Another PTGWO seminar has been conducted before the end of the year 2015,

The Largest Labor Federation in the country, in cooperation with the Bureau of Labor Relation – Department of Labor and Employment (BLR-DOLE), under the Workers Organizational Development Program (WODP). The seminar was held at the Marco Polo Function Room, El Cielito Inn, Baguio City Benguet last November 26-28, 2015. 

Bro. Darius Guerrero, from PTGWO, facilitated the program and lead the participants to prayer and singing of the national anthem. Thereafter, Atty. Hernan Nicdao, National Secretary, gave his opening remarks. He said that the Organization (PTGWO) deemed it important for trade union and labor organizations to come together regardless of affiliation and discuss very urgent issues that will have an impact on the workers. 

He expected that, after the seminar, the participant shall be able to analyze the global and national trends as they impact on the minimum wage earners, to understand the concept of minimum wages and the necessity of representing their own interests through the formation of their own organization, to assimilate leadership concept an skills from situations intended to enhance capacities for organizational management and development, and to develop action plans or the organization of minimum wage earners at a national level.

Advocating for Living Wage: Law and Principles by Ms. Iza M. Anchustegui (Chef, Wage and Policy Research, National Wage and Productivity Commission – Department of Labor and Employment)

Ms. Iza Anchustegui discusses the laws and practices covering the minimum wage system in the Philippines. One of the law is the Republic Act  6727 (RA 6727) which set minimum wage and promote productivity imporvement to ensure workers’ share in the fruits of production and allow business reasonable returns on investment for expansion and growth.

Policy Framework:

• Protect poor and vulnerable workers
• Balance between needs of workers and families with employers’ capacity to pay within requirements of social and economic development
• In term of Collective Bargaining, primary mode for setting wages and other terms and conditions of employment
• Predictable, Regular and moderate adjustments

The National Wage and Productivity Commission:

• Advisory and consultatie body to the President and Congress
• Policies and guidelines on wages, incomes and productivity
• Technical and administrative supervision over the Regional Boards

The Regional Tripartite Wage and Productivity Board:

• Set regional minimum wages in accordance with guidelines
• Develop plans, programs and projects relative to wages, incomes and productivity improvement for their respective regions. 

Criteria:

• Demand for living wages
• Wage adjustment vis-a-vis the consumer price index
• Cost of living and changes or increases therein
• Needs of workers and their families
• Need to induce industries to invest in the coutryside
• Imporvements in standards of living
• Prevailing wage levels
• Fair return of the capital invested and capacity to pay of employers
• Effects on employment generation and family income
• Equitable distribution of income and wealth along the imperatives of economic and social development

 Two-Tiered Wage System:

Objectives:

1.Define the policy space for the minimum wage setting

• Help Workers and their families meet basic needs
• Encourage unionsim and collective bargaining

2.Promote productivity and gainsharing

• Support of the social justice provisions of the Constitution

Minimum Wage – Tier 1:

• Lowest allowable wage in a region/industry/sector
• Protect vulnerable workers from undue few wages
• Mandatory wage orders
• Above poverty treshold but not exceed average wage

CRITERIA	INDICATOR
Needs of workers and their families	Poverty Threshold
Employers’ capacity to pay	Average Wage
Requirements for socioeconomic development	CPI, labor force statistics, Gross Regional Domestic Products, etc.

Number of Wage Orders Issued: (285 Wage Orders issued from 1990-2015)

REGION	NCR	CAR	I	II	III	IV-A	IV-B	V	VVI	VII	VIII	IX	X	XI	XII	XIII	ARMM	TOTAL
By Virtue of Petitions	10	7	6	8	9	5	4	5	16	15	3	5	10	7	2	6	3	121
Motu Proprio	9	10	11	8	9	11	3	11	6	4	15	13	8	11	16	7	12	164
Total	19	17	17	16	18	16	7	16	22	19	18	18	18	18	18	13	15	285

Amounts of Minimum Wage Increase: (1989 – 2015)

• NCR : 481 (392 increased)
• CAR : 285 (196 increased)
• I : 253 (164 increased)
• II : 255 (166 increased)
• III : 349 (260 increased)
• IV-A: 362.5 (273.5 increased)
• IV-B : 285 (191 increased)
• V : 260 (171increased)
• VI : 298.5 (209.5 increased)
• VII : 353 (264increased)
• VIII : 260 (171 increased)
• IX : 280 (191 increased)
• X : 318 (229 increased)
• XI : 317 (228 increased)
• XII : 275 (186 increased)
• XIII : 268 (179 increased)
• ARMM : 161 (250 increased)

Productivity-bases Pay – Tier 2

• Voluntary Productivity incentive scheme
• RTWPBs issued advisories to guide enterprises in implementing productivty scheme: Region-wide and Industry specific
• Promote fair and reasonable sharing of gains based on improvements in productivity/performance
• Encourage participation of both workers and management in the design and implementation of productivity incentive scheme
• Tap existing labor-management structure/body or create new one
• Committee to decide on performance criteria, standards, targets, measurements, coverage, sharing scheme, frequency/schedule of distribution of incentives/bonus etc. 

Environmental Analysis by Mr, Alex S. Morillo (Executive Assistant IV, Office of the Secretary-Dpeartment of Labor and Employment)

Mr. Morillo first discussed the historical development of the statutory minimum wage that on April 6, 1951 the first Minimum Wage Law, otherwise known as Republic Act 602, was enacted to set the minimum wage at Four Pesos (Php 4.00) a day for non-agricultural and Two Pesos (Php 2.00) for agricultural workers. thereafter, minimum wage increases at the national level were promulgated through various issuances such  as Presidential Decrees, Wage Orders, Executive Orders and other Republic Acts and through various wage fixing machineries. Wage increases were granted either in the form of basic wage of cost-of-living allowances.

Statutory Minimum Wage is the lowest wage fised by the law that an employer can pay his workers. The purpose of the law are;

1.    to establish statutory wage rates in the various sectors of employment.

2.    To provide for the protection of wages owing to employees, thru safeguards against deprivation, diminution or restraints on disposition.

3.    To provide for machinery to improve wage level by prescribing minimum wage rates for particular industries above the statutory minimum rates fixed by law, on the basis of an investigation of the living conditions of the employees affected and other factors.

Factors considered in determining a minimum wage (Art. 123, PD 442 as amended):

1.    Cost of Living

2.    Comparable wages and other incomes in the economy

3.    Fair return of the capital invested

4.    Imperatives of economic and social development

5.    Basic and rationale behind minimum wage since 1951 and aggressively pursued by President Marcos since 1975 and followed through to the present administration.

RATIONALE FOR MINIMUM WAGE LEGISLATION:

Minimum Wage legislation is a social legislation designed principally for the protection of the lower-paid earners directly setting a floor wage below which their remuneration cannot fall. Minimum wage legislation is not intended to raise the salary scale of all workers/employees. It is intended to raise the standards of competition among employers since minimum wage law protects fair-minded employers for unscrupulous competition who operate their business at lower costs by paying workers below subsistence levels. These employers should not continue to operate their business unless they improve their operation to enable them to pay a legally prescribed minimum wage.

More importantly, the setting of an adequate minimum wage is a pre-requisite for the adoption of a social security program where workers and employers contribute to a common fund to support the program. It should be borne in mind however that it is not reasonable to ask a worker to set aside money for the future when he does not have enough to buy food for today.

STRUGGLES ON MINIMUM WAGE:

Minimum wages are legislated in the Philippines and therefore heavily determined through political process. Thus, minimum wages are really political wages.

In the past, (and as of today), the determination and legislation of minimum wages are undertaken by politicians who scarcely understand the economics and the overall need for a wage policy. Labor’s position on wages is also influenced heavily by inter-union rivalry. In the Philippines, there are several national centers and federations with divergent ideas and political affiliations and beliefs. Some clamor for higher wage increases, others for more increase in social or non-wage benefits.

On July 1, 1989, Congress enacted Republic Act 6727, otherwise known as Wage Rationalization Act, and created the National Wage and Productivity Commission and the Regional Tripartite Wages and Productivity Boards. Through this Act, minimum wage determination was devolved by Congress to the Regional Boards consistent with government policy on decentralization of powers and deregulation. The Regional Boards are empowered to determine minimum wage rates applicable to their regions, provinces and industries.

With the legislation of Republic Act 6727, the government has adopted a policy of non-intervention in wage determination in the private sector. This means that government will set only the minimum floor wage and will leave anything above the prescribed minimum standard to labor-management agreement.

The current statutory daily minimum wage rate is based on a rather complicated structure. There are different rates by industrial sector, by location (outside, inside Metro Manila), and by scale of employment. The effective minimum monthly rates are also highly differentiated depending upon whether the enterprise considers holidays as part of the regular year.

            The statutory wage is a daily rate, and problems arise when monthly equivalents are computed (and also for purposes of computing overtime compensation and for implementing the “no work, no pay” rule). Thus, numerous labor disputes are triggered by the confusion in the application of the many-tiered wage structure.

            The numerous provisions for exemptions provide legal loopholes to employers who are preoccupied with the minimization of their labor costs.

            Since the statutory rates are not across the board, distortions in the salary scale occur. As defined in the implementing rules of the wage orders, distortions mean “a situation where a legislated increase in a minimum wages results in the elimination or severe contraction of a intentional quantitative differences in wage or salary rates between and among employee groups in an establishment so as to effectively obliterate the distinctions…..based on skill, length of service, or other logical basis of differentiations”. Herein lies the limits of statutory wage fixing. Properly, the remedy should be in initiative of employers, in the practice of sound wage and salary administration.

THE INCIDENCE OF WAGE DISTORTION:

In 1989, the character of minimum wage legislation changed significantly. From a minimum daily wage of Php 8.00/day is 1975, President Marcos successively ordered increase in minimum wage in small, very insignificant amounts ranging from Php 2.00/day to Php 8.00/day, in most instances directing payment of the increases partly in cost of living allowance (COLA) and in the latter years, ordered the integration of the increases to base pay. Note that between 1965 to 1985 (Marcos Regime), President Marcos increased the minimum wage from Php 8.00/day to Php 54.00/day or an increase of Php 46.00 for a period of 20 years.

Observe that President Cory Aquino increased the minimum wage by Php 64.00 within a period of a little over 3 years (December 1987-January 1991). The incidence of wage distortion cases surfaced in June 1989 when the law (RA 6727, Wage Rationalization Act) not only increased the minimum wage  by php 25.00/day (from Php 64.00/day to Php 89.00/day)and set a “ceiling” mandating that employees receiving Php 100.00/day or less were to receive full the same increase. This twin moves wrought havoc in the wage structure within companies, causing severe compression of the wages all the way up to salaries of employees in supervisory/lower management levels.

This is not, however, to say that the policy was wrong – the economic reality is that even the minimum wage is not sufficient to provide a decent standard of living, and therefore the imposition of the “ceiling” was intended to broaden the benefits deprived from the mandatory increases. This policy was therefore a compromise between having limited and minimal benefits of a pure minimum wage increase on the one hand and runaway inflation resulting from a general salary increase on the other hand.

From this historical perspective, therefore, we see this problem of wage distortion as an unwanted but unavoidable evil of the new minimum wage policy. Many individual practices and jurisprudence have withstood the test of changing times. In view of the attempts of the government not only to help lower-paid employees and also to allow more of the wage earners to benefit in the process, it is imperative for us to modify previous thinking in wage legislation so as to attain some way objectives set by the political leadership in helping more of their countrymen.

The law thus provide for the eventual distortions in wage structures as follows:

            ART. 124 – Standards/Criteria for Minimum Wage Fixing. –

                      x x x                x x x                x x x               

Where the application of any prescribed wage increase by virtue of the law or wage order issued by any Regional Board results in distortions of the wage structure within an establishment, the employer and the union shall negotiate to correct distortions. x x x

                                                x x x                x x x                x x x

As used herein, a wage distortion shall mean a situation where an increase in prescribed wage rates results in the elimination or severe contraction of intentional quantitative differences in wage or salary rates between and among employee groups in an establishment as to effectively obliterate the distinctions embodied in such wage structure based on skills, length of service, or other logical bases of differentiation.

x x x                x x x                x x x

            The law is deliberately vague when it suggests the correction upon the occurrence of wage distortion. The reason is simply that the nature and extent of the distortion or disruption will differ from one company to another such that setting specific guidelines or fixed criteria will be impossible. It is thus left to the parties and, when necessary, to the voluntary arbitrator, to correct the distortion. The objective, if one is to go by the definition of “wage distortion” under Article 124 is to restore or at least approximate the quantitative differences in salary based on types and levels of skills, years of service, geographical situs of work, relative rarity of particular skills, educational attainment, and other similar “logical bases of differentiation.”

           Necessarily therefore, the different approaches to correcting wage distortion will be just as varied. However, we may be able to identify broad strategies for addressing the problem, modifying the approaches as the specific needs and circumstances of the employees in a company being considered.

            On the occurrence of a clear wage distortion as contemplated by the law and in past decisions of voluntary arbitrators, the varying approaches are presented for purposes of discussion. Mr. Morillo presented the different suggestion of alternative approaches in dispute resolution.

APPROACHES

I.               ADJUST PAY

1.    Grant  Across-The-Board

a)    P

b)   %

2.    Grant graduated amount/percentage

a)    P

b)   %

3.    Combination of 1 and 2

II.              REBRACKET PAY LEVELS

For those above the ceiling, grant Temporary Realignment Allowance (TRA). After JE, integrate TRA to new pay scale.

III.            TEMPORIZE

Grant TRA

–       until next CBA

–       Merit Increase

–       Next government Wage Order

Wage Order No. NCR-03 for the NCR and the corresponding wage orders in the various regions providing for an increase (for Metro Manila) the amount of Php 27.00/day, or Php 706.50/month, will certainly create some problems for many companies.

THE CONSTITUTIONAL MANDATE FOR THE LIVING WAGE:

            The 1987 Philippine Constitution states that “ …The Sate shall afford full protection to labor …xxx… It shall guarantee the rights of all workers … xxx … (who shall be entitled to) … a living wage.”

            The intention of the Constitution is clearly to provide a basis for an adequate and decent standard of living for the worker households.

            The standard of living of the worker-household consists of the consumption basket of goods and services providing nutritional, shelter, health and educational requirements for the adequate maintenance of the family. The standard of living therefore has the most significance for the reproduction and welfare of society as a whole. As such, it is a primary indicator of the national well-being.

            The standard of living would therefore be equivalent to the living wage in the sense that both would represent the minimum budget perceived by the worker household as necessary for them to live adequately and be productive. It should be the amount of the remuneration, both in cash and in kind, that would be sufficient to maintain a worker’s household of average size, in order for th breadwinner to be productive at the workplace.

            The living wage however is currently not an operational concept in the Philippines system of wage determination. One of the primary reasons is that the measurement of what constitutes an adequate, decent living standard has not been officially mandated, although there have been efforts to establish a relationship between the “living wage” and the “cost of living”, especially since the later concept is established in statutory wage fixing.

            The concept of the living wage could be operationalized. It could be derived from the standard of living worker households, indicating their expenditures for the various necessities. It is the amount of remuneration, both in cash and in kind, that would be sufficient to maintain the current needs of an average household. Such amount represents the living standard of the worker household at a given time, necessary to reproduce himself, and the social reproduction of his household, for the next production period.

            The greater challenged the labor force must struggle to face now is to defend their constitutional and statutory rights – towards the formation or consolidation of a one big union. If the workers will have one voice and once action, they will be able to put in place into the political arena friends of labor, who will defend their rights to a decent wag, dignity of labor and quality of life. This is now the beginning of the formation of a Workers Labor Party in the Philippines.

            If formation of one big union, however, is impossible, then the labor groups, in their capacity to unite on common issues, must continue to lobby the Congress and Senate and put pressure on pro-worker bills to be signed into laws, most specifically the wage bills. In the Philippines, there are appointive sectoral labor representatives a.k.a. as congressman. The labor groups must put pressure on these appointed sectorial labor representatives to fight for the protection of the rights of workers under the law through formulation of pro-labor bills/laws and repeal of laws that are anti-union and anti-workers.

Workshop: Organizational Analysis and Identifying Strategic Options by Mr. Jorge Azuelo IndustriALL:

Mr. Azuelo emphasized the study of living wage, according to him, living wage is referred as the wage that an individual adult worker should earn within a 48-hour work week to provide for the family’s basic needs with 10% discretionary income to enable the family to maintain a decent standard of living. The essence of this definition is that every worker should be entitled to full-time work (8 hours per day x 6 days work per week) and earn income sufficient to provide frugal comfort and decent human existence for his/her family. Decent living guarantees the family’s capacity not only to have food on the table for all members but quality family diet that ensures nutritional sufficiency for energy, protein and vitamins and minerals. It should also provide for some savings for future needs.

            The 10% discretionary income is an allowance needed to cover other disbursements for “investments, purchase/amortization of real property, payment of cash loans, purchase of investments as well as savings deposits in the bank”, which was about ten percent (10%) of the disbursements. Discretionary income also covers expenses for leisure and recreation as well as payment for the premium contributions in the Social Security System, Philhealth, Pag-Ibig and other insurances.

HOW TO COMPUTE THE LIVING WAGE?

The ITGLWF-Philippines Council has developed a formula in computing the living wage. The value of living wage is equal to the estimated cost of decent family living, plus 10% of its value, divided with the number of wage earners in the family. Estimate for the cost of family living should be based on current prices.

Family Basket of Needs and Cost of Living:

The basket of needs consists of:

·                  Food consumption

·                        Non-food consumption

·                        Occupational or work-related expenses

·                        Other necessities

Food items covered consumptions for at least three (3) meal and a snack per day:

o   Meat, fish and poultry

o   Grains and bread

o   Dairy products and beverages

o   Vegetables

o   Condiments

o   Fruits

o   Oil, fats and sweets

o   Food supplements

Non-food items included;

v Personal care products

v Laundry detergents

v Toiletries

v Others

Occupational or work-related needs are the requirements in engaging work or accessing their means of living such as:

Ø  Transportation

Ø  Board and lodging

Ø  Meals, snacks or baon, not included in regular family meals budget

Other necessities:

§  Housing and rental needs

§  School/education costs

§  Healthcare/medical costs

§  Water

§  Gas

§  Electricity

§  Communication

§  Transportation vehicle

§  Household furnishing and equipment

§  Clothing

THE NWPC STUDY ON LIVING WAGE:

–       The living wage computation was based on regional condition

–       Reference family based on actual data of 1994 FIES

–       Family model was “the 6^th decile group of families solely dependent on wage and salary and classified as non-poor based on NSCB standards for poverty  threshold.

–       A non-poor family means that the family’s income is equal to or above the line/poverty threshold.

–       Although the national average was a family of five, the family of six (6) was used to avoid underestimation of the living wage.

–       The equivalent daily living wage per worker was based on the average number of wage earners per family. 

–       Findings: Data on regional minimum wage rates in 1997 show that all regions, except Region VII, would require more than one minimum wage earner for a household to earn a living wage.

–       Findings: “there appeared to be some sort of established relationship between poverty threshold and living wage.” 

–       Findings: Living wage estimates were found to be higher than the poverty threshold.

–       Conclusion: Living wage may be established by pegging it at a certain percentage above the poverty threshold.

FOOD POVERTY LINE OR FOOD TRESHOLD MODEL by the Food and Nutrition Research Institute-DOST:

Ø  Food Consumption Survey Data provides the basis for food poverty line of food threshold

Ø  Food poverty line or food threshold is the estimate of minimum income below which is a person cannot his food needs.

Ø  Food poverty line or food threshold is determined based on low-cost menu that satisfies 100% of the recommend Dietary Allowances (RDA) for energy and protein and at least 80% RDA for other nutrients for a person performing average activities.

TOWARDS OPERATIONALIZING THE LIVIGE WAGE by Dean Maragtas S.V. AMANTE OF UP-SOLAIR:

    A progressive wage policy is regarded as one of the most important factors in economic development where equity and growth are considered desirable goals.

    Observation: much still remains to be done for wage policy in the country to approximate the constitutional mandate for the institution of living wage standards.

    Observation: The government has practically adopted a non-interventionist stance on wage determination in the private sector with willingness to provide only the “minimum or floor wage and will leave anything above the prescribed minimum standard to labor management agreement.”

    Observation: Development policy-makers’ propensity to use the minimalist or the “basic needs approach” which utilizes the poverty threshold as basis not only in wage setting but also in crafting the welfare policies of the government.

    Critique: the problem with the poverty threshold framework is that it often tends to “equate the need to maintain worker’s productive capacity with the minimum thresholds for survival”.

    Suggestion: Official policy on wage determination must now fully abandon the minimalist approach in setting wage guidelines. 

    Suggestion: In accordance with the constitutional mandate, official policy insofar as wage determination is concerned, should now be based upon living wage standards.

    Suggestion: The policy of non-intervention in wage determination in the private sector should be reviewed.

    Suggestion: The mechanisms and institutions of labor relations should be freed of needless constraints in order for the right to collective bargaining to function fully. 

    Suggestion: The government bureaucracy itself could be an major instrument to realize the constitutional mandate for the living wage. Public sector unions must demand that the government be a model employer, and lead in the implementation of the living wage.

    Suggestion: The government may program a movement in salary structure within a given timeframe to assume living wage standards among government employees.

    Suggestion: Link living wage standard and “social wage” to fill the gap in living wage standards.

    Suggestion: A study must be undertaken in order to account for the government subsidies in social services whether they trickle down into the household income as part of the standard of living.

    Suggestion: For employers, the living wage approach could be a framework for integrating various compensation policies into a package to promote productivity and efficiency in the workforce.

    Suggestion: If the general policy is to raise the living standard of the population, then the emphasis of promoting small and medium-scale enterprises (where workers in the lower ranges of living standards belong) must be reviewed with respect to social welfare goals.

The stark reality of huge inequality in family income:

·      The income of the richest 10% of the Filipino families in 2006 accounted for 36.0% of the total income of the country

·      Their income is even higher than the combined income of the lowest 60% of the families

·      Their income is also 19 times that of the poorest 10% of families and 260% higher than the national average

·      The highest 30% income group enjoy a double-digit savings while the lowest 30% have up to 10% income deficit.

·      Their savings is 10.2 times that of the combined savings of the lowest 70% income groups.

·      The Gini coefficient or the measure of income equality within a population was estimated at 0.4580 in 2006.

·      This figure is slightly lower than the 2003 ratio of 0.4605.

0 Gini coefficient = perfect income equality among families

1 Gini coefficient = absolute income inequality

The constitution mandates that “The Filipino workers and their families should not be in a situation where they have to choose between buying food or medicine nor between sending children to school or spending first family healthcare”. Evasion from this constitutionally mandated responsibility has unnecessarily burdened the State in fending off the social costs of poverty and gaping social inequities.

By products of poverty and inequality:

–       Insurgencies

–       Industrial disputes

–       Peace and order problems

–       Other social issues such as drugs, family distinctions, etc.

The larger majority of the Filipino populations are practically deprived of their right to meaningfully participate in development of which is not only unjust but also deleterious to the peace and security situation in the country.

This is one of the reasons why the Philippines has the longest running insurgencies in Asia. If not, the whole world.

FINDINGS AND INTERPRETATION:

A.   Initial

o   The low-wage situation at work results to austere spending and poor savings capacity of the family.

o   Budgeting for 83.3% of the sample families appears to be exceptionally tight.

o   Very little or no budget was reported to other household necessities

o   Workers and their families tend to instinctively cope with financial limited by optimizing spending or by shifting the order of priorities even sacrificing some of the most essential non-food life necessities for food.

o   There are indications that unionization is a positive factor in compliance with the legal minimum wage by employees of respondent workers.

o   Around 30% of respondents were working in unionized firms

o   It is safe to infer that 72 % incidence of underpayment among respondents may be due to the absence of unions in the said companies.

o   Almost exactly the same number of respondents (33.33%) gave credit to the union as regards the attainment of better wages.

A.   Recommendation

·      Develop a standard basket of needs for each particular size of family to have a more representative basis in computing the cost of living and the living wage

·      Initiate more consultations among social partners under the auspices of NWPC-DOLE to have a levelling-off on the definition of living wage with the end in view of developing a standard method of computation

·      Encourage more tripartite collaboration on periodic industry wage studies

·      Regionalize or nationalize living wage

·      Periodically review and adjust the living wage figure according to the changes in the cost of living of a particular area or region

·      Conduct deeper study on the impact of implementing living wage in the cost of business in different industries

·      Study the roles and impact of state-initiated social protection programs on family income and expenditures including direct cash transfers;

·      Pursue study on the feasibility of spearheading the implementation of regional, and possibly a national, living wage in the government sector; and

·      For the trade union movement to get its acts together and take the lead in setting the common ground on the issue of living wage upon which various stakeholders may sign up for support.

Minimum Wage Calculator Sample form:

Structured Learning Exercise 1:

PAANO TINATANTIYA ANG LIVING WAGE?

Mga Pangangailangan	Gastusin bawat tao	Bilang ng miyembro ng pamilya	Kabuuhang Halaga
I.       PAGKAIN
1.
2.
SUMA NG HALAGA

II.     MGA GASTUSIN SA TAHANAN MALIBAN SA PAGKAIN	Gastusin bawat tao	Bilang ng miyembro ng pamilya	Kabuuhang Halaga
1.
2.

III.   MGA GASTUSIN SA PAGHAHANAP-BUHAY	Gastusin bawat tao	Bilang ng miyembro ng pamilya	Kabuuhang Halaga
1.
2.
SUMA NG HALAGA

IV.    IBA PANG PANGUNAHING PANGANGAILANGAN	Gastusin bawat tao	Bilang ng miyembro ng pamilya	Kabuuhang Halaga
1.
2.
SUMA NG HALAGA

A.     KABUUHANG HALAGA NG MGA GASTUSIN SA ISANG BUWAN [Suma ng I, II, III at IV]
B.     KABUUHANG HALAGA NG MGA GASTUSIN + 10% ALLOWANCE [ (Suma ng I, II, III at IV) x 1.1 ]
C.     BUWANANG LIVING WAGE [ (B.) ÷ BILANG NG NAGHAHANAPBUHAY NA MIYEMBRO NG PAMILYA]
D.     ARAWANG LIVING WAGE (BUWANANG  LIVING WAGE (C.)   x 12 ÷ 313)

CLOSING:

Before Atty. Hernan Nicdao, National Secretary, office