Friday, July 23, 2004 Wage hike 'better than allowance' By Charmaine Y. Rodriguez
CEBU CITY -- Some workers and local officials think of it as a joke, but others take it seriously, as a "safety net" against soaring prices.
Increasing the daily minimum wage to P208 will ensure workers currently receiving P200, or less, of relief from the recent increases in fares and the prices of commodities, said Department of Labor and Employment (Dole) 7 Director Rodolfo Sabulao.
These workers are assured of getting the increase by August.
All owners of establishments with a capital of more than P3 million are duty-bound to give the adjustment.
RTWPB 7 is set to have Wage Order 10 ready for publication by tomorrow so it can be implemented across the region in 15 days.
Although the board is set to meet on July 29 yet to draft the implementing rules and regulations on the wage order, it will already take effect 15 days after publication.
"Our primordial consideration was the standard criteria provided in the revised rules of minimum wage-fixing," Sabulao said, adding that they considered the capability of employers to grant the increase and the need to preserve jobs.
Their decision was also aimed at encouraging potential investors to come to Central Visayas and generate employment, in line with President Arroyo's 10-point agenda.
"We want to provide a climate where they will feel secure to invest their capital here," said Sabulao, who expressed concern over the Central Visayas unemployment rate of 13 percent.
The rate is higher than the rest of the country's, he added.
However, Sabulao also pointed out that they decided to grant an increase in the premium and not just grant an allowance, like what workers in the National Capital Region, Cordillera Autonomous Region and Region 2 got.
Sabulao said that so far, only the wage boards in the Caraga Region and in Region 7 granted an adjustment to the basic pay, so the workers will also get a fatter 13th month paycheck and retirement package.
Workers already receiving above minimum wage will not benefit from the recent wage order, through. (It is not across-the-board, as earlier reported.)
Sabulao said they could seek an increase through collective bargaining agreements.
Nick Igot of AMA-Sugbo-KMU, for his part, said the recent decision of the RTWPB 7 has strengthened their belief that wage boards are not looking at the welfare of the labor sector.
Because of this, they are lobbying for workers' unions and other labor groups to join a series of protests to call for the abolition of wage boards and to lobby for Congress to approve a P125 across-the-board legislated increase.
The petition is still pending before the Lower House, through a bill filed by Anakpawis party-list Reps. Crispin Beltran and Raffy Mariano.
Owners of small and medium enterprises (SMEs) are expected to be hardest hit by the wage board's decision to raise the minimum wage.
They make up 98 percent of the total number of establishments in Central Visayas, RTWPB 7 secretary Exequiel Sarcauga said. These are businesses put up with a capital of not less than P3 million and not more than P15 million.
According to Wage Order 10, only employers of businesses with a capital less than P3 million are exempted from granting the increase to their workers.
However, they have to be duly registered with the City or Municipal Treasurer's Office and they have to secure a certificate of authority as a barangay microbusiness enterprise.
These include barbershops, beauty parlors, eateries and the like.
Domestic helpers and family drivers are also exempted.
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