Wise decision

Following a series of deliberations, the Regional Tripartite Wages and Productivity Board in Central Visayas finally approved another round of wage increase for workers in the private sector across the region.

The approval of P20 hike in the minimum wage for workers across Metro Cebu may come as a piece of good news for some longing for additional take-home pay. But it was well below from what was being pushed by labor organizations

Earlier, the Cebu Labor Coalition, NLMKatipunan, Metaphil Workers Union and Unionbank Employees Association had petitioned for a P155 wage increase while the Associated Labor Unions-Trade Union Congress of the Philippines asked for a P120 increase for private workers in Central Visayas.

However, the petitions were met with strong opposition by the business sector, with the Cebu Chamber of Commerce and Industry, the Mandaue Chamber of Commerce and Industry, the Mactan Export Processing Zone Chamber of Exporters and Manufacturers, Philexport-Cebu, and Cebu Furniture Industry Foundation appealing with the wage board.

Now, the wage board has spoken. Although its decision can be considered unpopular by some wage earners, it is still a win-win solution as the RTWPB-7 does not want to put too much pressure on the business sector.

There’s really no question about the need to increase the monthly take-home pay of workers. Any wage hike is just appropriate at this time when the Tax Reform for Acceleration and Inclusion (TRAIN) Law is seriously taking a toll on their income.

While any salary adjustment is timely, the government should also protect the business sector from the severe effects of the tax reform law now that raw material prices and operational costs are increasing.

It’s good the regional wage board acted wisely on petitions for another round of salary increase. Both the labor and business sectors may find it a bitter pill to swallow. But such decision is better than letting the deadlock to continue.