Source: Malaysia Business Insight
The Philippines is moving to align labor policies in the garment sector with international standards to push a proposed United States measure giving preferential treatment to Philippine garments.
Trade Undersecretary Cristino L. Panlilio said officials of the Garments and Textile Industry Development Office and the Department of Labor and Employment are holding meetings to "develop and adopt a labor compliance program for the local garment industry along the lines of the ILO Better Work Program."
Panlilio did not provide details on the initiative but said leaders of both the garment industry and workers’ unions are enthusiastic in doing their part to push the proposed US Save Our Industries Act.
The proposed measure seeks to grant duty-free treatment to certain apparel products wholly assembled in the Philippines, provided that these are made from US fabrics. It also seeks to levy a lower tariff on products made from US yarns.
In addition, the bill seeks to grant duty-free treatment to a limited range of Philippine exports of "cut and sew" apparel that are not produced in the US and, thus, deemed non-sensitive.
Better Work is a unique partnership program between the ILO and the International Finance Corp. launched in February 2007 that aims to improve both compliance with labor standards and competitiveness in global supply chains.
The Philippines lobbied hard for the passage of the bill but the last US Congress failed to act on. The Philippines has relaunched a campaign for filing the same bill in the current 11th US Congress.
Panlilio said several US legislators are at the forefront of introducing the Save Act in their respective chambers. They are Sen. Daniel Inouye, Senate president pro tempore and chairman of the appropriations committee; Sen. John Ensign, member of the Senate finance committee; Congressman Jim McDermott, ranking member of the House ways and means trade subcommittee; Congressmen Charles Boustany and Erik Paulsen, members of the House ways and means committee, and Congressmen Brian Bilbray and Bob Filner, co-chairmen of the US-Philippines Congressional Friendship Caucus.
According to Panlilio, securing more co-sponsors in both chambers will be one of the major objectives of the campaign.
Panlilio said the advisory contract with Sorini, Samet & Associates (SSA) had been renegotiated effective March 1.
SSA and Ambassador to Washington Romulo Manlapig will lead the campaign, supported by Filipino-American community leaders.
Panlilio said newly appointed Ambassador to the US Jose Cuisia is also very keen on championing the Save Act.
"President Aquino has made clear the importance of the Save Act to the Philippines, as have other officials in the Philippine government in meetings with US counterparts. We believe US officials are well aware of the priority the President gives to the Save Act initiative pending with the US Congress and we will continue to encourage favorable consideration of the bill," Panlilio.
According to its website, Better Work involves the development of both global tools and country-level projects, with a focus on scalable and sustainable solutions that build cooperation among governments, employers’ and workers’ organizations and international buyers.
As the program acknowledges that improving compliance with labor standards in global supply chains is an important part of a pro-poor development strategy, Better Work ensures protection of workers’ rights and entitlements as well as compliance with labor standards.
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