Leaders of labor and business groups in Negros Occidental expressed dissatisfaction on Sunday, October 25, over the Regional Tripartite Wages and Productivity Board 6 approved ₱40–₱45 daily minimum wage increase for private-sector workers.
While labor groups criticized the wage hike as grossly inadequate to cope with rising living costs, employers warned that the sudden increase would strain recovering businesses and trigger local inflation.
The regional pay hike is contained in Wage Order No. 30, which covers workers across Western Visayas, Negros Occidental and Bacolod City.
The order is currently pending final approval by the Secretary of Labor, RTWPB-6 Chairman Sixto Rodriguez Jr. told DIGICAST NEGROS on Saturday.
“There is widespread concern and strong opposition among the local business owners as a hike of this magnitude will have adverse trade-offs in the local economy,” Juliana Carbon, president of the Metro Bacolod Chamber of Commerce and Industry (MBCCI), said.
“It will have a domino effect. Owners will be forced to increase the prices of products and services due to rising overhead costs, ultimately eroding the purchasing power of the very workers the wage order aims to help,” Carbon said.
Carbon noted that Micro, Small, and Medium Enterprises (MSMEs), many of which have yet to fully recover from pandemic losses, will be the hardest hit. She added that wage adjustments should ideally match regional inflation rates.
While other chamber members advocated for zero increase, Carbon stated that her personal stance was a modest ₱20 increase solely to retain local talent who might otherwise move to regions offering higher daily wages.
LABOR: ‘INADEQUATE’ RELIEF
Labor leaders were equally dissatisfied, arguing that the approved figures fall far short of what workers need to survive.
Noly Rosales, secretary-general of Kilusang Mayo Uno–Negros Occidental, expressed frustration, noting that the approved hike is way below their petition for a ₱250 daily wage increase.
Echoing this sentiment, General Alliance of Workers Associations (GAWA) head Wennie Sancho said the RTWPB’s decision fails to restore workers’ lost purchasing power.
“If purchasing power is not restored, the P45 increase will simply be negated by inflation,” Sancho said.
He said a P148.50 daily raise is necessary restore the workers purchasing power.
“Never in the history of the RTWPB have they restored the purchasing power of workers, who are continuously left to bite the bullet.”
SUGAR SECTOR REACTS
Leaders in the agricultural sector, particularly sugar producers, raised serious concerns regarding the timing of the order.
Enrique Rojas, president of the National Federation of Sugarcane Planters (NFSP), described the mandated hike as coming at the “most unfortunate time,” as the sugar industry continues to suffer from depressed prices caused by over-importation.
“Our sugar farmers are still recovering from the Red-stripe soft scale insect (RSSI) infestation and face additional challenges from the El Niño phenomenon in the coming months,” Rojas explained.
“Coupled with unprecedented cost increases in fuel, fertilizer, and other farm inputs, this wage hike exerts tremendous financial pressure on all sugar farmers”, he said.
Manuel Lamata, president of the United Sugar Producers’ Federation of the Philippines (UNIFED), acknowledged that laborers deserve higher pay but criticized the immediate implementation.
“The wage hike is not that bad, and laborers need it. The problem is the timing,” Lamata said, citing severe losses from flooding and the RSSI infestation.
“They could have implemented this wage hike next year”, he said.
NEW RATES
The news rates under Wage Order No. 30 are:
- Agricultural Workers: Daily minimum wage will rise by P45 increasing from ₱520 to ₱565.
- Non-Agricultural (Over 10 Employees): Daily minimum wage will rise by ₱40 increasing from ₱550 to ₱590.
- Non-Agricultural (10 or Fewer Employees): Daily minimum wage will rise by ₱40 increasing from ₱525 to ₱565.
Domestic Workers (Kasambahays): Monthly minimum wage will also will increase by ₱500 raising it from ₱6,500 to P7,000.
If approved by the Labor Secretary, the new wage rates are expected to take effect in November, Rodriguez said.*
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