DOLE still awaits decision on labor code amendment

CEBU, Philippines - While the business sector seeks for the alteration of the Labor Code of the Philippines particularly on piece rate, the Department of Labor and Employment still awaits for the response of the Congress for such amendment and sticks to the same code for now.

Bon-Ace Fashion Tools President Ramir Bonghanoy said during the Bosconian International Chamber of Commerce Cebu Chapter 4th general membership meeting, that since the products in the fashion and home accessories industry have shorter life, piece rate could be more applicable than the Time and Motion Study.

The objective of the Time and Motion Study is to determine a normal or average time for a job, by using observers to record exactly how much time is being devoted to each task. All of the motions in a job need to be established so a sequence of motions can be determined to ensure that the task is being performed in the most efficient and effective way.

Unlike large companies like San Miguel Corporation and Coca – Cola Bottlers Philippines, Inc. that could already forecast their sales within the year, he further said that smaller companies which are likely affected by world crisis work on things according to orders. He then suggested having a minimum wage law made in such a manner that would be industry-based.

Bonghanoy, along with other Bosconian entrepreneurs, described Filipino workers as spoiled of lenient labor laws, underestimating the competitiveness and productivity of the businesses in the country.

In his case for instance having 322 daily workers, he would give something first hoping that employees would do better at work. However, in some cases, he noted that piece rate would be more efficient in a well-studied Time and Motion.

“With you alone working religiously, wala na’y supervisor and quality control. At the end of the day, the management would pay as per agreement and assess your finished products,” he said.

Bonghanoy clarified that piece rate is still legal in the country, but with the kind of business they have which is seasonal-based, piece rate could never happen since the government agency responsible for such evaluation in companies lacks manpower to do such.  (FREEMAN)