CEBU’s business leaders are backing the initiative to promote digital wage payments.
“Cashless transactions are always convenient and a key driver of financial inclusion,” said Mandaue Chamber of Commerce and Industry (MCCI) president Mark Anthony Ynoc.
He noted that while there is still a low percentage among MCCI member companies that are using this mode of payment, it is increasing day by day.
“I believe that this speeds up our operations and can eliminate existing human mistakes in reports and documentation. We just need to empower our members to adapt to the innovations and technologies,” he said.
MCCI’s chairman emeritus Eric Ng Mendoza is also supportive of the digital wage payment scheme, saying that tapping technology would make things seamless, easier and convenient.
The Bangko Sentral ng Pilipinas (BSP) and the Department of Labor and Employment are encouraging leaders of the labor and employer sectors to promote the use of safe and efficient digital wage payments.
Based on the results of the 2021 Financial Inclusion Survey of the BSP, around 70 percent of salaries from the private sector in the country are still paid in cash.
Digitalizing wage payments is one of the most effective tools in driving financial inclusion. A study indicated that more than half of adults in developing countries opened their first bank accounts to receive digital wage payments.
For employees, wage digitalization can unlock access to financial products and services —such as savings and insurance — which enhance resilience and financial health.
For employers, digital wage payments bring significant gains such as productivity improvement, accuracy, safety, access to finance and markets and enterprise formalization.
“By promoting financial inclusion and digital wage payment systems, receiving income will become more convenient, faster, and safer. It also ensures that workers receive their full wages on time. Additionally, it provides broader access to financial services and information for saving, which strengthens the security and stability of every family,” said Labor Assistant Secretary Amuerfina Reyes. / KOC