Employers' group calls for productivity-based wage increases



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Employers again insisted on increasing the daily minimum wage during a public hearing on proposals to raise the minimum wage for private sector workers in metropolitan Manila last Friday.

This hearing – conducted after separate consultations with workers' groups on Monday and with employer representatives on Wednesday – gave no agreement on a salary increase and Ana C. Dione, president of the Tripartite Regional Council on wages and productivity in the National Capital Region, told reporters after Friday's hearing, she expected the board would have difficulty reaching an agreement on a minimum wage increase every day, given the significant differences between its members as regards posts.

The council must meet tomorrow.

"It is high time for the council to break new ground by implementing a productivity-based minimum wage policy," said Philippine Employers' Confederation Governor Antonio H. Abad at Friday's hearing, explaining that this type of adjustment would be more reasonable. a fixed increase, as it would take into account the financial capacity of individual companies.

He pointed out that the Cavite-Laguna-Batangas-Rizal-Quezon region, which has a large concentration of industrial zones, already applies a two-tier remuneration system consisting of a daily minimum wage and a performance incentive.

The rules of application of the 2017 wage order of this region provide that "workers and management … are encouraged to adopt productivity improvement programs, such as time studies, good management, quality, cooperation between work and management, incentive systems to improve the quality of life of workers and thereby enable them to perform better and contribute to business growth. "

"We must give way to global approaches rather than to palliative measures such as periodic wage adjustments," Abad said Friday.

At the same meeting, the Congress of Trade Unions of the Philippines (TUCP) reiterated the need to add Metro Manila's daily minimum wage from P475 to 512, while the Association asked for an even higher salary, the P688. increase.

The latest available data from the Philippines' Statistical Authority indicate that labor productivity – calculated as gross domestic product per person employed – increased by 8.4% last year, the highest improvement for at least eight years.

For TUCP Deputy Secretary General Vicente Camillon, Jr., however, minimum wages have not been sufficiently rewarded for improving productivity. "NagiIncreased productivity pero zero po increase her real wages (productivity may be increasing, but there is no inflation-adjusted wage increase), "he said at last Friday's hearing. . – Gillian M. Cortez

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