Opening address at the consultation on the Joint UN research on “Unlocking opportunities to build a better normal: Toward gender responsive and resilient MSMEs in the manufacturing and support industries in the Philippines ”

By Ms Ma. Concepcion Sardaña, Senior Programme Officer delivered on behalf of Mr Khalid Hassan, Director, ILO Country Office for the Philippines at the consultation on the Joint UN research on “Unlocking opportunities to build a better normal: Toward gender responsive and resilient MSMEs in the manufacturing and support industries in the Philippines ”, 18 March 2021, Manila, Philippines via Zoom

Statement | Manila, Philippines via Zoom | 18 March 2021
  • Undersecretary Lantayona of the Department of Trade and Industry (DTI);
  • Undersecretary Caballero of the Department of Agriculture (DA);
  • Executive Director Lobrin-Satumba of the Department of Labor and Employment  Institute of Labor Studies (DOLE-ILS);
  • Borthers and sisters representing trade unions and workers organizations - Mr Mata of Sentro ng mga Nagkakaisa at Progresibong Manggagawa (SENTRO), Ms Tesiorna of the Alliance of Workers in the Informal Economy/Sector (ALLWIES), and Mr Cainglet of the Federation of Free Workers (FFW);
  • Mr Tarafder of ASA Philippines;
  • Ms Directo of the Philippine Chamber of Food Manufacturers;
  • Our constituents representing government, workers’ and employers’ organizations;
  • Partners from UN agencies, World Bank and the ADB;
  • Ladies and gentlemen, good afternoon!
A warm welcome on behalf of my colleagues from the United Nations in the Philippines. The International Labour Organization (ILO), the United Nations Entity for Gender Equality and the Empowerment of Women (UN Women) and the United Nations Industrial Development Organization (UNIDO) have collaborated for this consultation.

Today’s consultation will focus on the joint UN research on Unlocking Opportunities to Build a Better Normal: Toward Gender Responsive and Resilient MSMEs in the Manufacturing and Support Industries in the Philippines.

We are indeed grateful to you for your presence and participation. Your insights, experiences and vision will be taken into account in accomplishing the final output of this research.     

Due to the COVID-19 crisis, the Philippine economy and labour market was hardly hit, mainly the National Capital Region (NCR), being the epicentre.

NCR accounts for 38 per cent of the economy. Overall, MSME’s account for 99 per cent of business establishments. That is equivalent to 62 per cent of total employment and 25 per cent of total export revenue (DTI 2019).

The effect was felt across the country with 75 per cent of MSME’s reporting to have temporarily stopped operations without laying off workers. Those that continued operating tried to save jobs by reducing work hours.

Surviving enterprises will continue to face challenges given slow, uneven and uncertain recovery unless early improvements are supported by human-centred recovery policies.

With the support of the UN Resident Coordinator’s Office, this joint study aims to take advantage of opportunities to support not just new normal, but a better normal and build a brighter future of work in the Philippines. 

Assessments further revealed firm-level challenges toward recovery and adapting to the post-COVID-19 business environment in the areas of:
  1. industrial safety and health in the workplace;
  2. diversification, innovation, competitiveness, and market access;
  3. supply chain resilience;
  4. digital transformation and the adoption of industry 4.0 technologies and approaches;
  5. SME financing; and
  6. specific concerns for women-led and youth-led enterprises.
The UN in the Philippines, through the collaboration of the ILO, UNIDO, and UN Women, is conducting this joint research to understand the situation of MSMEs’, specifically in the food manufacturing sector, and amid all these what support can best aid their survival. 
   
This research aims to contribute to the strategic areas of focus of the UN Socio-economic and Peace Framework (SEPF), which also serves as the COVID-19 response and recovery plan. It will also help define the UN Philippines’ support in an integrated manner, across the pillars of People, Prosperity and Planet, and Peace. 

The evidence and policy recommendations generated from this study will also contribute to the ‘We Recover as One ‘ recovery plan, where government priorities for MSMEs are included, specifically access to finance; provision of additional support for businesses; and capacity building, as well as the broader strategic objectives of the updated Philippine Development Plan (PDP) 2017-2022.

It is our hope that this study will provide a comprehensive analysis of opportunities and challenges associated with helping MSMEs bounce back. Through this collaboration, we aim to contribute towards better chances of achieving decent work, while promoting a gender responsive and greener recovery across policies, local strategies and sectoral development plans for the country.

We are in this together. No single agency, group, country or region can address the challenges of the pandemic alone. We have a great opportunity ahead to respond, to support not just a new normal but a better normal, and to build a brighter future of work!

Thank you!