Employers group: Simplify requirements for pay hike order exemption

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Metro Manila (CNN Philippines, May 17) — The Employers Confederation of the Philippines suggested on Tuesday that requirements for minimum wage increase exemption be simplified.

Citing previous instances, Employers Confederation of the Philippines (ECOP) President Sergio Ortiz-Luis said small business owners are not applying for exemption because it only lasts for a year and due to complicated requirements.

Maraming requirements. [There are a lot of requirements.] You have to prove you’re in distress. Some of them, to be able to do that, alam mo naman understaffed ‘yang maliliit [small businesses are understaffed], you have to get an accountant or a lawyer. Some of them might not even bother. Hindi na lang nila susundin. Dapat sana simplify na lang [They will opt not to comply. It should be simplified],” Ortiz-Luis said in a public briefing.

On Monday, the Labor Department said micro enterprises with 10 employees or less as well as big enterprises hit by calamities may apply for an exemption to the wage hike.

READ: DOLE chief says micro businesses may apply for pay hike order exemption

Yung requirements (para sa) malalaking kumpanya, mabigat din eh. Ipu-prove mo yung distress, (papakita ‘yung) financial statements mo. So merong hindi mag-aapply,” the ECOP President said.

[The requirements for exemption for big companies are difficult to comply with. You have to prove you’re in distress, present your financial statements. So there are some who choose not to apply.]