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Volume III,  Number 42              November 23 - 29, 2003            Quezon City, Philippines


 





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LABOR WATCH

Workers Await Cash-Strapped Christmas 
ARMM Workers Monthly Income Short By P18,000

For minimum wage earners, the season of joy can hardly be a cause for celebration. Going by the latest statistics on wages, workers should not harp on the hope of giving this Christmas season. They should look at a substantial wage increase not as a gift from the powers-that-be but as compensation that they rightfully deserve.

BY DANILO ARAÑA ARAO
Bulatlat.com

Amid the abundant sales in leading shopping malls nowadays, there is an illusion of buying frenzy among urban dwellers.

Personal consumption expenditure tends to increase during the “ber” months (i.e., September, October, November, December) as the nation celebrates Christmas and New Year. However, this holiday season does not mean any increase in the buying power of Filipinos, particularly the unemployed and the minimum wage earners.

Statistics from the Department of Labor and Employment (DoLE) show that as of October 2003, the minimum daily wage rate remains at P280 (or $5.04, based on exchange rate of P55.585 per US dollar) in Metro Manila. In other regions, the minimum daily wage rates range from P140 or $2.52 (Autonomous Region in Muslim Mindanao, or ARMM) to P237 or $4.26 (Southern Tagalog). (See Table)

The last salary increase in Metro Manila was in 2001 when the Macapagal-Arroyo administration granted a P15 ($0.27) wage hike.

In other regions, the wage increase from 2001 to 2002 ranged from zero to P20 ($0.36). Just like Metro Manila, there were no wage increases this year.

As of October, the family living wage (or the amount needed to fulfill food and non-food requirements for a family of six) is pegged at P562 ($10.11) in Metro Manila. The lowest family living wage is in Eastern Visayas (P368 or $6.62), while the highest is in ARMM (P727 or $13.08).

But ARMM-based workers have to make do with the lowest minimum wage in the country even if their region has the highest family living wage requirement. Based on the data, a minimum wage earner living in ARMM needs P18,730 ($336.96) more monthly to provide for his or her family’s needs.

Those living in Metro Manila are also in the same rut, given that minimum wage earners only get a monthly pay of P6,160 ($110.82) but the needs of a family of six run up to P16,860 ($303.32). This means that a minimum wage earner needs to augment monthly family income by P10,700 ($192.50).

Indeed, latest statistics paint a grim picture for workers and this Christmas, and “joyous celebration” will just be confined to those who can afford it. Bulatlat.com

Nominal Daily Minimum Wage Rates and Family Living Wage
as of October 2003 (non-agriculture, in peso)

 

On a Daily Basis

On a Monthly Basis a/

 

Nominal
Value

Family
Living
Wage

Disparity

Nominal
Value

Family
Living
Wage

Disparity

Philippines

234.72

526.07

(291.35)

5,163.77

15,782.14

(10,618.38)

Metro Manila

280.00

562.00

(282.00)

6,160.00

16,860.00

(10,700.00)

Areas outside Metro Manila

189.43

490.14

(300.71)

4,167.53

14,704.29

(10,536.75)

 

 

 

 

 

 

 

CAR

190.00

537.00

(347.00)

4,180.00

16,110.00

(11,930.00)

Region I (Ilocos)

190.00

496.00

(306.00)

4,180.00

14,880.00

(10,700.00)

Region II (Cagayan Valley)

185.00

451.00

(266.00)

4,070.00

13,530.00

(9,460.00)

Region III (Central Luzon)

228.50

481.00

(252.50)

5,027.00

14,430.00

(9,403.00)

Region IV (Southern Tagalog)

237.00

520.00

(283.00)

5,214.00

15,600.00

(10,386.00)

Region V (Bicol)

182.00

490.00

(308.00)

4,004.00

14,700.00

(10,696.00)

Region VI (Western Visayas)

180.00

420.00

(240.00)

3,960.00

12,600.00

(8,640.00)

Region VII (Central Visayas)

200.00

516.00

(316.00)

4,400.00

15,480.00

(11,080.00)

Region VIII (Eastern Visayas)

188.00

368.00

(180.00)

4,136.00

11,040.00

(6,904.00)

Region IX (Western Mindanao)

175.00

488.00

(313.00)

3,850.00

14,640.00

(10,790.00)

Region X (Northern Mindanao)

192.00

464.00

(272.00)

4,224.00

13,920.00

(9,696.00)

Region XI (Southern Mindanao)

195.00

433.00

(238.00)

4,290.00

12,990.00

(8,700.00)

Region XII (Central Mindanao)

180.00

471.00

(291.00)

3,960.00

14,130.00

(10,170.00)

CARAGA

179.00

nda

nda

3,938.00

nda

nda

ARMM

140.00

727.00

(587.00)

3,080.00

21,810.00

(18,730.00)

Author's computation based on DOLE data
Minimum wage rates are highest nominal wage for January-October 2003;
Family Living Wage as of October 2003
a/ Monthly Minimum Wage Rate assumes 22 working days per month
while Family Living Wage assumes 30 days per month

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