Duterte’s order to convene wage boards ‘cheap trick’ —labor group

Militant labor group Bukluran ng Manggagawang Pilipino (BMP) slammed the recent order by President Rodrigo Duterte to convene all the regional wage boards to address the rising prices of basic commodities as a "cheap trick" to offset the "negative publicity caused by the TRAIN Law-induced hike in inflation rates."

"The regional wage boards, as mandated by the Wage Rationalization Act (RA6727), could not address the workers’ clamor for a substantial wage increase to recover lost income from inflation.

"The wage boards, historically and legally, have granted an increase only to minimum wage earners, slowly dissolving the seniority status of regular and unionized workers who have to file a wage distortion case to enjoy a pay hike,” the BMP said

The Department of Labor and Employment recently announced that it expected six regions to issue a wage order soon –Central Luzon, Western Visayas, Central Visayas, Eastern Visayas, Zamboanga peninsula, and Davao regions.

“The list does not include NCR and Region 4-A, the two most productive regions that was affected most by inflation,” BMP president Luke Espiritu said.

“The current regional wage-fixing mechanism will not provide the solution for the across-the-board and nationwide increase in the prices of basic needs. Tax reform TRAIN Package 1, affected the entire country but here they – Duterte and Bello – are, prescribing a regionalized solution to a national problem. The recent wage order in Calabarzon is a stark reminder of the futility of the regional wage boards since it caused not just the regionalization but also the municipalization of wages," he added.

The labor leader said the demand for a P750 national minimum wage is an urgent demand, especially with the price hikes caused by the fuel excise taxes imposed by TRAIN Package 1, the falling foreign exchange rate, and the rising prices of oil in the world market.

He said the Duterte administration must immediately curb inflation as Filipino workers could only cut down on food expenses since expenditures for utilities and rent are fixed costs for a household.

“Uncontrolled prices would lead to severe malnutrition, especially for the next generation of Filipino workers.”  —Ted Cordero/LBG, GMA News