DOLE rules out wage hike on May 1

A wage hike might be due soon but definitely not by Labor Day.

The Department of Labor and Employment (DOLE) ruled out yesterday the possibility of wage boards granting an increase in the take-home pay of workers nationwide on May 1.

"The wage boards follow a process and traditionally they have to conduct public hearings and come out with a decision to increase within 30 days," said a ranking labor official, who requested anonymity.

The official added that although wage boards meet regularly to assess the economic condition in their areas of jurisdiction, they have yet to set any hearing schedule for a possible wage increase.

But he stressed the boards have undergone preparations to enable them to take appropriate action on the wage issue. The official did not elaborate.

On the other hand, Labor Secretary Patricia Sto. Tomas reminded various labor groups to file a formal petition for a salary increase in order for the different wage boards to act accordingly on it.

"Labor groups should file the petition for wage increase before the regional wage boards as the executive branch has no authority to adjust their wages," Sto. Tomas said.

So far, only labor groups in Western Visayas have filed a formal wage petition.

Militant labor groups are pressing for a legislated P125 daily wage hike while the moderate Trade Union Congress of the Philippines said it would wait for other "economic indicators" to settle before filing a petition for a salary hike.

Employers are opposed to a pay increase, claiming it would result in massive closures of small- and medium-scale enterprises and the retrenchment of workers nationwide.

Both Malacañang and DOLE have agreed that there is a need to review the current minimum wage rates considering the recent increase in the prices of essential commodities and other services.

However, they maintained it should be the wage boards that decide on how much, when and what form of financial relief — whether wage increases or emergency cost-of-living allowances — would be given to workers.