DOLE approves P22 daily living allowance for NCR

(Updated 7:36 p.m.) The Labor Department on Monday approved a P22 increase in the daily cost-of-living allowance (COLA) for workers in the National Capital Region (NCR), saying it was a "middle ground" between what the labor sector wanted and what employers were willing to give. In a phone interview with GMA News Online, NCR Wage Board chairperson Raymundo Agravante said the Regional Tripartite Wages and Productivity Board (RTWPB)-NCR noted the increase will likely take effect by the end of the month or 15 days after the government publishes the decision in a national daily. He said the NCR Wage Board also noted that the decision will likely be published Wednesday. Ciriaco Lagunzad III, NCR Wage Board executive director, described the decision as a “product of a compromise" involving the interests of employers, labor unions, and the government. The Trade Union Congress of the Philippines (TUCP) had initially filed a petition for a P75 wage hike amid rising prices of goods and services. On the other hand, the Employers’ Confederation of the Philippines (ECOP) had warned that a P75 wage hike could lead to layoffs and business closures. The COLA increase will add P22 to the prevailing P404 minimum wage. The P22 adjustment, however, will not be used in computing night differentials, retirement and separation benefits, and the 13th month pay. The COLA usually serves as an immediate relief. With the prevailing minimum wage, Filipinos find it difficult to cope with rising costs, according to a report on GMA News TV’s “State of the Nation."
Employer, worker reactions The TUCP, meanwhile, frowned on the increase and called it "measly." In a statement, the group said its representative in the Wage Board expressed dissent over the decision. The TUCP said the Wage Board "missed this important opportunity to raise workers' standard of living in NCR and to help improve equity as mandated by law." "It further institutionalizes the primacy of profits over people, a few people over the masses of suffering workers. That was a shameless decision," the TUCP said. Agravante said ECOP was amenable to the COLA increase. GMA News Online tried but has been unable to reach ECOP president Edgardo Lacson as of posting time. Aquino to labor groups: Do not fret President Benigno Aquino III told employers last week not to fret over the impending wage hike, citing the government’s efforts to create "an environment conducive to business growth." On Labor Day, President Aquino urged the country’s regional wage boards to speed up the processing of wage hike petitions. Other wage-hike petitions are pending before the National Wage and Productivity Commission, covering appeals for P100-increase for workers in in Regions 7 and 10. — VS/KBK, GMA News