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Tuesday, June 06, 2006
Speak out: Higher wages
By Alliance of progressive labor
The Alliance of Progressive Labor (APL) welcomes the thrust of the government to discuss with the workers and employers another round of wage increase. However, this does not, in itself, address the labor sector’s issues nor does it mean that our grievances have been heard or solved.
As of April 2006, the current cost of living is now pegged at P748. The APL is appalled by the obstinacy of employers to stick with the minimum wage level of P325 or even less.
An across-the-board wage increase should help close the gap between minimum wage and cost of living. After all, the Constitution—in Article 15, Section 3 paragraph 3—guarantees a living wage. The realization of this provision is what will truly lift workers out of poverty.
Ironically, the creation of the Regional Tripartite Wages and Productivity Boards (RTWPBs) has only worsened the suppression of the right of workers for a decent living.
Here are three reasons why. One, since their creation, wage boards have been ineffective in responding to workers’ demands for wage levels that will truly lift laborers out of poverty. RTWPBs are composed of three representatives from government, and two each from the employers’ and workers’ sectors. This means that all they need is the vote of one of the two labor representatives and they can railroad a decision.
Exemptions
Second, RTWPBs usually grant minimum wage adjustments only. This means that only those who earn the minimum wage (and below) will enjoy such an adjustment. It further distorts the wage structures among and within industries.
Third, all wage orders issued by the RTWPBs are replete with exemptions that effectively reduce the number of covered workers. It was for this reason, that in the last wage order granted by the National Capitol Region RTWPB, 90 percent of wage and salary earners were effectively excluded.
After 18 years of its existence, the RTWPBs, created by RA 6727 in 1989, has failed to: live up to its mandate of rationalizing the fixing of minimum wages; “ensure a decent standard of living for the workers and their families; guarantee the rights of labor to its just share in the fruits of production; enhance employment generation in the countryside through industry dispersal.”
The regionalized determination of minimum wage has brought more problems and wage distortions now that we have more than 300 minimum wage levels around the country. While the number of minimum wage levels have gone down from its peak of about 800 years ago, the current trend is now again towards implementing more and more wage levels.
Worse, because of the RTWPBs’ decision-making processes, the lowest minimum wage is found in a place where the cost of living is one of the highest (in the Autonomous Region of Muslim Mindanao)!
Instead of ensuring a “decent standard of living for workers and their families,” the RTWPBs have condemned minimum wage earners to salaries that are below the poverty threshold.
In a study done in 2005, it was found that all minimum wage levels around the country are below the poverty threshold!
For Bisaya stories from Cebu. Click here. (June 6, 2006 issue)
Write letter to the editor.Click here.
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