The Philippines Imposes Deadline for Foreign Workers in Offshore Gambling Firms

24 July 2024
The Philippines Imposes Deadline for Foreign Workers in Offshore Gambling Firms

The Philippines has taken a significant step towards eradicating offshore gambling firms by ordering all foreign workers to leave the country within a two-month period. This decision comes as President Ferdinand Marcos Jr aims to crack down on these operators due to their alleged connections to various crimes, including human trafficking and financial scams. The ban on Philippine Offshore Gaming Operators (Pogos) has been strongly enforced, with the gaming regulator given until the end of the year to shut down these businesses.

Foreign workers residing in the Philippines are now required to depart within 59 days to comply with the new order. Approximately 20,000 individuals will be impacted by this directive, with the majority being Chinese citizens. Failure to leave the country within the specified timeframe will result in deportation for those who choose to stay.

The Chinese embassy in Manila has yet to provide an official response regarding this development. Pogos first emerged in 2016 and experienced rapid growth as companies capitalized on lenient laws to target Chinese customers, despite gambling being prohibited in China. At its peak, around 300 Pogos were operating in the Philippines. However, the combination of the ongoing COVID-19 pandemic and stricter tax regulations forced many of these operators to relocate or operate underground.

Currently, there are only 42 active Pogos, with the majority being Chinese-owned. These remaining firms employ approximately 63,000 Filipino and foreign workers. While the decision to impose a deadline for the departure of foreign workers may serve as a blow to the country’s offshore gambling industry, it reflects the government’s determination to combat illegal activities and protect the welfare of its citizens.

Additional relevant facts:
– Offshore gambling in the Philippines is primarily targeted towards Chinese customers, as gambling is prohibited in China.
– The COVID-19 pandemic and stricter tax regulations have led to the relocation or underground operation of many offshore gambling firms.
– The Philippines has been grappling with issues such as human trafficking and financial scams associated with offshore gambling operators.
– The government is aiming to crack down on these operators to protect its citizens and combat illegal activities.

Key questions and answers:
1. What is the deadline for foreign workers in offshore gambling firms to leave the Philippines?
– Foreign workers have been ordered to leave within a two-month period, which is approximately 59 days.

2. How many individuals will be impacted by this directive?
– Approximately 20,000 individuals, mostly Chinese citizens, will be affected by this order.

3. What happens if foreign workers fail to leave within the specified timeframe?
– Those who choose to stay beyond the deadline will face deportation.

Key challenges or controversies:
1. Economic impact: The exit of foreign workers from the offshore gambling industry may have economic repercussions, as it could lead to job losses and reduced revenue for the country.
2. Diplomatic implications: There may be diplomatic tensions between China and the Philippines due to the large number of Chinese citizens affected by the ban on offshore gambling.
3. Enforcement difficulties: It may be challenging to fully shut down all offshore gambling operations and ensure compliance with the new order.

Advantages:
1. Combatting illegal activities: The crackdown on offshore gambling firms aims to address issues such as human trafficking and financial scams.
2. Protection of citizens: The government’s decision reflects its commitment to safeguard the welfare of its citizens by targeting potentially harmful industries.
3. Deterrence of illegal operators: Imposing a deadline for the departure of foreign workers may discourage illegal offshore gambling operations in the country.

Disadvantages:
1. Economic impact: The ban on offshore gambling firms may result in job losses and reduced revenue, particularly for areas that heavily rely on the industry.
2. Diplomatic repercussions: The directive may strain diplomatic relations with countries like China, which have a significant presence in the offshore gambling sector.
3. Enforcement challenges: Ensuring full compliance and shutting down all offshore gambling operations may be difficult, leading to potential legal and regulatory loopholes.

Suggested related link: Reuters – Philippines orders thousands of foreign workers in gambling firms to leave

Sta. Romana: China cannot impose POGO ban on PH

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