BUHAY Partylist Rep. Lito Atienza urged his colleagues at the House of Representatives and the business sector to support his measure that seeks to institutionalize profit sharing.
The senior deputy minority leader said House Bill 2625 “seeks to help our countrymen benefit from economic improvement by making sure this trickles down to our daily wage earners.”
“At present, the Philippine economy is growing at a fast pace owing largely to the billions of dollars from our Overseas Filipino Workers (OFWs), as well as the BPO industry. If the investors and financiers are making so much money today, they should be sharing more with our low wage earners and rank and file. This bill aims to guarantee that the movement in our economy is immediately shared to the lowest levels,” Atienza said during the hearing of the Committee on Labor and Employment.
Under the bill, all business establishments that made a profit for a fiscal year shall annually distribute 10 percent of their net income to all their employees, both regular and contractual. The total amount given by the company thru profit sharing shall be tax creditable.
“This entails no sacrifice on the part of the investors because whatever is shared with their employees becomes tax-deductible for the succeeding year. When we filed this bill during the 16th Congress, it was approved unanimously by the committee. In fact, all the members of the committee expressed their support by becoming principal sponsors together with this representation. All the employees’ groups who participated in the hearings during the 16th Congress were excited about it because they realized it would give them a bigger share in the growing economy of the country,” Atienza said.
Rep. Mark Go of Baguio City expressed support for Atienza’s bill.
“Once you initiate this profit sharing scheme, you will also encourage people to improve their performance because they know that if they improve their performance, it will also improve the amount that will be shared among them by the end of the year. This is the most beautiful bill,” he said.
Labor Undersecretary Bernard Olalia also backed the measure, citing Article 13, Section 3 of the Constitution as basis which mandates that “the State shall regulate the relations between workers and employers, recognizing the right of labor to its just share in the fruits of production and the right of enterprises to reasonable returns of investments, and to expansion and growth.”
“We urge the participation of all sectors concerned. Let’s discuss this proposed law so that we are able to clarify issues at the committee level. Let us show the whole country that we are committed to providing more opportunities for our people who have suffered long enough,” Atienza said.