Letter of Instructions No. 425, issued on July 7, 1976, mandates the Secretary of Tourism to establish and enforce minimum viable rates for hotels in the Philippines to protect government investments in the hotel industry. This measure aims to prevent detrimental competition that could undermine the sector's stability. Additionally, it authorizes the cancellation of work permits and deportation of non-Filipino hotel managers or executives found guilty of violating these established rates. This directive strengthens existing penalties under Presidential Decree 259 for non-compliance.
July 7, 1976
LETTER OF INSTRUCTIONS NO. 425
| TO | : | The Secretary of Tourism |
| The Secretary of Labor | ||
| The Commissioner on Immigration and Deportation |
In order to protect the huge financial investment of the government in the hotel industry and to protect said industry against the possibility of self-defeating operation that may be brought about by undue competition, the Secretary of Tourism is hereby directed to promulgate a schedule of viable minimum rates of each category of hotels and to adopt such other measures and safeguards to enforce and prevent non-compliance with said rates. cd i
In addition to the penalties already prescribed in PD 259 for violation of rules and regulations and circulars of the Department of Tourism, the cancellation of the working permit and subsequent deportation of any non-Filipino hotel manager or executive is hereby authorized after it is established in a proper administrative proceeding that such a hotel manager or executive is culpable of violating or cd circumventing the minimum viable rates that the Department may promulgate.
ISSUED this 7th day of July, Nineteen Hundred and Seventy-Six., in Manila, Philippines.