PHILLIPPINE PERSPECTIVE ON MIGRATION: Various Impacts of International Migration

And the Role of the Filipino DiasporaIn the Country’s Development

PHILLIPPINE PERSPECTIVE ON MIGRATION: Various Impacts of International Migration

And the Role of the Filipino DiasporaIn the Country’s Development

Delivered by

Cabinet-level Secretary Imelda M. Nicolas

Chairperson, Commission on Filipinos Overseas (CFO)Office of the President of the Philippines

Second International Forum on Migration and Development

26 November 2012, Guadalajara, Mexico

OVERVIEW OF PHILIPPINE MIGRATION

PHILIPPINE PRESIDENT BENIGNO S. AQUINO’S SOCIAL CONTRACT W/ THE

PEOPLE “From a government that treats its people as an export commodity and a means to earn foreign exchange, disregarding the social cost to Filipino families…to a government that creates jobs at home, so that working abroad will be a choice rather than a necessity, and when its citizens do choose to become Overseas Filipino Workers, their welfare and protection will still be the government’s priority.”

ECONOMIC IMPACT OF MIGRATION

The Philippines ranks third (tied with Mexico) globally in terms of remittances ($24 billion). Remittances to the Philippines constitute 10.7% of the country’s GDP, the highest of any country in Southeast Asia.Source: World Bank, 2011 & 2012

REMITTANCES

The Philippine Central Bank or Bangko Sentral ng Pilipinas (BSP) indicate that in 2011, remittances of overseas Filipinos, coursed through the formal channels, reached US$ 20.1 billion.

Remittances have been resilient, providing Remittances have been resilient, providing cushion against external shockscushion against external shocks

Remittances up by 7.2% in 2011 from that of 2010

Sustained remittances’ growth due to: Diversity of OFs’ skills and expertise New and expanded markets Expansion of bank and non-bank

services

Remittances have other benefits• Underpin private consumption• Raise savings• Increase investment in human

capital• Broaden middle-class segment

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80 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 J an-Oct 10

J an-Oct 11

Remittances (RHS)

Growth Rate (LHS)

Overseas Filipinos’ Remittances1980 – October 2011 (in billion US$)

BSP Overseas Filipinos PortalBSP Overseas Filipinos Portal

77

www.bsp.gov.ph

Ofs-ReD PROJECT

Supports policies that transform overseas remittances for development, savings and investments, and builds a viable collective

remittance fund.

Addressed the goal of harnessing the

potential of overseas remittances for

poverty reduction and consequently,

local economic development

REMITTANCE FOR DEVELOPMENT COUNCIL

The ReDC is both an advisory and policy recommending body and a venue for regular dialogues and feedback on issues regarding

remittances.

PHILIPPINE DEVELOPMENT PLAN 2010-2016

Together with the National Development Authority (NEDA), the CFO managed to get at least 60 migration‐related provisions (in seven out of nine chapters) of the Philippine Development Plan.

SAVING MECHANISMS FOR MIGRANT REMITTANCES

Social Security System (SSS) Allows its members to take part in Flexifund, a savings program that pays 8% interest per annum and that supplements a member’s regular sickness, retirement, and death benefits offered by the SSS.   Pag-IBIG Fund (Home Development Mutual Fund)Provides pay returns of 3% for dollar contributions and 7.5% for peso contributions.

Both Pag-IBIG and SSS, were restructured to serve as savings mechanisms and to respond to two of the main uses for migrant remittances – retirement/health and housing.Source: Asian Development Bank. 2004. Enhancing the Efficiency of Overseas Filipino Workers’ Remittances.

SOCIAL IMPACT OF MIGRATION

THE PRESIDENT’S DIRECTIVE TO REVERSE THE BRAIN DRAIN ANDTO SOLVE SKILLS-EDUCATION-JOB MISMATCH

“Invest in our country’s top resource, our human resource,

to make us more competitive and employable while

promoting industrial peace based on social justice

22- Point Platform and Policy Pronouncements on Labor and Employment

EDUCATION AND TRAINING CURRICULUM REVIEW

BASIC EDUCATION: K to 12 Modeling Program

Objectives Aside from Kindergarten, addition of Grades 11 and 12

Description This is a program agreed by the National Inter-Agency Steering Committee for the K-12 (Grades 11 and 12) in both private and public schools nationwide.

Activities Development of learning standards and implementing guidelines for G11 -12; Come up with a communication plan for the main constituents of the K to 12 progra; Field visits to modeling schools; Curriculum enhancement; Partnership with key stakeholders in the K to 12 modeling sites;

Timelines Starting SY 2012 - 2013

EDUCATION AND TRAINING CURRICULUM REVIEW

Higher Education and Training CurriculumObjectives To hone the competencies and skills of the

Filipino higher education graduates

Description The review of the Higher Education and Training Curriculum is undertaken on account of rapid technological changes, skills obsolescence and globalization of skills and qualifications.

Activities Review, updating and modification of 88 policies, standards and guidelines (PSGs) of curricular programs in the fields of Engineering and Technology, Architecture, Fine Arts and related programs, Agriculture Education, Maritime Education, Criminal Justice, Humanities, Social Sciences, Health Profession, Information Technology, and Science and Math

Timelines Starting 2012

EDUCATION AND TRAINING CURRICULUM REVIEW

Improve TESDA Training ManagementObjectives Increasing Training Participation and Achieve

Effective Training Management

Description Career guidance, advocacy, coaching and counseling program; Promotion of agro-fishery related programs;TVET Infrastructure build-up in areas of trainers/assessors development, learning materials development; IT-linked programs, systems, processes; Development of Training Regulations in higher level technologies and qualifications; Periodic review of training regulations and curricula; Assessment and Certification Program

Timelines 2011-2016

PHILIPPINES QUALIFICATION FRAMEWORK

Objectives Development of the Philippine Qualifications (PQF) Framework

Description The PQF is a framework on which standards and qualifications are determined and agreed upon by education and training institutions and their stakeholders. It brings together into a unified national system, all recognized qualifications in the Philippines.

Activities Development and consolidation of PQF

Timelines 2011-2012

CAREER GUIDANCE ADVOCACY

Objectives Intensify career guidance on a national scale by developing advocacy plan and organizing innovative avenues to share labor market information

Description The Career Guidance Advocacy Plan will pave the way to making national and regional labor market information trends and publications more accessible to the public.

Activities Career Guidance and Advocacy Plan; National Career Congress; Career Guidance Week

Timelines 2012

SKILLS REGISTRY SYSTEM & EXPAND LINKS OF DOLE DATA WAREHOUSE

Objectives Enjoining all newly graduates to register to the Skills Registry System (SRS) and to integrate government data hubs to facilitate verification of applicant information on skills certification and accreditation, licensure, and local and overseas employment data.

Description Houses a “live” registry of skills to facilitate referral and placement of jobseekers. The DOLE Data Warehouse is capable of performing online verification of applicant information on skills certification and accreditation, licensure, and local and overseas employment data

Activities Foster strong linkages with and among participating LGUs/PESOs; Link HR databases from other government agencies to the DOLE Data Warehouse

Timelines 2012

DIASPORA TO DEVELOPMENT (D2D)

D2D Components

PRE-DEPARTURE ORIENTATION SEMINARS

MIGRANT WORKERS AND OVERSEAS FILIPINOS ACT

The amendment of the Migrant Workers and Overseas Filipinos Act and its implementing rules in 2010, expanded the definition of overseas Filipinos “to migrant workers, other Filipino nationals and their dependents abroad.”

COMMISSION ON FILIPINOS COMMISSION ON FILIPINOS OVERSEASOVERSEAS

Citigold Center, 1345 Quirino Avenue corner Pres. Osmeña Highway, Paco, Manila 1007, Philippines Tel. nos. (632) 552-4700 local 401;

(632) 561-8291 Fax no. (632) 561-8332 E-mail: info@cfo.gov.ph

Website: www.cfo.gov.ph