Friday, May 02, 2008 Arroyo approves wage hike for gov't workers
ANGELES CITY, Pampanga -- President Gloria Macapagal-Arroyo signed an executive order granting a 10 percent wage increase for government employees which would be implemented starting July 1.
"Yes, I already signed it, in time for Labor Day," Arroyo said in an ambush interview at the Villanueva, De Leon, Hipolito, Cusi, Tuazon Law offices here, where the meeting of the regional tripartite wage and productivity board (RTWPB) for Central Luzon was held.
The President, accompanied by Labor Secretary Marianito Roque, conducted a surprise visit at the meetings of the regional wage boards for Central Luzon and the National Capital Region (NCR) "not to exert undue pressure but just to see for myself how things are doing."
She added that she refrained from giving any Labor Day message or comments on the meetings preferring to observe and listen to the discussions.
Arroyo earlier ordered the RTWPBs to work over time to come up with possible wage increases soon to help cushion the impact of the rising prices of oil and rice.
"Instead of having the usual Labor Day ceremony, upon my request, the wage boards are doing overtime work today Labor Day. It is a no-work holiday for all, May 1, except for them," she said.
The labor groups in Central Luzon and Metro Manila are seeking an across-the-board wage increase of P60 and P80, respectively. The minimum wage in Central Luzon is P201 to P287 following a P9 increase which took effect September 27, 2007 and P325 to P362 in the NCR following a P12 increase effective August 28, 2007.
Records of the two RTWPBs showed that there is a 86.6 percent compliance with the wage increase in the NCR and 97.5 percent compliance in Central Luzon.
Aida Andres, regional wage board secretary for the NCR, said an increase in minimum wage in Metro Manila would benefit about 1.3 million to 1.8 million workers with more than 90 percent of which belonging to the mostly from the micro, small and medium-scale enterprises.
She said based on their assessment a P60 to P125 across-the-board increase at this time may result in an increase in unemployment or displacement of workers of up to 914,000.
Roque said no new announcements were to be made in time for the Labor Day celebration except to reiterate and ensure the provision of additional non-wage benefits like the condonation of loan penalties for Government Service Insurance System, Social Security System and the Home Development Mutual Fund (Pag-Ibig) and the putting up of daycare centers in the work place, among others.
He, however, said they expect the deliberations to be finished within the month and eventually "issue wage orders this month of May."
Roque assured the commitment of the government to continue working until the wage orders are approved and implemented.
He also committed to hasten the drafting of the implementing rules and regulations (IRRs) to pave the way for the implementation of Republic Act (RA) 9481 or the "Act Strengthening the Workers Constitutional Right to Self Organization" which took effect May 25, 2007.
He said RA 9481 would enable a group of employees to form a union even if their members are less than 20 percent.
Representatives of the Trade Union Congress of the Philippines, during the NCR meeting, called for the immediate issuance of an IRRs for RA 9481, an P80 across-the-board wage increase, the fast-tracking of the implementation of the wage orders, the passage and expansion of income tax exemptions, a deferment of any tuition increases, and the provision of housing units or dormitories in export processing zones or areas near factories and manufacturing firms.
Deputy presidential spokesperson Lorelei Fajardo defended "simple" commemoration of Labor Day adding that it "is not just traditional, it is testimonial".
Fajardo recognized the workers whom she described as the "engine" that spurs development of countries.
"This day is to celebrate their toil. The President is committed to our force in her vision of a just and safe work place, she will in her 'last two minutes' continue to ensure job creation, and provide more none wage benefits that will benefit not only the workers, but also their families. The President is committed to provide better opportunities for the workers and their families," she said. (JMR/Sunnex)
