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Manila Bulletin devider Philippines devider National devider Makabayan solon believes wage hike won't lead to job losses, economic downturn

Makabayan solon believes wage hike won't lead to job losses, economic downturn

Published Feb 3, 2025 07:27 am

At A Glance

  • Gabriela Women's Party Rep. Arlene Brosas has rejected a group of Filipino-Chinese businessmen's stand that increasing the minimum wage in the country will result in significant job losses or economic downturn.

​A Makabayan bloc lawmaker has rejected a group of Filipino-Chinese businessmen's stand that increasing the minimum wage in the country will result in significant job losses or economic downturn.

For Gabriela Women's Party Rep. Arlene Brosas, the Federation of Filipino-Chinese Chamber of Commerce and Industry's (FFCCCII) view is only a "recycled anti-worker rhetoric".

She claimed that members of the group are only "recycling the same old arguments against wage increases, but the facts tell a different story".

"Previous wage hikes did not cause massive layoffs or business closures. Kayang-kaya ng malalaking korporasyon na itaas ang sahod ng mga manggagawa. Ang totoo, napakaliit na bahagi lang nito kumpara sa kanilang napakalaking kita (Big corporations can increase the minimum wage of their workers. In fact, this is just a small part of their massive income)," she said.

​Brosas cited that the combined net income of the top 1,000 corporations in the Philippines saw a 7.2​ percent increase in combined revenues to P17.8 trillion in 2023​. This supposedly betrayed their capacity to implement wage increases.

"The argument about losing competitiveness is a false narrative. Productivity has consistently increased while wages have remained stagnant,​" she said.

​In 2024, Philippine worker productivity saw a growth of 4.6​ percent during the second quarter compared to the previous quarter, reaching a value of approximately ​P112,500​, according to Brosas.

​"Basic economics shows that wages follow prices, not the other way around​," she said, addressing the concern of possible inflation.

​"Ang inflation ay dulot ng corporate greed at price manipulation, hindi ng pagtaas ng sahod ng mga manggagawa​ (Inflation is actually caused by corporate greed and price manipulation, not by the increase in minimum wage). The proposed P200 increase will barely help workers catch up with the rising cost of living," she added.

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