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Why OFW reintegration is important for Philippine employers

Published Sep 26, 2023 10:03 am

The effects of the COVID-19 pandemic have debilitated a wide gamut of our lives from the economic, social, cultural, and even psychosocial perspectives. Brick-and-mortar stores closed down due to a lack of demand, multinational corporations have to retrench their employees overseas, and employment in the domestic market has dwindled dramatically as the economy melted down due to the lack of movement. Along with the global economic meltdown, the effect of mass and unplanned return of Overseas Filipino Workers (OFW) in the Philippines posited both a challenge and an opportunity for the government and the private sector.

Primarily, reintegrating returning OFWs into the domestic workforce during an economic standstill is a tall task to deliver. Interestingly, this situation also presents an opportunity: a great number of skilled workforce returning to the Philippines means the employers in the domestic sphere can utilize a more competitive workforce who has gone and experienced global standards and services. However, reintegration can still be an arduous and multifaceted process that needs to be properly addressed by the government and supported by the private sector, which is the biggest employer for returning modern heroes like the OFWs. Hence, why is reintegrating returning OFWs important for Philippine employers?

There are several strategies that the government and organizations can use to reintegrate OFWs into the domestic economy:

1.    Skills training and development: OFWs can be provided with training programs that will enhance their skills and make them more competitive in the domestic job market. 
2.    Job placement services: The government and organizations can provide job placement services to help OFWs find employment in the domestic market. 
3.    Entrepreneurship support: OFWs can be encouraged to start their own businesses through entrepreneurship programs that provide training, mentorship, and access to capital. 
4.    Financial education and support: OFWs can be provided with financial education and support to help them manage their finances and make the transition from working abroad to working in the domestic market. 
5.    Social protection: OFWs and their families can be provided with social protection programs to help them adjust to life back in their home country.

The specific approach will depend on the needs of the OFWs and the resources available in the country. However, these strategies alone are insufficient and sometimes focus only on the economy. At the same time, there are cases where contextualized and special interventions are needed that delve into the humanitarian dimension, especially for those who were victims of abuse or violence, survivors of HIV/AIDS, and OSH victims or accidents. As such, the International Labor Organization (ILO) and local organizations, have worked together to identify and formulate five common pathways of reintegration and one pathway for return (re-migration) to ensure that these workers can be taken back into the domestic fold at the appropriate program and context. The pathways identified which echo the global strategies are:

●    Pathway 1: Reintegration through employment in the Philippines
●    Pathway 2: Reintegration through skills development; this can be towards employment or livelihood or business in the Philippines
●    Pathway 3: Reintegration through entrepreneurship or business or investment in the Philippines
●    Pathway 4: Reintegration of survivors of violence, trafficking or abuse, HIV/AIDS, OSH victims or accidents
●    Pathway 5: Reintegration as retirees
●    Pathway 6: Re-migration abroad (not yet ready for reintegration)

In that light, it is important to consider how OFW Reintegration is important for Philippine employers as it anchors on three advantages that employers might capitalize on. First, reintegration is a healthy indicator that the domestic economy has created ample opportunities for returning OFWs. It stems from sound policies from the government that open avenues for employers to absorb returning workers. It also calls for more employers to work on programs that can benefit their business but also in consonance with reintegration pathways.

Second, most OFWs are highly skilled workers who qualify for global employment standards. It connotes the reverse cycle of "brain drain," where skilled workers can be reintegrated into our domestic workforce, which promotes better standards and quality. This means that a globally-trained worker qualifies to do more and provide more support for the company, thereby creating a literate, innovative, and adaptive workforce.

Finally, reintegration can also be beneficial to employers if the government can incentivize it. Past administrations have geared toward globalization trends whereby the Philippines have OFWs as their "number one export." However, others tend to be protectionist in their stance. Enacted policies that have incentivized the absorption or reintegration of OFWs into the local workforce through competent employers would indeed create a more conducive environment for the reintegrating workers and the resilient employers of the country. This should provide ample reason why OFW reintegration can be an asset and an opportunity more than being just a challenge for the Philippine economy and the employers.

ECOP is closely working with the ILO and the government on how it, together with industry associations and other business groups across the country, may contribute to the success of each of the pathways. ECOP, for its part, continues its work in the areas of job creation and preservation as well as skills development.


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The author Sergio R. Ortiz-Luis, Jr. is ECOP president. 
 

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