New floor wage order to take effect Sept. 22

With the P20 minimum wage increase set to take effect this month, labor groups in Cebu said they plan to file an appeal before the National Wages Productivity Commission (NWPC) for a bigger wage hike.

Regional Director Exequiel Sarcauga of the Department of Labor and Employment in Central Visayas (DOLE-7) said the guidelines for the P20 wage increase will be published today.

That means it will take effect on Sept. 22, or 15 days  after the full text is published in a newspaper.

Inspection of compliance will be done by DOLE-7 after two salary periods, Sarcauga said.

Sarcauga also asked  workers to file a complaint with DOLE  in case their employers didn’t give the additional P20 on the  minimum wage, which will be P305 a day for Metro Cebu.

Guidelines for  the wage order are still being reviewed by the commission.

Sarcauga said once the commission sends it back to Cebu, it will also be published to inform the employers on how to implement the new wage order.

As of yesterday, no employers have filed for an exemption of the wage order,  said Sarcauga.

Section 8 of Wage Order No. 16 states  that “distressed establishments” may be exempted upon application with the Board, which will determine it based on  criteria under  NWPC Guidelines No. 2.

An aggrieved party  can also file an appeal of the wage order with the Commission  within 10 days from the publication of the order.

Non-agricultural workers for class A or in Metro Cebu area will receive P305 daily while  class B or areas outside Metro Cebu but within Cebu province excluding Bantayan and Camotes Islands receive P285 daily.

Workers in Bohol and Negros Oriental will receive P275 while Siquijor, Bantayan and Camotes Islands workers will receive P260 daily.

Joe Tomongha, chairman of the Alliance of Progressive Labor (APL), criticized the wage board for rejecting  their  original P120 proposal.

Tomongha said he will coordinate with the Associated Labor Unions- Trade Union Congress of the Philippines (ALU TUCP) and other labor organizations for their support in filing the appeal with  the NWPC.

TUCP Rep.  Raymond Mendoza agreed, saying the P20 increase hardly addresses the harsh economic realities in the region.

“However, we commend our labor representative, lawyer (Ernesto) Carreon for putting up a good fight,” he said. Mendoza said he will file a bill in Congress seeking an amendment in the  composition of the regional wage boards.

The  two labor representatives in the board were  outvoted by government representatives who sided with management.

“Looking at the whole deliberation and voting process, the RTWPB composition should be reexamined and revisited,” he said.

Mendoza said the other option is to push for a  legislated wage increase.

Allan Suarez, chairman of PhilExport Cebu, said exporters  will implement the wage order despite their appeal for a six-month moratorium.

Suarez said some companies may opt to ask for an exemption.

“I want to clarify that we are not opposed to the wage increase but we are asking for  leeway. The export sector is not really stable at this time,” Suarez said.