22 local biz chambers in Visayas oppose Senate Bill-2534

CEBU CITY – The Philippine Chamber of Commerce and Industry-Visayas composed of 22 local business chambers under the PCCI Western Visayas, PCCI Central Visayas and PCCI Eastern Visayas strongly opposed to the proposed call for a legislated and across the board wage hike under "Senate Bill No. 2534 or P100 Daily Minimum Wage Increase Act of 2023.”

The PCCI-Visayas opposition to Senate Bill 2534 is contained in a position paper and appeal signed on February 16, 2024 by the 22 local chambers of commerce and industry in the entire Visayas region.

Led by its Area Vice-President for PCCI Visayas, Melanie Ng, the PCCI believed that the proposed legislated increase infringes the mandated role of the Regional Tripartite Wages and Productivity Board (RTWPB) to determine minimum wage increases.

The Chamber described it as excessive, oppressive, and confiscatory and it will "do more harm than good" to the informal workers - from farmers to vendors to gig workers, and micro and small-sized enterprises that make up 95 percent of all enterprises in the country, the position paper read.

The PCCI is adopting a more comprehensive approach in addressing economic inequality instead of focusing solely on wage increases.  “While we recognize the importance of ensuring that workers receive fair compensation for their labor; however, we also put into consideration the challenges that businesses face in the economic environment,” it said.

PCCI appeals for considerations, win-win solutions

PCCI’s appeal raised some considerations including its call for the government to prioritize expanding economic activities and attracting investments to complement labor and local productivity via innovative investment promotion strategies and efforts to enhance the ease of doing business nationwide.

“By attracting both foreign and local direct investments, we can generate more job opportunities and stimulate economic growth that is inclusive,” the position paper said.

PCCI also urged government to be more proactive in addressing inflationary pressures, particularly the prices of basic goods and services, high utility costs especially power and water, fuel prices, and the importation of goods.

It is also crucial to boost the agricultural value chain and develop new agri-aqua technologies to improve productivity and reduce dependency on imports and the government can enact safety nets to protect labor from exploitation and ensure fair wages, the petition went on.

The PCCI suggested that instead of an across-the-board wage hike, an industry-driven wage hike is more realistic.  The government should consider creating a regional industry wage board that will consider the economic situation of each company, large, medium or small, and the wherewithal and resources in line with respective performance or support a Collective Bargaining Agreement type of solution per sector.

According to the PCCI-Visayas, this appeal is made with utmost intention towards a balanced approach that considers the needs of both workers and businesses to maintain a healthy and sustainable economy not just in Visayas but of the country. (Photos: PCCI-Visayas FB)