Hotel group bucks legislated wage increase

MANILA, Philippines — The proposed legislated wage increase would hurt the tourism industry, particularly hotels still grappling with the effects of strict pandemic restrictions enforced four years ago, a business group declared.

The Philippine Hotel Owners Association (PHOA), representing 206 hotels across the country, “has expressed its opposition to the proposed legislated daily wage hike currently being deliberated upon in the House of Representatives.”

PHOA president Arthur Lopez has written to Speaker Martin Romualdez, saying that while the group “acknowledges the importance of improving the welfare of workers,” the industry remains in “a fragile state in the aftermath of the COVID-19 pandemic.”

“The industry is still grappling with low tourist arrivals, decreased room occupancy rates and subdued revenue generation compared to pre-pandemic levels. What is needed is a strategic and sustainable approach to economic recovery,” Lopez said.

“There is a need for more comprehensive initiatives encompassing education, training and business environment improvements to foster long-term growth and job creation,” he added.

He also urged the government to let the regional tripartite wages and productivity boards decide on any adjustment of wages.

The Department of Tourism has yet to respond to The STAR’s request for comment.