THE Rent Control Act of 2009 or Republic Act 9653 should include micro and small business enterprises so that money otherwise spent on exorbitant rent increases could instead
be used for capital, labor and other operational expenses.
House Bill 5636 penned by Bayan Muna party-list Representative Teddy Casiño seeks “to put a cap on increases in rentals of commercial spaces,” which he claimed is one of the biggest expenses in business operations.
“Given their frail nature as startup and developing businesses, it is crucial that the State creates an environment that will encourage their growth and expansion and most importantly, survival,” the lawmaker.
The amendatory proposal is pushing for the inclusion of commercial spaces in highly-urbanized cities with a total monthly rent ranging from P1 to P30,000 and all commercial spaces in other areas with total monthly rent ranging from P1 to P20,000 in RA 9653, aside from residential units.
Citing government statistics, Casiño said of around 780,437 business enterprises operating in the country, 99.6 percent or 777,357 are micro, small and medium enterprises. “Of this number, 91.4 percent or 710,822 are micro enterprises and 8.2 percent or 63,526 are small enterprises.”
He added that in a House statement that those involved in manufacturing, wholesale and retail trade, restaurants and services, micro and small enterprises contribute around 30.4 percent or 1,731,082 and 25.5 percent or 1,449,033, respectively, of the total jobs generated by businesses each year.
“These businesses contribute a large portion of the manufacturing and export sales of the country. It is for these reasons that the government needs to extend additional support to these enterprises," Casiño stressed. (CGC)
http://www.sunstar.com.ph/bacolod/business/2012/01/20/rent-control-law-expansion-eyed-201593
