Call center workers urged to form unions

AFP FILE PHOTO

MANILA, Philippines—To protect their welfare as workers and to take advantage of the full benefits of their labor, the Trade Union Congress of the Philippines (TUCP) has urged young professionals particularly workers in the information technology sector to join or form unions.

“I encourage yuppies particularly those in call centers to join or create unions so they can have a voice in their work…,” said Gerard Seno, executive vice president of the Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) in a statement.

Through unions, Seno said workers can “negotiate a contract like fair and safe workplace, better wages, a secure retirement or separation pay, family-oriented policies such as paid sick leave and other benefits.”

Because call center workers handle delicate jobs, Seno said they must be compensated substantially.

“Workers in the call center industry are also considered one of the most vulnerable workers because they work at night when their bodies are supposed to sleep,” he said.

“Customer service representatives, for example, interact mostly with stressful customers. So they should get more in terms of wages and benefits because of the precarious characteristics of their work. They can maximize what they can get through a union. And we have union organizers who will assist them in every step of the way,” he added.

According to him, “gone are the days when unions are perceived obstructionist.”

“Management today should look at forming unions as a way to promote productive workforce that provides better services and products. They should treat unions as a way of meeting the needs of their workforce in this modern age of flexible and non-traditional work environments,” he said.

TUCP said there are 1.04 million BPO workers in the Philippines as of September 2014.

Bill filed in Congress

In 2013, Senator Miriam Defensor-Santiago filed a Magna Carta for Call Center Workers.

The bill seeks to enforce the rights of call center workers to organize unions to have safe and healthy working environments given the long hours they spend at their work stations.
Santiago expressed alarm over reports that business process outsourcing (BPO) companies discouraged labor organizations.

She cited health and occupational safety issues in BPO, adding that the Philippines cannot truly boast about its BPO industry to the world if it does not comply with the most basic of international labor standards. - Nestor Corrales |INQUIRER.net

Bill raising workers’ tax exemption backed

The Department of Labor and Employment (DoLE) and labor groups gave their approval yesterday on the pending legislation, which will raise the tax exemption cap of workers to P70,000.

In an interview, Labor and Employment secretary Rosalinda Baldoz said the measure would help workers to cope with the rising price of basic goods and services.

“We support the bill itself since it would mean more benefit for the workers,” Baldoz said. Trade Union Congress of the Philippines (TUCP) said it will push for the passage of the bill, which will “reward” workers for their economic contributions.

“This measure such as this is very much welcome especially at this time when workers who work so hard to bring about an improved economic growth of the country gets to have a bonus,” TUCP spokesperson Alan Tanjusay said.

The House Committee on Ways and Means recently approved a bill, which will amend the National Internal Revenue Code of 1997, Republic Act No. raising the existing P30,000 tax exemption ceiling of workers.

It will cover 13th month pay, Christmas bonus and other benefits of workers. (Samuel Medenilla)/Tempo

DOLE backs raising tax exemption on bonuses

The Department of Labor and Employment (DOLE) and labor groups aired support yesterday for pending legislation seeking to raise tax exemption cap of bonuses of  employees from P30,000 to P70,000.

In an interview, Labor and Employment Secretary Rosalinda Baldoz said the measure would help workers cope with the rising price of basic goods and services.

“We support the bill itself since it would mean more benefit for the workers,” she said.

Trade Union Congress of the Philippines (TUCP) said it will push for the passage of the bill, which will “reward” workers for their economic contributions.

“This measure such as this is very much welcome especially at this time when workers who work so hard to bring about an improved economic growth of the country gets to have a bonus,” TUCP spokesperson Alan Tanjusay said. - (Sam Medenilla) Manila Bulletin / Yahoo News

Congress moves to raise tax exemption cap for bonuses

BOTH CHAMBERS of Congress are moving to give employees some succor in time for Christmas in the face of rising prices, with one such measure hurdling the committee level in the House of Representatives yesterday.

The House committee on ways and means yesterday approved a measure seeking to more than double the income tax exemption cap for employee bonuses to P70,000 from the current P30,000 ceiling. The body is now drafting a consolidated measure from at least nine bills dealing with this proposal. The measure covers the 13th month pay “and other benefits” like Christmas bonus and productivity incentives.

“What we approved today is... we’re exempting all Christmas bonuses... 13th month pay to the extent of P70,000 that will no longer be taxed,” committee chairman Rep. Romero S. Quimbo of Marikina (2nd district) told reporters at the sidelines of a committee hearing, citing a pressing need to raise the exemption ceiling in order to provide Filipino workers some relief from continued rising prices.

He noted that the current exemption level was set in 1994, hence, the need to adjust the current value to take inflation into consideration.

The approval of such measure is a first in recent years. Two similar bills were filed in the 15th Congress, but failed to gain the nod even at the committee level.

Also yesterday, Senate President Franklin M. Drilon said his chamber has already agreed with the House to approve the measure in time for Christmas season.

“We have an agreement with the House of Representatives that we will pass this bill within the year, so that Christmas could be merrier for our workers,” a statement quoted him as saying.

“There is really a need to revisit the antiquated provisions of Republic Act No. 7833, which imposed the P30,000 cap on bonuses back in 1994.”

The Trade Union Congress of the Philippines (TUCP) lauded the committee approval of the bill. “A legislative measure such as this is very much welcome, especially at this time when workers... worked so hard to bring about improved economic growth of the country,” TUCP spokesman Alan A. Tanjusay said in a text message, referring to gross domestic product growth that slowed but still surprised at 6.4% last quarter, spurring first-half economic expansion to 6.0% against the government’s 6.5-7.5% target. “We want to see the bill become into law so that Filipino workers will feel rewarded for their hard work.”

The Employers Confederation of the Philippines (ECoP) also threw its support behind the measure, saying it could help lessen workers’ demand for an increase in wages. Besides that, ECoP President Edgardo G. Lacson added that the proposal would help stimulate the economy.“It’s very very positive,” Mr. Lacson said in a telephone interview. “What the government will lose in [income] tax, they can collect in other taxes” that will rise with increased consumption.

The House ways and means committee is also set to consolidate nine measures seeking to trim individual and corporate income tax rates, again citing the need to adjust levels to inflation.

“We are taxing individuals more now for the same value of their salaries,” Mr. Quimbo noted.

“Tax burden today is being shouldered by ordinary income earners because they have no choice.”

The Senate is in sync with the move, with Mr. Drilon yesterday saying: “Congress is aware of the necessity to revisit our existing tax structure, which has remained unchanged since 1997.”

“Congress is committed to pass legislation that will lower individual income taxes in order to help our workers deal with the effect of inflation,” Mr. Drilon said.

“If the salary hike that our workers have been asking the government to provide is not yet possible due to fiscal constraints, legislation that will increase workers’ net take-home pay is the best alternative we can work on.”

Emphasizing his department’s stand during the committee hearing yesterday, Finance Undersecretary Jeremias N. Paul, Jr. said lawmakers must take a “holistic approach” to tax reform, saying “there should be a revenue measure that will essentially plug the loophole” of about P40 billion from the raising of the bonus exemption cap alone. -- M. L. T. Lopez BusinessWorld

TUCP thumbs down SONA 2014

The Trade Union Congress of the Philippines (TUCP) has expressed dismay over President Benigno Aquino III’s declarations during his fifth State of the Nation Address (SONA) last Monday, particularly on matters pertaining to contractualization and low wage.

Early into his national report, the President regaled the nation about the accomplishments of the Technical Education and Skills Development Authority or TESDA which was a beneficiary of P1.6 billion funds from the government’s Disbursement Acceleration Program (DAP).

Aquino said under TESDA’s training for work scholarship program, the government was able to help 223,165 TESDA students. From over 200,000 beneficiaries, 66 percent or 146,731 finished their courses and are now employed. TESDA is continuing to help the rest look for jobs.

The TUCP failed to hear updates on other labor issues. Instead of the TESDA “success story”, the group was hoping to know what the President is doing to address contractualization, low salary rates, unemployment and underemployment, and the effect of power crisis to labor and industry.

TUCP, a major labor group in the country, plans to ask for P135 salary increase by September. - Manila Bulletin

P89 wage hike in Northern Mindanao pushed

THE Regional Tripartite Wages and Productivity Board in Northern Mindanao (RTWPB-10) has completed the first round of deliberations on the actual rate of minimum wage increase for workers in the region.

Although initial results of the review were not disclosed yet, labor groups are hopeful the wage board will support the daily minimum wage increase petition.

The Associated Labor Union-Trade Union of the Philippines (ALU-TUCP) in the region formally sought an P89 daily wage increase on July 16, 2014.

If approved, the daily minimum wage in the region will become P395 for agricultural and non-agricultural workers.

Lawyer Gretchen Lamayon, RTWPB-10 chief information officer, told Sun*Star Cagayan de Oro Wednesday the final results of the petition will be revealed "sooner" and subjected to discussion from among different sectors.

The discussion will be held with the presence of the heads of the region's Department of Trade and Industry (DTI) and National Economic and Development Authority (Neda), two representatives from the Department of Labor and Employment (Dole), and two representatives from the private sector.

In a petition passed to the RTWPB-10, the ALU-TUCP justified the requested increase as beneficial to the working population amid the increasing cost of standard of living.

"The P89 daily increase is essential if workers are to cope with the increasing prices of commodities and cost of living, if they are to meet the basic needs of their families, even if only partial, and if the country gives meaning and substance to the policy of equitable distribution of income and wealth. The increase, small as it is, has been overtaken by increases in power and water rates, in health and education costs, the prices of oil and its products, LPG, and basic goods and services," the petition read.

"Prices of goods and services in the following months are also expected to rise by at least 5 percent which would require an additional P21.42 adjustment in wages considering the increasing prices of goods and services especially power rates because of the current power shortage in Mindanao. Also, the daily take home pay of wage earners are lower due to legally mandated deductions such as SSS, PhilHealth and Pag-Ibig contributions and income tax," it added.

Wildon Barros, Kilusang Mayo Uno-Northern Mindanao chairperson, told this paper that although they are pushing for the P125 minimum wage across the board since last year, they will also support ALU-TUCP's endeavor.

"We still want the RTWPB to say yes to this because it is for the benefit of our workers at the end of the day," Barros said by phone.

May 15 last year, the RTWPB-10 approved the latest P306 wage increase per day from P286 for the wage earners in northern Mindanao. - Sun Star