Subic Bay: 32 Years of Economic Growth and Inclusive Employment

Thirty-two years after its establishment in 1992 under Republic Act 7227, the Bases Conversion and Advancement act of 1992, the Subic Bay Metropolitan Authority (SBMA) stands as a testament to economic success and job creation.The Subic Bay Freeport Zone (SBFZ) now boasts nearly 1,800 local and foreign companies, creating a thriving economic ecosystem across maritime, logistics, tourism, and manufacturing sectors.

SBMA’s commitment to inclusive employment is evident in its recent partnership with the Department of Justice—Parole and Probation Management (DOJ-PPA).This collaboration focuses on reintegrating parolees, probationers, and pardonees into the workforce, providing second chances and contributing to a more equitable society. This initiative aligns directly with President Ferdinand Marcos Jr.’s campaign for second chances for persons deprived of liberty (PDLs).

President Marcos has actively championed the cause of PDLs, directing the DOJ to facilitate the release of qualified individuals to alleviate overcrowding in correctional facilities. “Wala silang magaling na abogado. That is why we are in favor now to release many of them,” President Marcos stated during a recent Cabinet meeting,highlighting the systemic issues contributing to incarceration. He emphasized the importance of supporting PDLs’ reintegration into their families and society, stating, “They just needed representation to set them free,”.

The Philippine Development Plan 2023-2028 reflects this commitment,outlining provisions for livelihood opportunities and training for PDLs. The plan also proposes tax incentives and other forms of recognition for businesses employing former PDLs and exploring the viability of expunging criminal records to reduce the stigma associated with incarceration. The plan further calls for a unified, multi-disciplinary reintegration strategy focusing on behavioral betterment, skill development, mental health, social functioning, and access to education and employment.

As of October 2024, the Bureau of Corrections (BuCor) has released 16,657 PDLs under the Marcos governance, including 783 in March and 706 in February of this year. The president has also mandated the Justice Sector Coordinating Council to streamline and digitalize records and services to expedite jail decongestion, stating, “By embracing technology and innovative practices, we can enhance our efficiency, reduce delays, and ensure swift and fair legal proceedings,”.

The SBMA’s workforce reintegration program directly addresses the challenges faced by PDLs upon re-entering society. SBMA Chairman Eduardo jose L. Aliño emphasized the program’s significance, stating: “Being a parolee, probationer, or pardonee often subjects individuals to societal judgment and exclusion. though, they deserve the opportunity to work, provide for their families, and reclaim their dignity,”. He further highlighted the societal stigma associated with a criminal record, adding, “If you are a parolee, probationer, or pardonee, some people will view you for your past actions and not what you are trying to become,” and emphasizing that “they should not be denied their right to work and provide financial support to their families.”

The Memorandum of Agreement (MOA) between SBMA and DOJ-PPA outlines a joint workplace reintegration program,including a skills registry for matching PDLs with suitable employers. PPA Administrator Atty. Bienvenido O. Benitez Jr. expressed gratitude for SBMA’s pioneering role, noting that under the MOA, parolees, probationers, and pardonees are referred to as “clients” to mitigate stigma. He underscored the program’s dual purpose: creating employment opportunities and restoring hope and stability to former PDLs and their families.

SBMA’s Labor Department manager,Atty.Melvin Varias, confirmed that parolees have been referred to the department since October 2024 for skills assessment, aiming to create more inclusive hiring practices. Several companies, including Pencil and Stationery Products Manufacturers Inc., Fusion Integrated Service Coop, and others, have already signed up for the initiative. Atty. Ramon O. Agregado, SBMA’s Senior Deputy Administrator for Support Services, emphasized the organization’s commitment, stating: “We will facilitate the endorsement of potential and qualified clients through a Register of Eligibles (ROE) to Subic Bay Freeport Zone locator companies under the workplace Reintegration Program,”.

The program, a continuing project, will not establish an employer-employee relationship between SBMA and the clients but rather a partnership with DOJ-PPA. clients remain personally liable for any injuries or damages caused by their own negligence. Future expansion plans include collaborations with Clark Development Corporation (CDC) and John Hay Management Corporation (JHMC).

Beyond the WRP, SBMA offers educational opportunities to employees and their families, as exemplified by Edward Michael Santiago’s story of obtaining a college degree through an SBMA scholarship.A 2022 agreement with the Technical Education and Skills Development Authority (TESDA) established a training institution in the Freeport Zone, providing skills training in various sectors.

SBMA’s continued success is attributed to its ability to attract global investors through world-class infrastructure,tax incentives,and a skilled workforce. In 2024, Sanyo Denki completed a PhP 2.3 billion Phase 4 expansion. Looking ahead, SBMA focuses on attracting green industries and technology-based companies, investing in the next generation of workers through partnerships with educational institutions and aligning with President Marcos Jr.’s “Build Better,More” program.

From its origins as a naval base to its current status as a thriving economic hub, SBMA’s journey exemplifies the power of community vision and inclusive development. Its commitment to innovation, inclusivity, and enduring development ensures its continued role as a cornerstone of the philippine economy.

Title: Subic Bay’s Economic Transformation: A Model for Inclusive Growth and Reintegration of Justice-System Individuals

Subheading: the Synergy of economic Prosperity and Social Duty

Editor: In recent years, the strategy of marrying economic progress with social reintegration has emerged as a trailblazer in global economic models. Can you shed light on how Subic Bay Metropolitan Authority (SBMA) intertwined job creation with the societal reintegration of individuals from the justice system?

Expert: Subic Bay’s transformation from a naval base to a thriving economic and employment hub exemplifies innovative inclusivity at its finest. At the heart of this transformation is the SBMA’s focus on leveraging economic growth as a vehicle for social rehabilitation, notably through the workplace reintegration program (WRP) with the Department of Justice—Parole and Probation Management (DOJ-PPA).

This initiative places second chances at its core by providing employment opportunities for parolees, probationers, and pardonees. By establishing a partnership,SBMA aims to address systemic incarceration issues while fostering economic development. This dual-purpose approach not only builds a robust workforce but also integrates societal healing, leading to more conscious economic ecosystems.

the commitment to rehabilitation through employment aligns with the broader economic activities in Subic Bay, especially in sectors like manufacturing, logistics, and tourism. These sectors benefit from added labor resources while contributing to the smoother social reintegration of individuals seeking a second chance.Real-world examples of successful reintegration can be seen in companies like Pencil and Stationery Products Manufacturers Inc., who have actively participated in hiring through such initiatives.

Editor: How does this integration of economic policy and social justice at Subic Bay reflect in the broader Philippine Development Plan 2023-2028,and what implications does it have for developing similar models in other countries?

Expert: The Philippine Development Plan 2023-2028 is a testament to a national commitment towards balanced progress,emphasizing sustainable economic growth,social justice,and rehabilitation. The plan outlines specific strategies for providing livelihood opportunities and training programs targeting people deprived of liberty (PDLs). This includes tax incentives and potential criminal record expungement policies, aimed at reducing the stigma associated with incarceration.

Countries looking to replicate this model can observe the critical components of Subic Bay’s strategy: an integrated policy framework,collaborative governance involving multiple governmental branches,and community-centric development and job creation initiatives. Moreover, the emphasis on behavioral betterment and skill development within these programs ensures that individuals are not just re-entering the workforce, but are equipped for long-term success.

Beyond the Philippines, international economic zones considering similar programs can learn from Subic’s multi-disciplinary reintegration strategy. Key takeaways include prioritizing inclusive employment, creating supportive legal frameworks, and investing in skills training. these methods can significantly enhance both the economic and social fabric of any region.

Editor: Reflecting on SBMA’s growth and partnerships, what role do global investments and forward-thinking local policies play in achieving such a sustainable and inclusive development?

Expert: At the core of Subic bay’s success are its world-class infrastructure and an inviting environment for global investors, driven by meaningful tax incentives and a highly skilled workforce. The area’s ability to draw significant investments from international companies, such as Sanyo Denki’s major expansion, showcases its attractiveness as a business hub.

the synergy between global investments and local policies plays a pivotal role in constructing a sustainable economic ecosystem. SBMA’s forward-thinking policies like the WRP and its collaboration with institutions like the technical Education and Skills Development Authority (TESDA) promote a future-oriented workforce. This forward-planning not only attracts global investors but also ensures the local population benefits from economic advancements.

For any region eyeing similar development, securing global partnerships while strengthening local policies is essential. Policymakers should focus on infrastructure upgrades, education and skills training, and investor-kind frameworks to create an environment ripe for long-term sustainable growth and social benefits through inclusive employment practices.

Editor: what are the future prospects for Subic Bay, and how does it continue to align with President Marcos Jr.’s “Build Better, More” program for national development?

Expert: Looking ahead, Subic Bay is set to further secure its place as a dynamic economic hotspot. The focus on green industries and technology-based companies aligns seamlessly with President Marcos Jr.’s “Build Better,More” initiative,which champions sustainable and technologically advanced infrastructure development.

This alignment ensures SBMA’s role in pioneering environmentally conscious industry practices while expanding educational opportunities. The addition of collaborative efforts with institutions like Clark Development Corporation and John Hay Management Corporation underscores an intent to amplify this trajectory. Emphasizing green tech and innovation, Subic Bay stands to become a leading model for sustainable development sectors globally.

Ultimately, Subic Bay’s journey epitomizes how visionary planning driven by innovation and inclusivity can propel a region to becoming economic and social role models worldwide.

Editor’s Closing Statement: It’s awe-inspiring how subic Bay has harnessed economic prosperity as a conduit for social progress. As readers reflect on this dynamic interplay between economic growth and societal inclusivity, we welcome your thoughts and discussions in the comments below. What lessons can other regions learn from Subic Bay’s strategy to craft a more inclusive and prosperous future? Share your views and join the conversation on social media.