TUCP appeals P22 wage hike, asks for P75 increase for all

THE TRADE Union Congress of the Philippines (TUCP) has asked the National Wages and Productivity Commission (NWPC) to reconsider the P22 daily minimum wage hike ordered by its Metro Manila Board and reiterated the P75 increase the labor group sought.

In a memorandum of appeal filed with the NWPC late last week, the TUCP claimed that the P22 increase was “grossly inadequate and does not conform with the criteria set by Republic Act 6727” which set the standards and criteria for minimum wage fixing.

It also asked the commission to set a new order increasing the minimum wage across the board in Metro Manila to P75.

The P22 increase was contained in NCR Wage Order No. 15 published on June 16 and would take effect on the first day of July.

“It grossly disregarded the very spirit and intent of RA 6727 which expressly mandates that, in fixing the minimum wages, the board shall ensure decent standard of living necessary for the health, efficiency and general well-being of employees,” TUCP said in the eight-page memorandum.

TUCP cited Article 124 of RA 6727 which outlines factors considered for minimum wage fixing such as the demand for living wages; wage adjustment vis-a-vis the consumer price index; the cost of living and changes or increases therein; the needs of workers and their families; the need to induce industries to invest in the countryside; improvements in standards of living; the prevailing wage levels; fair return of capital invested and capacity to pay of employers; effects on employment generation and family income; and the equitable distribution of income and wealth along imperatives of economic and social development.

It also said that the P22 granted increase merely restored purchasing power to the level of May 2008 when the immediate past wage order was issued. It did not provide any anticipatory increase in wages for inflation sure to rise unto December 2010 and it did not provide for any increase in real wages.

Further, it argued that exempting establishments with total assets not more than P3 million is illegal as it is not provided by the NWPC guidelines.

Asked to comment on the memorandum, NWPC Executive Director Ciriaco A. Lagunzad III said “it will be taken up by [NWPC] as a commission at the earliest time possible.” — Ana Mae G. Roa, BUsinessworld