P10-wage hike for Western Visayas approved-A A +A
Saturday, November 2, 2013
THE Regional Tripartite Wages and Productivity Board (RTWPB) in Western Visayas has granted a P10-wage increase for workers in Western Visayas, the Department of Labor and Employment (Dole) said Saturday.
With the approval of this increase, workers employed in non-agriculture, industrial and commercial establishments employing more than 10 workers will receive P287 and P245 for those employed in establishments employing 10 workers and below.
In agriculture sector, plantation workers will receive a minimum wage of P255 while those in non-plantation will receive P245.
RTWPB Chairman and Dole-Western Visayas Director Ponciano Ligutom said that the members of the Board unanimously approved to adjust the minimum wage rates of workers in the region after considering various conditions that warrant the increase in workers’ wages this year.
The conditions, among others, are the impending imposition of Value Added Tax (VAT) in raw sugar in agriculture sector and the number of establishments and workers covered in the different industries were considered in determining the wage increase of minimum wage earners. Competitiveness of the region was also considered including the needs of the workers and the capacity of employers to pay.
"Majority of workers covered by this new wage rates are those employed in micro enterprises. It must be noted that 90 per cent of establishments in the region are in this category," Ligutom said.
He added that more than a year had passed since the last wage order was issued in Western Visayas.
The new wage rates will take effect 15 days after its publication in local newspapers of general publication.
The wage adjustment is for floor wage or minimum wage earners only, the labor department said.
The Board is strongly encouraging employers who can afford to pay more to seriously consider implementing the productivity-based pay (PBP) scheme which will inspire workers to be productive and, in doing so, companies’ productivity will also increase, it added.
The PBP scheme will provide additional compensation to workers based on their productivity.
Dole said the Board will deliberate in its next meeting the issuance of advisories on this scheme which is expected to be out late this year or early next year. It will cover industries or sectors that are considered as key employment generators such as the sugar, business process outsourcing and tourism industries, academe and retail service.
The Dole and its intermediaries will strictly monitor the implementation of PBP schemes once companies will start adopting it next year. (SDR/Sunnex)