‘Wage hike needs to be staggered’

Go Negosyo founder Joey Concepcion said the proposed P100 wage increase should be staggered over time and should be made more sustainable through the upskilling of Filipino workers.

“I support the wage increase; we want to uplift the lives of people,” said Concepcion, adding that for a consumer-driven economy such as the Philippines, a more active consumer is important. “As wages increase, consumption spending will increase and help the economy.”

However, he added that he believes it should not be implemented in one go. “Let’s spread it out,” he said.

“If you look at the past presidencies, most of the wages were gradually increased over time,” he said in an interview aired over Bagong Pilipinas on PTV 4 yesterday.

Concepcion said the increases ranged from P10, to P20, to P33 during the Arroyo, Aquino III and Duterte administrations, and that these were made over time.

Arroyo increased wages a total of P154 over nine increases, Aquino III a total of P87 over six increases and Duterte a total of P79 over three increases.

Since President Marcos took office, wages have been increased by P40.

Moreover, he expressed concern over how this will affect the country’s struggling entrepreneurs. “Not everybody can afford the

P100 wage increase. Maybe the large corporations and those who are doing well but many are also not doing well.

“The micro might be exempted, but what about the medium-sized businesses?” he said. “Large corporations can afford it, but what about the SMEs who are the bulk of the enterprises in the country?”

“We worry for those who are barely making it. Having come from the pandemic and now our economy is accelerating, we should be careful not to derail the momentum,” he said, pointing out how President Marcos’ investment pitches to foreign investors are starting to bear fruit and citing the optimism of the country’s largest corporations in investing in infrastructure.

Instead, Concepcion said the country should remain focused on creating more jobs and upskilling the workforce.

“Job generation is key and it is what we want to achieve. The more jobs created, the better it is for Filipinos. As the demand increases and there are more jobs, that is what we want to see and then the wages will follow,” he said.

Concepcion said he leaves it to experts to determine just how much wage increase is needed. “Right now, it is at P100. But if it can be staggered, we can let that discussion continue on this basis and see how businesses can live with that,” he said. “Over time, it is manageable.”