The newly-approved wage hike for private sector workers in the National Capital Region (NCR) is not yet cast in stone and is still subject to appeal, according to the Department of Labor and Employment (DOLE).
Labor Secretary Bienvenido Laguesma said on Tuesday that those dissatisfied with the PHP35 per day pay increase approved by the NCR Regional Tripartite Wages and Productivity Board (RTWPB) have until July 11 to appeal it before the National Wages and Productivity Commission (NWPC).
Even Senate President Francis Escudero described a PHP35 addition to the daily minimum wages of Metro Manila workers as “insufficient and farfetched.”
He questioned the NCR-RTWB, saying it seems to be disconnected from the “real needs of our people amid the high cost of commodities.”
Escudero said that since its creation, wage boards have failed to produce wage orders that truly reflect the needs of private sector employees.
He insisted that the PHP100 per day across-the-board wage hike recently approved by the Senate is a more realistic amount in view of the lost purchasing power of the peso due to inflation surges.
“I believe it is still not enough (PHP35 per day increase)… the constitution requires a living wage and not a mere minimum wage,” Escudero added.
For his part, Sen. Juan Miguel Zubiri said the “grossly insufficient” wage increase does not account for the impact of inflation on the prices of basic commodities, especially on food.
He noted that wage boards across the country should take their cue from the series of Senate hearings on the proposed legislated wage hike, saying that PHP100 per day is the minimum amount acceptable in view of recent inflation figures.
“The wage boards should do their jobs well. They should look after the welfare of workers first before considering the impact of their decisions on employers,” Zubiri stressed.
For Senate Pro Tempore Jinggoy Estrada, the wage increase is not just timely but essential in view of how rising inflation is affecting poor households.
He said that it is about time to implement Senate Bill No. 2534, the landmark legislation mandating a PHP100 per day wage increase passed by the upper chamber last February.
Still, Estrada commended the NCR wage board for approving an upward pay adjustment for the estimated 1.1 million minimum wage earners in Metro Manila.
“While this increase is a positive development, we must continue to strive for comprehensive measures that will further protect and uplift the lives of our workers. But for the meantime, this adjustment will provide much-needed relief to our workers and their families, ensuring they have a better chance at maintaining a decent standard of living,” the senator said.
In the House of Representatives, several lawmakers vowed to eventually pass a counterpart measure to Senate Bill No. 2534, in hopes of making a legislated wage hike a reality.
However, Reps. Fidel Nograles of Rizal, Rolando Valeriano of Manila and Joel Chua of Manila also commended the NCR-RTWPB for providing “much-needed relief” amid the high cost of living in the capital.
“This will provide much-needed and immediate relief to our minimum wage workers in the metro. But the fight for the welfare of the workers does is far from over,” Nograles said.
However, he disclosed, despite the latest wage hike in Metro Manila, lawmakers will continue to deliberate on various bills proposing daily salary increases ranging from PHP150-P350.
Valeriano said Congress is doing its best to pass legislation that will help workers cope with the rising cost of living.
“In my opinion, the minimum wage increase should be more than PHP35 (per day). This is because the PHP35 is only 5.7 percent of the previous minimum wage of PHP610, while inflation throughout the year 2023 is at six percent,” said Valeriano, the chair of the House Committee on Metro Manila Development.
Meanwhile, Chua, a member of the House committee on labor and employment, pointed out that the wage hike in Metro Manila was approved ahead of schedule thanks to the intervention of President Ferdinand Marcos, Jr.
“Less than a year has passed since July 16, 2023, when the minimum wage was raised from PHP570 and it became PHP610. This is unusual. The so-called supervening event is required if another increase is given within one year. It is a great thing that our president, together with Secretary Laguesma, saw that there is no need to wait,” he said.
The NCR wage board acted on a directive issued by the president on Labor Day to immediately convene and study the possibility of setting a new wage increase.