Manny Pacquiao

Pacquiao pushes for workers’ equal, living wages

February 26, 2022 Marlon Purification 262 views

PROMDI presidential candidate Sen. Manny Pacquiao said he would push for a review of the Labor Code and the Republic Act 6727 or the Wage Rationalization Act as he raised the need to even up the salary rate of all workers regardless of geographic location.

According to Pacquiao, the cost of fuel and other basic commodities in Metro Manila are the same or are even more expensive in other regions so it does not make sense that salaries should vary depending on ones’ place of work.

He said that under his administration, he would push for an across-the-board salary standardization scheme to address the disparity in salaries between workers employed in urban centers like Metro Manila and those working in the countryside.

Pacquiao said the imbalance in wage rates have contributed to the rapid decline of the quality of life and the productivity of many Filipinos living in Metro Manila due to traffic problem, extreme congestion in living spaces, and pollution.

Wages in the Philippines are set by tripartite regional wage boards with varying rates depending on the location of every region.

According to Pacquiao, the prevailing minimum rate, which ranges from PhP316 (US$6.57) to PhP537 (US$11.17) per day, must be reviewed to ensure that the minimum take-home pay would be within the monthly minimum threshold for a family of five as determined by the National Economic Development Authority (NEDA).

According to NEDA, an average Filipino family needs at least P42,000 monthly to live decently which means that a couple should earn at least P21,000/month each.

To encourage compliance from business owners, Pacquiao said the government should also “adjust” by reducing taxes and providing incentives to allow their businesses to flourish despite the salary adjustment.

“Although magiging disadvantage din sa mga company, mga employer, importante siguro diyan ang gobyerno ang mag-adjust. Ibaba natin taxes para ’di na sila mahirapan. Instead na ibabayad nila sa taxes, isusuweldo nila doon sa mga trabahante nila,” he said.

The senator also renewed his promise of bringing in more investors to the regions while noting that the government should focus on their country’s supply and production of goods to avoid a shortage and to ensure lower prices in public markets. He would also ask big international investors who are his personal friends to invest in the Philippines and generate thousands of jobs.

Pacquiao reiterated that wages should be standard across the regions, which, in effect, meant possible amendments to the Labor Code as prescribed under Presidential Degree 442 and RA 6727 which provided for the creation of the Tripartite Regional Wage Boards.

Each region in the Philippines has a unique minimum wage set by the regional wage boards based on the cost of living and poverty threshold, among others. Because of this arrangement, Metro Manila has a higher minimum wage compared to the regions.