Press Release
September 7, 2021

Villanueva: Pinoy workers lost jobs, local manufacturers take a hit when PS-DBM picked foreign firm to supply gov't PPE requirement

By choosing a foreign entity to provide for the government's supply requirement of personal protective equipment, thousands of Filipino workers were left without jobs as appeals of local manufacturers to patronize locally-made PPEs fell on deaf ears, Senator Joel Villanueva lamented.

At the hearing of the Senate blue ribbon committee into the audit findings of the Department of Health (DOH), Villanueva pointed out that it was important to raise the issue of unemployment in the investigation of the alleged irregularities in the purchase of PPE sets from Chinese company Pharmally.

Villanueva described the Procurement Service-Department of Budget and Management (PS-DBM) as the "kontrabida" of Filipino workers and local manufacturers who were left hanging in the air as the pandemic brought local business to its knees.

"Ano po ang tama nito sa mga manggagawa?" said Villanueva, chair of the Senate labor committee during the hearing. "Narinig po natin na ang mga local manufacturers na kasama sa Confederation of Wearable Exporters of the Philippines ay kinailangang mag-retrench ng 25,400 na empleyado noong nakaraang taon."

Villanueva's statements came after Fernando Ferrer, chairman and CEO of Filipino electronics assembly firm EMS, disclosed that his company and several others responded to the call of the government to retool their manufacturing facilities to produce PPEs. Filipino companies were left holding an empty bag when the PS-DBM awarded P8.7-billion worth of supply contracts to Pharmally Pharmaceutical Corp.

If the clear provisions under Bayanihan laws which called on the government to have a preference in the procurement for PPEs from local manufacturers were enforced, Filipino workers would have been able to hang on to their jobs and provide for the needs of their families.

Data from the Philippine Statistics Authority showed that the total import value for PPEs and medical supplies as of June 2021 increased to about US$71.96M, which is roughly P3.60 billion.

"Parang klaro po dito na ang kontrabida sa paglikha ng trabaho ay ang PS-DBM mismo," Villanueva said during the hearing. "Ilang manggagawa ang natulungan sana."

Replying to Villanueva's question, Ferrer said his company hired 350 workers at the height of production of PPEs. Ferrer said 200 more workers would have been hired had the EMS been allowed to continue delivering face masks that had already been finished.

Patronizing locally-made PPEs not only would support the local manufacturers who would be able to retain their workers, it would likewise support local economies, the lawmaker stated.


Villanueva: Nawalan ng trabaho ang manggagawang Pilipino, sadsad ang operasyon ng lokal na manufacturers nang piliin ng PS-DBM ang banyagang kumpanya para sa PPE requirement ng gobyerno

Libu-libong manggagawang Pilipino ang nawalan ng trabaho at mga lokal na negosyo ang lubhang apektado sa pagpapasya ng gobyernong piliin ang isang dayuhang kumpanya para mag-supply ng personal protective equipment.

Sa pagpapatuloy ng pagdinig ng Senate Blue Ribbon committee tungkol sa audit findings ng Department of (DOH), pinunto ni Villanueva na mahalagang talakayin ang usapin ng kawalan ng trabaho na isa sa naging sanhi ng diumanong ma-anomalyang pagbili ng PPE sets mula sa kumpanyang Pharmally Pharmaceutical Corp.

Inilarawan ni Villanueva ang Procurement Service ng Department of Budget and Management (PS-DBM) bilang "kontrabida" ng mga manggagawang Pilipino at mga lokal na manufacturers na nabitin at naiwan sa ere sa kasagsagan ng pandemya.

"Ano po ang tama nito sa mga manggagawa?" ani Villanueva, chair ng Senate labor committee, sa pagdinig noong Martes. "Narinig po natin na ang mga local manufacturers na kasama sa Confederation of Wearable Exporters of the Philippines ay kinailangang mag-retrench ng 25,400 na empleyado noong nakaraang taon."

Sinabi ni Villanueva ang kanyang obserbasyon matapos banggitin ni Fernando Ferrer, chairman at CEO ng EMS na isang Filipino electronics assembly firm, na ang kumpanya niya kasama ang iba pa ay tumugon sa panawagan ng gobyerno na pihitin ang kanilang mga pagawaan upang makapag-produce ng PPEs. Ngunit tila na-balewala ang kanilang adjustment nang i-award ng PS-DBM ang mga kontratang nagkakahalaga ng P8.7 billion sa Pharmally Pharmaceutical Corp.

Dagdag pa ni Villanueva, kung nasunod lamang ang malinaw na probisyon sa ilalim ng mga Bayanihan laws na nagbibigay ng pagkiling sa procurement ng PPEs mula sa local manufacturers, maraming manggagawa ang hindi mawawalan ng trabaho at makakatugon sa pangangailangan ng kani-kanilang pamilya.

Ayon sa datos ng Philippine Statistics Authority, tumaas sa US$71.96 million, o tinatayang P3.60 billion, ang kabuuang halaga ng pag-angkat ng Pilipinas sa mga PPE at medical supplies noong June 2021.

"Parang klaro po dito na ang kontrabida sa paglikha ng trabaho ay ang PS-DBM mismo," ani Villanueva. "Ilang manggagawa ang natulungan sana."

Sa kanyang pagtugon sa tanong ni Villanueva, sinabi ni Ferrer na kumuha ang kanyang kumpanya ng 350 manggagawa noong kasagsagan ng paggawa ng mga PPE sa kanilang pagawaan. Kung ipinagpatuloy lamang ang pag-supply ng EMS sa face masks, nakalikha pa sana ang kanilang operasyon ng dagdag 200 manggagawa.

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