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Gov’t agencies improve budget usage in April

GOVERNMENT AGENCIES raised their cash utilization rates to 89% in April, up from 63% a year earlier, according to the Department of Budget and Management (DBM).

The DBM said the National Government, local governments and state-owned firms used P1.082 trillion of the P1.219 trillion worth of notices of cash allocation (NCAs) issued to them in the first four months of the year, leaving P136.57 billion unused.

NCAs are a quarterly disbursement authority from the DBM issued to agencies, allowing the later to withdraw funds from the Treasury to support their spending needs.

“This improvement in NCA usage rate is an indication of the government’s faster cash utilization to mobilize its programs and projects,” Asian Institute of Management Economist John Paolo R. Rivera said via Viber on Sunday.

“This may have something to do with government taking steps to make improvements in its social amelioration programs, efforts to curb the impact of the pandemic, and execution of other pressing initiatives to boost spending during the ECQ (enhanced community quarantine) to at least mitigate its negative impact on the economy,” Mr. Rivera added.

Line departments used 85% or P699.97 billion in NCAs released to them as of April.

The Joint Legislative-Executive Councils recorded the top utilization rate of 97%, followed by the Energy department with 96%.

After the government placed Metro Manila and nearby provinces under lockdown last month, it provided one-time cash aid to affected poor households of P1,000 per person, up to P4,000 per household. The emergency cash aid program had a total budget of P23 billion.

The DBM had released P3.613 trillion or 80.2% of this year’s P4.5-trillion spending plan as of April. — Beatrice M. Laforga

GOCC regulator backs proposed dividend hike

THE Governance Commission for Government-Owned and -Controlled Corporations (GOCCs) said it supports a proposal to increase the dividend contributions of state-owned firms to 75% of their net profit from 50% currently.

“Governance Commission fully supports the joint efforts of the Executive and the Legislature to arrive at a stimulus package that provides substantial support to the economy in the midst of the pandemic, without compromising the government’s long-term debt sustainability,” the commission said in an e-mail last week.

“In these extraordinary times, the role of GOCCs as significant tools for economic development indeed becomes even more paramount,” it added.

Economic managers and legislators are currently working to finalize a third stimulus package to help the economy recover from the economic downturn. However, the Department of Finance (DoF) stipulated that any additional spending not exceed the deficit cap equivalent to 8.9% of gross domestic product.

The Department of Budget and Management has said that possible sources include early remittance of dividends from GOCCs and realignment of budget funds.

To fund the stimulus package, the DoF proposed last month to amend Republic Act No. 7656, which will increase the minimum dividend contribution of GOCCs to the National Government to 75% of earnings from 50%.

The DoF said these changes will cover the profits of GOCCs starting 2020.

BusinessWorld asked the council to comment on the impact on government revenue of the proposal but it had not responded at deadline time.

GOCCs remitted P21.44 billion in dividends to the Treasury in the first quarter of 2021. — Beatrice M. Laforga

House tax panel girds for ‘painful’ showdown on military pensions

PHILSTAR

THE HOUSE Committee on Ways and Means said its priorities on resuming session Monday include grappling with out-of-control pension liabilities for military and uniformed personnel (MUP).

In a statement Saturday, Committee Chairman Jose Ma. Clemente S. Salceda said: “MUP pension reform will be painful but crucial. It’s some pain now or very big pain in the future. The unfunded pension liabilities, according to the GSIS, amount to some P9.6 trillion based on 2019 data. It’s a serious threat to our economic prospects in the long term.”

Pension reform proposals are contained in House Bill No. 9271, or the Fiscal Framework for Military and Uniformed Personnel (MUP) Pensions.

Four tax other measures processed by the committee are up for plenary debate:  House Bill 6135 or the proposed law Establishing The Fiscal Regime For The Mining Industry;  House Bill 7881, or the proposed Ease of Paying Taxes Act; House Bill 6765, or the proposed Digital Economy Taxation Act of 2020; and a “general tax amnesty (measure) with automatic exchange of information.”

Mr. Salceda said priority legislation in the area of tax enforcements are measures addressing the illicit tobacco trade; sugar tax violations; agricultural trade anomalies; and the use of economic zones for smuggling.

Improving the tax payment process is expected to involve more Bureau of Internal Revenue use of Public Private Partnerships and overseas development assistance.

Mr. Salceda said the committee is also looking to work with the Department of Finance (DoF) on the implementing rules and regulations (IRR) of the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law.

“The DoF committed to an IRR date of May 17. I hope we get it by then, because CREATE is only really as good as implementation,” he said.

The House of Representatives overall is also pushing for the immediate passage of the proposed P405.6-billion economic stimulus package, known as the Bayanihan to Arise as One Bill or Bayanihan III. The bill has been approved by the House Committees on Social Services; Economic Affairs; and Ways and Means. It is up for referral to the Committee on Appropriations.

In a statement Sunday, Majority Leader Martin G. Romualdez said: “We only have three weeks to pass this vital measure that will help our fellow Filipinos who are all affected by the pandemic, and we are confident that before we adjourn, we will be able to pass the measure.”

Bayan Muna Representative Carlos Isagani T. Zarate said in a radio interview Sunday that with the passage of the bill, talks on how to fund it need to move forward. “We are looking at the NTF-ELCAC budget (National Task Force to End Local Communist Armed Conflict (NTF-ELCAC) which could be discontinued by the executive to (generate) savings… there are also other large funds in infrastructure, in the Build, Build, Build. Those are not needed by our countrymen but food is.”

Legislators are also looking into increasing the dividend remittances of government-owned and -controlled corporations (GOCCs) as another funding source. A bill proposed by Mr. Salceda would revise the current law to temporarily increase GOCC dividends to 75% from 50%.

Mr. Romualdez said: “the House of Representatives will continue deliberating Resolution of Both Houses (RBH) Number 2 to amend the restrictive economic provisions of the Constitution.”

House Committee on Constitutional Amendments Chairman Alfredo A. Garbin, Jr. said it will push for this measure’s passage in plenary. The proposed changes are meant to revitalize the economy after the pandemic by inserting the phrase “unless otherwise provided by law” to economic provisions of the Constitution. This will give lawmakers authority to legislate the relaxation of economic restrictions.

“We still have seven interpellators. Hopefully before sine die adjournment, we will be able to vote on the measure on third reading,” Mr. Garbin said. — Gillian M. Cortez

No basis for proposed adjustments to rice import tariffs, farmers say  

REUTERS

THE justification for lowering of tariff rates on imported rice under Executive Order (EO) No. 135 has no basis and is “deceptive,” because there is no current shortage of imported rice, the Federation of Free Farmers (FFF) said.

Raul Q. Montemayor, FFF National Manager, said in a statement Sunday that the EO amounts to a “cruel joke” on farmers, noting that importers are already free under Republic Act No. 11203 or the Rice Tariffication Law to import rice from any country as long as quarantine regulations.

“Aside from Vietnam and other ASEAN countries, we have been consistently importing from nine other countries, including India and Pakistan, and more recently China. Similarly, there is no urgent need to augment our rice supply,” Mr. Montemayor said.

“The Philippine Statistics Authority (PSA) pegged our March 1 national rice inventory at 2.08 million metric tons (MT), or only 4.5% lower than last year.  This stock level will have already been augmented by the recent dry season harvest,” he added.

Late Saturday, the President’s spokesman Herminio L. Roque, Jr. announced that President Rodrigo R. Duterte signed EO 135 which lowered the tariff on rice imports to 35% from 40% for one year.

According to Mr. Roque, the move to lower rice tariffs is to “diversify the country’s market sources, augment rice supply, maintain affordable prices, and reduce pressure on inflation.”

In a separate statement Sunday, Samahang Industriya ng Agrikultura Chairman Rosendo O. So said the decision to lower rice tariffs should also have been evaluated by the Senate and the House of Representatives.

“EO 135 was issued while everyone else was working on the pork tariff compromise,” Mr. So said.

FFF’s Mr. Montemayor said that unlike pork, there is no emergency to be addressed in terms of rice supply. He also noted the timing of issuing EO 135 over the weekend, just before the resumption of Congress on May 17.

“This is another slap in the face of the legislature. The power of the President to adjust tariffs is an authority delegated by Congress to allow the executive primarily to address urgent problems when Congress is not in session,” Mr. Montemayor said.

PORK IMPORTS
On Saturday, Mr. Roque also announced that Mr. Duterte signed EO 134, which sets the tariff on pork imports within the minimum access volume (MAV) quota at 10% for three months and up to 15% in the following nine months. The order also sets the tariffs of pork imports exceeding the MAV quota at 20% for three months, rising to 25% in the succeeding nine months.

EO 134 increased the tariff rates set by EO 128, signed on April 7, which had lowered the tariff of pork imports within the quota to between 5% and 10%; for imports beyond the quota the rates were set at between 15% and 20%.

Before EO 128, in-quota pork imports paid 30% tariff while out-of-quota pork was charged 40%.

Mr. Duterte also signed EO 133, which raised the MAV allocation to 254,210 MT from the previous ceiling of 54,210 MT, and Proclamation No. 1143, which declared a state of calamity due to the African Swine Fever (ASF) outbreak.

Edwin G. Chen, Pork Producers Federation of the Philippines, Inc., said in a mobile phone message that the government still has a lot of work to do to help pork producers.

“There is still a lot of work (to be done) like the Agricultural Commodity Examination Area (ACEA) inspection facility and the use of calamity funds by local government units in controlling ASF,” Mr. Chen said.

He also cited the need for “strict biosecurity protocols for (animals) coming in for repopulation. Backyard hog raisers as well as commercial hog farms should adopt an elevated biosecurity protocol before we allow them to repopulate (their herds) to avoid recurrence and resurgence of ASF,” he added.

Jesus C. Cham, Meat Importers and Traders Association president, said in a mobile phone message that the adjustment in tariff rates will most likely result in higher retail prices.

“With the compromise raising duty rates and lowering MAV plus, going forward we will see higher landed costs. New arrivals will be subject to higher duty.  Also, looser quarantine restrictions may see more demand and consumption. There will be more upward pressure on prices,” Mr. Cham said.

“Landed cost in the next three months will increase by 5%. I believe this can still be accommodated at current retail prices. After three months another 5% is added.  However, this will happen around the ‘ber months.’ So, the outlook is increased demand and reduced supply.  By that time the market will be more accepting of higher prices,” he added. — Revin Mikhael D. Ochave

Prioritizing the integrity agenda in times of uncertainty

Second of two parts

The difficulties of dealing with the pandemic have aggravated current integrity issues while presenting new ones for emerging markets all over the world. The emerging markets perspective of the EY Global Integrity Report, which surveyed more than 1,700 employees across all levels of large organizations in 21 emerging market countries, reveals that corruption and fraud remain major threats to long-term success for businesses in the wake of remote working conditions and regulatory scrutiny following the New Normal.

The Global Integrity Report, conducted by global market research agency Ipsos MORI, presented relevant insights into the ethical challenges the organizations faced. By considering how the respondents dealt with areas of risk, businesses may gain insights about how to overcome some of the challenges to post-pandemic recovery.

In the first part of this two-part article, we discussed the first of four key areas identified by the Integrity Report: prioritizing corporate integrity and encouraging the use of whistleblower channels. In this second part of the article, we discuss the need for an increased focus on data protection and cybersecurity, and the need to address integrity issues in third party service providers.

INCREASING FOCUS ON DATA PROTECTION AND CYBERSECURITY
Remote working during the pandemic has heightened the risk of cyber breaches, with more cyber criminals exploiting weak networks and targeting unsuspecting employees. The year 2020 saw a spike in ransomware and cyberattacks, infecting networks with malware and even selling fake COVID-19 treatments through phishing e-mails.

Data breaches can result in devastating financial and reputational consequences for an organization, making it imperative to prioritize data protection. The EY report encouragingly shares that 55% of emerging market companies address this by offering employee training on how to prevent security breaches, a higher value than the 45% of companies doing so in developed markets. Should a security breach occur, 42% have an incident response plan in place. Moreover, as much as 86% even share confidence that they are doing everything they can to protect the data of their customers.

With such high stakes, organizations should consider building a data privacy and protection framework guided and supported by the board. The increasingly sophisticated nature of cyberthreats and strict regulations result in the need to implement industry-leading practices and raise the bar to protect sensitive data. Companies can improve vigilance and identify issues by utilizing the latest technology, strengthening their virtual infrastructure, and raising cybersecurity and digital risk awareness among stakeholders. In addition, companies must consider developing thorough diagnostics scans, strong monitoring frameworks and incident response strategies.

ADDRESSING INTEGRITY ISSUES IN THIRD-PARTY SERVICE PROVIDERS
Though it is no mean feat to uphold integrity within an organization, external factors such as third-party partners can undermine existing efforts. The reputation of a retailer, for instance, will suffer greatly if one of its suppliers engages in malpractice, exploits loopholes, pays bribes, or engages in other similarly unethical behavior. These acts tarnish the reputation of the partnered retailer and subjects them to the high likelihood of financial loss, heavy penalties, or legal ramifications.

The integrity report reveals that emerging market companies are aware of this particular threat, but with only 35% showing confidence that their third-party partners operate with integrity. Businesses cannot afford to place just their supply chain partners under scrutiny — sources of third-party risk can be found in distributors, joint-venture partners, contractors and consultants. However, despite the added challenge of restricted operations, remote working and limited mobility, 31% of emerging market companies address this risk through training and processes that highlight third-party due diligence.

These challenging times pose an increased possibility of lapses in conducting due diligence, impeding internal reference checks, physical site visits and informal discussions that help identify potential gaps in conduct. However, this also gives companies the opportunity to reframe how they assess third-party risk. Digital solutions can be leveraged to streamline the assessment process, such as using data analytics to automate risk scoring and using automated dashboards for more efficient monitoring.

CHAMPIONING A CULTURE OF INTEGRITY
Risks to integrity have existed before and will persist beyond the pandemic. Employees may be tempted to risk the easy path regardless of accountability, cyberthreats increase in complexity and potential to expose vital data, and third-party risk creates more points of vulnerability in growing ecosystems.

The report proves that emerging market companies recognize these threats and are making progress in addressing them, but there is still much to do. Businesses must expand their scope of focus past traditional aspects of integrity such as fraud, corruption and bribery, and must include measures in environmental, social and governance (ESG) criteria. With more customers prioritizing businesses with ethically sound practices, it is more important than ever to champion a culture of integrity not just because it is the right thing to do, but to also create long-term value.

This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. The views and opinions expressed above are those of the authors and do not necessarily represent the views of SGV & Co.

 

Roderick M. Vega is a Partner and the Forensic and Integrity Services (FIS) Leader of SGV & Co., and Dennis F. Antonio is an FIS Senior Manager of SGV & Co.

Terror list may affect future peace negotiations

By Kyle Aristophere T. Atienza, Reporter
and Bianca Angelica D. Añago

PEACE advocates and political analysts on Sunday said labeling consultants of the National Democratic Front of the Philippines (NDFP) terrorists could affect peace talks with Maoist rebels in the future, beyond President Rodrigo R. Duterte’s term.

“Attacking those who have been openly negotiating in peace talks is not only counterproductive, but it is a blatant and disappointing expression of bad faith and insincerity,” Pilgrims for Peace said in a statement at the weekend.

“The inclusion of peace consultants and negotiating panel members on the designation list undermines the atmosphere of goodwill and trust needed to pursue peace negotiations,” it added.

The government has labeled 19 members of the Communist Party of the Philippines and its armed wing terrorists, according to an order published in newspapers on Thursday.

The Anti-Terrorism Council also issued a separate order labeling 10 members of Mindanao-based militant groups terrorists.

The first list includes peace consultants Vicente P. Ladlad, Rafael Baylosis, Adelberto A. Silva, Wilma Tiamzon and Benito Tiamzon.

The council said it had found probable cause based on “verified and validated information” that the 19 Maoist rebels were involved in “planning, preparing, facilitating, conspiring and inciting the commission of terrorism.”

They were also said to have recruited people to their group, which the country’s Anti-Terrorism law prohibits.

These people face criminal charges, apart from existing ones that have been filed in court against many of the suspects, Justice Undersecretary Adrian Ferdinand S. Sugay told reporters last week. The state may also seize their assets, he added.

Communist Party of the Philippines founder and NDFP chief political consultant Jose Maria C. Sison on Saturday said the passage of Anti-Terrorism Act of 2020 would be a “nail in the coffin” of the peace negotiations.

The law expanded crimes against terror that critics said could be used to violate human rights and stifle dissent. It is under review by the Supreme Court after a lawsuit questioning its legality was filed.

Peace talks with Maoist rebels resumed in Aug. 2016 after a five-year impasse. Mr. Duterte ordered the release of jailed NDFP consultants and declared an indefinite unilateral cease-fire.

A year later, he ended negotiations after the two camps accused each other of cease-fire violations.

“I don’t think there is only one nail in the coffin,” Michael Henry Ll. Yusingco, a senior research fellow at the Ateneo de Manila University Policy Center, said in a Facebook Messenger chat.

“The aggressive attitude of this administration toward persons and groups that it perceives to be a member of the New People’s Army (NPA) or NPA sympathizers is a huge contributing factor in the public anxiety toward the Anti-Terror Law of 2020,” he added. 

Mr. Yusingco said the government seems to have abandoned peace talks “given the rampant and reckless red-tagging campaign, the open declaration of eliminating the NPA before the end of the President’s term, and the patently strong social media operations of this administration against alleged communists.”

He also questioned the standards used by the state council in making the list. “What is the process and what are the standards? The act of designation is obviously a purely unilateral exercise on the part of the council.”

Mr. Yusingco said the the terror list could affect future administrations in negotiating peace with communist rebels.

“The security sector has a big say in this paradigm shift,” he said. “Right now, the military and the police are obviously keen to get rid of the NPA.”

The political analyst said the hawkish mindset could continue if Mr. Duterte’s anointed presidential candidate wins next year. “But a chief executive elected from the ranks of the opposition is also not a guarantee that a genuine peace-building approach will be adopted by the government.”

Mr. Sison, and one of those tagged, last week said his wife and he were not bothered by the label.

He said the listing was arbitrary, dubious and inconsistent with statements made by “evil minions” the council’s task force.

Both resolutions were signed by council Chairman Salvador C. Medialdea and National Security Adviser and council Vice Chairman Hermogenes C. Esperon, Jr.

Some congressmen slammed the terror lists, which they said were arbitrary and devoid of due process.

The Public Interest Law Center of the Philippines last week said the council’s move to enforce the new Anti-Terror law, which it said is void, is self-destructive. It added that the law’s failure to give parties legal remedies, grave violations of due process and its ambiguity would be “brought to fore.”

DoH reports 5,790 more infections, 19,191 total deaths

PHILSTAR

THE DEPARTMENT of Health (DoH) reported 5,790 coronavirus infections on Sunday, bringing the total to 1.14 million.

The death toll rose by 140 to 19,191, while recoveries increased by 7,541 to 1.07 million, it said in a bulletin.

There were 54,904 active cases, 1.4% of which were critical, 93.3% were mild, 2.1% did not show symptoms, 1.9% were severe and 1.23% were moderate.

The agency traced the low tally to fewer samples from laboratories on Friday.

It said 14 duplicates had been removed from the tally, 10 of which were tagged as recoveries and one as death. Ninety recoveries were reclassified as deaths.

About 11.8 million Filipinos have been tested for the coronavirus as of May 14, according to DoH’s tracker website.

The coronavirus has sickened about 163.2 million and killed 3.4 million people worldwide, according to the Worldometers website, citing various sources including data from the World Health Organization.

About 141.5 million people have recovered, it said.

The Health department on Saturday reported 10 more people infected with the more contagious variant first detected in India, bringing the total to 12.

Of the 10, one was a seafarer from Belgium who arrived in Manila from the United Arab Emirates on April 24. He finished his quarantine on May 13.

The nine others were among 12 Filipino crew members of MV Athens Bridge who got infected. Four of the nine were admitted at a hospital in the capital and were in stable condition, while the rest were in an isolation facility.

The Maritime Industry Authority in a statement on May 7 said MV Athens Bridge left India on April 22 and arrived in Vietnam, where the crew members got tested.

The Philippine Coast Guard received a request from the vessel’s captain on May 6 for a medical evaluation of the two crew members needing medical attention. The vessel was then 12 nautical miles west of Corregidor Island.

DoH said all of the close contacts of the first two patients with the variant from India had completed their quarantine. It said a sample from one of the three close contacts of the second case in the plane had tested negative for the Indian variant.

The agency said 13 more people had been infected with the coronavirus variant first detected in the United Kingdom, bringing the total to 967.

Seven more people also got infected with the variant first detected in South Africa, bringing the total to 1,109.

One more patient got infected with the variant first detected in the Philippines.

DoH said the variant first found in the Philippines is not a variant of concern. “This variant is currently being investigated and information continually collected to determine its public health implication.“ — Vann Marlo M. Villegas

Mindanao general named new army chief by Duterte

PRESIDENT Rodrigo R. Duterte has appointed a general from Mindanao as his new Army chief, according to the presidential palace.

Major General Andres C. Centino, commander of the Fourth Infantry Division in Northern Mindanao, will replace Lieutenant General Jose Faustino, Jr. presidential spokesman Herminio L. Roque, Jr. said in a statement on Sunday.

“We are confident that Major General Centino will continue the initiatives to professionalize and modernize the principal branch of the Armed Forces of the Philippines while building the gains to serve our people and secure our land,” he said.

Mr. Centino had also served as deputy chief of staff for operations of the Armed Forces.

Senator Panfilo M. Lacson had questioned the appointment of Mr. Faustino in February, saying he had been in active service for less than a year.

Mr. Centino belongs to the Philippine Military Academy Maringal Class of 1988. He profiled more than 400 Maoist rebels since an anti-communist task force was formed in 2018, according to a report by state media. — Kyle Aristophere T. Atienza

Stimulus package, Charter change to be prioritized

CONGRESSMEN will discuss priority measures with senators including a third stimulus package amid a coronavirus pandemic.

“We need to make sure that we have economic stimulus laws to help our country bounce back better from this pandemic,” House of Representatives Speaker Lord Allan Jay Q. Velasco said in a statement on Sunday. “The House is ready to sit down with the Senate to make sure that these measures become laws before we adjourn.”

Congress only has three weeks to work on legislation before it adjourns sine die on June 5.

The House will also prioritize proposed changes to the Constitution, amnesty to rebels and the creation of a Virology Science and Technology Institute, it said in  social media post. — Gillian M. Cortez

Cash aid proponent says community-led food banks a valuable part of pandemic response 

PHILIPPINE STAR/ MICHAEL VARCAS

THE LEGISLATOR who is pushing for an across-the-board cash aid for Filipinos supports the emergence of community pantries, saying these initiatives contribute to an “all hands-on deck” response to the coronavirus pandemic.   

“Let the private sector continue to do what they’re doing well — such as setting up and maintaining community pantries. The roles of the private sector and the national government in battling the effects of the pandemic should always be complementary,” Marikina City Representative Stella Luz A. Quimbo said in a Viber message to BusinessWorld.

Ms. Quimbo is the key proponent of the Bayanihan to Arise as One Act or House Bill 8628 alongside House Speaker Lord Allan Jay Q. Velasco. The measure — which would provide P420 billion to help families and businesses — is pending before the House Committee on Appropriations and will be a priority when Congress resumes sessions this week.

The proposed law will grant P2,000 cash aid to each Filipino regardless of income status as everyone has been affected by the pandemic, Ms. Quimbo said in a previous television interview.

Asian Institute of Management economist John Paolo R. Rivera agrees on the value of community pantries and how these can teach the government on strategizing aid disbursements efficiently during the crisis.

“Government can learn from this through the reminder community pantries convey — ensure that resources are immediately distributed to those most in need, to those in the fringes of society. Bureaucratic processes do not work in all situations,” Mr. Rivera said in a Viber message.

The country’s first community pantry was set up in Quezon City by Anna Patricia Non in mid-March, and has since been replicated in many other parts of the country. The give-and-take idea is simple: Allow people to get goods according to their needs while encouraging those who have the resources to contribute what they can.

Earlier this month, President Rodrigo R. Duterte said people should just wait for government aid instead of lining up at community pantries, which could pose health threats.

Ms. Quimbo, on the other hand, said while the government continues to carry out its role in addressing the impact of coronavirus disease 2019 (COVID-19) to Filipino lives and livelihood, officials should at the same time support community pantry initiatives as these provide for the needs of the vulnerable.

“Government can encourage more private sector participation by providing community pantry efforts with security, orderliness, and even supply sourcing. Government media oracles can also announce where donations can be made,” she said.

Mr. Rivera said support to these food banks does not mean relaxing on the delivery of social aid, which is primarily the government’s responsibility. “Government has all the machinery. It should not settle on community pantries that are driven by donations,” he said.

He added that cash is still the more effective means for helping the most vulnerable groups.

“Cash aid is more effective in assisting poor households because it gives them the liberty to buy their needs rather than a basket that may contain things they do not need, which are wasteful. Cash aid is also effective in stimulating the economy because it also feeds in through businesses,” Mr. Rivera said. — Luz Wendy T. Noble

Bill filed on cash aid for pregnant informal sector workers

A SENATOR filed a measure last week seeking to provide cash aid for pregnant workers in the informal sector.

Senator Risa N. Hontiveros-Baraquel filed Senate Bill No. 2175 or the Maternity Benefit for Women in the Informal Economy Act of 2021, which will build on Republic Act No. 11210 or the Expanded Maternity Leave Law.

In a statement on Sunday, she said the measure is a “necessary upgrade” to the maternity leave law to benefit more mothers and infants.

The crisis prompted by the coronavirus, she said, has forced everyone in the household to contribute.   

“Kaya tuloy napakaraming mga buntis ang patuloy sa pagkayod, kahit pa sa ilalim ng (That’s why so many pregnant women continue to work even under the) informal economy” where there are no maternity benefits, she said.

Under the bill, pregnant workers in the informal sector who are not members of the Social Security System will receive a one-time maternity cash aid through the Department of Social Welfare and Development.

The proposed amount would be equivalent to the minimum wage in the beneficiary’s region multiplied by 22 days.

The cash aid will be funded through revenues from excise taxes on sweetened beverages, alcohol, tobacco and vapor products and may be augmented by appropriations in the national budget.

Ms. Baraquel said this would also be an “economic booster” as it will provide additional cash to families as well as offset the cost of poor health among infants.

“A maternity benefit for women workers in the informal economy is not just a social justice measure and an important way to address the multiple burdens and increased vulnerabilities of women who are also mothers and informal workers, it also leads to demonstrable and quantifiable health outcomes at the population level,” the explanatory note of the bill read. — Vann Marlo M. Villegas

House to tackle magistrate’s impeachment on Monday

SC.JUDICIARY.GOV.PH

HOUSE Majority leader Martin G. Romualdez said his committee will immediately act on the proposal to impeach Supreme Court Associate Justice Mario Victor F. Leonen upon orders of the House Speaker as session resumes today.

In a statement on Sunday, Mr. Romualdez said the House Committee on Rules will prioritize the discussion of the impeachment endorsement of House Speaker Lord Allan Jay Q. Velasco.

“Last March 25, Speaker Lord Allan Jay Velasco transmitted the impeachment complaint filed by Mr. Edwin M. Cordevilla and endorsed by Ilocos Sur 2nd District Rep. Angelo Marcos Barba to our committee. We will act on it and include it in the order of business.”

He added that he “vowed to include in the order of business for referral to the House Committee on Justice.”

Mr. Leonen did not immediately respond to a request for comment.

The impeachment complaint was filed against the magistrate last December, citing delays in the disposal and resolution of cases and his failure to submit his Statements of Assets, Liabilities, and Net Worth.

The impeachment of a President-appointed official requires one third of the House of Representatives voting in favor of the removal, and two thirds of the Senate. — Gillian M. Cortez