Cebu biz leader on wage hike petition: We’re still in recovery phase
A shot of Cebu City’s skyline. | CDN file photo
CEBU CITY, Philippines – Several leaders from Cebu’s business community cautioned the public sector against abruptly implementing wage adjustments, saying this may only lead to more businesses shutting down and further unemployment.
This was the sentiment of the Mandaue Chamber of Commerce and Industry (MCCI) amid decisions from various labor groups to file wage hike petitions before the Regional Tripartite Wages and Productivity Board in Central Visayas (RTWPB-7).
Steven Yu, the president of the Mandaue Chamber of Commerce and Industry (MCCI), said most members of the business sector are still struggling to get back on their feet following recent crises such as the pandemic, Typhoon Odette, and the Russian invasion of Ukraine.
“Businesses were hit with a triple whammy: Covid, Odette and the war in Ukraine. Restrictions were slowly eased a few weeks ago and businesses are (still) struggling to reopen,” Yu said in a statement sent to CDN Digital.
In turn, the MCCI exec suggested that the government should prioritize first helping businesses of all sizes to recover from the crises to prevent more closures and job losses.
“The sector needs time to recover and pushing for increased wages soon will lead to more closures and job losses. It is best to allow the sector to reopen, heal, gain stability, create jobs, sustain momentum first before any wage adjustments. By doing this, we are putting the economy on the path of recovery,” Yu said.
“MCCI supports fair and competitive compensation for our labor force. Fair in the sense that workers are rewarded for their work and competitive in the sense that wage levels do not result in job loss through investors avoiding the Philippines in favor of other countries,” he added.
MCCI is the second-largest business organization in Cebu with over 800 members.
CDN Digital has also reached out to Cebu Chamber of Commerce and Industry (CCCI), the largest business group in Central Visayas, for their comments on the proposed wage hike. But a representative said the chamber ‘will reserve its comments since the matter is still set to be deliberated by the RTWPB-7.’
The labor sector here has filed a wage hike petition, seeking to raise the daily minimum wage rate between P750 to P834. The current rate in Central Visayas is at P404.
A public consultation between the labor groups, public and private sectors is being conducted in Cebu City as of this writing.
/bmjo
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