|
Monday, September 12, 2005
Another fare increase to hike cost of goods, labor
THE implementation of another fare hike in Davao Region would result to increased cost of goods and labor, Davao City Chamber of Commerce and Industry, Inc. (DCCCII) president Bienvenido Cariaga said.
Effective September 15, the minimum fare rate in Region 11 would already be P7 for the first four kilometers and an additional of P1.25 per kilometer would be charged to passengers for the succeeding kilometers thereafter.
For privileged passengers, senior citizens, students, differently-abled persons, the new rate is P5.60, or 20 percent discounted rate.
On August 23, the Land Transportation Franchising and Regulatory Board (LTFRB) has approved the petition relative to the increase in fare rate.
Cariaga said the decision of the LTFRB would somehow entail that the labor sector will ask for another round of wage increase.
"Syempre, sasabihin ng mga workers natin na kailangang i-offset nila ang increase sa pamasahe. While 'yong mga manufacturers and producers naman natin would say na they have to increase their prices kasi mahal na ang transportation cost nila. Therefore, magkakaroon talaga ng domino effect ang fare hike," he said.
Cariaga added that if employees would insist to have a salary adjustment, the employers would suffer the most.
"Saan na naman nila 'yan kukunin? If you can still recall, last February 15, nagkaroon tayo ng P14 increase sa minimum wage at noong July 2 naman, may P15 Cola (cost of living allowance) na ipinatupad. Grabe na masyado 'yan in a span of one year", he pointed out.
If the fare rates in the region would continue to soar, Cariaga said, the worst scenario to happen is the closure of some establishments.
As of June this year, a total of 13 companies in the region have already stopped their operations. (JMM)
(September 12, 2005 issue)
Write letter to the editor. Click here.
Join the Sun.Star message board. Click here. |
|
[return to top]
[home]
[network page]
|
LOCAL NEWS
BUSINESS
OPINION
SPORTS
LIFESTYLE
FEATURE
SUPERBALITA
WEEKEND
|
