Pinoys' jobs abroad safe from US crisis, govt says

MANILA, Philippines - Unless the US-led global financial crisis sets foot in the Middle East, it will have little or no effect at all on the jobs of Filipinos working abroad, the Philippines’ labor department said. “I don’t think [overseas Filipino workers] will be affected," Labor Secretary Marianito Roque told GMANews.TV in a phone interview on Thursday evening. According to Roque, the recently approved $700-billion cash bailout would buoy the US economy and prevent the economic crunch from worsening further. “Mukhang kaya naman nilang kontrolin (It seems like they can take care of it)," he said. Since a slowdown has yet to be felt in the Middle East—the top destination for OFWs—Roque explained that Filipino migrant workers have very little to fear. To show proof that Filipino workers’ deployment remains unaffected, Roque said that a Saudi Arabian company has expressed its eagerness to hire some 20,000 foreign workers. When asked if OFWs would feel the brunt of the crisis should it spread to the oil-rich region, Roque said: “How could that happen? They’re experiencing a boom right now. That’s very remote." However, senior corporate executives have warned that the Philippines should remain vigilant in preparing for a possible backlash on OFWs from the global financial crisis. Guillermo Luz, executive vice president of the Ayala Foundation, said that while the Middle East has yet to feel the global crisis’ effects, there is no assurance that it will survive the crisis unharmed. “They might not be affected to the same extent but they will not be immune also," Luz told GMANews.TV in an interview. Massive lay-offs from affected countries could hinder OFWs from sending home bigger remittances, which has been the lifeblood of Philippine economy, said Luz, who is also a member of the influential Makati Business Club. “Some 160,000 employees from various US companies have already lost their jobs. I won’t be surprised if there are massive lay-offs," Luz told GMANews.TV in an interview. Crisis seen to hurt Filipino professionals in the US Fewer US jobs mean lesser demand for goods, including those made in the Philippines. This is expected to hurt the Philippine economy since the US is the one of the country's largest trading partners. Meanwhile, banks that have survived the crisis have tightened their lending policies. Owing to higher borrowing restrictions imposed by banks, companies are finding it more difficult to expand. As a result, US firms are unable to grow as fast as they want to since the fund lack is expected to curtail business growth. Slower growth, in turn, has reduced employment opportunities in the world's largest economy. Astro del Castillo of First Grade Holdings Corp. echoed the analysis of Luz and said the US-led economic crisis would severely hurt highly-skilled and professional Filipino workers. “In the US, OFWs are not just janitors or domestic workers, they’re professionals," he said. Meanwhile, the DoLE secretary quelled doubts that the Philippine government would be caught off guard when the global financial crisis worsens. “We’re prepared for it. We are doing our contingency plans," Roque said. Last Tuesday, President Gloria Macapagal Arroyo ordered the Department of Foreign Affairs, the Commission on Filipinos Overseas and the DoLE to draft contingency measures to safeguard the welfare of OFWs all over the globe. Arroyo however, did not elaborate on the contingency plan. - with reports from Robert JA Basilio, GMANews.TV