The private sector must continue investing and hiring to help keep the economy growing amid accelerating inflation driven by external and domestic pressures, according to Philippine Stock Exchange (PSE) Chairman Jose Pardo.

Speaking before members of the Employers Confederation of the Philippines (ECOP), Pardo said businesses must resist the temptation to hunker down and wait out the current crisis before making their next move.

“The business sector has a crucial role right now. We must invest. We must hire,” he said during his speech at the 47th National Conference of Employers (NCE). “Better days are built, not waited for.”

Pardo, a former finance secretary, noted that the challenging environment brought about by global tensions, such as the conflict in the Middle East, and domestic issues, like the ongoing political turmoil in the Senate, are “par for the course” for businesses in the country.

Even so, he quipped that “the number that should be on every employer’s mind is not the number needed to unseat a Senate President, but the 7.2 percent inflation rate as of April 2026.”

Inflation, which measures the rate of increase in the prices of goods and services, rose to a three-year high of 7.2 percent in April on the back of higher costs for everyday products.

On top of rising input costs, Pardo said employers are being further squeezed by a discouraged workforce whose purchasing power is steadily shrinking.

In response, some employers are implementing measures such as compensation reviews, offering non-cash benefits, and shifting to more flexible work arrangements to help staff cut fuel costs.

However, Pardo emphasized that employers should take this a step further by advocating “loudly and clearly” for policies that curb inflation, build infrastructure, open markets, and protect small enterprises.

“What increased inflation numbers are telling us is that millions of Filipino workers are right now being asked to absorb a shock they did not build and cannot control. Our job as employers is not to pretend that away,” said Pardo.

“It is to respond to it with clear communication and compensation strategies that reflect reality, and the kind of leadership that makes people want to stay,” he added.

The PSE chair stressed that the private sector must ensure businesses remain intact and employees stay motivated to keep productivity strong, ultimately benefiting the wider economy.

“Employers have done hard things before. We did not get here by waiting for perfect conditions; we got here by making good decisions under pressure,” he said.

For businesses willing to invest, Pardo suggested a prime candidate for their capital is the proposed Luzon Economic Corridor (LEC)—a multi-government initiative that aims to generate stronger economic activity across Subic Bay, Clark, Manila, and Batangas.

He said the success of the LEC hinges on strong private sector participation, which, if executed well, could bring sustainable economic growth within arm’s reach.

During the 47th NCE, ECOP members agreed to push for policies that strengthen business enterprises, improve the investment climate, and generate economic growth and competitiveness amid global and local disruptions.

Among its resolutions is pursuing a shared vision and agenda for a future-ready, dynamic, resilient, and sustainable Philippine economy, workforce, and society.

ECOP is also pushing for the implementation of education, training, social protection, and just transition strategies required by the changing workplace.

Additionally, the group aims to address current and emerging challenges involving job displacement, skills mismatches, diversity and inclusion, business continuity, and supply and value chain resilience.