Enhancing the Implementation of Quezon City Ordinance No. 2512

Context

As of February 2024, Quezon City (QC) is home to more than 53,000 workers in the informal economy (WIE), constituting over 60% of households. While the parameters defining an “informal economy worker” continue to evolve, this generally encompasses individuals who are self-employed despite engagement in significant labor, possess capital below P10,000 and earn below minimum wage.

Additonally, data reveals that 63% of Quezon City households have an average monthly income of Php3,000 to Php7,000, indicating a significant population of residents that are informally employed.

Background of the Situation

The QC Ordinance No. 2512 sought to establish an Informal Economic Development Council (IEDC) that would ease the transition of workers in the informal economy (WIE) from informal to the formal economy by consolidating and providing the capacity building programs they would require, and supplying them with accessible financial support.

The ordinance was passed in 2016 and since then the IEDC has undergone further restructuring; including a transfer of secretariat or head of the council from the SSDD (Social Services Development Department) to PESO (Public Employment Service Office).

The members of the council include various departments, originally 17 departments, now 22 due to the restructuring.

However, the problem lies in all those departments having their own respective programs and initiatives with no centralization and clear line of access. This has resulted in dissonances between policy and execution, with IEDC having gone through drastic restructuring and realignment changes since its writing in 2016. Consequently, the scattered nature of the IEDC and lack of awareness of its various initiatives leave WIE disheartened.

Thus, with the lack of systematized support, the efforts to aid the informal economy struggle with disorganization, inefficiency, and inaccessibility. Ultimately, this affects the informal economy sector the most; that, despite existing initiatives from the LGU, the pursuit to mobilize a representative council does not meet its goals due to lacking awareness. The PPC aims to bridge this gap and put centralized informal economy development efforts at the forefront.

The Rationale

The Big Idea / Challenge, Problem

Stakeholders in Policy Challenge

The challenge’s stakeholders are grouped into three categories: the public, civil society, and the private.

The Public

The Quezon City local government offices, specifically the Mayor’s Office, Public Employment Service Office (PESO), Informal Economy Development Council (IEDC), and Business Permits & Licensing Division (BPLD), are the key stakeholders as they are responsible for establishing a database and collaborating on WIE-focused initiatives.

Civil Society

Members of the civil society, namely barangay representatives and Pambansang Kalipunan ng mga Manggagawang Impormal sa Pilipinas (PATAMABA), are the primary stakeholders. They present the plights and priorities of their constituents to the government offices which draft policies accordingly. While they may not be able to influence the policy-making process directly, they have power over the agenda and priorities of the key stakeholders.

Private

The informal workers, classified under the private sector, are primary stakeholders. Despite having limited power and influence over the policy-making process, they are the ones directly affected by the initiatives of other stakeholders.

PESO

PESO (Public Employment Service Office) serves as the current secreteriat assigned by the IEDC. Their responsibilities include providing jobseekers with employment opportunities, facilitating skills training programs to enhance the employability of the workforce.

PATAMABA

PATAMABA (Pambansang Tagapag-ugnay ng Manggagawa sa Bahay) is an organization that aims to advance the rights of workers (poor, women, and youth) in the informal economy, with programs seeking to promote capacity building, organizing, and empowering its members that are commonly in the informal sectors.

THE PROPOSED SOLUTION

Revamping Current Awareness Mechanisms

In addressing the Challenge, our proposed solution is an information database of Quezon City’s WIE initiatives.

As mentioned by Ms. Lourdes Gula, the current president of PATAMABA, awareness of informal workers regarding local public policy remains evident. Despite government attempts to disseminate information, there is an evident lack of reach due to language barriers and a lack of circulation regarding the LGU’s varied print and media platforms (i.e., fliers, social media posts, brochures).

Developing the Policy Solution

Process of Development

To address the needs of Workers in the Informal Economy (WIE), a centralized information center is being developed to streamline access to various initiatives provided by IEDC member offices, overcoming the current ineffective dissemination by the QC LGU. This center will initially be presented in a data-efficient PDF format, accessible offline and editable for updates, and is planned to integrate into the QC E-Services platform. The comprehensive information, translated into Tagalog for accessibility, includes program details, application processes, and contact information, and will be distributed via social media, websites, and QR codes through its partners like PATAMABA, ensuring a user-centric approach for WIE.

Policy Evaluation

Successful policy implementation indeed hinges on both strong execution and well-defined objectives. Therefore, an all-in-one information center would be appropriate to further ensure that they are able to access the required information and promised benefits. This centralized hub would be able to disseminate all the information on relevant QC programs and planned to be given a direct step-by-step procedure to begin the development process. This would improve the efficiency and effectiveness and to ensure WIE access to the proper resources and benefits promised.

As for the QC LGU, it would proceed to clearly define departmental roles—making distinctions and eliminating overlapping to ensure everyone understands their responsibilities. Additionally, the centralization of QC programs are to be taken into account for easier redirection and coordination. This is to ensure the streamlining of communication channels among the different departments and stakeholders and ensure WIE are directed to the right departments for their specific needs.

Type of Policy Evaluation

The process approach emphasizes organization processes including rules and operating procedures and activities undertaken to deliver programs. This detailed consideration of program logistics and administrative efficiency are hallmarks of programmatic evaluation, which looks at the effectiveness and efficiency of the policies being evaluated. This approach stresses the importance of clear communication and effective coordination among various departments and stakeholders, which is crucial for the practical success of policy initiatives.

Significance, Scope, and Evaluation Criteria

By implementing this solution and aligning with a specified evaluation criteria, the proposed information database aims to empower workers in the informal economy, promote formalization, strengthen coalition building, and contribute to the growth and sustainability of MSMEs. The scope and evaluation criteria is as follows:

Increase in MSMEs

Necessitates analyzing the growth and expansion of MSMEs both in number and Business Status Assessment (BSA) resulting from increased formalization and access to support services through the database. Evaluate the contribution of formalized informal workers to economic development, job creation, and market competitiveness.

Coalition-building

Involves assessing the level of collaboration, partnership building, and coordination among stakeholders facilitated by the database. These will primarily include the aforementioned formalized organizations. Measure the impact of coalition-building efforts on collective action, resource mobilization, and policy advocacy.

Registration Percentage Per Program

Entails measuring the percentage of informal workers who register and participate in programs or initiatives listed in the database as well as evaluating the effectiveness of the database in facilitating access to formalization pathways and support services.

No. of Formalized Entities

Involves tracking the increase in the number of formalized organizations and workers within the local informal economy sector/s through monitoring formalization rates, including compliance with regulatory requirements and the adoption of formal business practices.

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