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The Ministry of Labor and Employment (DOLE-6) assured that companies would not be forced to downsize because they can afford the new daily minimum wage rates in the Western Visayas, which will come into effect today, July 12, 2018.
or less than 3,000 private companies must comply with Ordinance No. 24 on wages, which imposes daily wages of P295 and P365 for wage earners minimum, as approved by the Tripartite Regional Council for Wages and Productivity (RTWPB-6). RTWPB-6 Regional Director and Chair, Johnson Cañete, said they had two reasons to approve tariff adjustments – the poverty line and the average salary in the region. He added that the new rates are lower than the average salary in the region which is P400 based on data from the Philippine Statistics Authority (PSA).
"So with this, we are more comfortable that the new rates may be granted by employers because they are lower than the average salary of P400."
RTWPB-6a approved a wage increase P13.50 to P41.50 with a cost of living allowance (COLA) on the daily minimum wage of private sector workers
Workers in non-agricultural, industrial and commercial enterprises employing more than 10 employees will receive daily P365, as against P323.50 It is derived from the increase P26.50 plus P15 COLA
Workers in non-agricultural, industrial and commercial enterprises employing fewer than 10 workers will receive a base salary of P295 from P271 .50, after an increase of P18.50 plus P5 COLA
For the agricultural sector, the minimum wage of plantation workers was increased from 281.50 to 295 P (increase P 8.50 plus P5 COLA). 19659002] For the no n-plantation workers, the new rate is P295 from the previous P271.50 after an increase of P18.50 and P5 COLA.
Iloilo Business Club previously stated that the new wage ordinance could lead to downsizing and massive layoffs.
The club, representing About 350 companies in the city and the province of Iloilo strongly opposed the wage ordinance, claiming that "employees will be less likely to absorb peaks of the operational cause justifying the reduction of the number of employees to avoid losses ".
Cañete pointed out that other companies in the reg "
" Can the Iloilo Business Club and the Panay Chamber of Commerce afford to pay P365? Yes, because the average salary here is P400, "he said.
He said that when Wage Ordinance No. 23 was passed last year, he could not recall a single company.
"I'll have to check. But I will take my centavo guess that no company has downsized because of the new wage ordinance. He added that under the law, a company should submit a report to DOLE 30 days before the end of the actual dismissal, downsizing, or dismissal. 19659002] "This is part of the obligation of prior notice that you will inform your employee that you will terminate it either by dismissal or by economic loss," he said.
But he said that the companies that are aggrieved or feel that they are affected by the approved tariffs have 10 days on the effectiveness of
Note that two companies requested waivers last year, but that 39, they were refused by the wages commission
Cañete specified that those covered by the wage ordinance are people working at least eight hours every day and have relations between employees and employers.
COMPLIANCE
Cañete says that they also have a set of inspectors who will monitor the compliance of private companies.
He also encouraged employees to file a complaint, which will be treated with confidentiality, if their company fails to implement the rate adjustment.
Failure to comply could result in criminal prosecution, he said.
MORATORIUM
Meanwhile, RTWPB-6 has stated that it would delay the implementation of higher wages in the island of Boracay by Malaysia, Aklan, considering the effects of the six-month shutdown. Cañete said the new rates of pay would apply three months after the opening of the island of Boracay on October 26th.
"So if it reopens in October, the wage order will come into effect on January 26," he said. 19659002] He noted that the effectiveness would be on the actual reopening of the island, not settlements as the Boracay Inter-Agency Working Group agreed that only compliant firms would be allowed to operate.
A moratorium is also in effect The province of Aklan, as a new wage ordinance, will come into force in November or a month after its reopening.
"The council took into account the fact that the closure of the province also caused collateral damage," said Cañete.
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