Business Ethics and Policies in the Philippines Notes

Influences: Business culture in the Philippines displays influences from

various cultures. American, Spanish and Chinese practices have influenced
the culture of business negotiations over the years. Business practices from
Chinese culture especially have influenced networking and interpersonal
relations in business negotiations. Chinese is considered an important
language in Filipino business practice.

Religion: Spanish colonization in the Philippines directly influenced the

religious culture of the country. Christian concepts from the Ten
Commandments are respected. Respect toward the property of others and
presenting a trustworthy personality are especially valued in Filipino business
culture.

Gender: Women are active participants in the Filipino business world.

However, female business partners and managers are not expected to act as
aggressive as their male counterparts. Women should conduct themselves
professionally and appear competent yet not domineering.

Doing Business investigates the regulations that enhance business activity

and those that constrain it. Regulations affecting 3 stages of the life of a local
business are measured at the subnational level in the Philippines: starting a
business, dealing with construction permits, and registering property. These
indicators are used to identify business reforms and the extent to which these
have been effective in simplifying the procedures, saving time, and lowering
the cost of doing business.

Examples:

Union Bank. The Banks philosophy for corporate governance

extends beyond prescribed mandates and obligations. The
Bank has a Code of Conduct operating as its steward for
ensuring observance of high standards of responsible banking
business. The Code empowers and guides all employees and
other persons to whom it may be applicable in certain
instances. It is divided into three parts, namely, Ethical
Standards, Disciplinary Action, and Procedure for
Administrative Due Process. The Code provides a policy on the
responsibility of employees for reporting actual or possible
violation of a law, regulation, the Banks Code or any policy.
Duty is also imposed upon those who are aware of any
condition that creates undue material risk to the Bank to
promptly report the same to his or her supervisor. Alternatively,
he or she may report the infractions to the next higher in
management, Operations Controller, Internal Audit Division
and Human Resources Services Group. It also provides a policy
for the protection of employees who report infractions or risks.
The Unit Compliance Officers and the Internal Audit Division
conduct their fact-finding investigations for violation of the Code
for cases falling within their respective jurisdictions.
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 Investigation reports of these bodies, consisting of facts of the
case, modifying circumstances, if any, provisions of the Code
violated, decisions in previous administrative cases, and any
applicable laws and jurisprudence, are submitted to the
Discipline Committee. The Discipline Committee, after
determination that the investigation reports of the fact-finding
bodies are complete, deliberates on the propriety of the offense
established by the fact-finding bodies and the recommended
disciplinary actions therefore. Should there be a need for
further clarification, the Discipline Committee summons the
employee concerned for clarificatory conference. The employee
concerned may be accompanied by a counsel or any Bank
employee or union officer (for rank and file). The Discipline
Committee thereafter submits its recommendation on the case
to the center head of the employee involved. Also embodied in
the Code is the Banks policy that no employee will be retaliated
against as a result of having made the report. Questions
concerning protection for such an employee should be
addressed to the appropriate Compliance Officer or the Human
Resources Director. Guided by its Code, the Bank has
consistently conducted its business in accordance with its
pledged values to its other stakeholders, thereby creating
goodwill in the industry.

Mercury General Corporation. This Code of Business Conduct

and Ethics contains general guidelines for conducting the
business of the Company consistent with the highest standards
of business ethics. The sections of the Code of Business
Conduct and Ethics titled Introduction, Conflicts of Interest,
Company Records, Accuracy of Financial Reports and Other
Public Communications and Compliance with Laws and
Regulations, as applied to the Companys principal financial
officers, shall be our code of ethics within the meaning of
Section 406 of the Sarbanes-Oxley Act of 2002 and the rules
promulgated thereunder.

This Code and the matters contained herein are neither a

contract of employment nor a guarantee of continuing Company
policy. We reserve the right to amend, supplement or
discontinue this Code and the matters addressed herein,
without prior notice, at any time.

The Philippine Seven Corporation. The Philippine Seven

Corporation remains committed in providing excellent customer
service in all of its business endeavors.

Confidentiality of Information: To uphold the Companys trust is to protect all

Information be it trade secrets or business information that could damage,
hinder or cause competitors an advantage against the Company. In such
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circumstances that information is legally required, any disclosure shall be
acted based on full compliance of the law following standards and procedures
set.

Compliance: Personally implement and apply all the standards and guidelines
imposed by laws, rules and regulations set.

Decorum of Employees: Take into consideration the feelings and needs of

others. Everyone shall have theo pportunity to share views and ideas provided
that there are avenues available for such input.

Attitudes with Superiors: Facilitate information that can contribute at arriving

on a better decision or to change strategies

Management of Subordinates: Strictly monitor the implementation of the rules

and guidelines of the company and apply immediate remedy to settle
differences and minimize conflict.

Proper Use of Property: The Directors, officers and employees of the Company
are responsible for protecting the properties of the Company from misuse,
loss, damage and theft.

Fair Dealing: No employee shall exercise his power and position to side track
deals and agreements in favor of any entity that signifies intention to conduct
business deals with the company.

Relations with Shareholders and Investors: Conduct the Companys affairs

with a view to the best interests of the Company as a whole and to enhance
shareholders value.

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