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CEBU CITY, Philippines — A Cebu-based worker alliance welcomed the House Committee on Labor’s approval of a P200 across-the-board wage increase for private-sector workers, calling it an “initial victory” for the working class.
“This approved bill is an initial victory for the working class of the private sector. We welcome all types of initiatives to increase wages,” said Jaime Paglinawan, chairman of AMA Sugbo-KMU, in a press release issued on January 31.
Paglinawan said that while the wage hike is a positive development, the group will continue advocating for a family living wage of P1,200, which they have long pursued.
This figure is based on the IBON Foundation’s estimate that a family needs a daily income of P1,200 to afford a decent standard of living, covering essential expenses such as food, rent, and transportation.
“This development in the House Committee on Labor needs to have a Senate bill counterpart and must be passed into law before the May 2025 elections,” he added.
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The proposed wage hike addresses the financial strain caused by rising prices of basic commodities, such as electricity, water, and fuel. According to Paglinawan, “This P200 wage increase will help workers catch up with the escalating cost of living.”
The House Committee on Labor approved the unnumbered substitute bill on January 30. It consolidated three measures seeking wage increases ranging from P150 to P750. The bill had been stalled for eight months before gaining unanimous approval.
Deputy Speaker and Party-list Representative Raymond Democrito Mendoza, one of the bill’s authors, said the proposal seeks to lift an estimated 5 million minimum wage earners out of poverty.
Data from the Philippine Statistics Authority (PSA) indicated that in 2023, a family of five needed at least P13,873 per month to meet basic food and non-food needs.
Meanwhile, 2.9 million Filipino families were classified as living in poverty.
However, the Department of Labor and Employment (DOLE) remained neutral, stating that its role is to provide technical inputs rather than take a stance on the wage hike.
Labor Secretary Bienvenido Laguesma explained that the department does not oppose the wage law but simply presents different scenarios.
“We are not against it (wage law). We only give scenarios about that,” said Labor Secretary Bienvenido Laguesma.
The workers alliance vowed to continue pushing for the bill’s passage into law and the eventual realization of a P1,200 national minimum wage, as mandated by Article XIII, Section 3 of the Philippine Constitution. /clorenciana
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