MANILA, Philippines - Miners in the Caraga region will receive incentive pay on top of their daily basic wage after the labor department ordered the implementation of a two-tiered wage system (TTWS) for the local mining industry.
Labor Secretary Rosalinda Baldoz said yesterday the Regional Tripartite Wage and Productivity Board (RTWPB) issued an advisory for the implementation of the wage system.
“The wage system, though voluntary, will bring more benefits to workers and management,” Baldoz said.
She said the TTWS encourages mining companies to provide their workers with productivity-based incentives or benefits such as production, zero-accident, longevity and attendance incentive schemes.
“The RTWPB Caraga is also mandated to provide capacity-building and consulting services to legitimate mining enterprises that grant incentives to their workers,” Baldoz said.
Baldoz said studies show that productivity-based pay schemes result in higher levels of productivity for competitiveness and preserves and generates gainful employment.
The TTWS is the labor department’s wage policy reform to protect poor and vulnerable workers.
The region’s mining industry generated 18,828 jobs in 2012, higher by 17 percent than the previous year.
Labor officials attributed the increase in job generation to the operation of two new mining ventures in the region.
Baldoz said the advisory on the implementation of the TTWS for mining is timely and appropriate.