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Philippines’ Duterte Now Tackles Labour Reform

Labour Undersecretary Joel Maglunsod estimated that up to 70 percent of the country's 39-40 million workforce are on short-term contracts.

Labour Undersecretary Joel Maglunsod estimated that up to 70 percent of the country’s 39-40 million workforce are on short-term contracts.

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MANILA – In four years, Ivan Rey Tan worked with seven Philippine businesses. From a doughnut shop to a baby products store, the firms only hired workers on short-term contracts to rein in costs, and none of his jobs lasted longer than five months.

Tan is among 28 million Filipinos employed on short-term contracts, an astonishing 70 percent of the Asian nation’s workforce. Now, new President Rodrigo Duterte’s government is aiming to bar the employ-on-contract practice because it offers no job security, health or other benefits and tramples on workers’ rights.

The government is still to amend any of the labour laws, but Duterte has already warned employers to stop hiring workers on such contracts.

His plans have not created as much of a furore as his controversial war on drugs, but employers in one of the world’s fastest growing economies are up in arms. They say ending short-term contracts would mean up to 30 percent additional costs for businesses, forcing them to hire fewer people and driving away prospective investors.

If the state forces all companies to make all their employees permanent, “we will bring the government to court,” said Donald Dee, head of the Employers Confederation of the Philippines. “You cannot do that.”

“In today’s business environment, there is no such thing” as permanent employment, Dee said. “If they push that, no madman would do business here.”

Other employers said pushing the reform could mean a downturn in the Philippines’ enviable rate of economic growth, which at 7 percent in the second quarter was among the highest in the world.

Philippine law allows employers to hire workers to meet demand at peak times. These contracts typically span five months to avoid a six-month rule that would require employers to make an employee permanent.

The practice is popularly called “endo”, an abbreviation of “end of contract”.

In 2011, the labour agency allowed companies to engage contractors to supply workers for short-term jobs, helping spread the practice of “endo” to job-intensive sectors such as retailing and manufacturing.

Duterte has said he wants the number of jobs with these contracts halved by year-end and eradicated next year.

There are pending bills in Congress to end such contractual work in what would be the first overhaul of the Philippines’ labour law since 1989 but no legislation has yet been passed.

Nevertheless, Duterte ordered an inspection of all companies shortly after assuming office on June 30, warning that any company that would not end short-term contracts risked closure.

“You will not only lose your money, you will lose your pants,” Duterte said on Aug. 1. “You are creating a very serious dissension in the society.”

COSTS COULD CLIMB

Duterte has a “tendency to be really forthcoming and forceful,” said Edmund Tayao, a political science professor at the University of Santo Tomas.

“Regardless what the president says, if there are legal options available for business groups, then they have every reason to fight it,” said Tayao.

“But of course, if you are a businessman and you would like to have less headaches, you’d try as much as possible to comply.”

Labour Undersecretary Joel Maglunsod estimated that up to 70 percent of the country’s 39-40 million workforce are on short-term contracts.

“A worker is not a commodity, a machinery or instrument of production. We should respect their dignity,” said Maglunsod, a former labour rights activist.

“Contractualisation is a neo-liberal policy, an attack on the livelihood, salary and jobs of workers,” he said in an interview.

Although it’s just four months into Duterte’s term, 16,626 contract workers have been made regular staff, said Maglunsod.

But Dole Food Company, one of the firms that the labour agency said had recently made 554 contractual staff in its banana cultivation business permanent, was unsure where the agency got its number from.

“While we hire workers as needed from time to time, we haven’t hired such a large number of workers at one time in the recent past,” Dole lawyer Marianne Aniceto said in response to a Reuters query. But she said Dole outsources “certain services to cooperatives.”

Maglunsod said the government also hired workers on contract and more than 50 percent of state employees were short-term. “There’s budget to do it (make them permanent) if the government wants to,” he said.

The labour reform plan “can increase the operating cost in certain industries which are very labour intensive,” said Barclays Bank economist Rahul Bajoria.

To limit any potential economic damage, the government could resort to imposing fines and penalties “rather than shutting down certain businesses that would be negative for the economy because you’re directly putting people out of jobs,” Bajoria said.

Tan, who has worked at seven jobs in four years, said he was happier now that he was employed at a toy store which signed him up to a longer, one-year term through a contractor.

But Duterte was clear he wants contract jobs gone for good, warning all companies in August: “If you do not take care of the workers, then I cannot take care of you.”

By Manolo Serapio Jr and Neil Jerome Morales | Reuters

World News

Marine Le Pen’s National Rally Wins the First Round in France 2024 Election

Marine Le Pen's far-right National Rally (RN) party scored historic gains in France

Exit polls in France showed that Marine Le Pen’s right-wing National Rally (RN) party made huge gains to win the first round of election on Sunday. However, the final outcome will depend on how people trade votes in the days before next week’s run-off.

Exit polls from Ipsos, Ifop, OpinionWay, and Elabe showed that the RN got about 34% of the vote. This was a big loss for President Emmanuel Macron, who called the early election after his party lost badly in the European Parliament elections earlier this month.

The National Rally (RN) easily won more votes than its opponents on the left and center, including Macron’s Together group, whose bloc was predicted to get 20.5% to 23% of the vote. Exit polls showed that the New Popular Front (NFP), a hastily put together left-wing alliance, would get about 29% of the vote.

The results of the exit polls matched what people said in polls before the election, which made Le Pen’s fans very happy. But they didn’t say for sure if the anti-immigrant, anti-EU National Rally (RN) will be able to “cohabit” with the pro-EU Macron in a government after the runoff election next Sunday.

Voters in France Angry at Macron

Many French people have looked down on the National Rally (RN) for a long time, but now it is closer to power than it has ever been. A party known for racism and antisemitism has tried to clean up its image, and it has worked. Voters are angry at Macron, the high cost of living, and rising concerns about immigration.

Fans of Marine Le Pen waved French flags and sang the Marseillaise in the northern French district of Henin-Beaumont. The crowd cheered as Le Pen said, “The French have shown they are ready to turn the page on a power that is disrespectful and destructive.”

The National Rally’s chances of taking power next week will rest on what political deals its opponents make in the next few days. Right-wing and left-wing parties used to work together to keep the National Rally (RN) out of power, but the “republican front,” which refers to this group, is less stable than ever.

If no candidate gets 50% of the vote in the first round, the top two candidates and anyone else with 12.5% of the registered voters immediately move on to the second round. The district goes to the person who gets the most votes in the runoff.

France is likely to have a record number of three-way runoffs because so many people voted on Sunday. Experts say that these are much better for the National Rally (RN) than two-way games. Almost right away on Sunday night, the horse trade began.

Macron asked people to support candidates who are “clearly republican and democratic.” Based on what he has said recently, this would rule out candidates from the National Rally (RN) and the hard-left France Unbowed (LFI) party. Leaders on the far left and the center left both asked their third-placed candidates to drop out.

Minority government

Jean-Luc Melenchon, leader of France Unbowed, said, “Our rule is simple and clear: not a single more vote for the National Rally.” But the center-right Republicans party, which split before the vote when some of its members joined the RN, didn’t say anything.

The president of the RN party, Jordan Bardella, who is 28 years old, said he was ready to be prime minister if his party gets a majority of seats. He has said he won’t try to make a minority government, and neither Macron nor the communist NFP will work with him.

“I will be a “cohabitation” Prime Minister, respectful of the constitution and of the office of President of the Republic, but uncompromising about the policies we will implement,” he said.

A few thousand anti-RN protesters met in Paris’s Republique square on Sunday night for a rally of the leftist alliance. The mood was gloomy.

Niya Khaldi, a 33-year-old teacher, said that the RN’s good results made her feel “disgust, sadness, and fear.”

“This is not how I normally act,” she said. “I think I came to reassure myself, to not feel alone.”

Election Runoff

The result on Sunday didn’t have much of an effect on the market. In early Asia-Pacific trade, the euro gained about 0.23%. Fiona Cincotta, a senior markets expert at City Index in London, said she was glad the outcome “didn’t come as a surprise.”

“Le Pen had a slightly smaller margin than some of the polls had pointed to, which may have helped the euro a little bit higher on the open,” she noted. “Now everyone is waiting for July 7 to see if the second round supports a clear majority or not. So it does feel like we’re on the edge of something.”

Some pollsters thought the RN would win the most seats in the National Assembly, but Elabe was the only one who thought the party would win all 289 seats in the run-off. Seat projections made after the first round of voting are often very wrong, and this race is no exception.

On Sunday night, Reuters reported there were no final results for the whole country yet, but they were due in the next few hours. In France, exit polls have usually been very accurate.

Voter turnout was high compared to previous parliamentary elections. This shows how passionate people are about politics after Macron made the shocking and politically risky decision to call a vote in parliament.

Mathieu Gallard, research head at Ipsos France, said that at 1500 GMT, nearly 60% of voters had turned out, up from 39.42% two years earlier. This was the highest comparable turnout since the 1986 legislative vote. It wasn’t clear when the official number of people who voted would be changed.

 

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Pakistan Seeks US Support for Counter-Terrorism Operation Azm-e-Istehkam

Pakistan

(CTN News) – Pakistan’s Ambassador to the United States, Masood Khan, has urged Washington to provide Pakistan with sophisticated small arms and communication equipment to ensure the success of Operation Azm-e-Istehkam, a newly approved counter-terrorism initiative in the country.

The federal government recently approved the reinvigorated national counter-terrorism drive, which comprises three components: doctrinal, societal, and operational.

Ambassador Khan noted that work on the first two phases has already begun, with the third phase set to be implemented soon.

Addressing US policymakers, scholars, and corporate leaders at the Wilson Center in Washington, Khan emphasized the importance of strong security links, enhanced intelligence cooperation, and the resumption of sales of advanced military platforms between Pakistan and the US.

He argued that this is crucial for regional security and countering the rising tide of terrorism, which also threatens the interests of the US and its allies.

“Pakistan has launched Azm-i-Istehkam […] to oppose and dismantle terrorist networks. For that, we need sophisticated small arms and communication equipment,” said Ambassador Khan.

Pakistan–United States relations

The ambassador observed that the prospects of Pakistan-United States relations were bright, stating that the two countries “share values, our security and economic interests are interwoven, and it is the aspiration of our two peoples that strengthens our ties.”

He invited US investors and businesses to explore Pakistan’s potential in terms of demographic dividend, technological advancements, and market opportunities.

Khan also suggested that the US should consider Pakistan as a partner in its diplomatic efforts in Kabul and collaborate on counterterrorism and the rights of women and girls in Afghanistan.

He stressed that the bilateral relationship should be based on ground realities and not be hindered by a few issues.

“We should not base our engagement on the incongruity of expectations.

Our ties should be anchored in ground realities, even as we aim for stronger security and economic partnerships. Secondly, one or two issues should not hold the entire relationship hostage,” said the ambassador.

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China Urges Taiwanese to Visit Mainland ‘Without Worry’ Despite Execution Threat

China Urges Taiwanese to Visit Mainland Without Worry Despite Threats

China has reassured Taiwanese citizens that they can visit the mainland “without the slightest worry”, despite Taiwan raising its travel alert to the second-highest level in response to Beijing’s new judicial guidelines targeting supporters of Taiwanese independence.

Last week, China published guidelines that could impose the death penalty for “particularly serious” cases involving “diehard” advocates of Taiwanese independence.

In response, Taiwan’s government urged the public to avoid “unnecessary travel” to mainland China and Hong Kong, and raised its travel warning to the “orange” level.

However, Zhu Fenglian, a spokeswoman for a Chinese body overseeing Taiwan affairs, stated that the new directives are “aimed solely at the very small number of supporters of ‘Taiwan independence’, who are engaged in malicious acts and utterances”.

She emphasized that “the vast majority of Taiwan compatriots involved in cross-strait exchanges and cooperation do not need to have the slightest worry when they come to or leave mainland China”.

“They can arrive in high spirits and leave fully satisfied with their stay,” Zhu added.

What’s Behind The China-Taiwan Tensions?

The tensions stem from the longstanding dispute over Taiwan’s status. Mainland China claims Taiwan as part of its territory and has refused to rule out using force to bring the democratic island under its control, while Taiwan sees itself as a sovereign state.

Beijing has not conducted top-level communications with Taipei since 2016, when the Democratic Progressive Party’s Tsai Ing-wen became Taiwan’s leader. China has since branded her successor, President Lai Ching-te, a “dangerous separatist”.

“The DPP authorities have fabricated excuses to deceive the people on the island and incite confrontation and opposition,” Zhu said in her statement.
Despite the political tensions, many Taiwanese continue to travel to mainland China for work, study, or business.

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