Legal and Policy Foundations Supporting the Sector
- Builds on Republic Act No. 9295 which encourages development of a viable ship building and repair industry.
- Highlights the importance of collaboration between government and private sector for accelerated development.
- Relates to RA 8042, mandating the state to continuously create local jobs and promote equitable wealth distribution.
- Acknowledges constitutional rights under Section 3, Article XIII concerning business policies that protect reasonable returns and growth.
Development Priority and Government Support (Section 1)
- Declares the growth of ship building and repair as a key industrial development objective.
- Full government support for foreign and local investments in the sector.
- Recognizes the sector's role in generating employment, modernizing industry, and enhancing productivity via technology and management know-how.
Training and Employment of Filipinos (Section 2)
- Emphasizes training and continuous employment of Filipinos in duly registered ship building and repair entities.
- Launches the "Filipino Investing in the Philippines" program for free skills training tied to exclusive employment commitments.
- Program duration: effective immediately and lasting five years.
- Filipino workers’ adherence to contractual commitments is stressed; breach such as overseas deployment is considered against national interest.
- Entitles skilled Filipino workers under this program to incentives as provided by law.
Protection of Trade Secrets and Confidential Information (Section 3)
- Recognizes the right of registered entities to adopt employment policies safeguarding trade secrets, formulas, strategies, and confidential information.
- Such protection is subject to existing legal provisions.
Establishment of Ad Hoc Committee for Sector Development (Section 4)
- Formation of a comprehensive development plan led by an Ad Hoc Committee chaired by MARINA Administrator.
- Members include representatives from NEDA, DOF, DOJ, DTI, DOLE, DPWH, DENR, PEZA, SBMA, and PCG.
- Committee tasked to submit development program within 60 days from the EO’s effectivity.
Institutional Assistance and Support (Section 5)
- Government agencies are tasked to assist registered entities in availing fiscal and non-fiscal incentives.
- Includes facilitating registration as a preferred pioneer industry under the Board of Investments.
- Directs cooperation and administrative support from NEDA, DOF, DOJ, DTI, DOLE, DPWH, DENR, MARINA, PEZA, SBMA, PCG, and others.
- Ensures timely, effective implementation of the EO for entities and Filipino trainees/employees.
Separability Clause (Section 6)
- Provides that any unconstitutional provision shall not invalidate the entire EO.
- Other provisions remain effective as long as they can subsist independently.
Repeal Clause (Section 7)
- Revokes or modifies all presidential issuances, administrative rules, or regulations inconsistent with this EO.
Effectivity Clause (Section 8)
- EO takes effect immediately upon issuance.