ADVERTISEMENT

Philippine President Vetoes Labor Bill Opposed By Businesses

Philippine President Vetoes Labor Bill Opposed By Businesses

(Bloomberg) -- Philippine President Rodrigo Duterte has rejected a measure that guarantees permanent employment to workers, his spokesman Salvador Panelo told reporters Friday.

Duterte departs from a campaign promise to end contractual jobs, a move that his economic managers and business groups warned will deter investors. The measure would have banned companies from subcontracting jobs and required them to get a license before hiring short-term employees.

Philippine President Vetoes Labor Bill Opposed By Businesses

Economic managers earlier said the labor bill should be tweaked to also benefit employers. Business groups and foreign chambers also opposed the proposal, saying it may force companies to cut jobs.

Duterte in May 2018 signed an executive order that prohibits illegal contracting and subcontracting.

Story Link: Duterte Rejects Measure Seeking Tenure for All Workers

--With assistance from Clarissa Batino.

To contact the reporter on this story: Andreo Calonzo in Manila at acalonzo1@bloomberg.net

To contact the editors responsible for this story: Cecilia Yap at cyap19@bloomberg.net, Ditas Lopez, Siegfrid Alegado

©2019 Bloomberg L.P.