“Since July 2010, skyrocketing commodity prices coupled with stagnant  wages have eroded workers’ wages in lightning speed, which is unmatched  by the previous administration,” said EILER executive director Anna Leah  Escresa.
 By INA ALLECO R. SILVERIO
Bulatlat.com
 As Malacañang thumbs down the demand of government employees in the  country for a substantial wage increase, research groups have taken  turns debunking government claims that salary and wage hikes are  impossible to implement given the current economic conditions.
 Current Wage Provides Only 41 Percent of What Families Need 
 The IBON Foundation  said the value of the daily minimum wage in  Metro Manila has dropped  and is only able to provide for about 41  percent  of the amount needed for a family to live decently. This is  less than the figure 10 years ago, in 2001, wherein the minimum wage was  about 52 percent of the cost to live decently.
 According to the IBON Foundation, the daily minimum wage of P404  (US$9.39) is just 2/5 of the estimated average family living wage (FLW)  of P988 (US$23)  in the National Capital Region (NCR) as of March 2011.  The family living wage is defined as the minimum amount needed for a  family of six members to meet their daily food and non-food needs plus a  10 percent allocation for savings. The latest living wage estimates are  based on the 2008 family living wage  computation of the National Wages  and Productivity Commission of the Department of Labor and Employment  (DOLE).
 According to IBON data, the daily minimum wage of P265 (US$6)  in  2001 was half of the amount a family needed to live decently, which was  then pegged at P509 (US$12). 
 As the DOLE and the wage boards deliberate on whether to give a wage  hike next month, the research group urged government to raise wages to a  decent level and approximate the wage increase to the estimated family  living wage.
 Nonstop Price Hikes 
 Adding to the urgency of a wage increase,  a labor research group  said,  is the fact that the combined wage increases in the past decade  had been totally eroded within only eight months by nonstop price hikes  under the Aquino administration.
 The Ecumenical Institute for Labor Education and Research (EILER)  said that from the start of Aquino’s term in July 2010 up to February  this year, the real value of the P404 (US$9.39) minimum wage in the  National Capital dropped by around P7 (US$0.16)  This decline cancels  out the net increase in the real value of minimum wage under the Arroyo  administration from 2001 to 2010, which amounted to only P5 (US$0.11).
 EILER’s computation is inflation-adjusted using 2000 as base year.
“President Aquino has just dethroned former president Arroyo, beating  her record as the worst ‘eater’ of workers’ wages. Since July 2010,  skyrocketing commodity prices coupled with stagnant wages have eroded  workers’ wages in lightning speed, which is unmatched by the previous  administration,” said EILER executive director Anna Leah Escresa.
 She said that the wage erosion   comes as no surprise as  local pump  prices have increased  more than ten times since the start of year while  the prices of almost all food commodities have also risen.
 ” There are also looming power and water rate hikes. Such record  erosion of wages points to the government’s callousness in calling on  Filipinos to  wait  for the inflation to reach five  percent before the  government can approve any wage increase,” Escresa said. 
 Government Should Take Care of its Employees
 In the meantime, labor groups are determined to press for their economic demands no matter what Malacañang says.
 The   Confederation for Unity, Recognition and Advancement of  Government Employees (COURAGE) said that it would continue their  campaign for a P6,000 ($138) increase in the monthly minimum pay of all  public sector employees. 
 “True to its character, the Aquino administration is skirting the  issue by saying that its hands are tied because of the Salary  Standardization Law 3 which mandates a staggered wage adjustment scheme  for state workers. For the country’s rank-and-file government employees  who are already struggling to survive amid the rising costs of  commodities, the issue is already beyond the SSL 3. We all know that it   allowed only the smallest  pay adjustments and failed  to provide  immediate economic relief to the lowest-paid government employees. We  will continue to press for a P6,000 salary hike,” said Courage President  Ferdinand Gaite.
 Gaite was referring to Presidential Spokesperson Edwin Lacierda’s  statement that the administration was “limited by law” and therefore  unable to act upon the employees’ demand for a substantial wage  increase.
 Gaite said that as their employer, the government should prioritize  the needs of government employees. He said that the Aquino  administration should prioritize measures that will give the working  people much-needed economic relief. 
 “At the time when our wages are pegged at near-starvation levels, we  don’t need dole-outs, subsidies or excuses, we demand a substantial wage  hike now!” Gaite said.
 Gaite said that their group was also fully behind the call of private  sector workers for a P125  across-the-board daily wage hike. The  Kilusang Mayo Uno (KMU) is at the forefront of the campaign for the wage  hike.
 Gaite slammed the price hike, saying “Government employees, like the  majority of the Filipino people can no longer cope with the rising  prices of commodities and services. As it is, we are already struggling  to subsist on our meager salaries. With this recent oil price hike, most  of the country’s  1.4 million government employees are living in abject  poverty, are prey to loan sharks and could barely make it to the next  day to work. Thus, we have no other recourse but to push for a  substantial salary adjustment,  this time, focusing on the minimum pay  earners or those employees who suffer the most,” Gaite declared.
 The labor leader in the meantime also expressed disgust over the Aquino  government’s continuing inaction to stop the continuing oil price  hikes.
 “DOE (Department of Energy) Undersecretary Jose Layug Jr even has the  gall to tell us that the fuel firms’ P1.50 hike was already an   accommodation of the government’s request to soften the impact of oil  price hikes. This attitude of a ranking government official is a  reflection of the over-all stance of the Aquino administration when it  comes to the  oil companies: the oil cartel continuously raises its   prices while the government rushes to justify the abuse,” Gaite said.
 Gaite said that President Benigno Aquino’s  apathy toward the legitimate demands of the labor sector is most lamentable.
 “Instead of pushing for band-aid solutions like paltry subsidies  available only to selected sectors, Aquino should immediately implement a  substantial wage increase for both the public and private sector in  order to provide immediate economic relief to the workers and employees  reeling from the unabated price hikes, “ Gaite asserted.
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