The Department of Labor and Employment (DOLE) is now pushing to provide cash subsidy to micro and small enterprises that cannot afford to grant 13th-month pay to workers.
DOLE Secretary Silvestre Bello III said the number of affected workers must first be identified before determining the fund needed for the cash subsidy to micro and small enterprises.
Data from the labor department show that 1.3 million workers have been affected by the COVID-19 pandemic, and at least Php 5 billion are needed for assistance.
The Philippine Statistics Authority (PSA) has higher figures. Php 13.7 billion are needed for 5.1 million affected workers.
“Siempre ire-recommend namin ‘yan to the Office of the President, Executive Secretary, Secretary of Budget. Baka kausapin kami, pag-uusapan namin kung ano ang magiging basis then we’ll come up with the consensus (We will recommend it to the Office of the President, Executive Secretary, and Secretary of Budget. They might talk to us and we will bring up the basis then we’ll come up with the consensus),” Bello explained.
But not all businesses considered as micro and small enterprises will be automatically granted subsidy.
To qualify, the companies should be “nalulugi (having losses).”
“May nakalagay roon kung how much per quarter iyong losses nila. Ipapakita nila yun (It should be stated how much losses have been incurred per quarter. They have to show that),” Bello stated.
Bello shared that employers can still borrow from banks for the provision of 13th-month pay in case the proposed fund on the matter is not granted. – Report from Kenneth Paciente
