House looks into higher hike for minimum wage, its repercussions

MANILA – The House of Representatives is eyeing a higher increase in the daily minimum wage for private sector workers from the P100 proposed by the Senate while balancing the interests of workers and small businesses.

In a press conference on Thursday, House Deputy Majority Leader Janette Garin lauded the Senate for approving the P100 daily wage hike bill on second reading, but the amount is still insufficient to meet the basic needs of workers' families.

"Naipasa nila 'yung P100 wage hike. Iyan nga ay patuloy na dini-delibarate dito sa Kongreso kasi maganda ang intensyon. Pero parang mababa 'yung P100. Kasi sa mahal ng mga bilihin ngayon, parang hindi siya sang-ayon sa pangangailangan ng taumbayan," Garin said.

(They passed the P100 wage hike. This proposal is being deliberated in Congress because the intention is good. But P100 is relatively low. Because of how expensive basic commodities are, the amount may fall short of the actual needs of the citizens.)

She said the House is looking into the possibility of a P350 wage hike.

She, however, stressed that the proposal should also take into consideration the interests of workers and private companies alike, especially those from micro, small, and medium enterprises (MSMEs) that comprise over 90 percent of all businesses in the country and employ millions of Filipinos.

"Pero andun kase 'yung balance. Magandang gumawa ng batas pero mahirap magpaasa kung walang pag-asa. Kasi pag tinaas natin 'yung sweldo, dapat 'yung kaya ng ating mga negosyante, e sa Pilipinas, 98 to 99 percent of the business sector are MSMEs," she said.

(There should be a balance. It's good to craft laws but it would be tough to pass if there's no hope. Once we hiked the wages, the businessmen should afford the hike, in thebPhilippines,98 to 99 percent of the business sector are MSMEs.)

She added that Congress should also look into the potential repercussions of passing a legislated wage hike, such as business closures and layoffs.

"Ano ba 'yung katotohanan post-pandemic? Globally, sa buong mundo, hindi lamang po yan sa Pilipinas, 30 to 40 percent ng income, gross income ng bawat negosyante ay nabawasan." she said.

(What is the post-pandemic reality? Globally, not just in the Philippines, business revenues dropped by 30 to 40 percent.) (PNA)