Trade Secretary Ramon Lopez, chairman of the Philippine Economic Zone Authority (PEZA) board, yesterday said enterprises registered with PEZA will have to comply with the order to resume 100-percent onsite operations by April 1.
In a statement, Lopez reiterated provisions of PEZA Law as well as of the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act require all registered business enterprises (RBEs) to operate within the ecozones and that the decision of the Fiscal Incentive Review Board to allow 90- percent work-from-home until March 31 was a temporary measure under the CREATE Act.
“Given the significant reduction in COVID-19 (new coronavirus disease 2019) cases and the general economic recovery strategy to enjoin all businesses to do more onsite operations to encourage the revival of the other sectors, particularly the micro, small and medium-sized enterprises around offices, there has been a decision not to extend the 90-10 WFH arrangement. Companies registered with PEZA are required to resume onsite operations,” Lopez said.
Lopez added the PEZA Law and CREATE Act will have to be amended if PEZA RBEs intend to adopt a hybrid WFH arrangement especially if justified by the nature of their operations such as service-exports.
“PEZA-registered companies will have to abide by the applicable regulations in the definition of `export enterprise’ under the PEZA Law and the CREATE Act,” he added.
Lopez said the Strategic Investment Priority Plan (SIPP) will not include a provision allowing 50:50 WFH arrangement since this is not provided for by CREATE.
“The SIPP cannot allow what is not allowed under the law,” he added. – Irma Isip
