MINIMUM WAGE hikes exceeding P25 per day could prompt monetary authorities to raise policy rates, a Bangko Sentral ng Pilipinas (BSP) official said on Thursday.
“A P25 [wage] increase has been factored in already in the recent rate increase. If it’s higher than that then we have to run reviews,” central bank Deputy Governor Diwa C. Guinigundo told reporters late on Thursday.
The central bank last week raised interest rates — its first adjustment since July 2009 — by 25 basis points, warning of mounting inflationary pressures.
The Trade Union Congress of the Philippines last month filed a petition for a P75 across-the-board increase in Metro Manila and earlier this week the Trade secretary said pay adjustments were necessary given rising prices.
On Thursday, President Benigno S. C. Aquino III was quoted as saying that wage hikes are allowed if inflation hits 5%. The day before, BSP Governor Amando M. Tetangco, Jr. said inflation — at 4.3% in February — could top 5% in the second and third quarters.
The view that wage have to be adjusted is “something to be clarified” Mr. Guinigundo said.
“The president noted that wage hikes will be allowed if inflation will hit 5%. But is this a moving average or just a monthly figure,” he said.
The Monetary Board, Mr. Guinigundo added, has been vigilant in keeping prices stable. “This is precisely the point why the MB raised policy rates,” he said. –Businessworld
May –
Anti-Graft and Corruption Awareness Month
“Corruption drains the nation
and victimizes workers who build the nation.
Accountability now!”
Invoke Article 33 of the ILO Constitution
against the military junta in Myanmar
to carry out the recommendations of the 2021 ILO Commission of Inquiry
against serious violations of protocols of
Forced Labour and Freedom of Association.
Accept the National Unity Government (NUG)
of Myanmar. Reject Military!
#WearMask #WashHands
#Report Corruption #SearchPosts #TakePicturesVideos
May 1 – Labor Day
May 2 – World Freedom Day
May 12 – World Communication Day
May 15 – International Day of Families
May 16 – International Day of Living
Together in Peace
May 21 – World Day for Cultural Diversity
for Dialogue and Development
Monthly Observances:
The Month of the Ocean
Anti-Graft and Corruption Awareness Month
Volunteerism Month
Weekly Observances:
Week 2: Safe Motherhood Week
Daily Observances:
May 1: Labor Day
May 7: Health Worker’s Day
May 31: National Fisherfolks Day
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