Position Paper Against the Integrated
Passenger Service Charges (IPSC) Policy of the Manila International Airport
Authority and the Department of Transportation and Communications
Submitted by:
Global Filipino
Voices
Philippine Expat
Bloggers Awards (PEBA)
United Filipino
Seafarers
Philippine Migrants’
Rights Watch
Blas F. Ople Policy
Center and Training Institute
Center for Migrant
Advocacy
LBS Recruitment
Filipino Migrant
Workers Group
Daughters of Charity
KAMPI
KAKAMMPI
Backgrounder:
Civil society groups first learned
about the IPSC policy last month during a meeting convened by the Philippine
Overseas Employment Administration with a select group of industry and NGO
representatives for officials of the Manila International Airport Authority.
During that meeting, several
objections were raised by OFW advocates against the integration of the terminal
fee in airline tickets. Primary among such objections was the enormous
inconvenience that this policy will have on millions of overseas workers who,
by law, are exempted from paying the PHP 550 terminal fee.
A few weeks ago, MIAA convened
another meeting at their offices to advise land-based and manning agencies
including a handful of NGOs that the IPSC will take effect on October 1. They
said that OFWs with locally purchased tickets would still be exempted from
paying the said fees upon presentation of their overseas employment certificate
(OEC) upon point of purchase. They, however, admitted that air tickets for OFWs
purchased abroad or online by their employers or by themselves will now include
the terminal fee, subject to refund upon presentation of required documents at
a separate counter to be designated in our international airports.
The OFW sector object to this
wrongful interpretation of the law since it clearly states exemption from
payment – a refund clearly indicates payment of said fees.
Our
Position:
The
OFW Sector objects to the imposition of terminal fees on the following grounds:
1.
Lack of
direct consultations with the OFWs – in a meeting with MIAA officials, the
Ople Center lamented the lack of direct consultations with OFWs on this new
policy, and suggested that MIAA seek the help of Philippine Embassies and
Consulates as well as Philippine Overseas Labor Offices (POLOs) to gather the
sentiments about the OFWs on this issue. MIAA thanked the Ople Center for its
suggestion and promised to look into it. So far, no such consultations through
our embassies took place. Note that the implementation of the IPSC has been set
for October 1 or a few days from now. Isn’t one of the hallmarks of the
President’s tuwid-na-daan policy is
for government agencies to always consult their “bosses”? In street parlance
and with due respect, Honorable Secretary, anyare?
2.
Clear
violation of Section 35 of the Migrant Workers’ Act as amended by RA 10022:
The law states: “Exemption from Travel Tax, Documentary Stamp
and Airport Fee. - All laws to the contrary notwithstanding,
the migrant workers shall be exempt from the payment of travel tax and airport-fee
upon proper showing of proof entitlement by the POEA.” Since the OFWs and/or
their employers cannot show proof of entitlement by the POEA to airline
companies and travel agencies based abroad through no fault of their own but
due to technical difficulties as admitted by MIAA, then the application of the
refund rule is discriminatory, unfair, and lopsided against the interests of
affected OFWs. It also contravenes the very spirit of the law, which grants
this benefit to our modern-day heroes in recognition of their contributions to
Philippine society.
3.
Creation
of a Trust Fund for non-refunded terminal fees – When questioned by OFW
advocates on what MIAA intends to do with the non-refunded terminal fees from
OFWs, its officials said that they have the flexibility to create a trust fund
upon approval of the board for these non-refunded fees, with the intention to
hold the monies until properly refunded to their rightful owners. What would be
the legal basis for such a fund considering that the monies that MIAA will be
advancing are intended for private individuals/recruitment agencies? What is
the name of this special fund and has this been cleared with COA? Since these
collections are done in contravention of an existing law, wouldn’t it be wise
for the DOTC and MIAA to seek a legal opinion from the DoJ and guidance from
the DoF despite their so-called “flexibilities”? The sector believes that this
“Fund” can easily earn millions given the peculiarities of dealing with OFWs
who are here only for a short time that they would rather spend with their
families than in lining up to claim a refund for something that the law exempts
them from paying in the first place.
4.
Notion
that OFWs that pay for their tickets are in the minority – Aren’t laws
designed precisely to protect the minority from infringement of rights? Besides,
what would prevent a foreign employer from passing on the cost of the terminal
fee to the Filipino worker considering that the government itself has set aside
the provision on exemption from terminal fees for all OFWs?Clarita Cornejo, a
caregiver based in Israel, said upon learning of this new scheme: “Here in
Israel, our employers do not purchase our tickets. In my case as as caregiver
for six years in Israel, I have to pay for my air tickets every time I go on a
vacation to the Philippines. My employer will only shoulder the cost of my air
ticket upon completion of my contract.” Mel Laynes from Dammam, Saudi Arabia
explains: “Our employer gives us a fixed rate for airline tickets. When it is
peak season, this means we, the workers, will have to advance the money for the
terminal fee since this is in addition to the cost of tickets.”
5.
The
cost is too minimal, and OFWs should contribute their share. –- The IPSC is
in addition to other mandatory fees levied against an OFW: mandatory PhilHealth
contributions, mandatory Pag-IBIG contributions, mandatory OWWA membership,
mandatory POEA charges, aside from the usual medical tests and for household
service workers, a mandatory TESDA training certificate. Josie Jose, a domestic
worker in Doha, Qatar, points out: “Sa
aminponamgakasambahay, isangarawna naming pinagpaguran yang PHP550 na ‘yan,
halos 18-20 hours nakamingpagodniyan para lamangibayadsa terminal fee
taposhindimonaipapa-refund.” Again, MIAA officials would likely point out
that this is being remedied by the presence of refund counters in all
international airports under its jurisdiction. However, MIAA officials should
put themselves in the shoes of our OFWs who are often rushing against time to
make full use of their vacation or emergency leaves, that lining up for a fee
that they are not even supposed to pay is not merely a minor inconvenience.
6.
Won’t
our OFWs also benefit from having our airports be at par with the rest of the
world? – Our OFWs have seen the best and worst of airports given their
journeys to various countries of destination. Yes, like all Filipinos, it is
their dream to have a world-class airport, and they are amazed at how airports
in other countries are efficiently run – no queues to use the ladies’
washrooms, trolley hubs closer to passenger ramps upon arrival, faster
immigration queues, spacious and more comfortable lounge areas, walkalators for
passengers’ convenience, world-class shopping and restaurant outlets, and free
Wi-FI services throughout the airport complex. Removing a counter to pay
terminal fees does not make for a world-class airport, especially when there
will be a new queue specifically for OFWs that will be seen by everyone else. A
queue that is actually discriminatory in nature unless the existing law is
amended.
7.
MIAA
officials claim that the IPSC issue is emotional for them, too. – In a
meeting at the POEA with OFW advocates and land-based recruitment industry
leaders, the MIAA assistant general manager countered that this issue is
emotional for them as well, and not just for the OFWs. They stressed on how
difficult it was to get the nod of airline companies for this new integration
policy. They also pointed out how MIAA is losing millions in revenue because of
the exemption provision for OFWs. Though quick to say that they respect and
recognize the contributions of OFWs, comparing their situation as public
officials to that of millions of OFWs is quite misguided, if not downright
silly. Do they scrub toilets to be able to send money back home? Or, spend
Christmases, anniversaries, New Years away from their loved ones? Legislators
who sincerely believed that our OFWs are modern-day heroes authored this
provision decades ago, to be exact, in 1995. For OFWs, taking away this benefit
through a memorandum circular without benefit of consultations while citing how
the IPSC is such an emotional issue to government, betrays the spirit of the
law and the intention of our legislators. How sad that just because the airline
companies have agreed to this new scheme, the OFWs are now under pressure to
comply and give up on a benefit that they’ve been enjoying since 1995.
8.
Institutional
reforms require laws, because well-intentioned officials will not always be
around. – The Aquino administration ends its mandate on 2016, and as is
often the case, a new administration appoints its own people at the helm of key
government offices. While MIAA attests that the Trust Fund comprising
non-refunded terminal fees will be used solely for that purpose, what would
prevent a new set of officials from merging these funds with those under the
General Appropriations thus diminishing accountability and transparency? This
has happened in the past when a board resolution led to the merging of the OWWA
Medicare funds with PhilHealth funds without transparency and accountability
measures in place. For this to happen to the terminal fees of OFWs shall be
doubly painful because they are precisely exempted from paying such fees in the
first place.
Our appeal to the DOTC and MIAA is to
suspend the implementation of the IPSC policy until such time that:
o
Proper,
direct, and broad consultations are made with OFWs in various countries in
collaboration with our embassies and consulates with full transparency through
public documentation of the same;
o
All OFWs,
regardless of where and how their airline tickets are purchased, would be able
to obtain their exemptions upon showing proof of their status as OFWs such as
presentation of the OEC upon point of purchase thus removing the need for
refunds; and,
o
The law is
amended to reflect the new policy of the DOTC and MIAA and to provide for the
creation of a special fund as well as proper jurisdiction over the fund for
regulatory and accounting purposes.
