It’s a Trap!!!

Remember when you were a kid? You would ask for lots and lots of candy or chocolate or whatever it is you fancy. You know or at least had an inkling that it would make you sick, but you still asked for it anyway. There would even be a temper-tantrum if you didn’t get it. Why have we not outgrown that yet?

Recently the labor groups have asked for a wage increase. The most militant of them asking for the minimum wage to be increased by P 120 . What’s the wage pegged at now? 400 pesos? 410 pesos? They ask for what amounts to more than a 25% wage increase for every person earning minimum. They claim that that wage level is needed to support a family of six everyday while living in the capital.

Before making my main point in the article let me segue a little. Don’t have a family of six! Try a family of three or four! Why have a family of six when you know perfectly well that you cannot support them? This is precisely why we need something like the RH bill.

 Back on topic now. I wonder what would happen to this group if their wish was actually granted. Alright everybody you now make 25% more. How many small and medium businesses would close down? Faced with taxes, competition from bigger companies, and other challenges, would they be able to continue? The big companies that have factories here would be more able to shoulder the burden of adding a quarter to their payroll for the same amount of work. But would they stay here if they had to? Other countries already offer lower wages than us. We are still competing due to other advantages, but add that much expense and most companies here will pack up and leave. Sure some might stay if they think the cost of moving the factory or call center would be too much, but no new factories would be set up. All those children from the family of six would have nowhere to work when they grow up. The people who would be given money by their request would be out of a job next month.

Yet, the labor groups are upset at the “pro-capitalist” administration for denying them the wage increase. Instead only granting a modest 22 peso increase. I get that they might think that that is not enough but seriously ask for something reasonable! How can you ask for something that will almost certainly drive most of your supporters out of employment and then get angry when it is not granted? These groups would appear more credible and garner more sympathy for their cause when they ask a wage increase that could conceivably granted without driving out all business and then get denied for some reason.

Negotiate in good faith. Ask for what you actually want. Instead of using the whole process as a way to garner points with your members. Showing them that you want huge wage increases for them knowing that the government will never grant it. I honestly would like to see these groups given exactly what they ask for one of these days. Then watch as their own members lynch the leaders.

Advertisements

Leave a comment

Filed under Policy, rants

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s