Sherwin Gatchalian urges passage of Senate bill increasing workers' take-home pay

Senator Sherwin Gatchalian has called for the urgent passage of a proposed measure that would increase the take-home pay of Filipino workers amid the rising costs driven by the tensions in the Middle East.

Proposed Senate Bill No. 56, or the “Granting Increase in Take-Home Pay for All Working Filipinos Act,” seeks to raise the annual income tax exemption threshold from P250,000 to P400,000, effectively boosting workers’ net income.

“Kailangan din ng middle class ng tulong para maibsan ang pasakit na dulot ng mataas na presyo ng langis at mga bilihin,” said Gatchalian, who chairs the Senate Committee on Finance and the PROTECT ad hoc panel.

(The middle class also needs support to ease the burden caused by rising oil prices and basic goods.)

“The middle class has been the lifeblood of the local economy, driving domestic consumption and contributing significantly to government revenue,” he added.

Filed in July, the “Ginhawa” bill also includes additional tax relief provisions such as increasing the cap on tax-exempt bonuses to P150,000, removing taxes on service charges for workers in the service industry, and exempting additional compensation such as overtime pay, holiday pay, and night shift differential from taxes.

The bill also proposes to remove taxes on honoraria and allowances received by poll workers. —RF, GMA News