June 19, 2024

The Insider News

Direct from the source

Legislative wage hike needs careful review, says solons

LAWMAKERS , in a press conference on Monday, stressed the need for thorough deliberations on the wage hike bills filed at the House of Representatives to ensure fair and balanced regulations that consider the interests of all parties involved, including the country’s economic growth. 

House Committee on Labor and Employment chairperson and Rizal Rep. Juan Fidel Felipe Nograles said his committee has scheduled discussion of two important segments of the wage hike bills on Wednesday. 

These are House bills proposing P150 to P350 wage hike increases, as well as the measure seeking to institutionalize a P750 across-the-board increase in the salary rates of employees and workers in the private sector. 

Nograles said that they are also set to review measures seeking to amend Articles 121 to 127 of the Labor Code of the Philippines. 

He added that he feels no pressure in spite of the Senate’s call for the House to act on the wage hike proposals. He responded that they were instructed by Speaker Ferdinand Martin Romualdez to conduct a comprehensive study of the wage hike proposals, including the inflationary effects of each measure. 

Aside from inflationary effect of the proposed wage hike, Nograles enumerated other factors that should be considered such as: 1) wage distortion; 2) wage increases that can be passed on to consumers, potentially affecting micro, small and medium enterprises (MSMEs); and 3) retrenchment, which could also hurt the economy in return. 

“Yung wage hike (proposal) ho kasi masalimuot ho ito na paksa sapagkat may supply and demand. Nandiyan ho iyong ekonomiya, nandiyan ho iyong inflation. Kaya kinakailangan ho nating pag-aralan at pakinggan ng maigi yung lahat ng mga panig na maaapektuhan ng wage increase,” he said. 

Deputy Speaker and Quezon Rep. David Suarez agreed, stating that the wage hike is a perennial issue, and gave people assurance that the House of Representatives will carefully consider the significant implications of the proposals on various stakeholders, including consumers, businesses, and the economy.