“The Bureau of Immigration said it would revoke the visas granted to foreigners employed in POGOs following the President’s directive for a total ban. BI chief Norman Tansingco said the agency would coordinate with the Pagcor and DOLE for the cancellation of permits issued to POGO firms.”
President Marcos’ total ban on POGOs effectively derailed the ambitions of politicians banking on the industry’s support to bankroll their candidacies in the May 2025 midterm elections, Surigao del Norte Rep. Robert Ace Barbers on Tuesday said.
He said the President’s directive would deal a serious financial blow on government officials whom he referred to as mga “Bagong Makapili,” who enjoyed numerous perks by enabling POGOs and the illegal activities surrounding them.
The Presidential Anti-Organized Crime Commission (PAOCC), for its part, said some POGOs may go underground because of the total ban.
In an interview with ANC, PAOCC spokesperson Winston Casio said the over 5-month timeframe given by Mr. Marcos is sufficient.
“If all of the agencies of government will really get their heads together, get their acts together, then five months to six months is more than enough,” he said.
Casio said that if necessary, the PAOCC can close down one POGO company every two weeks with the cooperation of the Philippine National Police and the National Bureau of Investigation.
He said a “good number” of POGOs might comply with Mr. Marcos’ order and voluntarily cease their operations before the end of the year.
For his part, Justice Secretary Jesus Crispin Remulla said the order to outlaw POGOs reflects the government’s thrust to effectively and fairly administer justice.
“Once again, the President’s firm resolve to safeguard the rule of law and protect the most vulnerable members of society is crystal clear with his pronouncements and actions,” Remulla said.
For its part, the Employers’ Confederation of the Philippines said it would help find alternative jobs for soon-to-be-displaced Filipino employees of POGOs.
“Aside from the Filipinos directly employed by POGOs, job losses will result from vacancies in office spaces and condos (being rented by POGOs) and other businesses catering to their workers like grocery stores and even some banks,” ECOP president Sergio Ortiz-Luis, Jr. said.
He said that through an ECOP initiative called “Project Jobs,” a good number of these displaced workers might land fresh employment in areas such as the Business Process Outsourcing (BPO) sector and other backroom operations.
PAGCOR estimated that up to 40,000 Filipino workers of legitimate POGO companies would lose their jobs once their employers close shop.
PAGCOR chairperson and CEO Alejandro Tengco said that about 31,000 direct POGO employees and more than 9,000 workers in special business process outsourcing (SBPOs) catering to POGOs would lose their jobs.
“When we talk about the legal ones, I’m talking of Filipino workers…Almost 31,000 are directly working with POGOs. There are almost 9,800 or almost 10,000 in SBPO, a special class of BPO. They are not directly involved in gaming operations. Just like those in the BPO industry, they cater to clients from gaming companies in America, in Canada, and in Europe,” Tengco said in an interview with dzBB.
This figure, he explained, did not yet include drivers, security guards, messengers and helpers in POGOs.
Tengo said some P7 billion in revenues will be lost once POGOs cease operations.
Still, the country’s two top economic managers said projected losses from the closure of POGOs are outweighed by the negative social impacts.
“POGO contributed to less than one half of 1 pecent in our GDP (gross domestic product) as of 2022, that’s what we are likely to lose. If you take that into account, the benefits of banning POGOs outweigh the costs. I think, more important than just the economic numbers, are social costs and reputational costs to the country of hosting this kind of business is not good at all,” NEDA Secretary Arsenio Balisacan said during a Post-SONA Forum Tuesday.
Finance Secretary Ralph Recto added: “We have seen the negative impacts and destruction they have caused to our country because of crimes. Banning them won’t significantly affect the economy because the costs of keeping them far outweigh the benefits.”
Estimates from the DOF showed POGOs’ estimated total economic benefits only amounted to P166.49 billion per year, significantly lower than the estimated total economic costs of P265.74 billion annually.
The tabulation of POGOs’ economic benefits took into account government revenues, such as tax revenues from the Bureau of Internal Revenue as well as Gross Gaming Revenues from PAGCOR.
At the Lower House, Speaker Martin Romualdez on Tuesday instructed the House leadership and top Secretariat officials to file and ensure the swift approval of a measure banning POGOs, in support of the President’s directive.
At the same time, the Speaker gave orders to continue the ongoing congressional investigation on the operation of criminal syndicates responsible for illegal activities linked to POGOs.
At the Upper Chamber, Senator Sherwin Gatchalian vowed to help Filipinos to be rendered jobless by the POGO ban.
Senator JV Ejercito urged the administration to draw up a plan on how it intends to help workers who will be displaced by the closure of POGO companies.
“We must have a clear plan to support those affected and ease the transition,” he added.
Editor’s Note: This is an updated article. Originally posted with the headline ECOP says POGO workers need help to find new jobs
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