Marcos orders wage review, cites ‘impact of inflation’

MANILA, Philippines — As Filipino workers observed Labor Day, President Ferdinand Marcos Jr. on Wednesday ordered a review of minimum wage rates across the country to consider the impact of inflation on goods and services.

The President also pushed for “regular and predictable” schedules for wage reviews and issuances in a bid to promote the welfare of laborers.

“The government continues to support the working class and uphold the principles of fairness, dignity, and equity across all workspaces,” Marcos said in his Labor Day message.

READ: Workers seek dialogue with Marcos on Labor

He recognized the “invaluable contributions of our hardworking men and women whose grit and resilience have paved the way for our national development.”

Timely review

In a speech during a Labor Day program in Malacañang, the President pressed the Regional Tripartite Wages and Productivity Boards (RTWPB) “to initiate a timely review of the minimum wage rates in their respective regions.”

He said the review of minimum wage rates should be “with due consideration to the impact of inflation” and should be done “within 60 days prior to the anniversary of their latest wage order.”

“I call on the National Wages and Productivity Commission to review its rules to ensure that the boards are able to maintain a regular and predictable schedule of wage review, issuance, and effectivity to reduce uncertainty and enhance fairness for all stakeholders,” he said.

Workers in Metro Manila, the capital region, receive the highest minimum daily wage in the country at P610.

Disappointed

But leaders of the country’s major labor groups said they were disappointed with the President’s order for wage review.

“Is the President not getting it? We’re all rallying hard and pushing for legislate wage increase because those regional boards have utterly failed,” Joshua Mata, secretary general of the Sentro ng mga Nagkakaisa at Progresibong Manggagawa, said when asked for his reaction to Marcos’ message.

“Once again, this signals a glaring oversight on the President’s part, showing a disconnect from the needs of the working class,” Mata added.

Lawyer Luke Espiritu, Bukluran ng Manggagawang Pilipino president, said the review of wages by the RTWPBs was “intricate” and would “surely” be opposed by employers, leading to lengthy hearings that would only result in workers suffering more from inflation.

“What is there to review when it is a glaring fact that minimum wages across the country are far below the poverty line and the family living wage?” Espiritu said.

The Federation of Free Workers (FFW) said it found the response of the President on the issue of wages “disappointing.”

“The FFW strongly criticizes the inadequate measures taken by referring wage issues to the RTWPBs, which have failed to resolve the pervasive problem of low wages and discrimination against workers employed in the regions who have very low wages,” said lawyer Sonny Matula, FFW president and Nagkaisa labor coalition chair.

Partido Manggagawa chair Renato Magtubo said: “The Palace’s response to workers’ clamor for substantial wage hike has been cold, limited to repetitive job fairs, Kadiwa rollouts, and disbursements of aid like [emergency employment] programs.”

Legislative action

“President Marcos has navigated nearly the entire globe, met with business, trade, and military attachés of allied nations for trade and war preparations, yet he has not engaged with worker representatives to discuss labor concerns two years in office,” said Magtubo, also a Marikina City councilor.

The National Wages Coalition (NWC), composed of Nagkaisa, BMP, Kilusang Mayo Uno, the Trade Union Congress of the Philippines, and other groups, insisted on legislative action on what they described as the “poverty wages” of Filipino workers.

Coalition members converged on España Boulevard in Manila for their Labor Day protest march and program during which they expressed support for the proposed P150 wage hike bill pending in the House and authored by TUCP party list Rep. Raymond Mendoza.

In a statement, NWC said that since 1989, after the last legislated wage hike, increases made by the RTWPBs have been “insufficient.”

“For 35 years, workers have struggled to make ends meet. Unless they borrow more and drown deeper in debt, they cannot afford soaring electricity, water, and gas prices. They cannot bring adequate nutritious food to their families’ tables, resulting in malnutrition and stunting of our children and compromising our future workforce,” it added.

Espiritu and Magtubo said that if the President really wished to help the workers, he should certify urgently the pending P150 wage increase bill in the House. The Senate has already passed its own wage increase bill, providing for a P100 wage hike.

Aside from TUCP’s wage hike bill, there is also a P750 wage hike measure filed by the Makabayan bloc and another proposal providing for a P33,000 per month entry-level wage for public sector workers.

For Matula, the P150 wage increase will ensure that “all workers can achieve a decent standard of living amid escalating costs, regardless of where in the Philippines they work.”

Senators also pressed for the passage of the House bill seeking a P100 daily minimum wage for all workers.

“In the Senate, we have already passed the proposed P100 Daily Minimum Wage Increase Act in response to the call of our workers. We are hoping that the House of Representatives will soon pass it too,” Senate President Juan Miguel Zubiri said in a statement.

“We in the Senate stand with every Filipino worker in fighting for their rights, from better wages to safer workplaces,” he added.

Sen. Jinggoy Estrada, chair of the Senate committee on labor and employment, said he was also anticipating the House approval of its own version of the measure.

“We are just waiting for the version of the House of Representatives so that we can draft a final version that we will send to Malacañang for signature to become a full law,” Estrada said.

“But our efforts to uplift the standard of living of every Filipino worker doesn’t stop here. In fact, I’ve already submitted a proposed bill to raise the basic salary of government employees… we will strive to make this happen so we can give our workers decent salary that would enable them to enjoy a work-life balance and better life,” he said.

Senate Majority Leader Joel Villanueva said the P100 wage increase in the daily minimum wage, which the Senate had approved, should “pave the way for the living wage we are promoting as the standard for setting wages.” —WITH A REPORT FROM TINA G. SANTOS