CTUHR: state of labor rights under Marcos, Jr. is worsening

Piliin mo ang manggagawa calls for unity among workers and advocates for social dialogue to improve labor conditions and uphold workers' rights. Photo from Center for Trade Union and Human Rights.

The discussion organized by the Center for Trade Union and Human Rights, the Commission on Human Rights, and Church People – Workers Solidarity focused on the state of labor rights under the administration of Marcos Jr. This event took place on July 18, 2024, at the Commission on Human Rights. The discussion highlighted significant issues such as poverty, low wages, unemployment, and the prevalence of contractualization. It presents data indicating that a large portion of the population lives below the poverty line, with minimum wages insufficient to meet living costs. The testimonies from labor leaders emphasized the struggles of workers, particularly in the garment manufacturing and public transportation sectors. It also addresses the challenges faced by women in the workforce and the plight of Overseas Filipino Workers (OFWs). The discussion calls for unity among workers and advocates for social dialogue to improve labor conditions and uphold workers’ rights.

Economic Hardships

Poverty

Poverty in the Philippines has reached alarming levels, with statistics indicating that over 22.4% of the population, or approximately 25.24 million Filipinos, are living in poverty. This situation is exacerbated by the insufficiency of the minimum wage, which is significantly below the cost of living. The economic crisis has led to severe incidents of hunger, with 14.2% of the population unable to eat three meals a day, highlighting the dire nutritional needs of many families. The rising inflation rate, currently at 3.7%, has further strained household budgets, making basic goods increasingly unaffordable. For instance, as of July 2024, other goods prices have surged, becoming one of the most expensive items in the market, reflecting the broader trend of rising costs for essential commodities.

Low Wages

Low wages in the Philippines have become a significant issue, particularly in the context of rising living costs. Despite ongoing efforts to increase wages, the reality is that many workers continue to earn salaries that are insufficient to meet their basic needs. The average minimum wage in the Philippines is currently set at 610 pesos per day in Metro Manila, which can increase to 645 pesos with additional allowances. The minimum wage varies by region and sector, reflecting local economic conditions and cost of living. However, these figures remain far below the poverty line, which is a critical concern for many workers. The disparity between the minimum wage and the poverty threshold highlights the struggle of minimum wage earners, who are often classified as living in poverty due to their insufficient earnings.

Rowena Eronico, a garment worker and president of SAMA-LSPI, provides a personal testimony that underscores the challenges faced by workers earning low wages. She shares that despite years of working, her salary has remained inadequate. In Cavite, for instance, she currently earns 479 pesos, having started with a mere 135 pesos. This stark increase over the years is still not enough to keep up with the rising cost of living, which has been exacerbated by inflation rates that, while seemingly low at 3.7%, are felt acutely by consumers as prices for basic goods, such as chicken, have surged. She said, “napakabarat ng ating gubyerno, ang bilis nilang magtaas pagdating sa bilihin pero pagdating sa sahod ay suntok sa buwan. Kung kaya  ang nangyayari ay loan dito, loan doon.”

The situation is further complicated by the fact that many workers are underemployed, meaning they do not have enough working hours to earn a living wage. The underemployment rate has reached 7 million, indicating that even those who are employed may not be earning enough to support their families adequately.

Unemployment and Underemployment

The current unemployment rate in the Philippines stands at 3.9%, which translates to approximately 2 million Filipinos without jobs, according to the Philippine Statistics Authority (PSA). However, if we consider estimates from the IBON Foundation, the number of unemployed individuals rises significantly to around 7 million. This discrepancy includes not only those actively seeking work but also “discouraged workers”—individuals who have given up on job hunting due to various challenges, as well as unpaid family workers.

In addition to unemployment, underemployment is a pressing issue, with around 7 million people classified as underemployed. This indicates that these individuals are working but do not have sufficient hours or income to meet their basic needs. The situation is further complicated by the growth of the informal sector, which accounts for about 20 million workers or 41.1% of the labor force. Jobs in this sector are often unstable and lack benefits, a trend that has worsened since the pandemic.

The implications of these statistics are significant. The high levels of unemployment and underemployment suggest a labor market that is not only failing to provide adequate job opportunities but also pushing many workers into precarious and informal employment situations. This can lead to increased poverty and economic instability for families and communities.

Debt Issues

Regarding the government’s growing debt in the Philippines, which has reached alarming levels. The total national debt has escalated to 15.3 trillion pesos, with an increase of 204.7 billion pesos occurring during the first 23 months of President Marcos Jr.’s administration. This situation reflects a broader trend characterized by the government’s approach to financing, encapsulated in the mantra “loan here, loan there.”

This phrase suggests a reliance on borrowing as a primary strategy for managing fiscal challenges, which raises several implications. Firstly, the increasing debt burden can lead to higher interest payments, diverting funds away from essential public services and social programs. As the government continues to accumulate debt, there is a risk of financial instability, which could affect the country’s credit rating and increase borrowing costs in the future.

Moreover, the reliance on loans may not address the underlying economic issues, such as unemployment and underemployment. With a significant portion of the population struggling to find stable work, the government’s focus on borrowing rather than creating sustainable economic opportunities could exacerbate poverty and inequality.

 Job Insecurity and Contractualization

Contractualization

The prevalence of contractual jobs is notably high in various sectors, especially in fast food, retail, and service industries. According to the sections provided, there are approximately 20 million workers, or 41.1% of the workforce, engaged in the informal sector, which often lacks stability and benefits. This trend has been exacerbated by the COVID-19 pandemic, leading to an increase in underemployment, with around 7 million individuals working fewer hours than they would like.

Ka Santi Dasmarinas, the National President of COURAGE, highlights the precarious nature of employment for government workers. In the government sector, there are regular employees, casual employees, and a significant number of contractual employees, including job order and contract service workers, totaling around 832,812. These contractual workers face a lack of job security, as they are often employed for short periods—typically five to six months—before being terminated or required to move to another position. This cycle of temporary employment leaves many workers without the assurance of continued work or benefits.

The introduction of House Bill No. 12, known as the “Act Rightsizing the National Government to Improve Public Service,” poses further implications for job security. This bill aims to streamline government operations, which could lead to mass layoffs, particularly affecting job order and contract service workers. The bill suggests that these workers are often the first to be let go during downsizing efforts, reinforcing the notion that contractual employees lack the protections afforded to regular employees. The potential for job loss under this bill raises concerns about the future of many workers who are already in vulnerable positions.

Migrant Workers

Reasons for Migration

Many Filipinos face inadequate salaries that do not meet the cost of living. The minimum wage earners are often considered poor, as their earnings fall significantly below the poverty threshold. This economic strain drives individuals to look for better-paying jobs overseas, where they hope to secure a more stable financial future. The lack of benefits, such as health insurance and retirement plans, further exacerbates the situation, making local employment less attractive.

According to the data provided by the Department of Migrant Workers, there are approximately 2,330,720 Filipino workers deployed abroad, marking the highest deployment in the last 55 years. This statistic underscores the scale of migration as a response to local economic conditions. The continuous outflow of workers indicates a systemic issue within the domestic labor market, where opportunities are scarce and insufficient to support the population.

Migrant workers often face significant vulnerabilities once they leave the country. It mention that many become susceptible to various forms of abuse, highlighting the risks associated with seeking employment abroad. The fact that nearly 50% of Overseas Filipino Workers (OFWs) are women, with 31% engaged in domestic work, points to a demographic that is particularly vulnerable to exploitation. These workers may encounter unsafe working conditions, lack of legal protections, and limited access to support services in foreign countries.

Gender Disparities

The data indicates that women’s participation in the labor force remains significantly lower than that of men. While men have a participation rate exceeding 70%, women are at just over 50%. This disparity highlights the ongoing challenges women face in entering and remaining in the workforce. The statistics suggest that traditional gender roles continue to influence labor force participation, with women often being expected to prioritize domestic responsibilities over professional careers.

The gender stereotypes still play a crucial role in shaping employment opportunities for women. The notion that women should primarily focus on household duties persists, which limits their access to various job sectors. This stereotype not only affects women’s employment rates but also contributes to the perception that certain jobs are more suitable for men, further entrenching gender inequality in the workplace. The gap in employment rates between men and women is significant, with official government data indicating that the number of working women is still considerably lower than that of men. This gap is exacerbated by the limited availability of jobs that are deemed appropriate for women, which further restricts their employment opportunities and economic independence.

Impact on Livelihoods

Public Transportation Sector

The Public Transportation Sector, particularly focusing on jeepney drivers, is currently facing significant challenges due to the government’s Public Utility Vehicle (PUV) Modernization Program. This initiative aims to modernize the public transport system, but it has raised concerns among jeepney drivers and operators regarding their livelihoods and the overall impact on the transportation landscape.

One of the primary issues is the financial burden imposed by the modernization requirements. The cost of modern jeepneys, such as e-jeeps, ranges from 2.6 million to 3.3 million pesos each. This high price tag poses a significant challenge for ordinary operators and small cooperatives, which are required to comply with regulations that mandate a minimum number of units per route. For many, the financial resources needed to acquire these modern vehicles are unattainable, leading to fears of being pushed out of the industry.

Mody Toque Floranda, the President of PISTON (a transport group), has voiced strong concerns regarding the government’s approach to the modernization program. He emphasizes that the state is obligating drivers and operators to consolidate or form corporations, which could lead to the elimination of many small operators. Floranda questions why the government has not prioritized creating a local industry to manufacture public transportation vehicles, suggesting that the country has the raw materials necessary for production. He argues that the focus should be on empowering local operators rather than allowing large corporations to dominate the market.

Furthermore, the modernization program is seen as a threat to the livelihoods of approximately 900,000 jeepney drivers and operators across the country. The transition to modern vehicles is expected to result in higher fares for passengers, with estimates suggesting that minimum fares could rise to 30-40 pesos. This increase would place additional financial strain on commuters, particularly workers who rely on affordable transportation.

Floranda also highlights the ongoing struggles of the public transportation sector, noting that the government often overlooks the essential role that jeepney drivers play in serving the community. He points out that the sector has been unfairly blamed for traffic issues, despite its significant contributions to public transport. The lack of government support and clear programs for rehabilitation further exacerbates the challenges faced by jeepney drivers.

Unsafe Working Conditions

Unsafe working conditions in the Philippines have been a significant concern, particularly highlighted by the increasing incidents of workplace accidents. One specific example mentioned is the landslide in Davao de Oro, which tragically resulted in the deaths of over 90 individuals, many of whom were miners. This incident underscores the dangers faced by outdoor workers and those in hazardous environments, where safety measures may be inadequate or poorly enforced.

It also indicates that there is a broader issue of unsafe working conditions affecting various sectors, particularly outdoor workers who are exposed to extreme heat and other environmental hazards. The recurring accidents and the high number of fatalities reflect a systemic problem in ensuring worker safety and health standards.

Violations of Workers’ Rights

Global Ranking

The Philippines has been ranked among the top 10 worst countries for workers, according to the International Trade Union Confederation’s Global Risk Index. This ranking highlights the severe challenges faced by workers in the country, including various forms of rights violations such as killings, illegal arrests, abductions, and red-tagging. These violations create a hostile environment for labor rights advocates and workers, making it difficult for them to organize and fight for their rights.

One significant issue contributing to this dire situation is the decline in union membership. Data indicates that union membership has decreased from 6.3% in 2018 to just over 4% in 2022. This decline is alarming as unions play a crucial role in advocating for workers’ rights and negotiating better working conditions. Collective Bargaining Agreements (CBAs) are essential tools for unions, as they establish minimum standards for benefits, wages, and other working conditions. Unfortunately, the current number of CBAs is disheartening, with only about 283,502 existing, which is less than 1% of the labor force, indicating a significant gap in workers’ representation and protection.

Testimonies from workers, such as Laarni Empreso from NEXPERIA Phil Inc., shed light on the realities of union busting and mass layoffs. Empreso recounts her experience of being one of eight workers laid off in October 2023, amidst a broader trend of job cuts that affected hundreds of employees. The management’s justification for these layoffs often revolves around automation and restructuring, which they claim is necessary for efficiency. However, this often leads to the dismissal of workers without adequate support or reemployment opportunities. The struggle for workers to maintain their rights and jobs is compounded by management’s resistance to union activities, as seen in Empreso’s case where attempts to organize a strike were thwarted by management interference.

Culture of Impunity

It is reported that there are 29 workers and organizers currently imprisoned due to what are described as fabricated charges. This indicates a troubling trend where individuals advocating for labor rights and justice are being targeted and wrongfully accused, which undermines their ability to organize and fight for their rights.  Red-tagging refers to the practice of labeling individuals or groups as communists or terrorists, often without evidence. It also mentions house-to-house profiling of workers and organizers, which is a form of harassment that creates an atmosphere of fear and intimidation. This tactic is used to suppress dissent and discourage workers from organizing or speaking out against injustices. The forced disappearances, where individuals are abducted and may be coerced into becoming informants or surrendering to authorities. This practice is particularly alarming as it not only violates human rights but also serves to silence those who are involved in progressive organizations advocating for labor rights. During the second year of President Marcos Jr.’s administration, there was a recorded killing of a labor activist named Jude Fernandez. Furthermore, it is stated that over 72 individuals from the labor sector have been killed since the Duterte administration, with no accountability for these acts. This highlights a severe lack of protection for labor activists and a failure of the government to hold perpetrators accountable for violence against those advocating for workers’ rights. 

The overarching theme in these issues is the lack of accountability for violence and repression against workers and their advocates. The absence of justice for the killings and wrongful imprisonments creates an environment where labor rights are not respected, and those who fight for these rights face severe risks.

Calls for Action

The OMNIBUS Guidelines, as pushed by the International Labour Organization (ILO), aim to enhance social dialogue among the government, employers, and workers in the Philippines. These guidelines are designed to update, consolidate, and supersede previous regulations, specifically the Joint DOLE-PNP-PEZA guidelines and other related directives. A significant aspect of the OMNIBUS Guidelines is the prohibition against labeling workers, union members, or trade unions, which is crucial for protecting the rights of workers and ensuring a fair working environment. 

There is a strong call from labor leaders and organizations for wage increases to address the rising cost of living and the economic crisis affecting many workers. The current minimum wage is deemed insufficient for survival, with many workers falling below the poverty threshold. Additionally, there is a demand for the elimination of contractualization, which has led to job insecurity and instability for many workers, particularly in sectors like fast food and services. The prevalence of contractual employment means that many workers do not have access to benefits and job security, which further exacerbates their economic struggles.

Respecting freedom of association is fundamental to ensuring that workers can organize and advocate for their rights without fear of retaliation or discrimination. The decline in union membership and the increasing instances of union busting highlight the urgent need for protective measures for unions. Collective Bargaining Agreements (CBAs) are vital for securing better wages and working conditions, yet the data shows a concerning drop in the number of unions and CBAs in the country. Protecting unions and promoting the right to organize not only empowers workers but also contributes to a more equitable and just labor market.

Conclusion

The discussions underscore the critical importance of collective action and solidarity among workers. Advocates emphasize that unity among various sectors of labor is essential to challenge the government’s policies that undermine workers’ rights. By coming together, workers can amplify their voices and demands for better wages, job security, and safe working conditions. The solidarity shown in protests and gatherings reflects a shared commitment to fight for labor rights and social justice.

Atty. Luke Espiritu expressed a strong disapproval of the current administration’s performance regarding workers’ issues, labeling it as a failure. He highlighted the need for workers to unite and fight for their rights, asserting that liberation for workers is synonymous with liberation for society as a whole. Sister Ma. Lisa Ruedas emphasized the role of faith communities in supporting workers’ rights and the importance of hope and collective strength in the ongoing struggle for justice. She encouraged continued solidarity among workers and advocates, reinforcing that they are not alone in their fight.

As we reflect on the testimonies shared, it is clear that the fight for workers’ rights is not just a singular battle but a collective movement that encompasses various sectors and communities. We must recognize the importance of solidarity among workers, as well as the support from various organizations and religious sectors, in advocating for better working conditions and fair treatment. The call for action against policies that threaten job security and the livelihoods of many is more urgent than ever. As we move forward, let us remain hopeful and committed to our cause, knowing that together, we can challenge the status quo and strive for a more equitable society for all workers. Our unity is our strength, and through continued advocacy and collective action, we can pave the way for a brighter future. 

 

About the author: 
Mark Darwin Santos is taking up Bachelor of Arts in Philippine Studies at the Polytechnic University of the Philippines. He is passionate about understanding and investigating the concrete conditions of the Filipino workers.

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