By Karen Flores, abs-cbnNEWS.com | 10/26/2009 2:29 AM
MANILA - Amid economic crises and natural disasters, the Philippines is looking at positive growth this year as more overseas Filipino workers (OFW) send money to their families back home. This may prompt one to ask: what makes remittances so resilient, and how can we make the most out of such inflows?
The Philippines has long banked on the strength of remittances to keep the economy afloat. This is not necessarily a bad thing, according to a study conducted by 3 economics professors of the University of the Philippines (UP).
Entitled "Beyond the remittances-driven economy," the report stated that remittance inflows have served as an effective means for social mobility, allowing some poorer families to pull themselves out of poverty.
"It is estimated that owing to the presence of an overseas worker, a hitherto poor family gains a 70% chance of crossing over to being non-poor," the report said, citing an earlier study.
"Beyond the remittances-driven economy" was made by Felipe Medalla, Raul Fabella, and Emmanuel de Dios in late 2007.
Money sent home by OFWs is a key driver of consumption, which fuels the engine of the economy usually more than government spending does. Accounting for 10% of domestic output, it also stabilizes the peso and keeps the balance of payments in surplus.
Despite its advantages, however, the report warned that a remittance-driven economy is "inherently limited and self-undermining" since skills demanded in OFWs are usually fitted to external markets and are difficult to deepen domestically.
"Returning workers are rarely able to make use of their skills domestically and for the most part are compelled to accept being deskilled when they decide to get home," the report said.
What should be done
Although such a setup may not be sustainable in the long run, the report said that it is difficult to determine when a remittance-dependent economy will start to crumble.
In the meantime, the study recommended that we make the most out of the strength of remittances and start to develop other potential drivers for economic growth.
"The current challenge is how to make the most of a remittances-driven economy so that its deletrious consequences are minimized while the domestic economy is guided onto a path of more sustainable growth," the study said.
Specifically, the report advised the government to mitigate any unwarranted rise in the Philippine peso to prevent further damage to remittances. With a weaker dollar, the same amount that OFWs send home to their families and loved ones will only buy less in peso terms.
Aside from this, the government was urged to invest more on infrastructure and education, which were considered as "safe bets to focus on once the remittance-driven economy is over."
Other sectors include location-based tourism, medical tourism, retirement, information and communications technology, and business process outsourcing
Cushions typhoons' impact
The government said the Philippines is on track to meeting its 0.8% to 1.8% growth this year thanks to "stronger-than-expected remittances." Earlier, it said damages from twin storms "Ondoy" and "Pepeng" (international code names Ketsana and Parma) may shave off 0.22% and 0.11% from the country's full-year gross domestic product (GDP) growth, respectively.
Historically, OFWs send more money to their families back home when they need it the most. In June, for instance, remittances reached a record $1.498 billion amid fears that rich host countries would slash jobs and prioritize their own citizens in employment generation efforts.
June is one of the traditionally strong months for remittances as OFWs send home more money to their families to pay for tuition fees and other supplies needed for school. Inflows are also usually more robust in December as migrant workers send money to their loved ones to celebrate the Christmas season.
Given this trend, remittances are expected to rise further in the remaining months of the year as OFWs send monetary assistance to families whose properties were devastated by the 2 typhoons.
The global economic crisis has caused remittances to grow by less than 10% in the past months compared to double-digit increases in the previous years.
Still, remittances were better off relative to exports and imports, which posted double-digit declines since late last year.
Filipinos sending money to their loved ones at home, after all, are long considered the local economy's heroes.
as of 10/27/2009 7:04 PM
Source: http://www.abs-cbnnews.com/business/10/25/09/remittances-provide-70-chance-get-out-poverty
02 December 2009
First caregiver court victory hailed: Caregivers fighting back in court
by Dyan Ruiz, The Philippine Reporter | 12/02/2009 3:37 PM
CANADA - Filipina caregiver, Marivic Perlas Rivera, has won her civil suit against the recruitment agency that failed to provide her with legitimate employment according to an article in The Toronto Star featured on the front page on Nov. 25, 2009.
The caregiver was awarded the maximum amount allowed in Small Claims Court when the judge ordered Winston James and his wife, Lory Felipe of Winlorfely Caregiver Providers to pay damages. Rivera is due to receive $10,000 and another $300 in costs, plus interest.
The lawsuit may mark a turning point in the fight against unscrupulous recruiters who bring foreign caregivers to Canada for jobs that do not exist. Many of the people being taken advantage of under lax legislation regulating recruiter activities are Filipino nationals. The caregiver’s triumphant civil suit is said to be the first of its kind in Ontario against a nanny recruitment agency says lawyer Maria Capulong in an interview with The Philippine Reporter.
This is an opinion supported by Marna Martin in the Star article. Martin is part of the Canadian Coalition for In-Home Care, the non-profit organization who helped Rivera sue the recruiters. In the Star article, Rivera’s case was believed to be “a landmark suit.” However, because the case was in Small Claims Court and such decisions are often not reported, it is difficult to say for sure.
When asked if Rivera’s win set a precedent which can be used for similar cases where caregivers are alleging recruiter exploitation, such as Capulong’s cases, she responded that because it has been heard at a Small Claims level, Rivera’s win is not binding law. Therefore, it cannot be considered as a legal precedent.
However, Capulong insisted, “It can be used as a persuasive argument in showing the direction that the courts are taking, how the courts assess the injuries of caregivers at the hands of unscrupulous agencies.” Capulong continued, “I think it will definitely be a precedent for other caregivers who want to stand up for their own rights.” Martin is quoted in the Star saying “This case is significant because most Filipina ladies in this situation are afraid to come forward.”
Capulong currently represents Filipina caregivers, Debie Mendez Dela Fuente, Mary Grace Gallego and Joelina Maluto, who like Rivera, have stood up and voiced their stories of recruiter abuse. These women have recently filed claims in the Ontario Superior Court of Justice against the Rakela Care Agency and the corporation’s owners, Rakela and Zeev Spivak, which include breach of contract and false imprisonment. The cases are now in a waiting period common in Superior Court.
The recruiters involved in Capulong’s cases have filed counter claims for amounts they contend are still owed to them by the caregivers for placement fees. These amounts would be paid on top of the up to $1,400 the women claim they have already given to the Rakela Care Agency. Like Rivera, these caregivers claim they were never set up with legitimate employers in the Live-In Caregiver Program (LCP) as promised by the recruiters in exchange for the money paid to them.
Unfortunately, the stories of exploited caregivers are common amongst those who arrive in Canada hoping to make steps towards a better life. The Star article refers to Rivera’s claims that after she was approached in Hong Kong by James’ sister-in-law Fely Felipe, she paid $2,800 to Winlorfely in exchange for finding an employer needed for a work permit for the LCP.
According to the Star, Rivera claimed that upon her arrival to Canada, James informed her she could not work for the previously indicated employer. She was housed by James at his Scarborough home, then by a Thornhill recruiter in “one room in the basement with eight other nannies in the same situation as me.” For six months, they could not provide her with legitimate employment in the LCP and a valid work permit.
Then Rivera, who had children and a husband in the Philippines dependant on her wages, went to the Canadian Coalition for In-Home Care. They helped her file the suit against the agency, which resulted in the decision in favor of Rivera issued by Judge Julie Hannaford.
In Small Claims Court, issuing a fine is all a judge can do. According to Capulong, the issuance of the maximum fine does not put “a price tag value on the claim or the injury of the plaintiff,” but “it is a way of outlining the court’s distaste for the actions of the defendants,” which in this case were unscrupulous recruiters.
At least in the Province of Ontario at the provincial level, Capulong sees the Rivera case as showing that “We are definitely now moving in a positive direction. For a very long time there has been lobbying and requests for changes to the LCP to ensure protections for caregivers. So now we are actually seeing that the government is serious about protecting caregivers,” which can be discerned from the soon to be passed Bill 210 introduced by Ontario’s Minister of Labour Peter Fonseca on Oct. 21, 2009. She continued, “We are seeing this trickle down to our court system as well… The courts are now recognizing and affirming the rights of caregivers.”
When asked to comment on the recently announced, proposed, federal-level changes to the Temporary Foreign Workers Program, which includes workers in the LCP, Capulong stated, “I really do not see them as changes at all. I think they will have a negative effect. This is really just a continuation of punishing or at least not recognizing the value that temporary foreign workers are bringing to our country.”
According to the Star, Rivera is now working as a caregiver for a family in Hamilton.
as of 12/02/2009 3:37 PM
Source: http://www.abs-cbnnews.com/pinoy-migration/12/02/09/first-caregiver-court-victory-hailed-caregivers-fighting-back-court
CANADA - Filipina caregiver, Marivic Perlas Rivera, has won her civil suit against the recruitment agency that failed to provide her with legitimate employment according to an article in The Toronto Star featured on the front page on Nov. 25, 2009.
The caregiver was awarded the maximum amount allowed in Small Claims Court when the judge ordered Winston James and his wife, Lory Felipe of Winlorfely Caregiver Providers to pay damages. Rivera is due to receive $10,000 and another $300 in costs, plus interest.
The lawsuit may mark a turning point in the fight against unscrupulous recruiters who bring foreign caregivers to Canada for jobs that do not exist. Many of the people being taken advantage of under lax legislation regulating recruiter activities are Filipino nationals. The caregiver’s triumphant civil suit is said to be the first of its kind in Ontario against a nanny recruitment agency says lawyer Maria Capulong in an interview with The Philippine Reporter.
This is an opinion supported by Marna Martin in the Star article. Martin is part of the Canadian Coalition for In-Home Care, the non-profit organization who helped Rivera sue the recruiters. In the Star article, Rivera’s case was believed to be “a landmark suit.” However, because the case was in Small Claims Court and such decisions are often not reported, it is difficult to say for sure.
When asked if Rivera’s win set a precedent which can be used for similar cases where caregivers are alleging recruiter exploitation, such as Capulong’s cases, she responded that because it has been heard at a Small Claims level, Rivera’s win is not binding law. Therefore, it cannot be considered as a legal precedent.
However, Capulong insisted, “It can be used as a persuasive argument in showing the direction that the courts are taking, how the courts assess the injuries of caregivers at the hands of unscrupulous agencies.” Capulong continued, “I think it will definitely be a precedent for other caregivers who want to stand up for their own rights.” Martin is quoted in the Star saying “This case is significant because most Filipina ladies in this situation are afraid to come forward.”
Capulong currently represents Filipina caregivers, Debie Mendez Dela Fuente, Mary Grace Gallego and Joelina Maluto, who like Rivera, have stood up and voiced their stories of recruiter abuse. These women have recently filed claims in the Ontario Superior Court of Justice against the Rakela Care Agency and the corporation’s owners, Rakela and Zeev Spivak, which include breach of contract and false imprisonment. The cases are now in a waiting period common in Superior Court.
The recruiters involved in Capulong’s cases have filed counter claims for amounts they contend are still owed to them by the caregivers for placement fees. These amounts would be paid on top of the up to $1,400 the women claim they have already given to the Rakela Care Agency. Like Rivera, these caregivers claim they were never set up with legitimate employers in the Live-In Caregiver Program (LCP) as promised by the recruiters in exchange for the money paid to them.
Unfortunately, the stories of exploited caregivers are common amongst those who arrive in Canada hoping to make steps towards a better life. The Star article refers to Rivera’s claims that after she was approached in Hong Kong by James’ sister-in-law Fely Felipe, she paid $2,800 to Winlorfely in exchange for finding an employer needed for a work permit for the LCP.
According to the Star, Rivera claimed that upon her arrival to Canada, James informed her she could not work for the previously indicated employer. She was housed by James at his Scarborough home, then by a Thornhill recruiter in “one room in the basement with eight other nannies in the same situation as me.” For six months, they could not provide her with legitimate employment in the LCP and a valid work permit.
Then Rivera, who had children and a husband in the Philippines dependant on her wages, went to the Canadian Coalition for In-Home Care. They helped her file the suit against the agency, which resulted in the decision in favor of Rivera issued by Judge Julie Hannaford.
In Small Claims Court, issuing a fine is all a judge can do. According to Capulong, the issuance of the maximum fine does not put “a price tag value on the claim or the injury of the plaintiff,” but “it is a way of outlining the court’s distaste for the actions of the defendants,” which in this case were unscrupulous recruiters.
At least in the Province of Ontario at the provincial level, Capulong sees the Rivera case as showing that “We are definitely now moving in a positive direction. For a very long time there has been lobbying and requests for changes to the LCP to ensure protections for caregivers. So now we are actually seeing that the government is serious about protecting caregivers,” which can be discerned from the soon to be passed Bill 210 introduced by Ontario’s Minister of Labour Peter Fonseca on Oct. 21, 2009. She continued, “We are seeing this trickle down to our court system as well… The courts are now recognizing and affirming the rights of caregivers.”
When asked to comment on the recently announced, proposed, federal-level changes to the Temporary Foreign Workers Program, which includes workers in the LCP, Capulong stated, “I really do not see them as changes at all. I think they will have a negative effect. This is really just a continuation of punishing or at least not recognizing the value that temporary foreign workers are bringing to our country.”
According to the Star, Rivera is now working as a caregiver for a family in Hamilton.
as of 12/02/2009 3:37 PM
Source: http://www.abs-cbnnews.com/pinoy-migration/12/02/09/first-caregiver-court-victory-hailed-caregivers-fighting-back-court
Banks ink deal for cheaper remittance services
abs-cbnNEWS.com | 12/02/2009 6:28 PM
MANILA - The Bangko Sentral ng Pilipinas (BSP) has signed a memorandum of agreement (MOA) with bank associations to lower the cost of money transfer services by as much as P922 million a year.
Signatories to the MOA include the BSP, the Bankers Association of the Philippines, the Rural Bankers Association of the Philippines, the Chamber of Thrift Banks, and the Association of Bank Remittance Officers Inc.
The deal allows banks to use the BSP's Philpass system for their remittance services. The Philpass system uses wire transfers (bank to bank) instead of the commonly-used courier services, which BSP Governor Amando Tetangco said is more expensive and time-consuming.
Once implemented, a fixed fee of P50 will be charged for every remittance transaction. Tetangco said the amount is much smaller compared to current charges, which range from P100 to P550.
"The amount of savings per transaction therefore stands at P50 to P500," Tetangco said during the MOA signing at the BSP headquarters on Wednesday.
Transactions involving remittances average at 1.844 million every year, data from the BSP showed. With savings of at least P50 per transaction, total savings for the year is estimated at P92.2 million.
With savings of P500 per transaction, the total savings for the year stands at P922 million.
"This project will benefit families of overseas Filipino workers," Tetangco said.
as of 12/02/2009 6:28 PM
Source: http://www.abs-cbnnews.com/business/12/02/09/banks-ink-deal-cheaper-remittance-services
MANILA - The Bangko Sentral ng Pilipinas (BSP) has signed a memorandum of agreement (MOA) with bank associations to lower the cost of money transfer services by as much as P922 million a year.
Signatories to the MOA include the BSP, the Bankers Association of the Philippines, the Rural Bankers Association of the Philippines, the Chamber of Thrift Banks, and the Association of Bank Remittance Officers Inc.
The deal allows banks to use the BSP's Philpass system for their remittance services. The Philpass system uses wire transfers (bank to bank) instead of the commonly-used courier services, which BSP Governor Amando Tetangco said is more expensive and time-consuming.
Once implemented, a fixed fee of P50 will be charged for every remittance transaction. Tetangco said the amount is much smaller compared to current charges, which range from P100 to P550.
"The amount of savings per transaction therefore stands at P50 to P500," Tetangco said during the MOA signing at the BSP headquarters on Wednesday.
Transactions involving remittances average at 1.844 million every year, data from the BSP showed. With savings of at least P50 per transaction, total savings for the year is estimated at P92.2 million.
With savings of P500 per transaction, the total savings for the year stands at P922 million.
"This project will benefit families of overseas Filipino workers," Tetangco said.
as of 12/02/2009 6:28 PM
Source: http://www.abs-cbnnews.com/business/12/02/09/banks-ink-deal-cheaper-remittance-services
1 in every 4 OFWs below 30 years old–NSO
Economy
Written by Cai U. Ordinario / Reporter
Tuesday, 01 December 2009 20:54
ONE in every four overseas Filipino workers (OFWs) are in their 20s or below 30 years old, according to a special data release from the National Statistics Office (NSO).
NSO reported that based on 2008 data, OFWs aged 25 to 29 accounted for 25.7 percent of the total 2 million OFWs in the April-to-September 2008 period.
“The 2008 estimate represents an increase of 14.6 percent over the 1.7 million OFWs estimated for the period April to September 2007. The overseas contract workers [OCWs], or those with existing work contract abroad, comprised 94 percent, or 1.9 million, of the total OFWs during the period April to September 2008. This number is 16.5 percent more than the 1.6 million OCWs for the same period in 2007,” the NSO stated.
The NSO estimated that female OFWs were generally younger compared with male OFWs. Of the total number of female OFWs, 28.8 percent belonged to 25-to-29 age group and 20.3 percent were in 30-to-34 age group.
Male OFWs, data showed, were almost evenly distributed among the age groups 25 to 29, 30 to 34, and 45 and over.
NSO said about one-third, or 32.4 percent, of OFWs were laborers and unskilled workers, which include domestic help, cleaners and manufacturing laborers.
Those who worked as trades and related workers comprised 15.7 percent; service workers and shop and market sales workers, 14.3 percent; and plant and machine operators and assemblers, 13 percent.
Meanwhile, NSO added that one out of five, or 20.3 percent, of OFWs worked in Saudi Arabia and one in every seven OFWs worked in the United Arab Emirates.
Countries like Singapore, Hong Kong, Japan, Qatar and Taiwan were also popular destinations of OFWs. OFWs who worked in Europe comprised 9.4 percent, while those who worked in North and South America accounted for 8.4 percent.
OFWs from Calabarzon accounted for 18.4 percent; Central Luzon, 14.5 percent; and National Capital Region, 14 percent. They made up almost half of the total number of OFWs.
Caraga, the NSO said, on the other hand, reported the smallest share of OFWs at 1.0 percent and 1.2 percent in 2007 and 2008, respectively.
“The same pattern was observed during the period April to September 2007, where these three regions contributed the largest number of OFWs and, together, comprised 48 percent of the total number of OFWs,” NSO added.
The total remittance sent by OFWs during the period April to September 2008 was estimated at P141.9 billion, an increase of P32.1 billion from the estimate of P110 billion in 2007.
Included in the total remittances are cash sent, which accounted for 73.2 percent; cash brought home accounted for 21.5 percent; and remittances in kind, 5.2 percent.
Of the total cash remittances sent, 76.1 percent were through banks; 11.8 percent through door-to-door; 7.5 percent through other means, and the rest, or 4.6 percent, through the agency or local office and friends or coworkers.
“OFWs working in Asia, comprising 78.2 percent of all OFWs, sent the biggest cash remittance of P69.9 billion. Among occupation groups, OFWs working as laborers or unskilled workers posted the highest cash remittance of P19.5 billion,” NSO added.
Source: http://businessmirror.com.ph/home/economy/19191-1-in-every-4-ofws-below-30-years-oldnso.html
Written by Cai U. Ordinario / Reporter
Tuesday, 01 December 2009 20:54
ONE in every four overseas Filipino workers (OFWs) are in their 20s or below 30 years old, according to a special data release from the National Statistics Office (NSO).
NSO reported that based on 2008 data, OFWs aged 25 to 29 accounted for 25.7 percent of the total 2 million OFWs in the April-to-September 2008 period.
“The 2008 estimate represents an increase of 14.6 percent over the 1.7 million OFWs estimated for the period April to September 2007. The overseas contract workers [OCWs], or those with existing work contract abroad, comprised 94 percent, or 1.9 million, of the total OFWs during the period April to September 2008. This number is 16.5 percent more than the 1.6 million OCWs for the same period in 2007,” the NSO stated.
The NSO estimated that female OFWs were generally younger compared with male OFWs. Of the total number of female OFWs, 28.8 percent belonged to 25-to-29 age group and 20.3 percent were in 30-to-34 age group.
Male OFWs, data showed, were almost evenly distributed among the age groups 25 to 29, 30 to 34, and 45 and over.
NSO said about one-third, or 32.4 percent, of OFWs were laborers and unskilled workers, which include domestic help, cleaners and manufacturing laborers.
Those who worked as trades and related workers comprised 15.7 percent; service workers and shop and market sales workers, 14.3 percent; and plant and machine operators and assemblers, 13 percent.
Meanwhile, NSO added that one out of five, or 20.3 percent, of OFWs worked in Saudi Arabia and one in every seven OFWs worked in the United Arab Emirates.
Countries like Singapore, Hong Kong, Japan, Qatar and Taiwan were also popular destinations of OFWs. OFWs who worked in Europe comprised 9.4 percent, while those who worked in North and South America accounted for 8.4 percent.
OFWs from Calabarzon accounted for 18.4 percent; Central Luzon, 14.5 percent; and National Capital Region, 14 percent. They made up almost half of the total number of OFWs.
Caraga, the NSO said, on the other hand, reported the smallest share of OFWs at 1.0 percent and 1.2 percent in 2007 and 2008, respectively.
“The same pattern was observed during the period April to September 2007, where these three regions contributed the largest number of OFWs and, together, comprised 48 percent of the total number of OFWs,” NSO added.
The total remittance sent by OFWs during the period April to September 2008 was estimated at P141.9 billion, an increase of P32.1 billion from the estimate of P110 billion in 2007.
Included in the total remittances are cash sent, which accounted for 73.2 percent; cash brought home accounted for 21.5 percent; and remittances in kind, 5.2 percent.
Of the total cash remittances sent, 76.1 percent were through banks; 11.8 percent through door-to-door; 7.5 percent through other means, and the rest, or 4.6 percent, through the agency or local office and friends or coworkers.
“OFWs working in Asia, comprising 78.2 percent of all OFWs, sent the biggest cash remittance of P69.9 billion. Among occupation groups, OFWs working as laborers or unskilled workers posted the highest cash remittance of P19.5 billion,” NSO added.
Source: http://businessmirror.com.ph/home/economy/19191-1-in-every-4-ofws-below-30-years-oldnso.html
01 December 2009
Dubai debt crisis worries OFWs
abs-cbnNEWS.com | 12/01/2009 1:39 PM
MANILA – The financial crisis in Dubai is a cause for alarm for hundreds of thousands of overseas Filipino workers (OFWs) based there, an alliance of Filipino migrant workers said in a statement.
“The sad news of the deepening financial crisis in the United Arab Emirates, particularly in Dubai, is now sowing fears of being laid off especially among Dubai-based OFWs,” said John Leonard Monterona, Migrante-Middle East regional coordinator.
Citing observations made by Nhel Morona, secretary-general of Migrante-UAE, Monterona said OFWs there are still uneasy about the worsening financial crisis and that mass lay offs are not expected to happen.
According to Morona, many OFWs have no options left but to agree to reduce their wages than be sent back home unemployed.
Monterona said an OFW working for a multinational company in Dubai said his salary has been delayed for two months as his firm had been greatly affected by the financial crisis.
“This means lesser remittance or no remittance at all!” Monterona said.
“We fear that foreign employers will use the Dubai crisis as justification to lower the salary of our OFWs despite existing employment contracts,” Monterona said.
He added that Migrante-ME has been receiving several complaints of contract switching and substitutions in UAE.
“For one, the RP government failed to ensure that foreign employers will comply with the standard salaries of OFWs as per work categories,” Monterona averred.
as of 12/01/2009 1:39 PM
Source: http://www.abs-cbnnews.com/pinoy-migration/12/01/09/dubai-debt-crisis-worries-ofws
MANILA – The financial crisis in Dubai is a cause for alarm for hundreds of thousands of overseas Filipino workers (OFWs) based there, an alliance of Filipino migrant workers said in a statement.
“The sad news of the deepening financial crisis in the United Arab Emirates, particularly in Dubai, is now sowing fears of being laid off especially among Dubai-based OFWs,” said John Leonard Monterona, Migrante-Middle East regional coordinator.
Citing observations made by Nhel Morona, secretary-general of Migrante-UAE, Monterona said OFWs there are still uneasy about the worsening financial crisis and that mass lay offs are not expected to happen.
According to Morona, many OFWs have no options left but to agree to reduce their wages than be sent back home unemployed.
Monterona said an OFW working for a multinational company in Dubai said his salary has been delayed for two months as his firm had been greatly affected by the financial crisis.
“This means lesser remittance or no remittance at all!” Monterona said.
“We fear that foreign employers will use the Dubai crisis as justification to lower the salary of our OFWs despite existing employment contracts,” Monterona said.
He added that Migrante-ME has been receiving several complaints of contract switching and substitutions in UAE.
“For one, the RP government failed to ensure that foreign employers will comply with the standard salaries of OFWs as per work categories,” Monterona averred.
as of 12/01/2009 1:39 PM
Source: http://www.abs-cbnnews.com/pinoy-migration/12/01/09/dubai-debt-crisis-worries-ofws
For 4 OFW families, it’s all about sharing
Philippine Daily Inquirer
First Posted 05:54:00 11/30/2009
Filed Under: Overseas Employment, Awards and Prizes
MANILA, Philippines—Four overseas Filipino worker (OFW) families that derived positive experiences from their foreign sojourns and came back to help their countrymen were named Model OFW Family of the Year 2009 by the Overseas Workers Welfare Administration (OWWA).
They were the families of engineer Rodolfo P. Lubis of Region IV-A in the land-based category; and Capt. Emilio B. Bello of Region V in the sea-based category.
For entrepreneurship and community development, respectively, awardees were the families of Sebastian A. Tamayo of the National Capital Region; and Zenaida S. Naga of the Autonomous Region in Muslim Mindanao, respectively.
They were feted on Nov. 26 in a ceremony attended by Vice President Noli de Castro, Labor Secretary Marianito D. Roque and OWWA Administrator Carmelita S. Dimzon.
Community projects
Lubis, who worked 16 years in Saudi Arabia for Bechtel International and then for Saudi Aramco, returned home to Lipa, Batangas, after he and wife Sonia had saved enough to buy farmland, put up a piggery, poultry and trucking firm where today they employ more than 200 people.
The Lubises have three children. The family built the first Gawad Kalinga Reunion Village where residents are given employment, livelihood capital and scholarships for the children.
Bello was a seaman for 29 years until 2000. He and his wife Ingrid got involved in community projects and advocacy work with civic organizations. They make donations regularly for school facilities and give a sack of rice to the parish every month.
They own rice fields, a piggery, copra, merchandise and hardware businesses, fish culture and an orchidarium in Masbate. They have three children.
Civic activities
Tamayo started as a waiter in Saudi Arabia and rose through the ranks to become a hotel manager in Kuwait after four years. Upon his return to the Philippines, he invested in catering services, restaurants and flower shops. He and wife Milagros have five children.
Naga of Marawi, Lanao del Sur, worked as a nurse for 10 years in Libya’s Ministry of Health. She and husband Nasser are involved in civic and social activities. They have put up a technical and vocational school to educate the community on health care. They have four children.
Source: http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20091130-239288/For-4-OFW-families-its-all-about-sharing
First Posted 05:54:00 11/30/2009
Filed Under: Overseas Employment, Awards and Prizes
MANILA, Philippines—Four overseas Filipino worker (OFW) families that derived positive experiences from their foreign sojourns and came back to help their countrymen were named Model OFW Family of the Year 2009 by the Overseas Workers Welfare Administration (OWWA).
They were the families of engineer Rodolfo P. Lubis of Region IV-A in the land-based category; and Capt. Emilio B. Bello of Region V in the sea-based category.
For entrepreneurship and community development, respectively, awardees were the families of Sebastian A. Tamayo of the National Capital Region; and Zenaida S. Naga of the Autonomous Region in Muslim Mindanao, respectively.
They were feted on Nov. 26 in a ceremony attended by Vice President Noli de Castro, Labor Secretary Marianito D. Roque and OWWA Administrator Carmelita S. Dimzon.
Community projects
Lubis, who worked 16 years in Saudi Arabia for Bechtel International and then for Saudi Aramco, returned home to Lipa, Batangas, after he and wife Sonia had saved enough to buy farmland, put up a piggery, poultry and trucking firm where today they employ more than 200 people.
The Lubises have three children. The family built the first Gawad Kalinga Reunion Village where residents are given employment, livelihood capital and scholarships for the children.
Bello was a seaman for 29 years until 2000. He and his wife Ingrid got involved in community projects and advocacy work with civic organizations. They make donations regularly for school facilities and give a sack of rice to the parish every month.
They own rice fields, a piggery, copra, merchandise and hardware businesses, fish culture and an orchidarium in Masbate. They have three children.
Civic activities
Tamayo started as a waiter in Saudi Arabia and rose through the ranks to become a hotel manager in Kuwait after four years. Upon his return to the Philippines, he invested in catering services, restaurants and flower shops. He and wife Milagros have five children.
Naga of Marawi, Lanao del Sur, worked as a nurse for 10 years in Libya’s Ministry of Health. She and husband Nasser are involved in civic and social activities. They have put up a technical and vocational school to educate the community on health care. They have four children.
Source: http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20091130-239288/For-4-OFW-families-its-all-about-sharing
30 November 2009
Dubai crisis threatens OFW market (Analysts forecast cut in remittances)
By Doris Dumlao
Philippine Daily Inquirer
First Posted 20:13:00 11/30/2009
Filed Under: Foreign affairs & international relations, Overseas Employment
MANILA, Philippines - A brewing debt crisis in Dubai has raised a specter of gloom on the Philippines, where many households have been relying on petrodollars sent home by a large pool of overseas workers in the Middle East.
While the immediate impact is in the form of escalating risk aversion in the financial markets, the sharpest blow could come from the potential loss of overseas Filipino jobs that, in turn, could curb remittance flows and dampen domestic consumer spending if the Dubai crisis worsens, analysts and economists said.
Global financial markets were recently rattled by news that Dubai’s main investment arm, Dubai World, was seeking at least a six-month delay on repaying its $60 billion in debt.
“I think risk aversion is resurfacing, just like what happened during the US subprime crisis. Depending on whether this will escalate, it will create an opportunity to take profits and the local stock market index could break down 3,000,” said Banco de Oro Unibank chief strategist Jonathan Ravelas. He said the risk aversion could also provide a boost to the dollar at the expense of emerging market currencies like the peso.
Since the debt crisis is coming in at a time that the global economy recovery remains fragile, Ravelas said this could mean a modest growth of 3.75 percent in overseas Filipino remittances for next year.
In the first nine months, money sent home by overseas Filipinos through the banking system grew 4.2 percent to $12.8 billion.
Jose Mari Lacson, head of research at Campos Lanuza & Co., said some publicly listed companies could also take a hit from the Dubai debt crisis.
“Dubai World has been driving property development and construction [which fuels the Dubai economy] that relies on overseas Filipino workers. They will have to stop spending and cut costs,” Lacson said.
He said this might result in higher loss of jobs in Dubai and the United Arab Emirates and could even cascade to other emirates. The spike in borrowing costs could also dampen the interest of Dubai-based companies that were planning to invest in the Philippines, he said.
“It won’t happen overnight though,” Lacson said.
He said property companies like Filinvest Land Inc. and Vista Land, which have exposure to Middle East-based Filipino workers, could take a hit if the crisis would escalate. Construction firm EEI Corp. is also seen bracing for some fallout, given its large projects in the Middle East.
“The development in Dubai will continue to unfold and might even worsen depending on how the world perceives Dubai World’s ability to pay its debts in six months’ time. The initial reaction has been a flight to quality and this does not bode well for emerging markets if it persists,” said AB Capital Securities analyst Prince Anthony Yeung.
Justino Calaycay Jr., a dealer at Accord Capital Equities Corp., said the biggest impact could be on overseas Filipino employment, assuming that Philippine banks do not have a large exposure to Dubai World.
“But I don’t think this is something insurmountable,” Calaycay said.
“In a range of one to 10 [with 10 being the worst], the impact on the Philippines will likely be about six or seven but most of it is emotional reaction,” Calaycay said, noting that any debt default to the tune of about $60 billion would really send shock waves to financial markets.
Joseph Roxas, president of local stockbrokerage Eagle Equities Inc., expects only a minimal fallout.
Source: http://business.inquirer.net/money/breakingnews/view/20091130-239388/Dubai-crisis-threatens-OFW-market
Philippine Daily Inquirer
First Posted 20:13:00 11/30/2009
Filed Under: Foreign affairs & international relations, Overseas Employment
MANILA, Philippines - A brewing debt crisis in Dubai has raised a specter of gloom on the Philippines, where many households have been relying on petrodollars sent home by a large pool of overseas workers in the Middle East.
While the immediate impact is in the form of escalating risk aversion in the financial markets, the sharpest blow could come from the potential loss of overseas Filipino jobs that, in turn, could curb remittance flows and dampen domestic consumer spending if the Dubai crisis worsens, analysts and economists said.
Global financial markets were recently rattled by news that Dubai’s main investment arm, Dubai World, was seeking at least a six-month delay on repaying its $60 billion in debt.
“I think risk aversion is resurfacing, just like what happened during the US subprime crisis. Depending on whether this will escalate, it will create an opportunity to take profits and the local stock market index could break down 3,000,” said Banco de Oro Unibank chief strategist Jonathan Ravelas. He said the risk aversion could also provide a boost to the dollar at the expense of emerging market currencies like the peso.
Since the debt crisis is coming in at a time that the global economy recovery remains fragile, Ravelas said this could mean a modest growth of 3.75 percent in overseas Filipino remittances for next year.
In the first nine months, money sent home by overseas Filipinos through the banking system grew 4.2 percent to $12.8 billion.
Jose Mari Lacson, head of research at Campos Lanuza & Co., said some publicly listed companies could also take a hit from the Dubai debt crisis.
“Dubai World has been driving property development and construction [which fuels the Dubai economy] that relies on overseas Filipino workers. They will have to stop spending and cut costs,” Lacson said.
He said this might result in higher loss of jobs in Dubai and the United Arab Emirates and could even cascade to other emirates. The spike in borrowing costs could also dampen the interest of Dubai-based companies that were planning to invest in the Philippines, he said.
“It won’t happen overnight though,” Lacson said.
He said property companies like Filinvest Land Inc. and Vista Land, which have exposure to Middle East-based Filipino workers, could take a hit if the crisis would escalate. Construction firm EEI Corp. is also seen bracing for some fallout, given its large projects in the Middle East.
“The development in Dubai will continue to unfold and might even worsen depending on how the world perceives Dubai World’s ability to pay its debts in six months’ time. The initial reaction has been a flight to quality and this does not bode well for emerging markets if it persists,” said AB Capital Securities analyst Prince Anthony Yeung.
Justino Calaycay Jr., a dealer at Accord Capital Equities Corp., said the biggest impact could be on overseas Filipino employment, assuming that Philippine banks do not have a large exposure to Dubai World.
“But I don’t think this is something insurmountable,” Calaycay said.
“In a range of one to 10 [with 10 being the worst], the impact on the Philippines will likely be about six or seven but most of it is emotional reaction,” Calaycay said, noting that any debt default to the tune of about $60 billion would really send shock waves to financial markets.
Joseph Roxas, president of local stockbrokerage Eagle Equities Inc., expects only a minimal fallout.
Source: http://business.inquirer.net/money/breakingnews/view/20091130-239388/Dubai-crisis-threatens-OFW-market
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