Ben Madilynn
DESPITE a series of public hearings, a potential wage order is unlikely to adequately address the financial hardships workers face due to soaring inflation, according to a Cebu-based labor group.
Jaime Paglinawan, chairman of the Alyansa sa mga Mamumuo sa Sugbo- Kilusan Mayo Uno (AMA Sugbo-KMU), said that while workers in Central Visayas await the decision of the Regional Tripartite Wages and Productivity Board in Central Visayas (RTWPB 7) on whether the minimum wage will be raised, the government has previously hinted that any increase might be small.
He also expressed concern over the government’s alleged lack of a clear program to tackle the “alarming” rise in the cost of goods and services.
In a text message to SunStar Cebu on Monday, Sept. 9, 2024, Paglinawan said that during the final hearing of the RTWPB 7 held in Cebu City on Wednesday, Sept. 4, the board is likely to favor a smaller wage increase.
He said that the board is composed of representatives from the National Economic and Development Authority, the Department of Trade and Industry, two employer organizations, and the Department of Labor and Employment, while only two labor unions are represented.
“Una, walay ma expect nga mahatag ang gipangayo nga P150 Wage Increase dinhi sa Central Visayas gawas if naay increase gamay o daw mumho,” Paglinawan said.
(The full P150 wage increase we are asking here in Central Visayas poses uncertainty…This is our perspective, which is why, despite the RTWPB 7’s assurance to make a decision this September, it is possible that it will be lower than the P35 wage increase in the National Capital Region.)
Paglinawan said there is a need for a wage increase to enhance workers’ purchasing power, calling for at least a P150 across-the-board hike.
“The Marcos administration lacks a clear program for workers as low wages persist, the contractualization is widespread, and there are numerous violations of the freedom of association,” Paglinawan said in Cebuano.
According to data from the Philippine Statistics Authority, the proposed P150 across-the-board wage increase is a crucial step toward achieving the P1,200 daily family living wage. This demand is supported by Article XIII, Section 3 of the 1987 Constitution, which guarantees workers’ rights to job security, humane working conditions, and a living wage.
Opposing stands
SunStar Cebu previously reported, during the first round of public hearings for wage adjustments in the region on Aug. 20, that labor groups and the business community presented opposing views on the proposal.
The labor groups suggested a P150 increase for all employees, while the business community opposed any wage raise.
Both sides cited rising inflationary pressures as the main reason for their differing positions.
The AMA Sugbo-KMU, in a statement released on Sept. 6, claimed that worker productivity has almost doubled, growing by 88 percent between 1989 and 2023, yet the average minimum wage has fallen by over 22 percent during the same period.
“Employers have taken advantage of the 88 percent increase in worker productivity to generate profits while neglecting fair compensation for workers,” said Paglinawan in the statement.
The labor group claimed that while workers struggle to make ends meet, major corporations have seen their profits skyrocket as the net income of the top 1,000 corporations doubled in just two years from 2020 to 2022 and the wealth of the richest Filipinos grew by 31 percent.
Ama Sugbo-KMU said that a P100 wage increase or 7.1 percent would barely dent corporate profits.
Call to Form Unions
Paglinawan added that workers should not rely solely on RTWPB 7 to deliver the much-needed P150 wage increase. / CDF
