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Nationwide round-up (01/19/21)

UP President seeks dialogue with defense chief over accord cancellation

THE head of the country’s biggest state-run university has asked the defense chief for a dialogue over the unilateral cancellation of an agreement that keeps the police and military out of its campuses nationwide. University of the Philippines (UP) President Danilo L. Concepcion told Defense Secretary Delfin N. Lorenzana in a letter that the university regrets the unilateral revocation of the agreement signed in 1989 without prior consultation. “Instead of instilling confidence in our police and military, your decision can only sow more confusion and mistrust, given that you have not specified what it is that you exactly aim to do or put in place in lieu of the protections and courtesies afforded by the agreement,” Mr. Concepcion said. “May I urge you, therefore, to reconsider and revoke your abrogation, and request further that we meet to discuss your concerns in the shared spirit of peace, justice, and the pursuit of excellence,” he added. In a letter dated Jan. 15 posted by the official student paper Philippine Collegian, Mr. Lorenzana informed the UP President of the accord abrogation, citing an “ongoing clandestine  recruitment inside UP campuses” for membership to the Communist Party of the Philippines (CPP) and its armed wing, New People’s Army (NPA). The defense secretary also alleged that a number of UP students have been identified as members of the communist group. Mr. Concepcion said the university does not fear the fair and speedy enforcement of the law and condone “sedition, armed insurrection, or the use of violence for political ends.” President Rodrigo R. Duterte in November last year threatened to defund UP, the oldest public higher education system in the country.

ACADEMIC FREEDOM
Mr. Lorenzana’s move drew widespread criticism and lawmakers backed the UP president’s position on the need for a reassessment of the contract’s repeal. “If there are issues of violations of the law, a search warrant is a remedy available to the authorities not only in other places but also in UP,” Senator Franklin M. Drilon, a UP alumnus, said in a statement on Tuesday. Muntinlupa Rep. Rufino B. Biazon, vice chairperson of the House national defense committee, for his part, asked the Department of National Defense to reconsider its decision as it counters the objective of the agreement of protecting the youth. “Without actually occupying the campuses, the termination will give a sense of academic freedom being under siege,” Mr. Biazon said in a separate statement. Vice President Maria Leonor G. Robredo, also a UP alumnus, said the pact’s termination is a “symbolic” gesture designed to sow fear and discourage dissent. “If this was simply about law enforcement, all the Accord asks is that military authorities give notice to University officials before any operations in UP. This is neither a difficult nor onerous rule, and five Presidents since 1989 have managed to protect both the UP community and the Republic without breaking it,” Ms. Robredo said in a statement. — Vann Marlo M. Villegas, Charmaine A. Tadalan, and Kyle Aristophere T. Atienza

Lawyers say gov’t legally bound to be transparent in vaccine procurement

THE Integrated Bar of the Philippines (IBP) on Tuesday said the government is legally bound to be transparent with its vaccination plans despite special powers under the state of emergency due to the coronavirus pandemic. IBP President Domingo Egon Q. Cayosa said transparency is important in establishing facts, dispelling doubts and suspicions, as well as in “enhancing trust in our country’s governance.” “There is compelling legal basis for transparency, even under the COVID-19 emergency,” Mr. Cayosa said in a statement. The head of the lawyers’ group cited that the “twin provisions of the Constitution, Article II, Section 28 and Article III, Section 7, adopt a policy of full public disclosure of all transactions involving ‘public interest’ and recognizes the public’s right to information.” He also cited a Supreme Court ruling stating that “these provisions of the Constitution seek to promote transparency in policy-making and in the operations of the government, as well as provide the people sufficient information to exercise effectively other constitutional rights.” Mr. Cayosa also noted that President Rodrigo R. Duterte’s Executive Order No. 2 on Freedom of Information states that there should be “a legal presumption in favor of access to information, public records and official records.” Both chambers of Congress have held a series of hearings questioning the administration’s vaccination program, including choice of manufacturer and prices. — Vann Marlo M. Villegas

Regional Updates (01/19/21)

Cebu governor tells mayors not to push ‘panic button’ as she assures vaccine procurement will be aligned with national program

CEBU Governor Gwendolyn F. Garcia met with the provincial board and mayors on January 15 to assure them that the province will not be left behind in the coronavirus vaccine distribution program. Cebu, ranked as the richest province in the country as of 2019, is among the local governments that has not signed a vaccine purchase contract with any company. Ms. Garcia told the mayors to avoid pushing the “panic button” as they get “badgered” by constituents and the media over vaccine allocation from their local budgets. “I know you’re being badgered… And the temptation to give in to that bandwagon in order to look good is great,” but, she added, “Let us trust the national government here. All previous immunization program is rolled out by the national government — measles, polio — there are certain safety protocols to be put in place, and the strategies as well. Department of Health-Central Visayas Regional Director Jaime S. Bernadas also explained that local governments “cannot procure and roll out Covid-19 vaccines on their own.” He said the required tripartite agreement with the national government and pharmaceutical firms is intended to align the efforts of local governments with the national government’s program. — MSJ

NEDA to complete draft negative list by second half

THE National Economic and Development Authority (NEDA) hopes to complete the draft list of industries restricted to foreign investment by the second half, after its regular release date was pushed back by the pandemic.

The proposed 12th Regular Foreign Investment Negative List (FINL) will be presented to President Rodrigo R. Duterte later in the year, Acting Socioeconomic Planning Secretary Karl Kendrick T. Chua told BusinessWorld last week.

Asked if the upcoming list will offer a less restrictive environment for foreign investors, Mr. Chua said via Viber: “That is in the process of review.”

“There are limits to the FINL since some require legislation, so we need to also pass the PSA (Public Service Act), RTL (Retail Trade Liberalization Act), and FIA (Foreign Investment Act) amendments,” he added, noting that the treatment of these industries will be a priority in the new list.

The three bills have been approved on third and final reading at the House of Representatives.

Their counterpart measures in the Senate, however, are still at various levels of approval, with the bills amending the PSA and FIA still in committee. The retail bill amendments are awaiting approval on second reading.

The government is required to publish a negative list every two years to guide foreign investors on which industries have been opened up to them.

Executive Order No. 65, signed on Oct. 29, 2018, outlines the restrictions contained in the 11th FINL. The current edition of the FINL allowed 100% foreign participation in internet businesses; teaching at higher education levels, provided the subject being taught is not a professional subject; training centers engaged in short-term high-level skills development that do not form part of the formal education system; insurance adjustment companies, lending firms, financing companies and investment houses; and wellness centers.

Last year NEDA was focused on updating the Philippine Development Plan 2017-2022 to take into account the impact of the economic downturn, NEDA Undersecretary Rosemarie G. Edillon has said.

Foreign investors are hoping the administration will liberalize more sectors in the upcoming list to raise business sentiment and improve the prospects for recovery.

“GPCCI is convinced that shortening the RFINL will greatly contribute to the Philippine economic recovery and increase the economy’s competitiveness,” according to German-Philippine Chamber of Commerce and Industry (GPCCI) President Stefan Schmitz, in an e-mail Friday.

GPCCI said it is also hoping for the passage of the bills amending the PSA, Retail Trade Liberalization law and FIA to open the economy to more foreign investment.

“Many German companies will expand their current investments or would consider a first-time investment if the investment regime in the Philippines is liberalized. Shortening the FINL would be an important step to attracting more foreign investment,” GPCCI Executive Director Martin Henkelmann said, also by e-mail. — Beatrice M. Laforga

GSIS extends loan transfer program for government employees to end of 2021

THE Government Service Insurance System (GSIS) said it will extend to the end of the year a program allowing members to transfer their outstanding loans to the pension fund at easier payment terms.

The loan transfer program has covered over P110 billion worth of loans since its launch in 2018.

In a statement Tuesday, GSIS President and General Manager Rolando L. Macasaet said thee GSIS Financial Assistance Loan (GFAL) program will now run until Dec. 29, 2021 to allow members with loans at other institutions to consolidate and transfer their debt to the GSIS, to avail of longer payment terms and low interest rates.

Last year, the pension fund released P37 billion to 89,947 members to pay down their loans with other institutions and effect the transfer. The program was halted for six months by lockdown and resumed towards the end of August.

Prior to the extension, the application window for the program was to close on Dec. 31, 2020.

“They will also enjoy higher take-home pay and their retirement benefits will be protected from loan deductions while helping GSIS improve its loan collection efficiency,” it said.

GFAL beneficiaries are charged 6% interest with six years to pay.

The program also has a Top-Up loan feature, providing participants the opportunity to take on up to P500,000 worth of debt for personal use.

“If a member’s GFAL loan, for instance is P300,000, he or she may borrow the remaining P200,000 under the Top-Up Loan,” it said.

Permanent government employees with an at least three years of paid premiums to the GSIS or those that have been appointed, elected, or considered non-permanent government employees with at least 15 years of paid premiums, can apply for the program if they have outstanding loans from other lending companies and have no due loans with the GSIS.

“In addition, they should not be on leave without pay; have no pending administrative or criminal case except if the case is due to loan nonpayment due to the prioritization of GSIS payments; and have a net take-home pay that is not lower than the P5,000 requirement under the General Appropriations Act,” it added. — Beatrice M. Laforga

Lanao transmission line tripped by downed tower, thieves blamed for blackouts in parts of Mindanao

THE power outage across northern and western Mindanao was due to the failure of a transmission line in Lanao del Norte, which the National Grid Corp. of the Philippines (NGCP) blamed Tuesday on thieves who targeted a section of a transmission line in the area, tripping the Agus 5-Aurora 138-kilovolt line.

In a statement, the NGCP said that the blackout affected customers of Zamboanga del Sur I Electric Cooperative; Zamboanga del Sur II Electric Cooperative; Misamis Occidental I Electric Cooperative; Misamis Occidental II Electric Cooperative; Zamboanga del Norte Electric Cooperative; Zamboanga City Electric Cooperative; and Lanao del Norte Electric Cooperative.

Late Monday, the NGCP said in a statement that a tower on the Balo-i-Aurora segment of the line in Lanao del Norte had fallen due to the “intentional pilferage of transmission line parts.”

This caused power to go out Monday morning across the Zamboanga peninsula, Misamis Occidental and parts of Lanao del Norte.

“With the tripping of the Agus 5-Aurora line, both lines serving the Northwestern Mindanao area are out,” the NGCP said Tuesday.

“NGCP is working to restore the line as it continues investigating the cause of the outage. Coordination is being done with local authorities and several leads are already being looked into. Updates will be provided once available,” NGCP added.

The system operator also appealed to the public, local and national governments, and local community leaders to help in identifying the “perpetrators.” — Angelica Y. Yang

Meralco sees no impact from lifeline rate extension

MANILA ELECTRIC CO. (Meralco) said Tuesday that the pending extension of the lifeline power rate subsidy will have no effect on the distribution utility, as the subsidy is paid for by all consumers.

On Monday, the Senate approved on third and final reading the bill that extended the lifeline subsidy rate for households consuming less than 100 kilowatt-hour (kWh) per month. If passed into law, the extension will run until 2031.

“Regarding the lifeline rate subsidy extension, Meralco will defer to the wisdom of the legislators. While the scheme benefits households who cannot afford to pay the full cost of electric service, their discounts are funded by other customers who have to shoulder the rate add-ons,” according to a quote provided by Meralco’s media relations office via Viber Tuesday, attributed to both the company’s Head of Corporate Communications Joe R. Zaldarriaga and Meralco Head of Utility Economics Lawrence S. Fernandez.

End-users who qualify for lifeline subsidies are entitled to discounts of up to 5% on their power bills, according to Meralco’s website.

The current lifeline rate subsidy shouldered by non-lifeline consumers in the Meralco franchise area is P0.0478 per kWh.

Meralco assured regulators of its “compliance and continued support” to the government when the measure seeking extension of the lifeline subsidy is passed into law.

Senate Bill No. 1877 passed on third reading with 19 votes, zero negatives and one abstention.

“Malaking kaluwagan ito sa mga kababayan nating patuloy na nagdarahop dala ng kawalan ng pinagkakakitaan na lalo pang pinalala ng nararanasan nating pandemya. Sa pamamagitan ng panukalang ito, makakaasa silang hindi mapuputol ang ayudang tinatamasa ng dalawang dekada na. (This is a huge relief for our countrymen who experienced financial hardship during the pandemic. With this bill, they can hope to avail of the subsidy which has been extended to them for 20 years),” Senator Sherwin T. Gatchalian said in a statement after the bill passed.

Mr. Gatchalian, who chairs the senate committee on energy, said that he was “optimistic” that the bill will be enacted before the lifeline rate provision under the Electric Power Industry Reform Act of 2001 (EPIRA) expires on June 26.

“If passed into law, some 5.5 million households stand to benefit from the socialized pricing mechanism until June 2031 and have an estimated annual savings of P900 on electricity expenses,” he said.

EPIRA originally allowed for a lifeline subsidy of 10 years, starting 2001. It was further extended by 10 more years in 2011. — Angelica Y. Yang

MARINA pursuing modernization drive to lower cost of doing business in shipping

THE Maritime Industry Authority (MARINA) said it is preparing a four-year modernization plan involving information technology upgrades which are expected to reduce the cost of doing business for its stakeholders in shipping.

“In a move to further enhance the delivery of its frontline services and to promote the ease of doing business, MARINA has commenced the preparation of a four-year road map for its information technology, which aims to modernize its equipment and facilities, integrate existing and develop new information systems, as well as automate its processes nationwide,” the agency said in a statement on Jan. 18.

MARINA said the modernization will run until 2024, complementing the goals set out in the ongoing 10-year Maritime Industry Development Plan.

It said more than 300 of its desktop computers were acquired over six years ago. “The internet connectivity in most of MARINA regional offices has relatively low bandwidth,” it added.

MARINA offices need to modernize their computers, laptops, and printers, MARINA Administrator Robert A. Empedrad said.

He cited the need to increase the speed of internet connection “for inter and intra office interface to ensure seamless, safe and secure digital transactions of stakeholders with the agency.”

Mr. Empedrad said the agency will tap funds being held on its behalf by the Philippine International Trading Corp. for the modernization plan.

In 2021, MARINA will roll out an e-payment system through the LinkBiz portal of the Land Bank of the Philippines; an online facility that allows the filing, evaluation, payment and processing of domestic shipping related applications; an online health monitoring system for seafarers, stakeholders and visitors transacting with the agency; and a centralized portal for the online help desk for MARINA stakeholders who may have concerns with the agency; among others. — Arjay L. Balinbin

Agriculture dep’t pursuing soil rejuvenation programs to raise productivity

THE Department of Agriculture (DA) said it is making soil rejuvenation the basis for its farm productivity efforts, with the objective of increasing rice and corn output.

Agriculture Secretary William D. Dar said in a statement Tuesday that he has instructed the DA’s commodity program directors to put soil rejuvenation at the center of their productivity strategies.

“Rejuvenating and enriching our soils with organic nutrients and compost, including animal manure, must be part of all our crop commodity banner programs, including promotion of composting technologies,” Mr. Dar said.

Mr. Dar said farmers should maintain a compost pit, while their cooperatives and associations should be provided with shedders and composting facilities by the farm mechanization program.

“Recycling farm wastes and transforming them into compost and organic fertilizer is not only sustainable, but also provides farmers additional income,” Mr. Dar said.

“As soil is the foundation of agriculture, we must protect, preserve and nurture it to sustainably produce adequate, affordable and nutritious food for all Filipino families,” he added.

Meanwhile, Mr. Dar said there is still a need to pursue a balanced fertilization strategy to maximize farm production during the pandemic.

The DA defines balanced fertilization as the use of inorganic and organic fertilizers.

“We urge farmers and organic agriculture practitioners to elevate their game in promoting not only a healthy ecosystem and producing safe and nutritious food, but also in making organic products affordable for everyone,” Mr. Dar said.

Mr. Dar said the recently signed Republic Act No. 11511, which amended Republic Act No. 10068 or the Organic Agriculture Act of 2010 now provides a cheaper alternative for the certification of organic products with the ‘Participatory Guarantee System’ (PGS).

“The PGS plays a vital role in rural development and farmer empowerment through their active engagement in the whole process of verification, decision-making, and marketing,” Mr. Dar said.

The new law also creates the National Organic Agriculture Program-National Program Coordinating Office, which will serve as the planning, secretariat, and coordinating office of the National Organic Agriculture Board. — Revin Mikhael D. Ochave

New DoLE guidelines for additional protection of kasambahay

In a recent survey conducted by the Department of Labor and Employment (DoLE) and the Philippine Statistics Authority (PSA), about 1.4 million Filipinos are working as domestic workers or kasambahay. They consist of about 3.2% of the labor force in the Philippines as of October 2020. The kasambahay is often considered an essential member in many households across the country. But despite their important role, however, their benefits under the law are often disregarded.

The recent DoLE-PSA survey revealed substantial violations of Republic Act (RA) No. 10361, or the Batas Kasambahay and its Implementing Rules and Regulations (IRR):

1. About 4% or 49,000 of kasambahay are child domestic workers, 4,900 of whom are below 15 years old.

2. Only 2.5% or 35,455 of kasambahay nationwide have written employment contracts.

3. 83% of the 1.4 million kasambahay are not covered by any social security benefit.

4. Some live-in kasambahay, or about 36%, work seven days a week, without the benefit of a

rest day.

5. The average monthly salary of a kasambahay is P4,141, ranging from P2,681 in he Bangsamoro Autonomous Region in Muslim Mindanao, to P5,958 in the National Capital Region.

To recall, Batas Kasambahay and its IRR prohibit the employment of domestic workers below 15 years of age. The same law mandates both a written employment contract and social welfare benefits for the kasambahay. A kasambahay is also entitled to at least 24-consecutive hours of rest in a week. Currently, the minimum wage for a kasambahay is P5,000 in NCR and ranges from P2,000 to P5,000 in other regions.

To help address these problems and curtail further violations, on Oct. 27, 2020, the DoLE enacted Department Order No. 217, s. 2020 (“DoLE DO No. 217”), otherwise known as “The Rules and Regulations Governing Recruitment and Placement of Domestic Workers by Private Employment Agencies for Local Employment,” which was published on Dec. 23, 2020, and which took effect on Jan. 7, 2021, or 15 days from the date of its publication.

DoLE DO No. 217 was enacted in line with the State’s policy to regulate and recognize the participation of the private sector in the recruitment and placement of workers for local employment through a registration and licensing system, and to recognize the need to protect the rights of the kasambahay against abuse, harassment, violence, economic exploitation, and performance of work that is hazardous to their physical and mental health. It aims to regulate and monitor Private Employment Agencies (PEAs) to ensure compliance with the pertinent provision of the Labor Code of the Philippines, including other related laws, rules and regulations, such as Batas Kasambahay and its IRR.

Despite the fact that the Batas Kasambahay has been in effect for seven years, gaps in its implementation still exist, mainly due to the challenges posed by the constitutionally guaranteed privacy of homes. The labor inspection system of the DoLE is ineffective to boost compliance with the law since a warrant would be required to inspect households where there are kasambahay employed.

The responsibilities of the PEA under the recently enacted DoLE DO No. 217 include, among others: (a) ensuring that the employment agreement between the kasambahay and the employer stipulates the terms and conditions of employment and all the benefits under the law, (b) providing a Pre-Employment Orientation briefing to the kasambahay and the employer about their rights and responsibilities, and (c) keeping copies of employment contracts and agreements pertaining to recruited kasambahay.

The same Department Order mandates the PEAs to assist the kasambahay in filing his/her complaints or grievances against the employers, and to cooperate with government agencies in rescue operations involving abused or exploited kasambahay.

With the enactment of DoLE DO No. 217, it is expected that measures to address such gaps in the implementation of Batas Kasambahay will be finally identified, and information on the rights of kasambahay and obligations of employers will be widely disseminated. The responsibility mandated upon the PEA to assist domestic workers in filing their complaints and grievances will essentially put another concerned party in the implementation of the law other than the employer.

Further, the responsibility of the PEA to conduct Pre-Employment Orientation briefings with both the kasambahay and the employer would inform both parties of their respective rights and obligations even prior to entering into a contract of employment.

As highlighted in the survey conducted by the DoLE-PSA, only 41% of kasambahay are aware of Batas Kasambahay, indicating a low level of awareness of their rights and benefits. To be sure, it is insufficient that such rules and regulations exist, they must also be effectively enforced and implemented. And raising awareness of Batas Kasambahay and other related rules and regulations is the first step towards improving policy and program development and in strengthening compliance with the law.

The views and opinions expressed in this article are those of the author. This article is for general informational and educational purposes only and is not offered as and does not constitute legal advice or legal opinion.

 

Constance Marie C. Lim is an Associate of the Angara Abello Concepcion Regala & Cruz Law Offices in Cebu (ACCRA Cebu).

cclim@accralaw.com

A budget for recovery?

In a pandemic, the prevention of a wider spread of a virus and economic recovery are the essentials of the day. Among other things, budgeting during a pandemic needs to focus on three things: response measures, social protection, and economic stimulus.

The theme of the 2021 General Appropriations Act (GAA), signed and approved on Dec. 28, 2020, is “Reset, Rebound and Recover: Investing for Resiliency and Sustainability.”

With this theme, building health and economic resilience, specifically the “Build, Build, Build” program, agriculture, the food value chain, and other new normal priorities will be given due importance by reprioritizing the 2021 and 2022 national budgets, according to the National Economic Development Authority (NEDA).

NEDA also emphasized the following measures as the focal point of the recovery program, namely, the Bayanihan to Recover as One Act and other key legislation, i.e., Financial Institutions Strategic Transfer (FIST) bill, Government Financial Institutions Unified Initiatives to Distressed Enterprises for Economic Recovery (GUIDE) bill, Corporate Recovery and Tax Incentives for Enterprises (CREATE) bill, the “Build, Build, Build” infrastructure program, the national budgets for 2021 and 2022, Amendments to Public Service Act, Amendments to the Foreign Investment, and the Amendments to Retail Trade Liberalization.

Pegged at P4.506 trillion, the 2021 GAA has seemingly defined a recovery outlook for the new normal and beyond. However, in the latest Stratbase Occasional Paper entitled “The 2021 National Budget: What Promise Does It Bring to the Filipino People?,” authors Edwin P. Santiago and Venice Isabelle T. Rañosa of the Stratbase ADR Institute look into the sectoral and departmental distributions of the GAA. Their comparative analysis of departmental budgets raises intriguing questions.

By sectoral distribution, the Social Services sector (P1.7 trillion or 37.0%), Economic Services (P1.3 trillion or 29.4%), General Public Services (P747.8 billion or 16.6%), Debt Burden (P560.2 billion or 12.4%), and the Defense sector (P206.8 billion or 4.6%) have been allocated fairly according to the budget theme and the need to prioritize response measures, social protection, and economic stimulus. It also jives with the seven budget priorities expressed by President Rodrigo R. Duterte in his Budget Message for Fiscal Year 2021.

Accordingly, the 2021 Budget Priorities were emphasized, namely, Health, Nutrition, and Wellness; Education; Food Security; Social Protection; Preparedness and Resiliency; Enhancing Interoperability to Address Coordination Gaps; and Safety, Security, and Stability.

There seems to be a disconnect, however, when it comes to departmental distribution. Based on the 2021 GAA, the following top 10 departments were allotted budgets as follows: Education (Department of Education, state universities and colleges [SUCs], Commission on Higher Education [CHED], Technical Education and Skills Development Authority [TESDA]) with P751.7 billion; Department of Public Works and Highways (DPWH) with P695.7 billion; Department of Interior and Local Government (DILG) with P249.3 billion; Department of Health (DoH) with P210.2 billion; Department of National Defense (DND) with P205.8 billion; Department of Social Welfare and Development (DSWD) with P176.9 billion; Department of Transportation (DoTr) with P87.9 billion; Department of Agriculture (DA) with  P71.0 billion; the Judiciary with P4.3 billion; and the Department of Labor and Employment (DoLE) with P37.1 billion.

While there could be no question about Education garnering the top spot, the distribution gets a little skewed on two grounds. Should the priority on health (for COVID-19 vaccines), social protection (for dislocation), digital infrastructure and technology (for digital transactions and services), trade and investments, and job creation and income generation be on top of the list to facilitate recovery? If so, should the departments like the DoH, DSWD, DA, Department of Science and Technology (DoST), Department of Information and Communication Technology (DICT), DoLE, and the Department of Trade and Industry (DTI) be on the priority list?

More so, the departmental distribution or allocation insinuates partisan budgeting at work. In turn, the disconnect between budget priorities and departmental funding can put the whole recovery program at risk.

Less becoming a so-called people’s budget, the increases and decreases of departmental allocations between the 2020 and 2021 fiscal years based on the authors’ computations become more illustrative of budget misalignments and the obvious priorities of the national administration. While the 61.3%, 14.5%, and 10% respective increases in the budget of DPWH, DND, and the Judiciary are not politically surprising, the notable decrease in the DSWD budget, from P366.6 billion to P176.9 billion or -51.7%, is quite disturbing.

Further, the 2021 budget distribution specifically allocates for COVID-19 vaccines funds amounting to P2.5 billion. This, however, thinly compares with the provision of P19.1 billion for the National Task Force to End Local Communist Armed Conflict. As the Stratbase study puts it:

“Ironically, even during a pandemic and a public health emergency, the government seems to be singularly focused on national security.”

On this note, one wonders: Could we have budgeted more for social and health interventions to address rising inequality and the continuing health crisis and its economic consequences?

Another area that appears to have been mis-budgeted is preparedness and resiliency. Under the National Disaster Risk Reduction and Management Plan, the DoST is the overall responsible agency for Disaster Prevention and Mitigation, the DILG for Disaster Preparedness, the DSWD for Disaster Response, and the NEDA for Disaster Rehabilitation and Recovery. Given such a disposition, how in particular can DoST and DSWD perform their mandate if they have been allocated such budgets?

In its entirety, the 2021 GAA significantly reflects the outlook for recovery within the pandemic and beyond. Nonetheless, would the disconnect between budget theme, sectoral distribution, budget priorities, and departmental distribution be a critical factor in disrupting a recovery program?

 

Dr. Jaime Jimenez is the Deputy Executive Director for Research at the Stratbase ADR Institute.

I spoke to 99 big thinkers about what our ‘world after coronavirus’ might look like – this is what I learned

Back in March, my colleagues at the Frederick S. Pardee Center for the Study of the Longer-Range Future at Boston University thought that it might be useful to begin thinking about “the day after coronavirus.” For a research center dedicated to longer-term thinking, it made sense to ask what our post-COVID-19 world might look like.

In the months that followed, I learned many things. Most importantly, I learned there is no “going back to normal.”

The project took on a life of its own. Over 190 days, we released 103 videos. Each was around five minutes long, with one simple question: How might COVID-19 impact our future? Watch the full video series here (The World After Coronavirus: A Pardee Center Video Series | The Frederick S. Pardee Center for the Study of the Longer-Range Future (bu.edu)).

I interviewed leading thinkers on 101 distinct topics — from money to debt, supply chains to trade, work to robots, journalism to politics, water to food, climate change to human rights, e-commerce to cybersecurity, despair to mental health, gender to racism, fine arts to literature, and even hope and happiness.

My interviewees included the president of the US National Academy of Sciences, a former CIA director, a former NATO supreme allied commander, a former prime minister of Italy, and Britain’s astronomer royal.

I “Zoomed” — the word had become a verb almost overnight — with Kishore Mahbubani in Singapore, Yolanda Kakabadse in Quito, Judith Butler in Berkeley, California, Alice Ruhweza in Nairobi, and Jeremy Corbyn in London. For our very last episode, former UN Secretary General Ban Ki-moon joined from Seoul.

For me, it was truly a season of learning. Among other things, it helped me understand why COVID-19 is not a storm that we can just wait out. Our pre-pandemic world was anything but normal, and our post-pandemic world will not be like going back to normal at all. Here are four reasons why.

Just as people with pre-existing medical conditions are most susceptible to the virus, the global impact of the crisis will accelerate pre-existing transitions. As Eurasia Group President Ian Bremmer highlights, a year of a global pandemic can pack in a decade or more of disruption as usual.

For example, Phil Baty from Times Higher Education warns that universities will change “profoundly [and] forever,” but mostly because the higher education sector was already screaming for change.

Pulitzer Prize-winning editor Ann Marie Lipinski arrives at the same prognosis for journalism, and Princeton economist Atif Mian worries similarly for structural global debt.

At Harvard, trade policy expert Dani Rodrik thinks the pandemic is hastening the “retreat from hyperglobalization” that was already in train before COVID-19. And Pardee School economist Perry Mehrling is convinced that “society will be transformed permanently … and returning to status quo ante is, I think, not possible.”

While the clouds over the global economy are ominous — with even the usually optimistic Nobel Prize-winning economist Sir Angus Deaton worrying we might be entering a dark phase that takes “20 to 30 years before we see progress” — it is political commentators who seem most perplexed.

Stanford University’s political theorist Francis Fukuyama confesses he has “never seen a period in which the degree of uncertainty as to what the world will look like politically is greater than it is today.”

COVID-19 has underscored fundamental questions about government competence, the rise of populist nationalism, sidelining of expertise, decline of multilateralism and even the idea of liberal democracy itself. None of our experts — not one — expects politics anywhere to become less turbulent than it was pre-pandemic.

Geopolitically, this manifests itself in what the founding dean of Harvard’s Kennedy School, Graham Allison, calls an “underlying, fundamental, structural, Thucydidean rivalry” in which a rapidly rising new power, China, threatens to displace the established power, the United States. COVID-19 accelerated and intensified this great power rivalry with ramifications across Asia, Europe, Africa, Latin America, and the Middle East.

Not all turbulence, however, is unwelcome.

Across sectors, expert after expert told me that habits developed during the pandemic won’t go away — and not just the habits of Zoom and working from home.

Robin Murphy, engineering professor at Texas A&M University, is convinced that “we are going to have robots everywhere” as a result of COVID-19. That’s because they became so pervasive during the pandemic for deliveries, COVID-19 tests, automated services, and even home use.

We hear from both Karen Antman, dean of Boston University’s School of Medicine, and Adil Haider, dean of medicine at Aga Khan University in Pakistan, that telemedicine is here to stay.

Vala Afshar, chief digital evangelist at Salesforce software company, goes even further. He argues that in the post-COVID-19 world “every business will be[come] a digital business” and will have to take a great deal of its commerce, interactions and workforce online.

Science journalist Laurie Garrett, who has warned about global epidemics for decades, imagines an opportunity to address the injustices of our economic and societal systems. Because “there will not be a single activity that goes on as it once did,” she says, there is also the possibility of fundamental restructuring in the upheaval.

Environmentalist Bill McKibben says the pandemic could become a wake-up call that makes people realize that “crisis and disaster are real possibilities” but can be averted.

They are not alone in this thinking. Economist Thomas Piketty recognizes the dangers of rising nationalism and inequality, but hopes we learn “to invest more in the welfare state.” He says “COVID will reinforce the legitimacy for public investments in [health systems] and infrastructure.”

Former Environmental Minister of Ecuador Yolanda Kakabadse similarly believes that the world will recognize that “ecosystem health equals human health,” and focus new attention on the environment. And military historian Andrew Bacevich would like to see a conversation about “the definition of national security in the 21st century.”

Achim Steiner, administrator of the United Nations Development Programme, is awestruck at the extraordinary amount of money that was mobilized to respond to this global crisis. He wonders if the world might become less stingy about the much smaller amounts needed to combat climate change before it is irreversible and catastrophic.

Ultimately, I think Noam Chomsky, one of the most important public intellectuals of our times, summed it up best. “We need to ask ourselves what world will come out of this,” he said. “What is the world we want to live in?”

 

Adil Najam is the Dean of the Frederick S. Pardee School of Global Studies in Boston University. John Prandato, communications specialist at the Frederick S. Pardee Center for the Study of the Longer-Range Future, was series editor for the video project and contributed to this essay.

Professional Fighters League sets sights on further growth

By Michael Angelo S. Murillo, Senior Reporter

IN just a short time, United States-based Professional Fighters League (PFL) has positioned itself as a mixed martial arts organization of note, and it is looking to further its growth and showcase its brand of combat sports action to more areas in the world.

Founded by former fighter Ray Sefo in 2017, the PFL takes pride in being an innovative player in the sport, allowing it to make inroads in its push to put out quality events and capture its fair share of fight fans.

“The Professional Fighters League in just two years has become the fastest-growing and most innovative sports league in the world. Since its inception in 2017, the PFL has been responsible for building some of the biggest stars in the MMA world, and we’re only getting started,” said PFL vice-president of communications Loren Mack in an online interview with BusinessWorld.

The PFL boasts of a unique format, featuring a regular season, a playoffs and a finals, similar to that employed in sports like baseball, basketball and football.

“[It’s structured] that way so the fighters are rewarded for their performances and their accomplishments, rather than just because of matchups. It makes the league fighter-friendly. The format is also quite fan-friendly, because the fans can easily follow along with their favorite fighters’ progress,” said Mr. Mack.

In the PFL, fighters, too, have a chance to win a purse of a million dollars.

The league was steadily ascending in its first two years until its push was stymied in 2020 by the coronavirus pandemic.

But despite the difficulty, the PFL still managed to put out quality content across various platforms.

“Well, obviously we had to postpone our 2020 season, but that hardly meant that we didn’t come up with content. In 2020, the PFL embraced digital by launching an OTT (over-the-top) platform and mobile app that gives fans all over the world access to exclusive and premium PFL content,” said the PFL official.

To help it in this thrust, the group put up the PFL Studios last year. It is responsible for creating original content such as weekly programs and short form features.

Having survived 2020 and adapted with the varying conditions, the PFL is now girding for more activities and engagements moving forward.

It is setting its sights on kicking off its 2021 season in April in a “bubble” setting to safeguard the health and safety of the fighters and staff since the coronavirus is still a concern.

The PFL is also positioning to get its planned expansion to different parts of the world going, including in the Philippines, which Mr. Mack describes as home to some of the passionate and knowledgeable fight fans in the world.

“As soon as the pandemic dissipates, expect the PFL to ramp up its efforts to expand all over the globe. Recently, we were able to secure broadcast deals in Russia and India, and you can be sure that we’re working on securing deals in other countries in Asia, such as the Philippines. Once it’s safe to put on live shows all over the world again, expect us to work towards bringing the PFL cage to Philippine shores,” said Mr. Mack, who is no stranger to the mixed martial arts (MMA) scene in Asia, having worked as an executive for one of the top promotions in the region in the past.

“You can expect the Philippines to be one of the PFL’s main targets. I’ve seen how crazy the Filipino fans are when it comes to MMA, and with the PFL, they’re going to get amazing MMA action from the best fighters in the world, and it’s going to be presented in a format that Filipino sports fans will all appreciate,” he added. 

Of late, the PFL has been shoring up its roster of fighters, signing up former Ultimate Fighting Championship stars like Fabricio Werdum and Anthony Pettis as well as other talents from different parts of the world.