and Dec. 31 are special non-working holidays.

The “no work, no pay” principle applies on these three holidays, the department said. For work done during these dates, an employee would receive an additional 30% of their basic wage for the first eight hours of work.

For work done over eight hours, the employer must pay the worker an additional 30% of the hourly rate on said day.

If the holiday is the worker’s rest day, the employer must pay the laborer an additional 50% of the basic wage on the first eight hours of work

For work done after eight hours during the special day that falls on the worker’s rest day, the employer must pay them an additional 30% of the hourly rate on the said day.

Meanwhile, Dec. 25 and Dec. 30 are considered regular holidays, the DoLE reminded.

If the laborer does not work, the employer must still pay 100% of the employee’s wage for these dates, provided the employee reports to work or is on leave of absence with pay on the day immediately preceding the regular holiday.

“Where the day immediately preceding the regular holiday is a non-working day in the establishment or the rest day of the employee, he or she shall be entitled to holiday pay if the employee reports to work or is on leave of absence with pay on the day immediately preceding the non-working day or rest day,” it added.

The employer must pay a total of 200% of the employee’s wage for that day for the first hours if the laborer works during the regular holiday.

For work done over eight hours, firms must pay workers an additional 30% of the hourly rate on said day.

If it is the employee’s rest day, the employer must pay an additional 30% of the basic wage of 200% for work done.

For work over eight hours during a regular holiday that also falls on the employee’s day off, the firm must pay the employee an additional 30% of the hourly rate on said day. — Chloe Mari A. Hufana

House affirms military support

BW FILE PHOTO

THE House of Representatives reaffirmed its support towards providing for the budgetary needs of the Philippine armed forces, including a P350 daily allowance for soldiers, Speaker and Leyte Rep. Ferdinand Martin G. Romualdez said on Tuesday.

“The House will continue to work closely with the Armed Forces of the Philippines (AFP) leadership to address pressing concerns, including adequate funding for operations, modernization efforts and the welfare of our men and women in uniform,” he said in a statement.

Mr. Romualdez addressed the military leaders during their courtesy call to the House, where they reaffirmed their loyalty to the Constitution. “We always remain loyal to our Constitution,” AFP Deputy Chief of Staff Jimmy D. Larida said in the same statement.

The visit of the military’s top officials come after firebrand leader and ex-President Rodrigo R. Duterte called on the armed forces to correct what he saw as a “fractured governance” of President Ferdinand R. Marcos, Jr.’s administration amid a political spat between their families.

The P6.352-trillion national budget for next year is being reviewed by the bicameral conference committee. Lawmakers expect the bill to be approved by Dec. 9. — Kenneth Christiane L. Basilio

Roque’s travel considered illegal

THE Bureau of Immigration (BI) said former Presidential Spokesman Herminio “Harry” L. Roque, Jr.’s flight to Abu Dhabi is “illegal” as he is in the bureau’s lookout bulletin.

BI Commissioner Joel Anthony M. Viado, in a statement, said their records do not show Mr. Roque leaving the Philippines through formal means.

“He likely left the country through illegal means, possibly aided by unscrupulous individuals,” he said.

The former spokesman reportedly filed his counter-affidavit on qualified human trafficking case against him in Abu Dhabi, the BI said.

The agency is mulling filing cases of falsification of documents, among others, against Mr. Roque.

“Flight from a Congressional contempt cannot be the evidence of anything. (I) Have no hold departure order and have the right to travel. Not aware of any law that prohibits travel otherwise,” Mr. Roque said. — Chloe Mari A. Hufana

Group slams excessive car fees

A LABOR GROUP on Tuesday urged President Ferdinand R. Marcos, Jr.’s administration to ease the financial burden of Filipino workers by eliminating excessive fees, specifically car stickers and parking charges in government-owned export processing zones.

Federation of Free Workers (FFW) Vice-President Jun M. Ramirez slammed the sharp increase in car sticker fees at the Food Terminal Inc. (FTI), in Taguig City, calling the increase to P1,200 from P500 between December 2024 to December 2025 unacceptable, noting the minimum wage increase is only P35 in the National Capital Region or only 5.7%.

“Workers are facing multiple financial challenges, and the government’s decision to impose or increase unnecessary fees only worsens their plight,” Mr. Ramirez said in a statement. 

FFW said the added fees could further strain the finances of workers, many of whom are already struggling with low wages.

Workers called for intervention from the Department of Labor and Employment (DoLE), Export Processing Zones Authority (EPZA) and Mr. Marcos due to the “unfair working conditions and rising costs imposed on them.”

FTI did not immediately respond to an e-mail and Viber message seeking comment.

“We urge President Marcos, DoLE, EPZA and other concerned agencies to look into the issues faced by workers at FTI and other export zone,” Mr. Ramirez said. — Chloe Mari A. Hufana

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