The petition for wage increase is now being studied by the Department of Labor and Employment.
DOLE Secretary Marianito Roque said that the National Wages and Productivity Commission (NWPC) and the 17 Regional Tripartite Wages and Productivity Boards (RTWPBs) are reviewing the petition for wage increase by Trade Union Congress of the Philippines (TUCP) to determine whether it can withstand business conditions viability and the purchasing power of present wages.
The petition filed by TUCP requests for a P75.00 across-the-board wage increase for workers in NCR and Mindanao and P100.00 for Visayas.
The current daily minimum wage in the country’s capital is P382. In Metro Cebu, minimum wage is at P267.00 while in Davao region, it’s at P265.00. The last wage hike was approved 2 years ago in June 2008.
According to TUCP Rep. Raymond Mendoza, approval of the proposed wage increase “is urgent in the midst of skyrocketing prices of basic goods and services” as well possible increase in power and water charges and oil price hike. “If wages will remain stagnant, then more workers will certainly slide to poverty and those who are in the middle class will become the newly poor” Mendoza explained.
In the midst of the issue, Sec. Roque stressed that it is critical that minimum wage determination strikes a balance between providing a decent standard of living for workers and ensuring the capacity of the economy to absorb the wage adjustments and viability of business, especially small and medium enterprises.
He also said that the decision for a wage adjustment will depend on the Regional Boards’ assessment of the economic needs of the workers, the capacity of the employers to pay a wage increase, and the development requirements of the region. The Labor Secretary explained that while the policy of minimum wage fixing is to protect the purchasing power of low-income workers, it is also aimed at preserving existing jobs.
The petition of TUCP has garnered mixed reaction from the business sector and other labor unions.
Employers Confederation of the Philippines (ECOP) President Sergio Luiz Ortiz said that the increase will only benefit 16 percent of the working population any may even lead to retrenchment. Meanwhile, the Cagayan de Oro Chamber of Industries (COCI) recognize the dilemma of the laborers but wage adjustments must be carefully studied to “strike a good balance between labor and the sustainability of business”.
The Mandaue Chamber of Commerce and Industry (MCCI) on the other hand asks the government that instead of doing a wage increase, the government should focus on improving job competitiveness and skills training to give workers and jobseekers more options. Labor group Kilusang Mayo Uno (KMU) stressed that the P75.00 across-the-board is not enough and the Filipino workers need a P125.00 increase.
Trabaho.com thanks its following sources:
TUCP Press Release. TUCP: P75 wage increase for workers in NCR (Posted March 1, 2010) Retrieved March 8, 2010 from
http://www.tucp.org.ph/news/index.php/2010/03/tucp-p75-wage-increase-for-workers-in-ncr
Kilusang Mayo Uno Press Release. TUCP-DOLE media blitz on wage hike petition a predictable charade – KMU (Posted March 4, 2010) Retrieved March 8, 2010 from
http://www.kilusangmayouno.org/news/2010/03/tucp-dole-media-blitz-wage-hike-petition-predictable-charade-%E2%80%93-kmu
Osorio, Ma. Elisa (with Helen Flores), The Philippine Star. Employers buck P75 wage hike (Posted March 3, 2010) Retrieved March 8, 2010 from
http://www.philstar.com/Article.aspx?articleId=554486&publicationSubCategoryId=63
DOLE Information and Publication Office. Wage boards studying wage situation. (Posted March 2, 2010) Retrieved March 8, 2010 from
http://www.dole.gov.ph/secondpage.php?id=1143
Sollano, Jose, Mitchelle L. Palaubsanon, The Freeman. TUCP seeking P100 wage hike (Posted March 07, 2010) Retrieved March 8, 2010 from
http://www.philstar.com/Article.aspx?articleId=555745&publicationSubCategoryId=107
Salaverria, Leila, Philippine Daily Inquirer. P75 pay hike for Metro workers urged (Posted March 1, 2010) Retrieved March 8, 2010 from
http://newsinfo.inquirer.net/inquirerheadlines/metro/view/20100301-256120/P75-pay-hike-for-Metro-workers-urged
Mosqueda, Mars Jr., Manila Bulletin. P100 wage hike asked for Central Visayas workers (Posted March 7, 2010) Retrieved March 8, 2010 from
http://www.mb.com.ph/articles/246651/p100-wage-hike-asked-central-visayas-workers
Betonio, Terry, Sun.Star Cagayan de Oro. Biz group to study wage hike proposal (Posted March 6, 2010) Retrieved March 8, 2010 from
http://www.sunstar.com.ph/cagayan-de-oro/biz-group-study-wage-hike-proposal
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