Question & AnswerQ&A (EXECUTIVE ORDER NO. 588)
The development of the ship building and ship repair sector is included in the President’s Ten-Point Legacy Program and the Medium Term Philippine Development Plan of 2004-2010.
Executive Order No. 588 cites Republic Act No. 9295 as encouraging the development of a viable ship building and ship repair sector supportive of the shipping industry.
It is a program launched to encourage skills training and development for Filipino citizens by duly registered ship building and repair entities, ensuring their continued and exclusive employment for five years, aiming to create a world-class and competitive industry.
Filipino workers are encouraged to adhere to their contractual commitments with the registered entities, and overseas deployment or breach of contract is considered prejudicial to the national interest.
The Ad Hoc Committee is chaired by the Maritime Industry Authority (MARINA) and includes representatives from NEDA, DOF, DOJ, DTI, DOLE, DPWH, DENR, PEZA, SBMA, and the Philippine Coast Guard.
The right to adopt reasonable employment policies to guard trade secrets, manufacturing formulas, strategies, and other confidential information from competitors is recognized.
They are directed to assist these entities in availing all applicable fiscal and non-fiscal incentives, including registration as preferred pioneer industries under the Board of Investments, as well as provide administrative and institutional support for effective implementation of the Executive Order.
It provides that any portion declared unconstitutional shall not nullify the other provisions of the Executive Order as long as the remaining parts can still be given effect.
The Executive Order took effect immediately upon its signing on December 8, 2006.