PHILIPPINE RETAILING NEWSLETTER 2017 PRA Newsletter 2017 3RD Quarter | Page 3

3RD QUARTER, 2017 PRA makes retail’s voice heard in retail-related bill hearings Philippine Retailers Association President Atty. Paul A. Santos has been active in participating in public hearings of pending bills affecting the retail industry to let the retailing industry be heard and considered in passing new regulations. “will firm up the gains of consumers, both buyers and recipients of gift checks, from Department Trade and Industry orders issued for the same purpose since July 12, 2014.” Tax Reforms Public Hearing In a public hearing he attended last month on the proposed sugar-sweetened beverages tax which is part of the House Bill 5636 or the Tax Reform for Acceleration and Inclusion (TRAIN) Act, President Santos expressed the PRA’s support to the position that the proposed excise tax of sugar-sweetened beverages should be based on the actual sugar content as opposed to the per-volume based stated in the House Bill 5636. “The PRA believes that the proposal, considering the interests of all stakeholders, is fair since its purpose include revenue generation and health promotion,” he added. Also included in HB 5636 is the issue on Interconnectivity (Proposed Issuance and Reporting of Electronic Receipts and Sales/Commercial Invoices and Electronic Real-Time Reporting System), which was discussed early September. The Senate Committee on Ways and Means said it will consider all of stakeholders’ position and views and points will be regarded in drafting the proposed tax reforms. Non-expiry of Gift Checks Another issue that the PRA has been following is the proposed act on “non- expiry of gift checks”, in which the PRA has earlier proposed to increase the validity for five years instead of totally removing expiry. However, Senate Bill 1466 or the Gift Check Act of 2017 has been passed on Second Reading in the Senate last month, in which Senator Juan Miguel Zubiri said defined by the bill. The bill however excludes from the no-expiry date the following: GCs issued to customers “under loyalty, rewards or promotional programs, as determined by the DTI” and coupons and vouchers as To offer equal protection for issuers and accredited merchants the bill provided for instances when the GC may not be honored, such as when the gift check is lost due to no fault of the issuer or when the gift check is mutilated or defaced due to no fault of the issuer and such damage prevents the issuer from identifying the security and authenticity features thereof. Based on the bill’s definition, a coupon or voucher is “any instrument issued to any person, natural or juridical, for monetary consideration or otherwise, that entitles the holder to a discount off a particular good or service, or that may be exchanged for a pre-identified good or service specified on the instrument.” Bills to end “ENDO” The House of Representatives on the other hand has formed a technical working group to consolidate 25 pending bills pertaining to “endo” which will include the authors of the bills, representatives of the different labor groups, the Department of Labor and Employment (DOLE), Department of Trade and Industry (DTI), and other concerned agencies to consolidate these bills. PRA has earlier expressed its opposition to the total ban of contractualization and stressed that upon passage, will likely prevent local retailers from quickly responding to changing economic and business conditions as well as may restrain innovation and discourage entrepreneurs from implementing new business models in the future, hindering job creation. PRA’s Women leaders hailed in international awards The Philippine R e t a i l e r s Association (PRA) Vice Chairman Ma. Alegria “Bing” Sibal-Limjoco was named as one of the a w a r d e e s of the 2017 International W o m e n ’ s Entrepreneurial C h a l l e n g e ( I W E C ) Foundation, while PRA Secretary General Evelyn Balmeo-Salire was named as one of the Association Executives of the Year in the first-ever APAC 2017 Industry Association Awards. Limjoco’s and Salire’s latest recognitions have scored PRA another victory as an organization managed by multi-awarded women whose leadership are not only recognized locally, but also in the international arena. IWEC is a New York-based non-profit organization whose mission is to connect and develop a global network of successful women business owners. The APAC Industry Association Awards program on the other hand honors individuals and associations across Asia and the Pacific Region that are making significant contributions to the improvement of their communities. In its statement, APAC 2017 Industry Association Awards said it has chosen Salire as an awardee for her exceptional transformational leadership in making PRA into an excellent organization that is true to its mandate of delivering to its members and stakeholders a culture of professionalism in association management and making a significant contribution making members more globally-competitive. Last year, Limjoco was also recognized by the Philippine Council of Associations and Association Executives (PCAAE) “Ang Susi” page 4 3