This week the Bohol Chamber of Commerce and Industry, BCCI, voiced its opposition to the P125.00 Across the Board, ATB, wage increase, which was approved by the Congress. The reason for their objection is that it will disrupt the balance of wage structure of the regions. What would be affected are the small and medium industrial enterprises, whose margin of profits cannot sustain the increase. The BCCI and economists agree that the proper agency, which would determine wage structure are the Regional Tripartite Wage Boards. It is they who are aware of the local conditions.

Applying a uniform rate for the whole country would be impractical, contends the BCCI. Some regions may be able to support such increase while there are those who cant. Standards of living are different for the regions; highly urbanized areas like Metro Manila and the CaLaBaRZon would require high salary rates. Industries in those areas are geared to production, converting raw material into finished goods. Increases are based on productivity. If US and Canadian labor standards are to be followed, skilled labor, which can produce more than their quota are entitled to a wage premium. Thus machinists and journeymen earn more than sales, office and bank personnel. Should we adapt the same standards there would be no problem in wage increases.

Rural areas may be different. Only few, particularly those in the farming, fishing sectors can be considered in the production process. Should there be increases, the raise should be based upon productivity standards. People are of the opinion that since this year is an election year, Congress are trying for pogi points at the expense of business. If that would be the intention of the politicians, they say that legislators should increase tax exemptions of the laboring class particularly those of the minimum wage earners.

Labor is defined as human toil or effort extended for the purposes of production. At the start of the Industrial Revolution, labor had been treated as a commodity to be purchased at the lowest price. Since immobility and abundance tend to depress the price, the government concerned itself with labor's share of production. They permitted capital and labor to determine the sharing system based upon their relative positions of strength. Labor could resort to strikes and capital can counter with lockouts. Organized labor resorted to collective bargaining with capital.

In the US , until 1930, laws concerning collective bargaining agreements, union activities and disputes were almost completely judicial decisions rather than legislation. It was only until later that the government was concerned with working conditions. Even up to now, US labor laws are concerned only in imposing certain standards such as minimum wage and overtime rates. As for wage increases, the government leaves those matters to the employer and the worker. The government should leave the wage problem to the Regional Tripartite Wage Board. It should also create a research agency, which would give a comparative study of wage and productivity of the Filipino with Asian labor. Because of its intelligence and adaptability, Philippine labor can easily break into the international labor market. As long as our labor costs could be competitive, our hold in the world market will be strong. However, if our labor prices itself out competition, it would not be the government who will suffer but labor