Workers’ group may set aside wage hike for end to contractualization

A workers’ group is willing to set aside its wage increase demand if employers would regularize workers and comply with the occupational safety and health standards.

“We are willing to strike a balance. We can adopt if they do not want a wage hike, but let’s talk about security of tenure of employees,” Alan Tanjusay, Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) spokesman, said at a Kapihan sa Manila Forum at the Cafe Adriatico in Manila.

“They should regularize their contractual workers,” Tanjusay said.

The ALU-TUCP acknowledged that there were a lot of companies, most of which are micro-small and small enterprises that could not comply with the wage increase demamd so companies may regularize their workers instead “in phases.”

“For example for this year, let’s regularize 100 workers, and the next, another 100,” he said.

George Siy, trade representative of the Federation of Filipino Chinese Chambers of Commerce and Industry Inc. (FFCCCII), said that “We could regularize workers if we have the right to let go of the workers if they are not needed anymore.”

We could just add redundancy and retirement fees, he said.

Businessman Henry Lim said it was unlikely that employers would reach 100 percent compliance.

“Maybe we should be happy with a 75 percent compliance,” Lim said.

However, Tanjusay stood firm in the ALU-TUCP’s push to increase the salary of minimum wage earners to P710.

“We cannot lower the standard, and the government and the companies should address this problem,” Tanjusay said.

“Alam namin na medyo mabigat ang hinihingi namin, (We know that what we are asking for is a bit much), but if the government and the enterprises could work together, then we could improve the quality of life of our Filipino workers,” he said.

Siy said the wage increase was “reasonable” and has basis, but an issue of non-compliance may result in income inequality.

“If there are high requirements, these small enterprises would not grow. There would be a divide, and the gap between the rich and poor would be wider,” he said.