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Wednesday, April 24, 2024

Travel firms ask gov’t to help subsidize workers’ pay

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A group of travel agencies asked government’s assistance for the industry’s survival and recovery.

The Philippine Travel Agencies Association sent a letter to Tourism Secretary Bernadette Romulo-Puyat containing proposals that the government include the travel sector in the proposed economic stimulus package amid heavy losses due to the coronavirus disease 2019 pandemic.

The group the operations of members were at risk with the continuation of the enhanced community quarantine.

“As you are already aware, the travel agents and tour operators have been badly affected. We are bleeding, and we will continue to bleed for an undetermined length of time with all the uncertainties,” said PTAA president Ritchie Tuaño.

The group sought the assistance of the Tourism Department for a favorable endorsement of their request to concerned government agencies.

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The PTAA divided the proposals into “survival recommendations” to cover the remainder of the year and “recovery recommendations,” which will run until December 2022.

It asked the government to defer corporate income tax payments of their members this year to April 2021. They are also seeking corporate income tax and value added tax holiday this year for their members, along with the withholding of taxes on salaries and professional fees.

The group also sought a 50-percent to 75-percent subsidies on the salaries of their members’ employees until the end of the year, citing the model being used in Singapore.

It pushed for a waiver on both employees and employer’s contribution to the Social Security System, Home Development Mutual Fund and Philippine Health Insurance Corp. without prejudice to the benefits of their employees.

The association is seeking a waiver or significant discounting on office rentals of their members until the end of the year, up to 30-percent discount on utilities payments, the granting of soft loans at low interest payable over two years and a moratorium on outstanding bank loans until end of the year.

The PTAA has 525 members across all sectors of the tourism industry operating nationwide.

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