The militant labor group Partido Manggagawa (PM) has expressed dismay over the minimum wage increases granted by the Department of Labor and Employment, saying these were not enough to support families in a way that promotes health and keep them out of poverty.
In a statement, the PM said at the current minimum wage, the workers cannot afford even the basic necessities such as food, housing, transportation, childcare, and healthcare anywhere in the country.
The labor group pointed out that the workers were caught between runaway prices and shrinking value of their wages, adding that the minimum wage earners were “reeling from hardship during the holidays.”
“No wonder that a survey has shown that one of every four employees prefer to monetize the Christmas parties held by companies for their workforce. It is better to have money in the pocket than to have fun with workmates,” the group noted.
The PM cited that the minimum wage hikes as implemented in 14 out of 17 regions nationwide, increased the workers’ income by P30 to P40 in the second half of this year, bringing the amount to a high of P610 in Metro Manila to a low of P368 in the Zamboanga Peninsula.
However, the equivalent “real wages” remained low, the group said. It explained that the real wage in Metro Manila was only P504, translated to P610 in 2023 which had a purchasing value of P504 in 2018, or a deficit of P106.
The difference between nominal and real wages was a result of inflation over the years as wage hikes could not cope up with rising prices, thus the workers’ purchasing power has been depleted, the PM explained.
The group said nominal versus real wage gap ranges from P63 in the Zamboanga peninsula to P108 in Central Luzon, hence, the necessity for Congress to bridge the gap by passing a bill for a P150 salary increase.
In December 2022, the group Kapatiran ng mga Unyon at Samahang Manggagawa filed a petition for an additional P100 in minimum wage “so that workers can recover their lost purchasing power.”
Similar petitions were filed in Calabarzon, Cebu and Western Visayas. The wage orders from the different regional wage boards then fell short of the wage recovery demand. Expectedly, real wages stayed deflated despite the latest round of minimum wage hikes, the labor group said.
