Enrique Zobel on the Rich
and the Young
The working rich, the idle rich, and the profligate rich

Enrique Zobel was the Founding Chairman of the Makati Business Club (publisher of Philippine Business) and served as its head from 1981 to 1986. Ever the outspoken maverick, EZ (as he was popularly known) delivered this speech in February 1970 before the College Editors Guild. Though almost three-and-a-half decades have passed since he delivered this speech, its message rings as true today as it did in 1970. The only difference is that the youth of yesterday are the leaders of today. The more things change, the more they remain the same.

We live in a society where want is the lot of many and wealth is common only to a few; where justice is promised to all but denied to many, where public servants do not serve but rule.

The ills of our society threaten to divide us, to create violence in our midst, to pit Filipino against Filipino in bloody confrontations.

Divided, we cannot cure the ills of society nor build our common future. We must learn to understand each other’s aims and purposes, so that with the enthusiasm and idealism of youth and with the experience of the older generation, we can work together to build a better society.

It is for this reason that I welcome this opportunity to join you here and exchange ideas with you. I believe that I shall go back to my office in Makati with a better perspective. For your part, you might bring back to your respective campuses some insights into the thinking of the group that you call the “Establishment.”

If the noisy minority represented by the firebrand radicals were to have their way, I would not be here today. The rich would be indiscriminately sent to the gallows, their properties confiscated and distributed among the poor.
I will not question how the distribution can be undertaken. I will not even ask if there will be enough to distribute. You see, I would be in no position to ask questions, as I am sure I would be one of those scheduled for execution.

However, in having to “go” under these imagined circumstances, I am certain that I shall have the satisfaction of seeing other heads roll, ahead of mine.

The first to go will, of course, be the profligate rich. In this category you will find the corrupt politicians, together with their corruptors and cronies, who have amassed fortunes in just a few years in office.

Then, we have the idle rich who sit on their wealth without mobilizing it for gainful employment and the creation of economic opportunities. Those who live off the fat of the land and the sweat of the peasants.

Lastly, we have the working rich – the merchants, traders, and industrialists – popularly known these days as the “dirty capitalist.” Motivated by profits and by dint of hardwork and foresight, they stimulate production, create employment, and increase income, thus contributing to the progress and development of this country.

If all the rich will have to “go,” they should go in that order, and I will be happy enough to place third.

Let me speak a while about the working rich – the successful businessman, the industrialist, the merchant.

He owes no one an apology for turning out a profit. For the businessman’s socio-economic service lies in the very process of making a profit.

Production is improved, employment created, and income increased. It is to the interest of the business sector that the poor be elevated in status to form a larger buying public. Mind you, even the established socialist countries of Europe are now beginning to utilize certain incentives which we in business live by.

It is unfortunate that in the confusion that followed the January demonstrations, certain parties have taken advantage of the situation to try and divert the ire of the students against the rich, without separating the chaff from the grain, without distinguishing between the rich who have contributed to this country and those who have cheated it.

This fashion to attack the Establishment reached its climax during the last few weeks. Too long now has the Establishment been the favorite whipping boy – to whom all sins of society and the chronic ills of mankind have been ascribed. Yet, what many fail to appreciate is that whatever political order prevails, there is always an Establishment. Whether this be in the USSR, Red China, or in America. And in every Establishment, there are different sectors and different people.

It’s like the room rental business. There are hotels and there are motels. I’m sure you know that there is a difference between them. That is why, in hitting away at the Establishment, you should specify your targets and identify the real enemies of the people.

If “Establishment” is now a dirty word, it is because you associate the word with the politician earning a low salary but who lives like a multi-millionaire; with the alleged arms of the law who oppress the citizenry instead of protecting them; with the lawless administrators who weigh the scales of justice with the amount of pesos they receive; with those who rake in millions and pay no taxes.

We, too, are disillusioned with the political system that permits a low-salaried government employee to flaunt a brand-new Mercedes Benz. We share your anger at the junketeer who spends in one trip abroad the cost of a barrio clinic.

But those of us who have worked to be what we are or have invested in enterprises that contribute to the country’s growth and well-being are bewildered to find ourselves lumped together with these people in the same “Establishment.”

Neither you nor I can condone the senseless vandalism that attended the recent demonstrations, but no one can deny that the youth have presented certain legitimate claims, that the great majority are sincere, and that their aims are high and noble. The recent demonstrations finally broke the silence of a long-suffering society. The youth have given voice to the anger, frustration, and indignation which many of us, your elders, also feel but have not expressed because of apathy, indifference, compromises, or even pure cowardice.

The dramatic events of the past weeks opened the eyes of the people to the power of the youth of our land. I am glad that, at last, there is a strong voice in this country to which even the most callous of our leaders must listen. It is your responsibility to continue using that voice.

A lot of people have pinned their hopes on the forthcoming Constitutional Convention. But unless a reformation is effected without our society, unless we are able to infuse a new morality in all levels, specially in the highest places, even a new Constitution will not solve our ills. What we really need are men who will enforce the new Constitution according to its true spirit, with a genuine concern for the needs of the people, above self, partisan interests or material temptations.

To produce this new breed of leaders, the youth must continue to use their new-found power. This is your challenge and your opportunity.

But to obtain lasting results, thought should guide your passions; responsibility should replace adventurism and violence must give away to deliberate action.

The rousing cry of the radicals is to overthrow the entire system because it has failed to abolish poverty and exploitation, unemployment, graft and corruption. If we were to follow this reasoning, we should blow up all the hospitals, along with all the doctors and nurses, for failure to abolish disease.

If you are to reform our present society, if you are to bring to the fore a new breed of leaders for our people, you must learn to appreciate the meaning of discipline. Discipline means recognition of our responsibility to others, a due respect for the rights of others, a willingness to play the game according to certain rules dictated by reason and the common good. Without discipline, all the initial gains made by your militancy and activism may be lost.

In short, if an elder may repeat the note of calm sounded by responsible youth leaders: Keep your cool….”kaunting lamig lamang.”

The development of this nation, which has dragged for so long now because of political expediency, must now become the goal of your idealism. But idealism is no excuse for ignorance. The task of reforming a sick society is long and arduous. It cannot be accomplished overnight. Let not impatience lead you to rash action, the far-reaching consequences of which will erase any beneficial effect of your initial efforts. Hasty generalizations are no substitute for a specific program of reforms. This underscores the responsibilities you must assume in upholding your ideals. For indeed, we must be sure of our facts before jumping to conclusions lest innocents get hurt in the process. To agitate for reforms is not to seek the destruction of the system itself. To burn Malacañan will not accomplish useful change.

From recent trend of events, it is now clear that the youth possesses the means to give this country an effective and responsive government. It is for this reason that the pressure you have brought to bear upon the political authorities must not only be maintained but also increased.

Because of this power to reform, you may now ask: How does the business community look at the recent rash of student activism? I believe that, even from a purely business point of view, this is what businessmen have been waiting for. Because legitimate businessmen, like everyone else, have suffered under a political system where political “padrinos” and “lagay” have displaced planning, integrity, and hard work as ingredients of business success. The legitimate businessmen want reforms as badly as you do.

The most serious problems facing the country today are high prices, rampant criminality, and the growing lack of faith of the people in their own government.

Who are responsible for these problems? Certainly not legitimate business, for it is unthinkable that the business community would create the very conditions of its failure. This is why we are one with you in demanding reforms in a system where political expediency is the supreme law.

But before we can work together towards our common goals, we must learn to respect and appreciate each other’s point-of-view. For our part, we, your elders, should learn to listen to the views of the young, however different they may be from ours. We must end this farce of planning and doing for the young, and start planning and doing with the young. We must give the young a greater participation in building for the future which they will inherit. This is why I agree fully with the proposal to lower the voting age to 18, and give the youth a larger participation in national affairs. For after all, 70% of this country’s population belong to the young.

For your part, the youth must also learn that even among the older generation, there is also dedication, sincerity of purpose, and a willingness to work hard and sacrifice for the common good.

It is true that the future belongs to you; but in planning and building for it, you should let the experience of the past guide you and you must recognize and accept the stake that we, of the older generation, have in the present. Bridging the gap between young and old cannot be accomplished overnight. In the days, in the years to come, there will be conflicts, misunderstandings… irritants, as it were.

But just as oysters produce pearls because a grain of sand gets into their shell and irritates them, our mutual irritants may yet enable us to produce a truly great pearl.