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MBCCI files appeal for P35 to P45 wage hike next year

The Regional Tripartite Wages and Productivity Board (RTWPB) “committed grave abuse of discretion in imposing whimsical and arbitrary wage increases” in Western Visayas, the Metro Bacolod Chamber of Commerce and Industry (MBCCI) said in its notice of appeal.

Their notice of appeal was mailed to the Western Visayas RTWPB on Monday, May 23, Frank Carbon, MBCCI chief executive officer, said.

The MBCCI has no objection to an increase in the minimum wage but the amount must be lowered, he said.

The MBCCI is asking that the wage increase be reduced to between P35 to P45 from the approved P55 to P110, and for it to be implemented in 2023 to allow businesses time to recover, he said.

“The economic indicators – fuel prices and inflation will continue to adversely affect us for the rest of the year,” Carbon said.

They proposed that the increase in the daily wages of employees in private establishments employing 10 workers and below be from P310 to P345, or by P35, and for those employing more than 10 workers from P395 to P440 or by P45, he said.

They are also proposing that the wage increase for agricultural workers be from P315 to P350 or by P35, he added.

The MBCCI in its appeal said a wage increase now would be untimely because it was only in February 2022 that the COVID-19 alert levels were lowered in Western Visayas.

It said the wage increase approved by the RTWPB to be implemented next month will result in business reverses, losses, closures and corresponding increase in unemployment.

“Labor costs must be competitive with that of other regions so we can encourage more investors and generate more employment,” it said.

Appeals filed by business groups before the RTWPB and National Wages and Productivity Commission seeking the recall of the new Western Visayas wage order will not halt its implementation, Labor Regional Director Sixto Rodriguez Jr. said on Friday, May 20.

It is expected to take effect by June 5.

The new order increased the daily wages of employees in private establishments employing 10 workers and below from P310 to P420 or by P110, and for those employing more than 10 workers from P395 to P450 or by P55.

It also increased the wages of WV agricultural workers from P315 to P410, or by P95.*

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