Tuesday, May 27, 2008
Biz group says yes to P17 hike
A GROUP of businessmen yesterday asked the national government to “give more benefits” to minimum wage earners, particularly in Cebu.
Eric Ng Mendoza, president of the Mandaue Chamber of Commerce and Industry, Inc. (MCCI), said that additional payback for minimum wage workers, such as the non-wage benefit, should also be given by the government to private or public workers.
Likewise, Mendoza said the MCCI supports the approved P17-per-day salary hike for minimum wage earners in Central Visayas.
Approved
The Regional Tripartite Wages and Productivity Board (RTWPB) approved the P17 daily increase.
Last year, the board set the minimum wage in the region at P250.
With the increase, the minimum wage in Central Visayas is now P267.
The increase, however, is not across-the-board, leading labor representatives to warn of wage distortions.
Pay increases for those earning more than the minimum wage are left to the discretion of the management.
The P17 increase will take effect 15 days after the new wage order is published in newspapers. Before publication, however, the order will have to be reviewed by the National Wages and Productivity Council if it passes standards and technicalities.
All sectors
RTWPB Chairman Elias Cayanong, the Department of Labor and Employment (Dole) 7 director, said that because of the increase in prices of commodities, the increase will take effect in all sectors in the region, whether industrial or agricultural.
Mendoza admits that the recent salary adjustment is lower compared to over a hundred wage hike being asked by the labor groups, but he said it will somehow provide “relief” to workers amid the skyrocketing oil prices in the world market.
“This is just our own little gesture. You know the business is not that good. I hope it (wage hike) will be appreciated,” Mendoza told reporters.
Proposal
Aside from the non-wage benefit, Mendoza also proposes that tax exemption of entry-level wage earners be imposed by the government.
Mendoza hopes workers will understand the business sector if it can only provide for P17 wage increase since high oil prices also hurt companies.
“We’re hardly competing with the world. It’s becoming more expensive to do goods here, but then we are determined to pursue business,” said Mendoza.
Mendoza said several local firms are resorting to retrenchment or downsizing their labor force to cope with the unbalanced economic condition. (GMD)
For Bisaya stories from Cebu. Click here. (May 27, 2008 issue)
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