Cebu City considers tax breaks for businesses that hire senior citizens

Cebu City considers tax breaks for businesses that hire senior citizens
Local News
Published on

A PROPOSED ordinance in Cebu City aims to encourage businesses to hire senior citizens by granting tax incentives, ensuring inclusivity while recognizing the elderly’s capacity to contribute productively.

Authored by Councilor Sisinio Andales, the measure, titled “An Ordinance Promoting Employment Opportunities for Senior Citizens in Cebu City Through Incentives for Private Business Participation,” is currently under consideration by the City Council.

The proposal covers business establishments in Cebu City with at least 10 employees. To be eligible for the incentives, companies must ensure that senior citizens make up at least 10 percent of their total workforce. 

Firms that comply will be entitled to a two percent deduction from their annual business tax due to the City Government, in addition to benefits under Republic Act 9994, or the Expanded Senior Citizens Act of 2010.

To support the measure, the Office for Senior Citizens’ Affairs (OSCA), in coordination with the Department of Manpower Development and Placement and the Department of Labor and Employment, will maintain a registry of qualified job seekers, provide skills-matching and retooling programs, and coordinate placements between senior citizens and private companies.

Participation in the program will be voluntary, with adjustments depending on the nature of the business. Firms engaged in strenuous work, such as heavy construction and massage services, may be exempted from the hiring target if they can prove valid operational constraints.

To be eligible for employment, senior citizen applicants must be residents of Cebu City, certified as medically and mentally fit by licensed professionals, and capable of fulfilling the duties required by the hiring establishment.

The proposed measure reflects the city’s policy to promote the rights and dignity of its elderly population. “It shall be the policy of Cebu City to promote the rights, welfare, and dignity of senior citizens by recognizing the continued capacity to contribute productively to society,” the ordinance reads. “The City shall create employment opportunities for them through meaningful collaboration with the private sector.”

The OSCA would also be required to submit annual reports to the City Council on compliance, participation rates, and success stories.  / CAV   

SunStar Publishing Inc.
www.sunstar.com.ph