SEN. Joel Villanueva said the Living Wages Act bill he filed will have a lasting effect than the proposed Legislated Wage Act since it will set certain criteria or standards that will help regional wage boards set a decent minimum wage level within their areas of jurisdiction.
Villanueva said the bill, which he filed at the opening of the 20th Congress last Monday, would go hand in hand with the renewed drive for a legislated minimum wage increase, which was approved by the House of Representatives and the Senate in the 19th Congress but was not ratified by the bicameral conference committee.
The legislated minimum increase bill was refiled by a number of congressmen and senators as the 20th Congress opened.
“We welcome the good news for our workers in Metro Manila. We are pushing for the legislated wage increase but I think the Living Wage Act will have a lasting impact because it will help regional wage boards set a decent minimum wage level within their jurisdictions,” Villanueva said.
“I want this bill to strengthen our regional wage boards to ensure they are using the right data and right parameters,” he added.
Presently, wage reviews and determinations are made by regional wage boards after petitions are made by various stakeholders.
Villanueva said his bill will empower regional wage boards to review and determine living wage rates without the need to be triggered by workers’ groups and unions.
Villanueva said he is also aware of the disparity of situations across regions, which is one of the major stumbling blocks in setting a uniform wage rate nationwide.
“But if we have a universal formula as to how we are going to compute itong mga pagtaas ng ating sweldo ng ating mga manggagawa, for me, ang pinakamahalaga ay ang pagkakaroon ng living wage criteria. Kasi kung dito nakabatay, matutugunan ang kinakailangang sweldo para sa disenteng pamumuhay ng ating mga manggagawa saan mang lokalidad (But if we have a universal formula as to how we are going to compute wage increases, for me, it is important to have a living wage criteria. Because if we will base it here, we can provide the right wages for a decent living for all our workers nationwide),” he said.
He said the bill seeks to amend a provision on the Labor Code, which currently sets the demand for a living wage as a basis to undertake the review of the minimum wage, but it is not the criterion per se in setting the minimum daily wage rate.
“Ultimately, legislating the living wage criteria is a step towards advancing the country’s labor framework from subsistence-based wage standards to a rights-based and inclusive model that affirms the inherent worth of every Filipino worker,” he said.
Villanueva said that setting a living wage policy likewise aligns the country with prevailing international labor standards.
The International Labour Organization (ILO) describes an adequate living wage as “the wage level that is necessary to afford a decent standard of living for workers and their families, taking into account the country’s circumstances and calculated for the work performed during the normal hours of work.
