Labor reps to raise anew need for wage hike in Western Visayas

LABOR representatives of the Regional Tripartite Wages and Productivity Board (RTWPB) in Western Visayas will raise anew the need to review the existing wage order in the region amid the reported continuous erosion of the workers' purchasing power.

Wennie Sancho, labor representative to the RTWPB in Western Visayas, said Monday, November 5, that they cannot yet file another wage hike petition for private sector workers in the region, including Negros Occidental, as this might just result in an exercise in futility.

Sancho and fellow labor representative Hernane Braza first manifested the intention to review Wage Order 24 during the regular meeting of RTWPB-Western Visayas in Iloilo City on October 31.

The board, however, deferred the manifestation, citing the pronouncement of the National Wages and Productivity Commission (NWPC) that "there is no supervening condition" to increase the minimum wage rate," Sancho said.

"With the recent approval of P25 daily minimum wage increase in the National Capital Region, the Trade Union Congress of the Philippines (TUCP) is looking at filing another increase," he said.

"If the NWPC grants their petition, then this means that there is a supervening condition that could also merit wage adjustments in the region," he added.

The two labor representatives are set to again bring the concern to the attention of RTWPB-Western Visayas during their next meeting on Wednesday, November 7.

The existing wage order, which took effect starting July this year, has set the new minimum wage rates, including the cost of living allowance (Cola) at P295 and P365 per day.

Workers in the non-agriculture, industrial and commercial establishments employing more than 10 employees are now expected to receive a minimum wage of P365 per day.

From the previous P323.50, RTWPB-Western Visayas 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 five pesos, or a total of P23.50.

For the agriculture sector, plantation workers may now receive P8.50 increase and Cola of five pesos, making the new wage rate at P295, 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 five pesos worth of Cola, or a total of P23.50.

Local labor groups, earlier, cited the surging inflation and weakening purchasing power to push for the review of the Wage Order despite its validity period of one year has not lapse yet.

Sancho, also the secretary-general of the General Alliance of Workers Associations (Gawa), said the average monthly erosion on the purchasing power of workers in the region is pegged at P1,651.

Citing the data from the Philippine Statistics Authority (PSA), which was presented during their previous meeting, Sancho said with consumer price index (CPI) of P121 and inflation rate of 7.6 percent in September, the daily purchasing power erosion is P63.51.

"The nominal wage of P365 per day minus the daily erosion results to a real wage of only P301.49 thus, the amount to be restored as of now is P22.01 per day," he added.

Moreover, local labor groups are asking the Department of Labor and Employment (Dole) in Western Visayas to provide them a copy of the compliance rate on Wage Order 24 in the region.

"This will include violations on the implementation of the wage increase," Sancho said, adding that they will also raise such concern during the board meeting.

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