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P25 wage hike approved for NCR workers


The government has approved the P25 hike in the daily salary of minimum wage workers, an increase which includes a P10 cost of living allowance (COLA), in the National Capital Region (NCR), Carlo Mateo reported on Dobol B sa News TV on Monday.

 

 

The adjustment was announced by Labor Secretary Silvestre Bello III at a press conference.

With the adjustment, the new daily minimum wage will be from P500 to P537, Bello said.

The P25 increase is way lower than the P334 the petitioners have proposed and closer to the P20 offer of the Employers Confederation of the Philippines.

The wage hike will take effect 15 days after it is published in newspapers of national circulation.

Bello defended the amount, saying both the capability of employers to implement the adjustment and the need of workers were taken into consideration.

Bello was also quoted as saying in the report that they respect the sentiments of labor groups who said the P25 amount was too small. 

Economy

Executive Director Criselda Sy of the National Wages and Productivity Commission agreed to this, sayi the impact of wage increases on inflation and the economy cannot be underestimated.

"Ang main consideration natin doon, can the economy absorb the order issued by RTWB (Regional Tripartite Wage Board) [na P334 minimum wage for Metro Manila]? Gumagawa ang secretariat ng board ng different simulations. Apart sa position ng labor and management, they also consider the inflation. The board also consider the input of BSP (Bangko Sentral ng Pilipinas)," Sy said.

"And what is the capacity of the economy to absorb the increases? Yung minimum wage ay isa lang sa special protection instrument. Sa pag-aaral ng ILO (International Labor Organization), it is important that the minimum wage should not burden the economy," she added.

Malacañang, for its part, deferred to the board's determination on the new minimum wage in Metro Manila. 

"There has been a deliberation [by the] wage board and apparently that's the decision. So let's see," presidential spokesperson Salvador Panelo said at a news conference.

Asked if the increase will be enough to cope with rising commodity prices, Panelo said: "Perhaps. Presently that's what they found out that's enough. I guess it's always subject to change depending on the economic conditions."

Wage hike in other regions

The minimum wage hike, however, is not limited to the NCR.

Region 2's minimum wage was increased by P10 on top of P10 Cost of Living Allowance, good for an amount P320-P360 across different sectors.

In Region 4-B, the minimum wage was hiked by P12 to P20 which would mean a minimum salary threshold of P283 to P320 across sectors.

Sy said the labor sector can still appeal the approved wage hike within 10 days since the publication of the order, but history would be against the petitioners since no appeal has been granted by the Supreme Court when it comes to approved wage hike.

"Wala pa po[ng appeal na na-grant] kasi even 'yung nakarating sa Supreme Court, the decision of the board was upheld,” Sy said.

Based on government records, there are three million minimum wage earners in NCR. —with Llanesca T. Panti and Virgil Lopez/KBK/RSJ, GMA News