Mass lay-off and not revolutionary taxation is behind the closure of the Eastern Visayas Seafoods Corporation

Ka Dodong Malaya
Spokesperson
Mt. Amandewin Command
New People's Army - Leyte Island
November 22, 2004

The Mt. Amandewin Command-New People's Army-Leyte Island sympathizes with the 201 workers who were forcibly dismissed with the closure of the blue-crab canning factory of the Eastern Visayas Seafoods Corporation (EVSC) last Nov. 12 in Ormoc City, Leyte. It is the height of capitalist arrogance for the EVSC to arbitrarily shut down and dismiss its workers, who were thrown into the streets without a cent for the coming Christmas tradition and the future, at a time yet when the country is in the throes of grave socio-economic crisis. It is malicious, a gross distortion, and completely false for EVSC to allege that it was forced to close due to threats from the Mt. Amandewin Command. The main reason for EVSC's hasty shutdown is its greedy self-interest in evading the payment of the 13th month pay of its workers totaling nearly P1 million. To deflect the wrath of the workers and the sympathetic public, the EVSC pretends to come clean and blames what it maligns as "extortion" by the revolutionary movement.

An American is the majority owner of EVSC, which earns an annual gross income of P49.92 million from processing and canning blue crabs (lambay in Cebuano) from Samar and Bohol. While being highly productive since beginning operations last 2003, the EVSC still sought the incentive of a tax holiday or exemption from paying an annual gross income tax to the reactionary government. But while the corporation could afford to pay P1.7 million in taxes to the local government, it had nothing but niggardly regard and extreme exploitation for its workers.

When it was still open, many of its workers, who were mainly women, had no job security as victims of the anti-labor policy of contractualization. Worse, the EVSC gave mere alms to temporary workers hired to do the initial process of extracting the crabmeat: 50 centavos a day for those who were new at the task, and P5 pesos a day for those who were experienced. There were also complaints of health hazards from the unsanitary conditions and foul odor of the factory, not only by the workers but also from the residents who lived around the factory. The use of water was also monopolized by the factory while the faucets of the nearby residents went dry.

It is false for the EVSC to claim that it was being harassed by the revolutionary movement. The Mt. Amandewin Command never gave a Nov. 12 ultimatum to the EVSC for the payment of revolutionary tax. It is likewise untrue that Red fighters went to the factory and forcibly closed it. In fact, no negotiations were going on between the revolutionary movement and the EVSC. The EVSC was merely aware that it had a revolutionary tax obligation to the people's democratic government, as well as the right to negotiate.

To impose revolutionary taxation, principally on foreign capitalists, big businessmen and big landlords, is a legitimate function of the people's democratic government, as well as an implementation of political authority within its scope. Any enterprise that refuses to settle its revolutionary tax obligation will not be allowed to operate in the territories of the people's democratic government. There is a world of difference between revolutionary taxation and the reactionary taxation of the Arroyo government, where the taxes of the people are among P200 billion lost annually due to corruption. On the other hand, the revolutionary taxes go to socio-economic and welfare projects for the people, such as cooperatives, irrigation and potable water systems, people's clinics, and other community improvements in the countryside.

The EVSC's capricious closing of its factory in Ormoc City is a vulgar revelation of its contempt and loathing of the workers and the people. It is an aggravation of the foreign capitalist exploitation of the Filipino workers. Desperate to wash its hands off the incident, the EVSC slings mud at the people and their democratic government. It is just for the workers to continue fighting for their 13th month pay that the EVSC evaded. The EVSC remains answerable to the people of Leyte if it resumes operations after fleeing like a thief, having exploited our labor power and natural resources. #

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