WAGE is one complicated topic and has been taking forever to tackle effectively.
In the process of discussions, several things have to be considered such as the various related problems being encountered by the people concerned.
There are several proposals regarding salaries but there is one that stands out when it comes to wage gaps.
Manila Rep. Joel Chua (3rd district) is proposing the ‘clustering of wage boards’.
He pointed out that there are too many wage boards, seventeen in total and that in some regions, there are different layers of minimum wage rates—not just one.
All these complicate the wage system and go against the principles of the Ease of Doing Business Law.
Chua stressed the need to replace the regional wage board since it is no longer in keeping with the times.
“Makalumang pananaw na iyan. Kaisipang pang-1950s pa. Marami nang progreso ang nangyari sa ekonomiya ng iba’t- ibang rehiyon,” he said.
“Ang mas naaakmang pamamaraan sa panahon ngayon ay ang clustering ng wage boards. Pagsama-samahin ang pare-pareho,” he added.
Under his proposal, regions with approximately the same minimum wage levels should be grouped.
There is a point to this. Simplifying the national minimum wage structure into just six tiers instead of the many we have now all over the country will make the system easier to administer, regulate and enforce.
Once the proposal is adopted, it is expected that wage gaps will be narrowed, along with the poverty gaps between rich and poor regions.
Chua based his proposal on the studies conducted by his office and himself regarding the minimum wage levels in each region.
The congressman believed it was high time that the manner of coming up with a minimum wage must be changed through a new minimum wage law.
He is proposing to do away with the ‘by region’ system when it comes to minimum wage law.
It should now be by clusters of regions already.
The good congressman also expressed hope that the country would soon do away with the kind of minimum wage that is lower than the poverty threshold.
He is also proposing the removal of range and distinctions among different localities and types of jobs.
“One minimum wage rate lang dapat kada cluster of regions,” Chua said, adding that the 17 regional boards should be reduced to only six clusters.
Additionally, in each cluster, there must be just one rate.
Chua presented in his proposal the current 2024 minimum wage rates and ranges alongside his proposed ‘clustering solution.
CLUSTER 1- NCR: P573.00 – P610.00; Calabarzon: P385.00 – P520.00; Central Luzon: P385.00 – P500.
CLUSTER 2- Region 1: P402.00 – P435.00; Region 2: P430.00 – P450.00 (come April) and CAR: P430.00′
CLUSTER 3- Western Visayas: P440.00 to P480.00; Central Visayas: P415.00 to P468.00.
CLUSTER 4- Northern Min (R10): P411.00 – P438; Davao Region (R11) P476.00 – P481.00 (by September 2024)
CLUSTER 5- BICOL: P395.00; MIMAROPA: P369.00 – P395.00 at EASTERN VISAYAS: P375.00 – P405 and
CLUSTER 6- BARMM: P316.00 – P361.00; ZAMBOANGA: P368.00 – P381.00; CARAGA: P385.00 and Region 12: P382.00 – P403.
Chua is a lawyer and an urban poor and sports advocate.
He is also a member of the House Committee on Poverty Alleviation and the House Committee on Labor and Employment.
***
DIRECT HIT entertains comments, suggestions or complaints. Please have them emailed to [email protected] or text 0917-3132168.
