Today, 8 people out of 10 in the Philippines report never having had a medical check-up or physical examination in their life. 28% of all Filipino women have no skilled birth attendance care. Due to poverty, 6 out of 10 people die in the Philippines without ever having seen a doctor. Health care utilisation rates in the Philippines show worse access to health than the regional average. The primary reason is a lack of financial means. Free health services are very limited and the poorest cannot afford treatment or medicine.
A long history of privatization...
Health care in the Philippines became increasingly inaccessible for the poor majority since the policy of privatization which started in the 1970s during the Marcos era. Philippine foreign debt became insurmountable and the IMF-World Bank imposed the Structural Adjustment Program, leading to privatizing state assets for more income. This practice was followed by succeeding presidents and governments, like in 2000 by President Joseph Estrada under the Health Sector Reform Agenda (HSRA) and Executive Order 366. This program was to provide fiscal autonomy and expanding the coverage of the national health insurance, also called Philhealth. The policy included the corporatization of public hospitals and integration of the four Government Owned and Controlled Corporation (GOCC) Hospitals to cater to medical tourism. The aim of the government is to relegate its responsibility of providing people’s right to health to the private sector. What happened is that since people have to pay for their treatment, rates increased so much higher that in the GOCC hospitals specializing on the heart, kidney, lung and children, health services are no longer free. In fact, a kidney transplants cost more than one million PHP or 19.000€.
This privatization policies continued under different names from President Benigno Aquino III under the “Philippine Development Plan” (2011-2016) which strengthened implementation of the National Insurance Policy or Philhealth, public-private partnership (PPP) and the millennium development goals in health. Health Services in public hospitals became a commercial product and Philhealth covers only 9% to 11% of total costs, except for 23 selected cases only. According to the Department of Health data, 54% of the total cost of health services is out-of-pocket.
Fight against privatization
Under PPP, Philippine Orthopedic Center, the only public bone specialization in the Philippines was a pilot project. The government plan was to bid the modernization of the hospital to private funds of 5.6 Billion PHP or 106 million € with a concession of 25 years private operation of the hospital, with an option to renew for another 25 years of private operation. The ugly side of this business is that only 70 beds out of the 700 bed capacity will be allocated to service patients, and not indigent patients. The private investor, Megawide, also has an option to terminate the health workers.
Due to the health workers’ union affiliated to the Alliance of Health Workers (AHW), the protests against the privatization of the hospital went on for three years, until finally Megawide withdrew from its contract with the Department of Health. AHW lobbied at the House of Representatives for a bill on the Inquiry of the Privatization of POC in aid of Legislation, together with a bill on exempting the privatization of public hospitals. AHW filed a Temporary Restraining Order and Stopped the Privatization of POC at the Supreme Court. None of the bills and or the case filed were heard by the Supreme Court, nor by the House of Representatives. The continuous struggle with media coverage and the help through online petitions and urgent appeals by World Solidarity (WSM) and other foreign organizations finally put enough pressure on Megawide to withdraw from its contract.
AHW might have been successful in opposing the privatization of POC, but we are now facing the privatization of Fabella Hospital, the only public tertiary hospital for maternal and newborn care. This hospital, which even received an award from the World Health Organisation for low maternal mortality rate, was still being targeted for privatization by the government. Another hospital pending privatization is the Philippine Mental Hospital. As long as the policy of privatization remains, the 72 public tertiary hospitals and the local government hospitals are all endangered of being privatized. This is what we call the government abandoning its responsibility to protect the people’s right to health.
Why the Filipino People Have to Oppose Privatization of Health Services
Filipinos are more than 100 million, with a high percentage of more than 11 million in un- or under-employment. Around 600 Filipinos are migrating to other countries to find jobs every day.
Millions are living in small cardboard boxes with poor ventilation and sanitation. Children are malnourished. This data means that majority of the Filipinos are living below the poverty line and when the head of the family gets sick, it means hunger for the family. Poverty combined with unaffordable health services becomes catastrophic for the family.
This is the reason why we have to struggle for free, comprehensive and progressive health care. We also are pushing the government to allocate at least 5% of the Gross Domestic Product as budget for health care.
A long history of privatization...
Health care in the Philippines became increasingly inaccessible for the poor majority since the policy of privatization which started in the 1970s during the Marcos era. Philippine foreign debt became insurmountable and the IMF-World Bank imposed the Structural Adjustment Program, leading to privatizing state assets for more income. This practice was followed by succeeding presidents and governments, like in 2000 by President Joseph Estrada under the Health Sector Reform Agenda (HSRA) and Executive Order 366. This program was to provide fiscal autonomy and expanding the coverage of the national health insurance, also called Philhealth. The policy included the corporatization of public hospitals and integration of the four Government Owned and Controlled Corporation (GOCC) Hospitals to cater to medical tourism. The aim of the government is to relegate its responsibility of providing people’s right to health to the private sector. What happened is that since people have to pay for their treatment, rates increased so much higher that in the GOCC hospitals specializing on the heart, kidney, lung and children, health services are no longer free. In fact, a kidney transplants cost more than one million PHP or 19.000€.
This privatization policies continued under different names from President Benigno Aquino III under the “Philippine Development Plan” (2011-2016) which strengthened implementation of the National Insurance Policy or Philhealth, public-private partnership (PPP) and the millennium development goals in health. Health Services in public hospitals became a commercial product and Philhealth covers only 9% to 11% of total costs, except for 23 selected cases only. According to the Department of Health data, 54% of the total cost of health services is out-of-pocket.Fight against privatization
Under PPP, Philippine Orthopedic Center, the only public bone specialization in the Philippines was a pilot project. The government plan was to bid the modernization of the hospital to private funds of 5.6 Billion PHP or 106 million € with a concession of 25 years private operation of the hospital, with an option to renew for another 25 years of private operation. The ugly side of this business is that only 70 beds out of the 700 bed capacity will be allocated to service patients, and not indigent patients. The private investor, Megawide, also has an option to terminate the health workers.
Due to the health workers’ union affiliated to the Alliance of Health Workers (AHW), the protests against the privatization of the hospital went on for three years, until finally Megawide withdrew from its contract with the Department of Health. AHW lobbied at the House of Representatives for a bill on the Inquiry of the Privatization of POC in aid of Legislation, together with a bill on exempting the privatization of public hospitals. AHW filed a Temporary Restraining Order and Stopped the Privatization of POC at the Supreme Court. None of the bills and or the case filed were heard by the Supreme Court, nor by the House of Representatives. The continuous struggle with media coverage and the help through online petitions and urgent appeals by World Solidarity (WSM) and other foreign organizations finally put enough pressure on Megawide to withdraw from its contract.
AHW might have been successful in opposing the privatization of POC, but we are now facing the privatization of Fabella Hospital, the only public tertiary hospital for maternal and newborn care. This hospital, which even received an award from the World Health Organisation for low maternal mortality rate, was still being targeted for privatization by the government. Another hospital pending privatization is the Philippine Mental Hospital. As long as the policy of privatization remains, the 72 public tertiary hospitals and the local government hospitals are all endangered of being privatized. This is what we call the government abandoning its responsibility to protect the people’s right to health.Why the Filipino People Have to Oppose Privatization of Health Services
Filipinos are more than 100 million, with a high percentage of more than 11 million in un- or under-employment. Around 600 Filipinos are migrating to other countries to find jobs every day.
Millions are living in small cardboard boxes with poor ventilation and sanitation. Children are malnourished. This data means that majority of the Filipinos are living below the poverty line and when the head of the family gets sick, it means hunger for the family. Poverty combined with unaffordable health services becomes catastrophic for the family.
This is the reason why we have to struggle for free, comprehensive and progressive health care. We also are pushing the government to allocate at least 5% of the Gross Domestic Product as budget for health care.
Extract from dossier Health, a commodity,
by Campaign of Social Protection for all,
reviewed and updated by AHW
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