Palace rules out further wage hike

Malacañang ruled out yesterday further wage increases amid a global economic slowdown after the Sept. 11 terror attacks in the United States.

"We have to live within our means," Presidential Spokesman Rigoberto Tiglao told reporters.

Labor unions should put on hold their demand for wage hikes "until things settle down and when we really see where the economy is going," Tiglao added.

But at the House of Representatives, the chamber’s committee on labor and employment would "most likely" endorse a bill seeking a P125 legislated increase in the minimum daily wage.

Rep. Roseller Barinaga (NPC, Zamboanga del Norte), committee chairman, told reporters yesterday that he and many of his colleagues in the panel are sympathetic to the workers’ demand for a P125 daily wage increase.

Tiglao stressed the labor sector should be content in the meantime with a P30-adjustment recently approved by government. The daily minimum wage in the Philippines is among the lowest in the region at P250.

Militant labor groups led by the Bukluran ng Manggagawang Pilipino (BMP) protested yesterday outside the labor department, saying the P30-adjustment was way below their demand for a P125 increase.

But President Arroyo wants salary adjustment schemes to be on an industry-to-industry basis, Tiglao said.

"This means that for a particular industry, if its profit rates are high, increases in wages could be higher. But if it’s a sunset industry where profit rates are lower, there should be a different amount of increases," he said.

Barinaga, for his part, said his House committee will hold a closed-door meeting today to vote on the proposal.

Asked if his members’ sympathy would translate into a vote for endorsing the wage hike measure, Barinaga said: "I think yes, most likely."

The wage increase bill is authored by Satur Ocampo, Liza Maza and Crispin Beltran, who represent the leftist group Bayan Muna in the House.

They are pressing for the approval of the measure in the wake of what they described as a "measly" adjustment ordered by the regional wage boards.

The wage boards have approved a P30-increase in the cost-of-living allowance in Metro Manila.

At a news conference, Ocampo, Maza and Beltran said the small adjustment that the government allowed means that alleviating the workers’ plight "is not among the priorities of the Arroyo administration."

They said President Arroyo is not keeping the promises she made in her first State of the Nation Address before a joint session of Congress in July.

"She swore to provide for the poor and the marginalized, but she won’t even lift a finger to support the workers’ demand for a much needed P125 legislated wage hike," they said.

Worse, she has allowed huge cuts in the budgets for health, education, agriculture, and other vital services, they added.

"Her government has funds to squander on war, but it’s hard up when it comes to providing for the basic but most essential needs of her constituency –living wages, secure employment, decent housing, adequate social and support services," the three stressed.

Meanwhile, members of the militant BMP held a torch parade in front of the Department of Labor and Employment (DOLE) in Intramuros, Manila yesterday to protest the granting of a P30 emergency Cost of Living Allowance (COLA) to minimum wage earners.

The protesters called for the resignation of Labor and Employment Secretary Patricia Sto. Tomas and the abolition of the various regional wage boards.

Victor Briz, BMP president, told reporters yesterday the wage board order granting a P30 emergency COLA was an "insult" to workers nationwide.

"Aside from the very low P30 emergency COLA, which is not even a wage increase, they also placed several exemptions for all capitalists, including those who are able to afford a wage hike for the workers," he said.

– AFP, Jess Diaz, Sandy Araneta, Romel Bagares

On the other hand, Gerry Corpuz, information officer of the fisherfolk association Pamalakaya, said corporate groups would bribe several congressmen to "kill" the Bayan Muna.

"Corrupt politics in Congress might endanger the passage of the wage bill seeking to grant private workers with P125 daily pay hike and P3,000 monthly increase for state workers," he said.