The Department of Labor and Employment (DOLE) has begun profiling workers employed in the offshore online gaming industry in preparation for the possible ban on Philippine Offshore Gaming Operators (POGOs) in the country.
Labor Secretary Bienvenido Laguesma said the profile is part of the government’s preparations for expected job losses if the POGO industry shuts down.
Department of Labor and Employment (DOLE) records show that 22,000 Filipino POGO workers could lose their jobs if President Marcos Jr. approves calls to stop the operation of offshore online gaming companies in the country.
Laguesma, in a briefing after the sectoral meeting in Malacañang, said the DOLE has begun profiling POGO workers to determine how many are actually employed in the industry, what skills the workers actually possess, and what other employment or livelihood alternatives are available to them.
He said that along with profiling POGO workers, they are encouraged to retain them, upskill them and retool them to prepare them for other job opportunities.
“Anticipating such a decision to occur, then workers will have the option to look at – what is available to them in terms of employment, job facilitation and also livelihood programs (Anticipating such a decision to occur, then workers will have the option to look at – what is available to them in terms of employment, job facilitation and also livelihood programs),” he said, adding that the DOLE cannot simply wait for an actual ban to occur and be caught off guard.
“We should also be in transition,” he said.
However, National Economic and Development Authority (NEDA) chief and Planning Secretary Arsenio Balisacan clarified that the government has not formally discussed proposals to ban POGOs nationwide.
However, he said he personally supports banning POGOs, believing that while the government does generate revenue from them, the social costs of the industry are “quite high and may not be worth that revenue.”
He said the country could even lose more than it would gain from POGOs.
Balisacan said the Philippines is trying to position itself as a legitimate place for business and doing everything it can to attract investors and tourists.
“The least we want is to have a reputation for being a haven for criminals, things like that,” he added.
Meanwhile, Senate President Francis Escudero welcomed Finance Secretary Ralph Recto’s announcement that he is interested in recommending to the President the closure of all POGOs in the country.
“I welcome Secretary Rector’s review of POGOs. The legalization of POGOs is not done by law, but by executive order through PAGCOR (Philippine Gaming and Amusement Corporation). As I have been saying, it is up to the Executive Branch whether they will continue to allow it or not, as it was not allowed by law to begin with,” Escudero said.
Senate Minority Leader Aquilino Pimentel III said it is time for all POGO activities to be declared “illegal.”
Pimentel said POGO operators have taken advantage of the licenses or permits granted to them by allowing illegal activities to operate under their cover.
“Licenses and permits are obtained and then illegal activities are carried out under the license or permit (simultaneously with some small activities just for show). Some obtain licenses or permits and then let them lapse and yet continue their operations, this time probably illegal (in the sense of criminal). They still take advantage of the fact that they once had licenses or permits,” Pimentel said.
He said some POGO centers do not actually have licenses to operate, but can do so after securing staff and managers from licensed POGO facilities.
“Therefore, the entire system that enables POGOs has become a problem because the system has been manipulated. Legal loopholes have been exploited. Regulators at various levels have been infiltrated and ‘compromised.’ It is time to declare all POGO activities illegal, so that no ‘alibi’ can be used,” he added.
Sen. Grace Poe said Recto’s recommendation to stop POGO is an indication that the industry’s purported “revenue contribution” to the country’s economy “is not worth it and is not sufficient to justify its continued presence in the country.”
He said the government can eliminate the 0.2 percent contribution of the POGO to the country’s gross domestic product, since it is the government that bears the social costs involved.
“The numbers don’t lie. Even at their peak in 2019, POGOs could only contribute 0.7 percent of GDP. Even the former DOF regime said that the social ills associated with POGOs are creating high reputational risks that can severely affect the country’s efforts to attract foreign direct investments,” he said.
Recto said on Monday that he is willing to recommend to the President that the POGOs be closed due to the illegal activities that are hidden under his orders.
He said he is not against POGOs per se, but given the reported crimes committed by POGO operators and workers, such as those raided in Bamban, Tarlac and Porac, Pampanga influenced his decision.
Former Finance Secretary Benjamin Diokno has also been calling for a complete ban on POGO, which he said was already banned in other countries such as China and Cambodia. – With Raymond Africa
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