AmCham Calls for Balanced Approach on Proposed Labor Measure
The American Chamber of Commerce of the Philippines (AmCham) expresses its sincere appreciation to Senator Raffy T. Tulfo and the members of the Senate Committee on Labor, Employment and Human Resources Development for the invitation to participate in the recent public hearing on the proposed Anti Endo and Magna Carta for Workers in the Informal Economy bills. AmCham values this platform for constructive dialogue on policies that impact both workers and the business community.
AmCham fully supports the objective of promoting fair employment, protecting workers’ rights, and ensuring dignified and secure livelihoods for Filipino workers. However, AmCham also notes that the proposed legislation may lead to unintended negative consequences on foreign investment, which could reduce employment and harm the overall economy.
Existing Philippine laws already provide a comprehensive framework governing labor contracting and subcontracting arrangements, with clear rules and enforcement mechanisms. Strengthening implementation of these regulations may be more effective than introducing additional measures that risk duplication and confusion.
At the same time, workforce flexibility remains essential for businesses to stay competitive and responsive in a rapidly evolving global economy. Legitimate contracting arrangements enable companies to address seasonal demand, project-based work, and specialized services. Overly broad restrictions may discourage expansion, reduce efficiency, and ultimately limit job creation.
AmCham also notes potential implications for the Philippines’ investment climate, as regulatory predictability and labor flexibility remain key considerations for investors across ASEAN. Introducing more rigid labor regulations may place the Philippines at a comparative disadvantage and unintentionally signal a less competitive environment relative to regional peers.
In light of these considerations, AmCham advocates for a balanced and pragmatic approach through continued dialogue among government, labor groups, and the private sector to ensure that policies are both protective and conducive to economic development.
AmCham remains committed to working collaboratively with the government and all stakeholders to advance inclusive growth, attract investment, and create sustainable, high-quality jobs for the Filipino people
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