DEBATE

TOPIC: The government should raise the minimum wage.

INTRODUCTION:

Affirming Salary Wage Increase

Pandemic had a great impact on the economic growth of every country. Our country,
the Philippines, slowly recovering from the aftermath of the Covid 19 situation. However,
developing countries like us, could not sustain the continuous inflation. We are up to
6.6% for this year. Meaning too much demand has been set by consumers but less
supply from the different producing sectors. Thus, making commodities such as oil, rice,
sugar, etc to increase its prices. There is a domino effect of inflation rate to our society.
If the prices of the basic commodities increase, the purchasing power of each consumer
slowly decreases because of low income. A consumer cannot sustain his needs neither
their wants because he has nothing left in his pocket. Because his salary is just right to
feed his family.

Our group is rooting for an increase in salary wages. Why?

Increasing the minimum wage is expected to lift individuals out of poverty and improve
work ethics. Moreover, an individual may be able to sustain his needs - he can put food
in his family's table everyday. Increasing salary wage will have a great impact
economically but also individually. An individual may be able to buy not only his needs
but also his wants. He will be able to sustain his right to live in an inflationary
environment. As a matter of fact, for this year, the Regional Tripartite Commission of
Calabarzon Region has approved the increase in minimum wage from 470 pesos to 520
pesos per day for non-agricultural sector and 429 pesos to 479 pesos for agricultural
sector. This has been implemented last Sept 2023.

Having said that, we, as a group, stand to agree on the minimum wage increase.
POINTS FOR DISCUSSION/KEY POINTS:

KEY POINT NO. 1

There are several positive arguments for the government raising the minimum wage.
Here are a few key points:
1. Reducing income inequality: Raising the minimum wage can help address
income inequality by ensuring that low-wage workers earn a more livable wage.
This can help narrow the wealth gap and improve social equity.
2. Poverty reduction: Increasing the minimum wage can lift many workers out of
poverty or reduce their reliance on government assistance programs. This can
lead to improved living standards and greater economic stability for individuals
and families.
3. Stimulating consumer spending: When low-wage workers earn more, they tend
to spend a larger portion of their income on goods and services. This increased
consumer spending can stimulate economic growth and benefit local businesses.
4. Boosting worker productivity and morale: Higher wages can motivate workers,
leading to increased productivity and job satisfaction. This can result in lower
turnover rates, reduced recruitment and training costs for employers, and a more
skilled and engaged workforce.
5. Decreasing income inequality's negative effects: High levels of income inequality
can have negative social consequences, such as increased crime rates, poorer
health outcomes, and reduced social mobility. Raising the minimum wage can
help mitigate these effects by providing a fairer distribution of income. It's
important to note that the impact of raising the minimum wage can vary
depending on the specific economic context and the magnitude of the increase.
Careful consideration of potential trade-offs and unintended consequences is
necessary when implementing such policies.

KEY POINT NO. 2

6. Reduced reliance on government assistance: When workers earn higher wages,
they are less likely to rely on government assistance programs such as food
stamps or Medicaid. This can lead to cost savings for the government and
taxpayers.
7. Improved worker well-being: Raising the minimum wage can improve the overall
well-being of low-wage workers. It can provide them with a greater sense of
financial security, reduce stress related to making ends meet, and improve their
overall quality of life.
8. Enhanced workforce productivity: Higher wages can incentivize workers to invest
in their skills and education, leading to a more productive workforce. This can
contribute to economic growth and competitiveness in the long run.
9. Reduced turnover and training costs: Low wages often result in high turnover
rates as workers seek better-paying opportunities. By raising the minimum wage,
employers can reduce turnover and the associated costs of recruiting, hiring, and
training new employees.
 10. Social benefits: Raising the minimum wage can have positive social effects, such
as reducing child poverty rates and improving educational outcomes for children
in low-income families. It can also contribute to a more inclusive society by
providing fair compensation for all workers. It's important to consider that there
may be potential challenges and trade-offs associated with raising the minimum
wage, such as potential job losses, increased costs for businesses, and potential
inflationary effects. Policymakers need to carefully assess these factors and
strike a balance that ensures both worker well-being and economic sustainability.

KEY POINT NO. 3

Certainly! Here are a few additional positive aspects of raising the minimum wage:
1. Health benefits: Higher wages can lead to improved health outcomes for low-
wage workers. With increased income, individuals may have better access to
healthcare, healthier food options, and improved living conditions, which can
positively impact their overall well-being.
2. Reduced income inequality's impact on social mobility: Raising the minimum
wage can help address the negative impact of income inequality on social
mobility. By providing fairer compensation, individuals from low-income
backgrounds have a better chance of improving their economic status and
achieving upward mobility.
3. Increased worker bargaining power: Raising the minimum wage can give workers
more bargaining power in negotiations with employers. This can lead to improved
working conditions, benefits, and job security, as employers may be more
inclined to attract and retain skilled workers.
4. Economic multiplier effect: When low-wage workers earn more, they tend to
spend a significant portion of their income on basic necessities. This increased
consumer spending can have a multiplier effect, stimulating demand for goods
and services, and ultimately benefiting the overall economy.
5. Enhanced social cohesion: Raising the minimum wage can contribute to a more
cohesive society by reducing income disparities and fostering a sense of
fairness. This can promote social harmony and reduce social tensions that may
arise from significant income inequality. It's important to note that while there are
many potential benefits to raising the minimum wage, it is crucial to consider the
specific economic conditions, regional disparities, and potential unintended
consequences. Policymakers should carefully evaluate the potential impacts and
design policies that strike a balance between worker well-being and economic
sustainability.
CLOSING POINT:

According to an economist, “There is no evidence that when you raised the minimum
wage, businesses go out of business, that is simply not true.”

Increasing or raising minimum wage improve the quality of life of every Filipino worker.
Increasing the minimum wage can directly enhance the quality of life for low-income
workers. It provides them with a higher income, enabling them to better meet their basic
needs such as housing, food, and healthcare. This, in turn, can contribute to overall
well-being and reduce financial stress.

It also, reduces Income Inequality. By this, raising the minimum wage is seen as a step
towards reducing income inequality. By increasing the wages of the lowest-paid
workers, the income gap between low and high-income individuals can be narrowed,
fostering a more equitable society.

Low-wage workers are more likely to spend their additional income on immediate
needs, injecting money back into the economy. This increased consumer spending can
have positive ripple effects, supporting local businesses and creating a cycle of
economic growth. Reduced Reliance on Social Services: When workers earn a higher
wage, they are less likely to rely on government assistance programs. This can lead to
cost savings for the government in the long run, as fewer individuals will need public
assistance for basic needs.

Increased Productivity and Employee Morale, meaning, Higher wages can motivate
employees, leading to increased productivity and higher job satisfaction. This can result
in a more engaged and committed workforce, benefiting both employees and
employers.

Our community attract and retain talent through salary and wage increase. Why? A
higher minimum wage can make certain industries more attractive to skilled workers,
contributing to a more competitive job market. It can also reduce turnover rates as
employees are more likely to stay in their current positions when adequately
compensated.

Lastly, it addresses inflation that we mentioned in our introduction. Inflation cannot be

controlled but to mitigate and address this issue is to increase minimum wage of each
employee specially those living in poverty line. Raising the minimum wage can help
workers keep pace with the rising cost of living. While critics argue that it may contribute
to inflation, proponents emphasize that adjusting the minimum wage is necessary to
ensure workers' purchasing power remains intact over time. Overall, supporters of a
higher minimum wage believe it is a crucial step towards creating a fairer and more
inclusive economy, with benefits extending to both individuals and society as a whole.
Other points for rebuttal (not mentioned but based on experience)

1. Both of my parents are in work force. We live based on our means. They have
been working for more than 20 years and an increase in their salaries had a
great impact not only to our family but to our means, in general.

2. As time passes, continuous increase in the prices of basic commodities will

surely affect each family especially those families living the poverty line.

3. You may say that taxes may also go up, but with the recent Train Law, there is
specific bracket based on your salary or wage. Thus, it is still fair for every
working Filipino.

4. With the inflation rate, purchasing power may go down but with an increase in
salary or wages, it will definitely go up.