Even with a greater minimum net pay than the previous year, Filipino workers might not be able to support themselves on their earnings from employment.
This analysis was provided by Picodi Philippines, an online marketplace that specialises in food coupons and deals. It also examined changes in the minimum wage across 67 nations, price increases for staple foods in the Philippines and other nations, and the price of a “survival basket” in relation to the minimum wage.
The minimum wage has increased in most countries compared to the previous year, with the lowest wage increases going to employees in France (3.4%), Germany (2.8%), and Thailand (2.5%). In contrast, countries like Spain, Malaysia, or Vietnam are either experiencing a frozen minimum wage process or have not decided to raise their minimum pay rates at this time. These findings are based on the net wages that employees take home after taxes.
Due to the extreme inflation, Argentina and Turkey saw the largest increases in minimum wages. With a minimum net wage of ₱8,725 (US$154.85), the Philippines placed 33rd, up 8.2% over the previous year’s minimum wage of ₱8,066 (US$143.15).
The total cost of the “survival basket” at the start of 2024 is ₱5,776 (US$102.51, which is 8.9% more than the previous year) and is based on the use of a basic grocery basket that consists of eight groups of products (such as bread, milk, eggs, rice, cheese, meat, fruits, and vegetables) that make up the minimum nutrient requirements of an average adult for a month as an allegory for the basic needs of an employee.
This sum represents 66.2% of the net minimum pay as of right now, compared to 65.8% at the beginning of the previous year. This indicates that, despite the increase in the minimum salary of Filipinos, it has not been able to keep up with the rising cost of food.
