THERE is no truth on the speculations that some workers will no longer receive cost of living allowance (Cola) once the Boracay Island in Aklan will open in October this year, a labor leader said.
Wennie Sancho, labor representative to the Regional Tripartite Wages and Productivity Board (RTWPB) in Western Visayas, yesterday said there are workers in Negros Occidental, particularly Bacolod City, receiving only P15 in Cola without the recently approved daily minimum wage increase.
Sancho said these workers are categorized as “over and above” employees, who do not receive the daily minimum wage rate set by the Wage Board due to “specialization” of their jobs.
“We would like to clarify that what is provided by the new Wage Order should be followed thus, workers should not worry over speculations that the Cola they are receiving might be taken back by the employers amid the impending opening of Boracay Island after its six-month rehabilitation,” he added.
Effective July 12 this year, Wage Order No. 24 provides workers in the non-agriculture, industrial and commercial establishments employing more than 10 employees a minimum wage of P365 per day.
From the previous P323.50, the RTWPB-6 has come up with an increase of P26.50 on basic wage plus a Cola of P15.
All in all, the increase in this classification is P41.50.
Those employing 10 workers and below, the new wage rate is P295 from only P271.50. It is derived from an increase of P18.50 plus a Cola of P5, or a total of P23.50.
For the agriculture sector, plantation workers will receive P8.50 increase and Cola of P5, thus, the new wage rate is P295. This is P13.50 higher than the previous rate of P281.50.
Those in non-plantations, the new wage rate is also P295 from the previous P271.50 due to a basic wage increase of P18.50 and P5 worth of Cola, or a total of P23.50.
Aside from setting higher rates and inclusion of Cola, the new Wage Order also has other features including the provision of the moratorium.
Taking into consideration the temporary closure of Boracay Island in Aklan resulting to non-operation of establishments there for six months, there shall be no wage increase and provision of Cola in all three barangays of Malay town.
The new Wage Order will just take effect three months after the opening of the island. So if the rehabilitation ends in October, the effectivity is sometime in January next year.
Considering that business operations in the entire Aklan are also affected by the Boracay woes, the wage increase will take effect among other areas in the province in November this year.
For sugar industry enterprises under the agricultural, industrial, and commercial sector, the grant of Cola shall only take effect six months after the issuance of the Wage Order.
Sancho said that based on the reports they received, some employers have given the P15 worth of Cola as a form of “incentives” to their workers.
“Benefits already enjoyed cannot be diminished as provided by the labor code,” Sancho stressed, adding that the members of RTWPB-6 have already discussed this concern during their meeting in Iloilo City last Friday, August 10.
The Board, through its representatives, will intensify information dissemination about the Wage Order especially its features concerning the provision of Cola to “over and above” wage earners in the region.