AmCham Foundation - History

The Amcham Foundation of the Philippines was started as a Public Relations Committee in the early 1980’s. It was a period of turbulent change in the country. There were continuing political demonstrations in the streets of Makati and some parts of the country demanding change. The demonstrations created uncertainty thereby contributing to the decline in the economy, aggravated by increasing oil prices and a decline in the prices of commodities being exported by the Philippines. The banks stopped granting credit thereby restricting importation contributing to the closure of some factories for lack of raw materials. The layoff of factory workers contributed to the worsening unemployment problem and the resulting social problems were enormous. The leftist elements took advantage of this situation to push through their own agenda of blaming not only the administration for the debacle but also the multinational companies whom they termed “carpetbaggers”. The members of the American Chamber of the Philippines felt this was an unwarranted accusation and wanted to overcome this propaganda. The chamber formed the Public Relations Committee, to showcase how American businesses practiced good corporate citizenship by complying with the laws and providing benefits to the country through the payment of correct business taxes; by improving productivity through the technology they bring to the country; by giving better employee benefits, and by the training they provide their employees - making them better employees and thus enabling them to earn more for their families.

By 1985, the Public Relations Committee was also called upon by its members to do more through involvement in philanthropic work for the community in the areas of disaster relief, health, education, livelihood programs and other community development work. Some of the outstanding collaborative community work done by the Amcham Foundation with the members of the American Chamber of Commerce of the Philippines at that time was as follows:

· Establish the Carlos P. Romulo Professorial Chair in Journalism at the University of the Philippines College of Mass Communication

· Distribution of over a million books nationwide in cooperation with Amcham member companies like Coca Cola and other civic organizations like Rotary.

· Joint disaster relief operations in many of the areas devastated by typhoons in collaboration with chamber members and Philippine Business for Social Progress (PBSP)

· Catfish growing and fattening in Tarlac in cooperation with the Andres Soriano Jr. Foundation

· Core Shelter Housing project in response to an appeal from the Department of Social Welfare and Development (DSWD)

· Repair and painting of the Boystown facilities by the GE and the Amcham Foundation employees.

· Job search for the Amerasians in the Philippines in cooperation with USAID, the Philippine American Guardian Association (PAGA), and the American Association of the Philippines (AAP).

· Establish scholarship programs for needy but deserving students through several generous member “patrons” of the chamber.

· Administration of S C Johnson’s education program

· Start-up of a computer literacy program amongst its scholars and the children in Boystown through the generous help of Microsoft, Chevron, Mirant, and Quezon Power.

· Farmer and community assistance through the help of Philip Morris

· Establish the Leonard Benjamin Center for Development for street children through the generous grant from Leonard Benjamin

Thus, late in 1985, it made sense to register the Public Relations Committee with the Security and Exchange Commission, the Bureau of Internal Revenue, the Department of Trade, and the City of Makati as the American Chamber Foundation of the Philippines in order to be able to issue tax deduction certificates for donations to the Foundation. That was 24 years ago and a lot has changed, except for the fact that the Philippines today is still faced with the same social, political and economic issues.

One of the major changes that had great impact on the world economy and business was deregulation. The work of the WTO and other world bodies to deregulate the economies of the world was given a boost by the development and growth of the Internet in 1995. Improvement in communication allowed multinational companies to manage their far flung operations around the globe and with deregulation some of the operations of the multinational companies had been moved to countries that allowed them to operate at lower cost. The image of the multinational companies changed almost overnight from being “carpetbaggers” to ones who provide job opportunities and development opportunities in the countries where they invest.

The expansion of multinational companies into other countries however created some problems that come from either a clash in culture, or in their ethical practices, or in legal procedures, or in the social consequences of the company’s operation in a certain location. These clashes created pressure groups and activism that multinational companies had to address to lessen the tension between business and society. Many American multinational companies addressed the ensuing problems by either working with the Amcham Foundation or by forming their own corporate groups or corporate foundations to demonstrate social responsibility through community work, environmental protection, education, and livelihood programs. Many of the multinational companies institutionalized their activity by providing annual budgets to ensure that their community work continuously demonstrates their respect for the people and the environment. It was is also done to placate pressure groups, and to enhance corporate image.

In “Beyond Profit,” a publication of the American Chamber Foundation we have cited some of the member companies for their community work some of which are mentioned below:

Abbott Laboratories

· A safe haven for abandoned children who are physically and mentally challenged in the “Chosen Children Village”

· The Jose Rizal University-Abbott Computer Literacy Project for the Barangays

Chevron

· Livelihood Programs: Pugad Pandesal, Loaves & Fishes-Pan De Marcelino, Kapatid Program

· Environmental Stewardship Programs: Philippine Eagle Foundation, Chevron Partnership with Project Seahorse

· Education and Volunteer Program: Caltex Mentor Program: Drive to Literacy, Brigada Eskwela

· Basic Human Needs: Good Roots, The Global Fund Corporate Champion to Fight TB

Philip Morris

· Recognition and Awards: Philip Art Awards, Bright Leaf Agriculture Journalism Awards

· Education: Brigada Eskwela, Teacher for a Day

Ford

· Employee volunteerism: work with Gawad Kalinga to build shelters

· Road Safety Program

· Driving Skills Program

Quezon Power

· Education: free college education and vocational-technical courses to the most qualified students in partnership with the University of the Philippines Open University

· Medical and Dental Mission to the forty barangays in Mauban Quezon

· Livelihood Programs: micro entrepreneurship, integrated farming, and cooperatives.

· Environmental Programs: Pawikan Conservation Program, Clam Seeding Program, Reforestation Program

Coca Cola

· Education: The Little Red School Program to provide school buildings, and train teachers in multi-grade instructions

S. C. Johnson

· Health: Dengue Prevention Program, Sagip-Mata, Children Cancer Ward of the Philippine Orthopedic Center

· Education: Full scholarship programs with Ateneo de Davao University, Siliman University and the Center for Industrial Technology and Enterprise in Cebu City.

Convergys Corporation

· Education: contribution to “Sa Aklat Sisikat Foundation” (reading program for the public elementary schools in the Philippines), and Parish Urchins at Don Bosco Technical Institute (rehabilitation for street children and migrant youth)

Today, some American multinational companies have begun addressing some of the development issues faced by the world today through the development of products that lessens carbon emissions or services that address the livelihood needs of the people at the bottom of the pyramid. The Amcham Foundation is working with some member companies in this new direction.