When they are unhappy or very uncomfortable with the direction being taken by government policies or with the trend in the quality of national governance, businessmen issue warnings to the government. The businessmen of this country are no exception. Recently the administration of Rodrigo Duterte was at the receiving end of a warning from one of the largest—and arguably the most influential—groupings of Philippine businessmen, the Makati Business Club (MBC).
The subject of the latest MBC warning was the drive of the House of Representatives and the Duterte administration to remove Maria Lourdes Sereno from the position of Chief Justice of the Supreme Court. The committee on justice of the lower chamber of Congress recently voted to recommend the impeachment of Chief Justice Sereno to the full House of Representatives, and the Office of the Solicitor General (OSG) has filed with the Supreme Court a quo warranto petition questioning right to remain as this country’s chief magistrate.
In its latest warning to the Duterte administration MBC expressed concern about the implications of the OSG action for this country’s investment climate. “It is absolutely essential for businesses that laws and contracts be upheld for them to invest and create more jobs, which is what will ultimately reduce poverty in a sustainable way,” MBC declared. Respect for the rule of law is absolutely essential for businesses to keep on investing, it said.
What would constitute respect for the rule of law, and what would constitute disrespect for it? MBC offered the quo warranto proceeding as an answer to the first question and its withdrawal as an answer to the second.
MBC firmly believes that the impeachment action in the House of Representatives is the lawful approach to the removal from office of Maria Lourdes Sereno. The Chief Justice of the Supreme Court is one of the high government officials indicated by the Constitution as being removable from office through trial by the Senate after impeachment by the House of Representatives. The manner of removing Chief Justice Sereno should be the process decreed by the Constitution, MBC averred. “Regardless of the outcome of the process, giving the Chief Justice the chance to defend herself within our Constitutionally defined process is essential to demonstrate this country’s respect for the rule of law and to assure all Filipinos that we are protected by our laws.” Not giving her such a chance would give rise to unfavorable implications for investor sentiment about the Philippine investment climate, MBC said.
MBC’s warning about the move of the OSG has come on the heels of a warning it issued to the government—the Duterte administration and the House of Representatives—regarding the succession of impeachment complaints filed against high-ranking government officials. It said then that the complaints would “negatively affect investors’ perception on the economic and political stability of our country.” The cases, it said, needed to “be substantiated by strong evidence … and not supported by mere accusations or anecdotes.”
Can the government—the Executive Department and Congress —afford to ignore the MBC’s warnings? This question is best answered by reference to what happened to the Philippine economy and the martial-law administration of President Ferdinand E. Marcos when the MBC’s 1970s and 1980s warnings were ignored.
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