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Chiz Escudero and the minimum wage

2 November 2009 5 Comments

minimum_wage

Like everyone else, of course, I was interested kung bakit nag-bolt out si Chiz Escudero sa NPC. Ang naunang news was that, hindi daw nya nagustuhan ang meager P200 million campaign funds na binibigay sa kanya nang NPC. An sabi eh wez naman pala true ang balita. Me bagong chika and this is quite interesting. An sabi, the reason why he bolted out of NPC was because of 2 key empanadas.

  • Ang una was the legislated P125 wage increase.

  • At ang pangalawa was the proposal to condone billions of pesos in debt incurred by farmers under the Comprehensive Agrarian Reform Program (CARP).

The young Cojuangco said Escudero was treated “fairly and squarely” in the NPC but he wanted the party to decide more quickly on certain matters. In particular, Cojuangco said Escudero strongly supported a legislated P125 wage increase while the NPC was concerned it might cause the collapse of businesses. (Source: Escudero’s radical positions caused split with NPC–Danding son)

You like? Ako, like ko ang posisyon ni Escudero. Iwanan ko na ang issue about condoning the debts. Maligalig ang CARP for me to understand. Masyadong magulo. But on the issue of raising the minimum wage, kahit na dito sa America, pagdating sa issue na to, talagang heated debate sya.

From the economic standpoint nang isang businessman, of course I could understand Danding’s side. Your bottom line (read: profits) will be affected at pag di ka naka-deliver nang profits reserves sa mga investors mo as dividends, typically, tinatamaan ang share prices at bumabagsak. Mahirap nga naman yong, say, it takes 3 people to produce one lata of cooking oil. You raise the minimum wage, it does not mean na you have to reduce to 1 person making one lata of cooking oil. Unless na you re-engineer at harbaten mo ang mga robots sa Japan – pero that would cost mo’ money. Fact is, there would still be 3 people making one lata of cooking oil. Problema, tataas ang cost of making one lata. Wa choice ang businesses but to pass it on to consumers. Tataas ngayon ang lata nang cooking oil. Kaya typically, these mandated minimum wage hike has a resulting effect of pricing people out of jobs, read: unemployment. Now, remember kung bakit andaming offshore companies sa Pinas, anyone? anyone? Dahil cheappanga tayo.

I do hope though that they find the right mix on how to resolve the minimum wage issue. Kausap ko lang pangkin ko in Legazpi City last nite who was telling about the mga sweldo dun pati na kamo university level professors. Dyutay daw.

Maraming dapat i-weigh sa issue na to. How will it affect the BPO industry? How will it affect our competitiveness? Do you recall how many jobs we lost dahil sa lecheng mura nang China noon na bumanat nang price was sa ibang kawntris? Ayun, tiris tayong lahat.

Worse, napakataas pa rin nang unemployment and the uncontrolled population? Naka, wag na nating pag-usapan how many more numbers ang papasok looking for a job. Kaya tuloy ang full-time employment nang iba is to look for a job. Kaya sa mga natitira who are working, how do you make sure na hindi tatamaan masyado ang working class? Basta magulo sya mga kabarrio. Mukha atang mahirap pa sa CARP.

Pero, I commend Chiz for making a stand on minimum wage issue kahit nga masyadong heated ang issue na to because truly naman na Filipino workers are sharing less in wealth created by our turd world country and its not really fair, especially kamo sa mga workers sa probinsya. Purbida ang sweldo dun! Minimum syento singkwenta kada otro dia per hour. And get this – some of them, bago pa mag-sweldo, naka 5/6 na ang cheke. Leche!

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