Neda offers fix for rising prices: No wage, fare hike but fewer work days
MANILA, Philippines—The National Economic and Development Authority (Neda) recommended a four-day work week to manage the country’s economy amid rising fuel prices and commodities.
During President Rodrigo Duterte’s Talk to the People aired on Wednesday (March 16) Socioeconomic Planning Secretary Karl Kendrick Chua, who also heads Neda, said instead of increasing minimum wage and fare, the government should provide relief, unconditional cash transfers and conserve energy to control the rise in inflation.
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“We have three recommendations,” Chua said in Filipino. “First is to focus on relief in a targeted manner to vulnerable sector. Second provide unconditional cash transfer which we have already done under TRAIN (Tax Reform for Acceleration and Inclusion) law,” Chua told Duterte.
The unconditional cash transfer program involves distributing money to poor households and is projected to cost at least P33 billion in 2022 alone.
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The recommendation to conserve energy includes trimming the five-day work week into four.
“The third, Mr. President, our proposal is to try to conserve energy and one example is the four-day work week,” Chua said.
Chua explained that the usual eight-hour daily work could shift to 10 hours daily but only for four days instead of five.
According to Chua, reducing the number of work days would help increase savings.
“The effect of this is that we can save instead of commuting everyday, it will become four days and this can help in managing the economy as well,” said Chua in Filipino.
Chua warned that higher inflation leads to higher interest rates which will affect everyone.
