Thursday, April 24, 2008 `Wage hike may not reach P100' By Mark D. Francisco
"LAYO sa kahayagan."
This was the statement of Noran Ranara, All Workers Alliance Trade Union-Trade Union Congress of the Philippines (AWATU-TUCP) representative to the technical working group of the Regional Tripartite Wages and Productivity Board (RTWPB) in Northern Mindanao, when asked about the status of a wage hike in the region after their meeting Wednesday.
Ranara said though he could not elaborate further because he is not in a position to speak on behalf of the RTWPB.
But he hinted that economic indicators presented by his colleagues in the technical working group are enough for him to determine that a P100-wage increase may not be attainable.
Economic indicators are the bases for RTWPB to deliberate on whether to increase the minimum wage or not, according to board secretary Lorna Llanos.
The technical working group makes its recommendations to the RTWPB before the board would convene provincial consultations and a regionwide public hearing.
Members of the technical working group here in Northern Mindanao are: National Economic Development Authority (Neda), Department of Labor and Employment (Dole), Department of Trade and Industry (DTI), National Statistics Office (NSO), National Statistics Coordination Board (NSCB), Department of Agriculture (DA), National Food Authority (NFA), Bureau of Internal Revenue (BIR), Land Transportation Franchising and Regulatory Board (LTFRB), Bangko Sentral ng Pilipinas (BSP), Cagayan de Oro Chamber of Commerce and Industry Foundation (Oro Chamber) and Associated Labor Unions (ALU)-TUCP, the proponent of the P100 across-the-board wage hike.
Each of these agencies has to present economic indicators for the board to warrant on whether a wage increase is justifiable, Llanos explained.
Some of the economic indicators include property threshold, consumer price index, population rate, purchasing power of the peso, which determines the real wage and updates on investment, among others.
The rising consumer price index in the region over the decades was what prompted AWATU's fellow union in the TUCP umbrella ALU to clamor for a wage hike.
Ranara's colleagues in the technical working group refused to be interviewed "so as not to preempt the decision of the board."
Llanos later said the technical working group meeting is just the first step of a series of actions RTWPB has to take before coming up with a decision.
The second step would be for the RTWPB to convene this Tuesday, April 28, and after that, a series of provincial consultations and a regionwide public hearing.
"We cannot just railroad the process. There is a procedure we have to follow as mandated by law. The latest that we can come up with a decision is by last week of May," Llanos pointed out.
This seems to be in sharp contrast with President Gloria Macapagal-Arroyo's directive Wednesday for the RTWPBs nationwide to work overtime even on Labor Day in May 1 so a decision to up the minimum wage could be reached.
"The President reminded the Regional Wage Boards of the urgency of setting new wage levels, taking into account the rising cost of commodity prices," presidential spokesperson Ignacio Bunye said.
National officials of Dole, Neda, and DTI will likewise meet Thursday "to discuss the means on how we can fast-track the wage discussions and deliberations."
Dole-Northern Mindanao director and RTWPB chair Alan Macaraya had said in an earlier interview that the time is ripe for another wage increase.
But RTWPB business representative Arsenio Sebastian and Oro Chamber president Rodolfo Meñes warned that many small businesses would fold up if the granted wage hike is too high. (With Press release)