Congress urged to pass wage hike

August 19, 2024 | 12:00am

MANILA, Philippines — Labor groups have asked the House of Representatives and the Senate to collaborate for the immediate passage of a legislated wage hike.

Workers urged the House committee on labor and employment to approve the P150 wage hike proposed by the Trade Union Congress of the Philippines, according to Federation of Free Workers president Sonny Matula.

“The bill, which has garnered the support of over 100 representatives, seeks to provide wage increase for workers nationwide and address the discriminatory regional wage scheme that has been in place since 1989,” Matula said.

Senate President Francis Escudero can convince Speaker Martin Romualdez on the merits of the Senate bill that approved a P100 daily wage increase in February 2024, Matula said.

Employers have opposed a legislated wage hike, warning of job losses and business shutdowns, and preferring the triparte boards for wage setting.

Trade groups have raised the alarm over income inequality in the Philippines despite claims of significant progress in poverty reduction. 

The World Bank recently reported that while the top one percent of earners capture 17 percent of the national income, the bottom 50 percent only receives 14 percent.

“It is the duty of the state to intervene and ensure that workers receive their fair share. We call on Congress to legislate a national wage recovery that reflects the true cost of living and the contribution of workers to the economy,” he said.