Labor groups fault Philippine govt’s patchwork response to energy crunch

By Erika Mae P. Sinaking, Reporter

LABOR LEADERS warned that the government’s response to the energy crisis remains fragmented and leaves working households exposed, citing heavy reliance on cash aid without a consolidated plan to protect wages, jobs and purchasing power.

“I have yet to hear any comprehensive government plan on how to respond to this multiple crisis,” Josua T. Mata, secretary general of Sentro ng mga Nagkakaisa at Progresibong Manggagawa, told BusinessWorld via teleconference last week. “By the time they gave this money, the transport workers have already subsidized the whole society’s oil price hike.”

Mr. Mata said assistance has been uneven and slow, with food delivery and parcel riders excluded from key programs and many eligible workers facing hurdles in accessing support. Cash aid helps absorb shocks, he said, but does not address income erosion as fuel costs lift food, rent and transport expenses.

Labor groups are pushing for a multi‑sector summit to forge a unified response that includes farmers, fisherfolk and transport workers.

Mr. Mata said the crisis should trigger overdue reforms, including a review of the Oil Deregulation Law and the Electric Power Industry Reform Act, after decades of limited state capacity to manage price shocks and supply risks. He also cited the country’s lack of strategic oil stockpiles comparable to regional peers.

Debate has also sharpened over fiscal choices. Mr. Mata warned against suspending fuel excise taxes, arguing the move would sap public revenue with limited relief. He instead backed a wealth tax targeted at billionaires to fund broader protection for workers and stabilize essential services.

Jose Sonny G. Matula, president of the Federation of Free Workers and chairman of the Nagkaisa Labor Coalition, said the most glaring gap is the absence of direct wage protection for minimum earners and the lower‑middle class.

“The biggest thing missing in the government’s response is this: there is still no direct wage protection for minimum wage earners and the lower middle class,” he said in a Viber message.

He said the P5,000 cash aid for transport workers and the Labor department’s P1.2‑billion standby fund provide short‑term relief but miss the broader workforce that commutes daily, pays rent and lives on fixed wages. He described emergency frameworks and committees as insufficient substitutes for income measures that reach households.

Fuel costs have climbed amid geopolitical tensions tied to the war involving the US and Israel against Iran, raising transport fares and food prices.

The government has rolled out transport‑focused measures that include direct assistance, fare stabilization and operational support, while placing the country under a one‑year energy emergency.

Labor leaders said negative income pressures would deepen without wage adjustments, as inflation risks compound household strain. They urged the administration to convene employers, unions, transport groups and civil society to align relief with longer‑term safeguards.

Akbayan Partylist added to the calls last week, urging President Ferdinand R. Marcos, Jr. to expand national service contracting so public utility jeepney drivers receive fixed salaries and commuters ride free. Party leader Rafaela David said a nationwide rollout could build on local government pilots, stabilize driver income by moving away from boundary systems, and cushion commuters from fuel volatility.