DOLE: Wage hike possible in July

MANILA, Philippines – Labor Secretary Rosalinda Baldoz said workers in Metro Manila should not expect an increase in minimum wage until after July this year despite recent increases in oil products and transportation fees.

Baldoz said that the labor department, with the help of the government’s financial institutions, is closely monitoring the recent price increases’ impact to the country’s inflation.

“Sa ngayon wala pa namang significant increase… Talagang negative pa ang impact despite recent increases,” Baldoz said, adding that the recent increases would not merit another minimum wage increase this early.

She said that the government’s approval of P22 minimum wage hike for Metro Manila workers was based on inflation projections from January 2010 to July 2011.

Baldoz said that former senator Ernesto Herrera, secretary-general of the Trade Union Congress of the Philippines (TUCP), should be aware that any possible wage increase this year may take place in or after July.

Herrera said that the TUCP may file a petition for a P55 minimum wage increase for workers in Metro Manila.

“It will be P55 minimum for the National Capital Region. In other regions, we might be asking for a higher increase,” Herrera said.

The former senator had said that wage increases should not be dictated solely by the impact of inflation, but also the government’s mandate to improve workers’ standard of living.

He said consumer prices are projected to increase by 10% from January to July this year, while fares for public transit systems such as the LRT and MRT will go up by March.

“Whatever increase in the economy, kelangan may share ang manggagawa. Unfortunately, there is a decline in the real purchasing power of the peso and we have not compensated that.” — abs-cbnNEWS.com