PETITION FOR P75 ACROSS-THE-BOARD

IN RE: PETITION FOR P75 ACROSS-THE-BOARD
INCREASE IN THE DAILY MINIMUM WAGE OF
WORKERS IN THE NATIONAL CAPITAL REGION

TRADE UNION CONGRESS OF THE PHILIPPINES (TUCP),
Petitioner – Appellant/Movant

MEMORANDUM OF APPEAL

Petitioner Trade Union Congress of the Philippines (TUCP) respectfully files this Memorandum of Appeal with this Honorable Commission, assailing Wage Order No. NCR-15 dated 16 June 2010 issued by the National Capital Region Tripartite Wages and Productivity Board (NCR TWPB) granting a P22 increase in minimum wages for non-agricultural, agricultural, Private Hospitals with bed capacity of 100 bed less, retail/service establishments employing 15 workers or less, and manufacturing establishments regularly employing less than 10 workers in the NCR.

TIMELINESS OF THE MOTION AND/OR APPEAL

NCR Wage Order No. 15 was published on June 16, 2010 and, therefore, this Appeal is filed within the ten-day reglamentary period provided for in Article 123 of Republic Act (RA) No. 6727.

GROUNDS IN SUPPORT OF THE APPEAL

Appellant is assailing Wage Order No. 15 on the following grounds.

1. THE NCR RTWPB COMMITTED GRAVE ABUSE OF DISCRETION, IN ISSUING WAGE ORDER NO. 15 PROVIDING FOR A WAGE INCREASE OF ONLY P22 PER DAY IN THE MINIMUM WAGE OF NON-AGRICULTURAL, AGRICULTURAL, PRIVATE HOSPITALS WITH BED CAPACITY OF 100 BED LESS, RETAILS/SERVICE ESTABLISHMENTS EMPLOYING 15 WORKERS OR LESS, AND MANUFACTURING ESTABLISHMENTS REGULARLY EMPLOYING LESS THAN 10 WORKERS, IT GROSSLY DISREGARDED THE VERY SPIRIT AND INTENT OF RA 6727 WHICH EXPRESSLY MANDATES THAT, IN FIXING MINIMUM WAGES, THE BOARD SHALL ENSURE DECENT STANDARD OF LIVING NECESSARY FOR THE HEALTH, EFFICIENCY AND GENERAL WELL-BEING OF EMPLOYEES.

2. THE WAGE ORDER IS CONTRARY TO LAW.

ARGUMENTS

RA 6727 clearly defines the rationale for the creation of the Regional Tripartite Wages and Productivity Boards (RTWPBs). Section 2 of RA 6727 declared as the policy of the State to rationalize the fixing of minimum wages and to promote productivity-improvement and gain-sharing measures to ensure, among others, decent standard of living for the workers and their families.

RA 6727 further defines this mandate by prescribing the guidelines to be followed by the RTWPBs in fixing minimum wages.


1. Wage Order 15 does not conform with the concept of “living wage”

Petitioner contends that the Wage Order No. NCR-15 granting a P22 increase in minimum wages is grossly inadequate and does not conform with the criteria set by RA 6727.

Petitioner wishes to emphasize in this Memorandum Appeal that the NCR RTWPB failed to appreciate and put appropriate weight on the first of the criteria in minimum wage setting – the demand for living wages.

The pertinent provision of RA 6727:

“Article 124. Standards/Criteria for Minimum Wage Fixing.—The regional minimum wages to be established by the Regional Board shall be as nearly adequate as is economically feasible to maintain the minimum standards of living necessary for the health, efficiency, and general well-being of the employees within the framework of the national economic and social development program. In the determination of such regional minimum wages, the Regional Board shall, among other relevant factors, consider the following:

(a) The demand for living wages;
(b) Wage adjustment vis-à-vis the consumer price index
(c) The Cost of living and changes or increases therein;
(d) The needs of workers and their families
(e) The need to induce industries to invest in the countryside
(f) Improvements in standards of living
(g) The prevailing wage levels
(h) Fair return of capital invested and capacity to pay of employers
(i) Effects on employment generation and family income; and
(j) The equitable distribution of income and wealth along imperatives of economic and social development

Source: TUCP  http://www.tucp.org.ph/news/index.php 

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