By By Juliane Judilla
The United Labor Alliance, a broad coalition of workers and unions across Panay Island, formally submitted a petition for a ₱200 daily wage increase to the Regional Tripartite Wage and Productivity Board VI (RTWPB) on October 2.
The group argues that the current minimum wage of ₱513 is no longer sufficient to sustain workers amid the soaring costs of basic goods and services.
United Labor argued that, despite being vital to the economy, workers remain among the most economically vulnerable sectors — a result of a flawed capitalist system in which most of the value created by workers is captured by business owners and capitalists, while the workers themselves receive just enough to survive. Meanwhile, the government collects more taxes from individuals (37%) and consumption (32% VAT) than from corporations (16%), underscoring how ordinary citizens carry the heaviest tax burden.
“It is labor power that keeps the economy moving. Without workers, there is no production, no goods to sell, no profits to be made. Yet the very people who produce this wealth are left behind,” the group emphasized.
They added that their call for a wage hike is legitimate and justified, emphasizing that wages must reflect the real value of labor and enable workers to live with dignity.
Contrary to fears that a wage hike would slow economic growth, the group noted that even without a significant increase — citing Wage Orders No. RPVI-25 and RPVI-28, which they led and fought for — the economic growth of Western Visayas had already declined from 6.8% in 2023 to 4.3% in 2024, according to the Philippine Statistics Authority.
A study by the research group IBON Foundation supports the feasibility of the proposed ₱200 daily wage hike, stating it would restore years of eroded purchasing power and raise real wages by nearly 10% on average. Despite still falling ₱559 short of the estimated ₱1,224 family living wage, the increase would offer much-needed relief to workers.
According to IBON’s estimates based on the Philippine Statistics Authority’s (PSA) latest Annual Survey of Philippine Business and Industry (ASPBI) for 2022, employee compensation makes up just 11% of total expenses across all business sizes, which collectively earned ₱3.1 trillion in profits in 2022. The wage hike would cost ₱359.8 billion—only 11.8% of total profits—and remains manageable even for micro and small firms, with government support available for those that can’t afford it.
For small businesses, United Labor proposes government intervention through subsidies, tax relief, access to low-interest credit, and protections against unfair competition from imported goods and monopolies.
United Labor is calling on the Philippine Congress to legislate a national wage increase and urges President Ferdinand Marcos Jr. to issue an executive order mandating a wage hike — similar to what was done in 1989.
“We call on all workers across the country to unite and fight for a living wage, the right to unionize, job security, and a fair share in the nation’s wealth,” United Labor declared./PT
