By Xander Ledesma
Bacolod City’s workforce is set to receive a boost as the Regional Tripartite Wages and Productivity Board announced a new minimum wage increase, effective November 15, 2024. This wage adjustment, aimed at supporting workers amid rising living costs, comes as a much-needed relief for many who have been grappling with inflationary pressures in recent years.
The new minimum wage, which will increase by 50 pesos to a daily wage of 600 pesos, comes at a time when Bacolod, like many parts of the country, has been recovering from the economic fallout of the COVID-19 pandemic. Small businesses and local industries, which were hit hard by the pandemic, are still struggling to regain their footing. However, the wage increase is expected to offer significant support to the workforce, particularly in a city where many residents depend on low-wage jobs in the service and retail sectors.
The wage hike has sparked both optimism and concern. Labor groups are celebrating the increase as a step toward addressing the widening gap between wages and the cost of living, particularly as food and utility prices continue to climb. Recent inflation data from the Philippine Statistics Authority reveals that many basic goods have become unaffordable for numerous households, making the wage increase timely. On the other hand, business owners, particularly those in small and medium enterprises, have expressed concerns that the wage hike could increase operational costs and strain their ability to hire more workers or maintain current staff.
To mitigate these concerns, Bacolod’s local government has promised to support small businesses during this transition. Proposals for financial assistance and employee development programs are being discussed to help companies adapt to the wage increase without compromising their profitability. For workers, the increase is expected to provide immediate relief, boosting disposable income and, in turn, local consumer spending.
As Bacolod moves toward the implementation of the wage increase, there is cautious optimism that the adjustment will help drive economic recovery in the city. If implemented successfully, the new minimum wage could also serve as a catalyst for greater economic activity, benefiting both employees and businesses in the long term.