SSS urged to step up campaign against erring capitalists

SIX biggest labor organizations and alliances on Friday have strongly prodded the leadership of the Social Security System (SSS) to step up its campaign against capitalists who deliberately refuse to remit their monthly financial obligation collected from their employees.

Leody de Guzman, president of the Bukluran ng Manggagawang Pilipino (BMP), said the leaders and managers of the SSS must oblige all the employers to ensure that they will remit their employees’ monthly obligation and the corresponding employers’ share to the SSS.

Alan Tanjusay, spokesperson of the alliance of Trade Union Congress of the Philippines and Nagkaisa (TUCP-Nagkaisa), added that the SSS should conduct a regular inspection or reminder to all private firms covered to remit to the government’s social security agency the monthly payment of the employees and the corresponding employers’ share.

On September 21, The Manila Times reported that the SSS was able to collect about P1.6 billion from employers who refused to remit to the SSS the employers’ and employees’ monthly financial obligation for the past years.

The Times also reported that the SSS managed to send to jail at least 24 capitalists out of the 7,000 who intentionally violated the SSS Law.

For these accomplishments, Partido Manggagawa (PM) spokesman Wilson Fortaleza said the SSS leadership should step up its efforts so that more capitalists will be incarcerated for violating the agency’s law.

Fortaleza added that the 24 jailed capitalists were not enough since PM strongly believes that there are many businessmen still refuse to give the SSS the monthly payment of the employees together with the employers share.

Although the law stipulates that company employees should lodge a complaint against erring employers before the SSS, Tanjusay, who is also chairman of the Labor Party of the Philippines (LPP), said there is still a huge number of employers who deliberately ignore remitting to SSS the money they collect from their employees.

He also pointed out that the SSS would not act unless an employee will file a complaint against his or her employer who refused to remit the money they chopped from their employees.

Sonny Matula, president of the Federation of Free Workers (FFW), said the action against any erring employer should not only be done by the SSS but by the employees as well in order to win against the SSS Law violators.

Matula stressed that the employees’ decision against their employer is an important act to help SSS do its obligation.

But Matula, who is also a lawyer, should be reminded that the mindset of Filipino workers is filled with fear. They are afraid to file a complaint against their employers who violated even a series of non-remittance to the SSS amounting to two years.

A good example was a call center employee who failed to get her financial incentive from the SSS when she gave birth to her third child two months ago, because her employer did not remit the money they collected.

The employee was then advised to lodge a complaint so that legal actions could be done against the SSS Law violator, but she later on refused out of fear that she might be fired from the company. - by NELSON S. BADILLA, REPORTER / The Manila Times

Six labor groups urge govt to approve workers’ tax cuts

THE six biggest labor groups and alliances in the Philippines on Friday expressed their unity in strongly supporting the reduction of workers’ withholding taxes.

Alan Tanjusay, spokesperson of one of the alliances, the Trade Union Congress of the Philippines and Nagkaisa (TUCP-Nagkaisa), said the two labor alliances together with the newly-formed Labor Party of the Philippines (LPP) have not withdrawn their strong support to the efforts of three senators and two congressmen who aim to lower the percentage of the taxable income of salaried workers since it will surely help raise the purchasing power of every employee.

Tanjusay, who is also the chairman of LPP, said that TUCP, Nagkaisa, and LPP are thinking of different forms of struggle to convince President Aquino 3rd on the correctness and positive effect on the economy should the workers’ tax cuts be approved.

At present, the withholding taxes on workers’ income range from 10 to 30 percent annually depending on the yearly salary.

Minimum wage earners are exempted from tax cuts.

Proposed laws being tackled in both chambers of the Congress and the Senate have two intentions: widen the coverage of the low withholding taxes on the one hand, and increase corporate taxes on the other hand.

Despite the fact that this proposal could add up to his good legacy, Mr. Aquino vehemently opposed the idea of the pro-administration lawmakers, including his first cousin, Sen. Benigno Paolo “Bam” Aquino 4th, due to the possible downgrading of the Philippines’ credit capacity ranking.

Even Bureau of Internal Revenue Commissioner Kim Henares was more concerned on the country’s possible downgraded credit rating, rather than the increase of the workers’ purchasing power.

Wilson Fortaleza, spokesman of Partido Manggagawa (PM), stressed the truth of the matter that workers with a living wage less than P1,500 per day must be exempted from paying a withholding tax.

He said tax exemptions on the biggest number of workers, both in the private and government sectors, have been a long-time agenda of PM.

Fortaleza added that the utmost concern of PM is to increase the living wage of the Filipino working class, saying it is an important issue that his group will bring up in the House of Representatives not only today but also in the future.

Sonny Matula, president of the Federation of Free Workers (FFW), pointed out that reduced withholding taxes for the salaried workers not only brings a good effect on the workers but more so in the country’s economy.

Matula, who is also a lawyer, said the tax cuts on the annual income of the salaried workers are definitely beneficial to the economy because more workers could buy more products.

Bukluran ng Manggagawang Pilipino (BMP) President Leody de Guzman strongly agreed with his fellow labor leaders, saying the “tax exemption would result in the much-needed increase in take-home pay for wage and salaried workers who earn more than the atrociously-low minimum wage and are not covered by the orders of the regional wage boards since their creation in 1989.”

He said he could not understand why Mr. Aquino rejected the idea of tax reduction when in fact it “would not cause a big loss in the tax base for the Bureau of Internal Revenue (BIR), since the increase in take-home pay will spur consumption and increase the collections for the value-added tax.”

De Guzman could not hide his disgust with the Aquino administration because it could “afford to give billions in tax breaks and incentives to foreign multinational monopolies … [but] it has the gall to complain of the P30 billion that would be reduced from the nation’s coffers due to the [tax reduction on withholding taxes].” - by NELSON S. BADILLA, REPORTER / The Manila Times

Cebu: Labor groups express dismay at P13 increase

THE P13 adjustment in the minimum wage approved by the regional wage board for minimum wage earners in Metro Cebu is not enough, according to labor groups.

“We are dismayed by the increase. It is too far from our demand,” said Dennis Derige, spokesperson for Partido ng Manggawa (PM) in Cebu.

He said that the increase is not enough to provide for a worker’s daily subsistence.
Art Barrit of the Associated Labor Union-Trade Union Congress of the Philippines (ALU-TUCP) expressed a similar sentiment, saying ALU-TUCP anticipated a higher wage hike.

Proposal

“We did not expect that amount. We were expecting more than P50," Barrit told Sun.Star Cebu in an interview yesterday.

He laments that despite the figures they had shown during the deliberation, the wage board has not bothered to consider their proposal.

Last July, the group filed a petition before the Regional Tripartite Wages and Productivity Board (RTWPB) 7 for a P92 increase in the daily minimum wage.

Barrit said that the RTWPB “always” ruled in favor of the management sector.
Barrit said they are prepared to file a motion for reconsideration before the National Wages and Productivity Council (NWPC) in Manila.

Cities

Labor groups also pointed out that the P13 increase only applies to the cities of Carcar, Danao, Cebu, Mandaue, Lapu-Lapu, and the town of Cordova.

Derige said that PM is asking Congress to abolish the RTWPB and replace it with the National Living Wage Commission.

Joe Tomungha, labor sector representative in the RTWPB, said that he thought of resigning from the post last year but decided not to because the move would impair the sector’s representation in the wage board.
Department of Labor and Employment (DOLE) 7 Exequiel Sarcauga said in an interview that he respects the opinion of the labor groups.

Sarcauga said that a regionalized wage classification was set in place because of regional disparity in standard of living and economic profile.

He said that the wage adjustment only covered Metro Cebu, the center of economic activity in Cebu.

He said that to address the issue, the rest of Cebu should be opened to investments.

He said that if the RTWPB is abolished, the DOLE will comply with the order. - By EARL JON M. RALLOSPublished in the Sun.Star Cebu newspaper on September 12, 2015.

Five labor groups: Pass 2,000 pension hike now

FIVE of the biggest labor organizations in the Philippines on Thursday strongly urged the Senate to immediately pass the proposed law requiring the Social Security System (SSS) to increase the monthly pension of about 1.9 million retired workers by P2,000.

The call of Trade Union Congress of the Philippines-Nagkaisa (TUCP), Nagkaisa, Partido Manggagawa (PM), Federation of Free Workers (FFW), and Labor Party of the Philippines (LLP) was issued for the Senate to hasten the passage of the House Bill No. 5842 that was adopted and sponsored by Sen. Cynthia Villar on August 26.

Alan Tanjusay, spokesman of TUCP—Nagkaisa, said the approval must be immediate since the 1.9 million SSS pensioners badly needed the money to augment their budget for their monthly expenses on medicines, electricity, water, and so on.

Renato Magtubo, former congressman and now chairman of PM, said his group is strongly calling the attention of the senators to prioritize the proposed P2,000 increase on the SSS monthly pension since “there is no dramatic increase on the amount of pension that SSS pensioners have been receiving for a long period of time.”

Magtubo stressed that Bayan Muna party-list Rep. Neri Colmenares’ proposal was “timely [despite] the amount was small [because it] will surely help retirees/pensioners in their needs most specially their medical needs.”

Sonny Matula, a lawyer who chairs FFW, likewise pointed out that the SSS pensioners “badly needed” the P2,000 hike.

Tanjusay noted that even Nagkaisa (coalition of 90 percent of labor unions in the country) and LLP are in full support of the proposed SSS pension increase because it would benefit around 1.9 million retired workers from private firms.

On August 26, the Senate Committee on Government Corporations and Public Enterprises chaired by Sen. Villar cited HB 5842 in her sponsorship speech.

In the same day, Villar made the sponsorship on the Report No. 213 of the Committee on Government Corporations and Public Enterprises.

As she made the sponsorship, Villar said, “Kasi sa tinatanggap na monthly pension ng ating mga retiradong manggagawa na minimum of between P1,200 and P2,400, mabibilang sila sa mga Pilipinong living below the poverty line. In fact, kahit na dagdagan pa ang kanilang monthly pension ng P2,000 ayon sa ating rekomendasyon, hindi pa rin nila malalampasan ang poverty threshold. As such, they will still be labeled as poor… Ibig sabihin, matapos magtrabaho ang mga pribadong manggagawa ng 20 taon, kapag sila ay retirado na, marami sa kanila, na aasa na lang sa monthly pension nila, ay mamumuhay below the poverty line. Medyo nakakalungkot naman ang hahantungan ng mga empleyado sa ating bansa [The minimum monthly pension received by retired employees is between P1,200 and P2,400, and they would be classified as Filipinos living below the poverty line. In fact, even if we add P2,000 on their monthly pension, based on our recommendation, they still would be in the lines of poverty threshold. As such, they will still be labeled as poor… This means that after working for 20 years, when they retire, most of them would just depend on their monthly pension and they would be living below the poverty line. It’s saddening that this is the fate of retired workers in our country.”

After August 26, Villar’s committee has yet to make a follow-up action on the proposed law.

The proposed law specifically intends to amend Section 12 of Republic Act No. 1161, which states that workers who have 10 years of SSS monthly contribution will receive P1,200 monthly pension and those who have 20 years of SSS monthly contribution will get P2,400 monthly pension.

Unfortunately, reports have been floating to the media that the government agency could not afford to finance the P49 billion budget for the increase from year 2016 to 2042.

This led Rep. Colmenares to blow his top last week saying “the SSS [must] stop scaring the Senate from the P2,000 pension increase by claiming that Social Security System (SSS) has no funds for the increase.”

“SSS should stop trying to delude the people and the Senate that it has no funds for the P2,000 pension increase because this is not true. The SSS Board is tryng to sabotage the passage of the P2,000 pension increase, even if it has actually admitted several times that it has the funds for the pension increase. The increase will only shorten its fund life to 2029 instead of the current 2042,” Colmenares added. - by NELSON S. BADILLA REPORTER / The Manila Times

Nat'l labor party seeks accreditation, bets woo it for support

The Labor Party of the Philippines plans to endorse and field national and local candidates for the 2016 polls once it is accredited

WORKER. A Filipino fish port worker carries tuna before weighing it at the Fish Port in General Santos City, southern Philippines, on June 17, 2015. Photo by Ritchie B Tongo/EPA

MANILA, Philippines – A labor-based national political party has sought accreditation from the election commission in what the group calls a historic first.

The Labor Party of the Philippines (LPP) on Tuesday, September 1, said it plans to endorse and field national and local candidates for the 2016 polls once it is accredited.

The LPP underwent an accreditation hearing before the Commission on Elections (Comelec) last August 25, Rappler learned.

Associated Labor Unions (ALU) Vice President Gerard Seno told Rappler the party will "support" a presidential candidate. LPP Chairman Alan Tanjusay said the presidential bet will be selected "after they make their candidacy official in October.”

LPP has been courted as early as February by “decent groups and highly respected individuals” for the support of certain national candidates, Tanjusay told Rappler.

The party was established by ALU in December 2014 as hopefully the country’s first union-based national political party.

Tanjusay said that LPP will partner with other grassroots, marginalized, business, and community-based groups to beef up the present 120,000 regular union members of ALU.

He said the party envisions “a dynamic economy, a just society, an open democracy and a healthy environment.”

LPP was formed out of “discontent, frustration, because no one is giving even small attention” to the issues of workers “who play a vital and strategic role in the country’s national daily affairs,” Tanjusay added.

ALU is a pioneering federation of labor unions registered with the labor department in April 1954.

LABOR PARTY. Party Chairman Alan Tanjusay shows the petition for national party accreditation filed before the Comelec. Photos from ALU

What the labor sector wants

Unionists believe the country’s next leader must succeed where they believe past and present presidents have failed – ensuring Filipino laborers have a living wage enough to move out of poverty.

“Naghahanap pa kami ng pangulo na maninindigan at isusulong ang disenteng pamumuhay ng manggagawa at kanyang pamilya lalo sa sitwasyon ngayon na kung saan hindi nakikinabang ang nakararami sa pag-unlad ng ekonomiya,” trade unionist Renato Magtubo told Rappler.

(We are still looking for a president who will stand and push for decent living of workers and their families especially today when many do not benefit from economic progress.)

But according to Labor Secretary Rosalinda Baldoz, only 5 of the 98 minimum wage rates in the country remain below the poverty threshold – a feat, she said, that was achieved under President Benigno Aquino III from 2010 to June 2015.

Baldoz also said more workers received higher salaries under Aquino’s administration given the labor department’s two-tier wage system.

Labor leader Josua Mata described a pro-labor president as one who is “not afraid to go against the interests of the elites, pursue much-needed hard reforms like asset reforms and security of tenure for workers to address the scandalous inequality that we have.”

Contractual labor – seen to deprive workers of income stability and job security – comes at the forefront of issues the labor sector wants political leaders to prioritize. (READ: SONA 2015: The state of Philippine labor under Aquino)

Julius Cainglet of the Federation of Free Workers said the labor sector needs a leader who "will ensure that growth redounds" to "the working poor and those who work under precarious conditions such as contractualization, unsafe work places and receiving salaries below the minimum wage."

Cainglet said the next president must treat trade unions "as regular social dialogue partners" and "involve them in labor and economic policies."

The call comes amid waning interest in unionism and decreasing labor union density in the Philippines. (READ: Factory work and unionism). – Rappler.com Buena Bernal @buenabernal

New political party seeks Comelec accreditation

MANILA, Philippines - A newly formed national political party is now seeking accreditation from the Commission on Elections (Comelec).

Officials of the Labor Party of the Philippines (LPP), a union-based political party formed by Associated Labor Unions (ALU), sat down with Comelec officials on August 25 regarding its accreditation.

"Unionized members from different industries who are the core members of the party intend to field and endorse national and local candidates including sectoral representatives in the forthcoming presidential elections on May 2016 who will espouse and promote our party platforms and programs," Alan Tanjusay, policy advocacy officer of the ALU and chairman of the LPP, said.

Established on December 2014, Tanjusay said the LPP aims to bring together members and supporters who share its values and principles to develop policies and to make communities stronger through collective action and support on issues relating to labor rights and labor standards.

Once LPP gets the accreditation, Tanjusay said party will expand its membership with various sectors of society including financial institutions, chambers of commerce, industry groups, peasant, women, fisherfolk, urban poor, indigenous peoples and the handicapped.

Registered as a labor federation at the Department of Labor and Employment in April 1954, the ALU is a pioneer aggrupation of unions in the country.

ALU manages various collective bargaining agreements (CBAs) and render regular legal, dental and social service to its 120,000 land-based and sea-based regular members.

The LPP headquarters and regional offices are located at all ALU buildings and offices in nine regions. - By Dennis Carcamo (philstar.com)