View from DOLE: Pogo ban should exempt nongaming BPOs
President Marcos Jr.’s order for the total ban on Philippine offshore gaming operations (Pogo) should not include business process outsourcing (BPO) firms that offer mere support services, a labor official said on Wednesday.
Patrick Patriwirawan Jr., director of the Department of Labor and Employment’s (DOLE) local employment bureau, said BPOs servicing Pogos are capable of offering services to other industries not related to gaming.
“In our definition, we have what we consider ‘special class business process outsourcing.’ These establishments provide services to Pogo establishments but have no direct involvement in gaming activities,” he said at the government television program “Bagong Pilipinas Ngayon.”
“We have a recommendation alongside Pagcor (Philippine Amusement and Gaming Corp.) that they should not be covered by the phaseout,” Patriwirawan added.
Pogo firms, recently rebranded as internet gaming licensees (IGLs), are to wind down their operations before the year-end deadline set by President Marcos.
Job losses
Patriwirawan said regional offices of the DOLE have started profiling nearly 41,000 workers who are expected to be displaced by the impending closure of the Pogo industry.
The number comprises more than half of the estimated 80,000 workers, including foreigners, who are seen to lose their jobs due to the total ban, he said.
“But we are prioritizing the Filipino workers,” he noted, adding that qualified workers will receive livelihood assistance of up to P30,000.
The Dole has completed the profiles of a total of 27,747 workers, including 19,754 workers in the National Capital Region; 7,837 in the Calabarzon region; 142 in Central Luzon, and 14 in Central Visayas, the official said.
Indirectly employed
Labor Secretary Bienvenido Laguesma earlier said there are also 2,549 Filipino workers indirectly employed by Pogos, including security staff, janitorial services, drivers, cooks, and household service workers, who will be affected by the ban.
“We have seen that these workers receive salaries of P16,000 to P22,000 from these IGLs, with job descriptions that include administrative staff, secretary or desk officers, office staff and encoders,” he said.
Patriwirawan said the profiling is part of the framework that DOLE follows in helping workers who would be displaced by disruptions in the labor market.
Options
After the profiling, the workers will be given a menu of services through DOLE’s Public Employment Services Office (Peso), which can help them find alternative jobs or upgrade their skills through the Technical Education Skills Development Authority (Tesda).
They may also be given the chance to pursue entrepreneurship or self-employment opportunities, Patriwirawan added.
The DOLE is also in discussions with the Department of Trade and Industry (DTI) to help displaced workers get absorbed by companies in the information technology and business process management sectors.
Service providers
Pagcor Chair Alejandro Tengco earlier said he was requesting that 12 special BPOs be spared from the nationwide ban.
Tengco said these firms are not involved in actual gaming operations and their workers serve gaming companies in the United States, Canada and Europe.
In effect, the 12 companies are merely customer service agents for gaming companies.
“It’s a pity, it’s regrettable. All I’m coming from is a sense of regret. But, if they say that it will just be used to mask IGLs, then I will respect and we will follow,” he said on ANC news channel.
“I am not lobbying, I’m just making a suggestion,” he added, noting that another six companies are applying for special BPO permits.
