MikeLigalig.com

By Dinan Arana
ABS-CBN Middle East Bureau

Overseas Filipino workers in the Middle East complained about a recent study that said they and their families were fond of luxury and thus unable to save, ABS-CBN Middle East Bureau reported.

But the OFWs said on the contrary, they are not earning that much and prices in the Philippines continue to rise, rendering them unable to save.

The OFWs in Saudi Arabia even pointed to the well known fact that the peso exchange rate vis-à-vis the dollar is currently at a low because of the strengthening of the peso.

Despite this, prices of basic necessities continue to rise. Just last Saturday, three oil companies announced an increase in the prices of petroleum products that are expected to redound to higher prices of basic commodities.

Also last week, prices of sugar also rose triggering increases in bread and other processed food.

In contrast, the peso has gone from P44.30=$1 to P43.80=$1 in the space of two weeks (based on the exchange rate at SM).

It is alleged that OFWs spend for luxuries for their families in exchange for their absence.

But all that has changed because what they send home has become insufficient to fill all their families’ needs.

Sammy Munar, a Fire Protection Inspector, said "Meron akong private na tatlo. Yung isa nalipat ko sa public gawa nung mataas na ring tuition fees, mga miscellaneous fees, ng eskuwela (I had three kids in private school. I had to transfer one to a public school because tuition fees were increasing, also the miscellaneous fees.)"

The strength of the peso could be traced to the corresponding strength in OFW remittances which began with the overseas employment program in the early 70’s.

Many OFWs are thus of the idea that a remittance boycott will effectively highlight the impact of the strengthening peso on OFW finances.

Others, however, are not convinced.

Melvin Cosare, an IT Specialist in Alkhobar said "maraming magugutom. Kailangan suklian ng gobyerno ang paghihirap namin dito. Tapatan nila ang nangyayari. Kulang kasi ang sinusweldo namin, bumababa ang piso dapat tapatan na lang nila yon. Yon lang ang solusyon. Di dapat boycott. (Many will just go hungry. The government should repay our hardships here. They should have an answer to what is happening, to the strengthening of the peso and the lowering of the exchange rate. That’s the real solution. Not a boycott.)"

Aldwin Remo, a Dammam electrician said "Hindi sa maluho. Kasi yung isang libo na gagastusin natin hindi talaga sasapat. Minsan nadadagdagan ang mga gastusin natin. Kulang talaga ang isang libo na yon. Kaya hindi mo masabi na maluho ang mga Pilipino kasi wala naman talagang iluluho. Kulang na kulang ang sahod natin. (We’re not really capricious. The P1,000 we used to spend is no longer enough. Our expenses have been added to. So the P1,000 is lacking. You can’t really say OFWs are capricious because there’s no more room for caprice. Our salaries are sadly lacking.)"

Some even suggested that the government help the OFW families in the Philippines by giving them discounts on their purchases.

Others are proposing fixing the exchange rate for OFWs at P50=$1 in order to make OFW salaries fit.

Jun Ortega, an engineer at Al-Khafji said "Dapat magkaroon ng discount prices para yung ating mga perang padala ay maka-augment sa itinaas ng presyo ng mga bilihin at serbisyo sa atin. (They should give a discount so that the money we send will be cushioned against the increase in prices.)"

"Para sa atin, mas maganda kung naka-fix lang ang rate sa atin, halimabawa 50. Para naman yung suweldo natin at least ma-budget natin (It would be better to fix the rate at P50. That way, we could budget our salaries)," Dharan salesman Lester Gonzales said.

Because of this, the Department of Labor and Employment is now recommending immediate and long-term remedial measures that would assist OFWs and their families cope with the continued strengthening of the peso.

Labor and Employment Arturo Brion said the DOLE came up with the recommendations following initial consultation with other government agencies such as the Departments of Agriculture (DA) and Trade and Industry (DTI), as well as the Department of Finance (DOF) and the Bangko Sentral ng Pilipinas (BSP).

The meeting was part of the DOLE’s preparation for the multi-sectoral consultative conference, which will be held next month to solicit the cooperation of the private sector and other stakeholders in assisting the OFWs cope with the strong peso.

Brion said the DOLE has come up with two sets of remedial measures – immediate and long term.

He said the immediate remedial measures involve income augmentation programs for low salaried semi-skilled OFWs earning less than $400 basic monthly pay. The measures include the provision of livelihood and skills for employment scholarship programs (SESP) aimed at enabling the OFWs and their families gain appropriate skills and loan assistance for the setting up of income augmenting business enterprises.

Brion said the DOLE would seek the assistance of the DTI, DA, BSP in implementing the livelihood and SESP programs for OFWs and their families.

The DOLE, he added, also recommended a reduction in remittance fees and the setting up of commissaries that would sell food and other basic commodities at discounted prices to OFWs and their families.

For OFWs earning US$400 monthly pay and above, Brion said the DOLE recommended the floating of OFW bonds that can pay for house and lot at a discount price and as alternative OFW investment.

The DOLE also recommended the provision of a long-term financial literacy program and enterprise development training for OFWs and their families to sustain the assistance and viability of the OFWs’ economic capability.

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