Public opinion on business and labor reform bill sought
The House committee on commerce and tourism is starting to consolidate public concerns on the proposed legislative measure that will lift the limit on the number of nonresident workers and garment factories in the Northern Marianas.
According to committee chair Rep. Florencio T. DL Guerrero, a public hearing will be conducted Tuesday next week to solicit popular opinion on the legislation sponsored by House Speaker Ben Fitial.
Mr. Guerrero said the House committee on tourism, to which the Omnibus Labor and Business Reform Act of 2000 was tossed for review, will receive oral and written testimonies from the private sector during the public hearing at 1:00 p.m. at the House Chamber.
House Bill 12-039 has the backing of the islands’ business community. It was drafted and introduced to primarily allow economic growth in the CNMI.
Mr. Fitial said sufficient safety nets have been properly incorporated in the proposed measure to protect indigenous workers while eventually eliminating their reliance on government jobs.
HB 12-039 requires garment manufacturing companies to provide the necessary training to a U.S. citizen in the position for which he or she is employed.
The bill guarantees that the business licensing agency shall not issue any business license for the purpose of garment manufacturing unless the company’s operations employs at least 20 percent U.S. citizens.
Mr. Fitial’s move to lift the cap on the number of garment companies in the CNMI is backed by a report prepared by the Bank of Hawaii last year which recommended that garment makers maximize their operational capacities and production within legal framework while they still can.
CNMI is likely to lose its unique advantages when changes in tariffs, import duties and subsidies take place as a result of trade liberalization in six years. It will eventually force garment makers to seek other low-cost markets.
According to the House Speaker, his bill will ease restrictions that curtail economic growth in the islands. The legislation has the support of business organizations like the Saipan Chamber of Commerce, the Hotel Association and the Garment Manufacturers Association. (Aldwin R. Fajardo)