Senator Joel Villanueva says he supports the creation of a consolidated list of foreign workers in the country, particularly those employed in the Philippine offshore game corporations (Pogo), to enable the government collect taxes and monitor the number of foreign workers here.
He was reacting to reports the government was being defrauded with billions of pesos in revenue to uncollected income tax from foreign workers.
Villanueva cited the statement of Finance Secretary Carlos Dominguez III that the country was losing at least P3 billion in tax revenues each the offshore gaming industry.
Because of this, Villanueva urged the Department of Labor and Employment and the Bureau of Immigration to coordinate in controlling the number of foreign workers to the country, as there are many unemployed Filipinos.
“If the Department of Finance estimate is correct, then we have been losing a lot of badly needed revenue. This is disappointing, considering that the agency responsible for regulating gambling seems to be missing out a lot when it comes to overseeing the industry,” Villanueva said in a statement.
The senator, who is also chair of the committee on labor, employment and human resources development, said that “if foreign workers want to work here, they have to follow our laws.”
“They must pay the right taxes. They must secure the necessary working permits. They must obtain a proper working visa,” the solon said.
Villanueva said the government recognizes the benefits from the transfer of knowledge and technology which are brought in by foreign workers, but said “we do not oppose their entry for as long as they come to our country with proper documentation and undergone the right process as required by the DoLE and BI.”
“At the moment, this budding industry generates employment, but not for our kababayans. Sino ba dapat ang nakikinabang sa sitwasyong ito? Dapat tayong Pilipino ang nakikinabang,” he added.
Data from the DoF which showed that around 103,000 foreign workers are employed in 205 offshore gaming service providers.
According to the DoF, these foreign workers are paid an average of P78,000 a month and from the average income tax rate of 25 percent, each worker should pay about P18,750 in income tax every month.
Villanueva said that during the committee hearing conducted last February, “the Philippine Amusement and Gaming Corporation representative admitted that the agency does not monitor foreign workers employed in offshore gaming operators and service providers which they accredit and license.
“This is clearly inconsistent with its policy of requiring all gaming facilities accredited by Pagcor to ensure that all personnel who participate in gaming operations have a valid gaming employment license,” he added.
GEL, he said “is an authorization issued by Pagcor granting a person the privilege to be employed as a gaming employee within the Philippine jurisdiction.”