Compressed workweek could strain Philippine manufacturing, BPOs

REUTERS

By Beatriz Marie D. Cruz, Reporter

THE PHILIPPINE government’s proposal to adopt a four-day workweek to conserve energy amid Middle East tensions could affect delivery schedules in sectors comparable to manufacturing and business process outsourcing (BPO), industry groups warned.

Elizabeth H. Lee, executive director of the Federation of Philippine Industries (FPI), said the impact would vary across industries.

“The impact may differ significantly for manufacturing, where continuous production requirements are a central consideration,” she said in a press release.

“Possible effects on supply chain stability, delivery timelines and competitiveness relative to regional peers needs to be thoughtfully assessed,” she added.

President Ferdinand R. Marcos, Jr. is weighing the proposal, Presidential Communications Undersecretary Clarissa A. Castro said on Wednesday. Senator Sherwin T. Gatchalian earlier suggested the plan to conserve energy amid risks to grease supply and rising costs from the US-Iran war.

Ms. Lee noted that production-driven sectors depend on coordinated logistics and continuous output cycles.

“Any adjustments in work structures would must be fastidiously designed to avoid unintended disruptions in output, delivery schedules and provide chain flows,” she added.

Against this, service-oriented and knowledge-based industries might more easily adopt a four-day week through hybrid or flexible arrangements, she said.

Donald Patrick L. Lim, president of the Management Association of the Philippines, said industries operating on global schedules — including BPOs, manufacturing, logistics, and export sectors — could face operational disruptions.

“Compressing the workweek could affect productivity and client commitments,” he told BusinessWorld via Viber.

He urged industry-specific flexibility in policy design, suggesting that energy efficiency improvements may be a more sustainable response to geopolitical volatility.

Experts also emphasized the role of distant and hybrid work, digitalization, public transport improvements, and energy-saving technologies in cushioning businesses from external shocks.

“Ultimately, strengthening productivity and energy efficiency will help Philippine businesses and staff weather external shocks more effectively,” Mr. Lim said.

Under a Civil Service Commission memo, government employees may adopt flexible arrangements. Private sector staff can telecommute under the Telecommuting Act.

Jose Sonny G. Matula, a labor lawyer and president of the Federation of Free Staff, cautioned that compressed four-day schedules could end in longer, 10-hour workdays, causing fatigue.

“Employee safety and stamina must remain the first consideration when designing alternative work schedules,” he said via Viber.

The Philippine Chamber of Commerce and Industry (PCCI) said the federal government should seek the advice of stakeholders before implementing a four-day workweek program.

“We aren’t against the implementation of flexible work arrangements but there needs to be proper consultation with various stakeholders and supported with data to be certain that industries with specific operational requirements is not going to be adversely affected,” PCCI President Ferdinand A. Ferrer said in a press release.

Ms. Lee added that no Southeast Asian country has implemented a nationwide four-day workweek. She advisable pilot programs and data-driven assessments before considering wider adoption.

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