Thursday, June 7, 2018

P1,300 daily, P39K monthly needed to live decently—labor group study



A cost of living survey by the labor group Partido Manggagawa (PM) found that a family of five in the National Capital Region needs P1,300 daily or P39,000 monthly to live decently as of May 2018.

PM’s cost of living estimate is in stark contrast to the “hypothetical scenario” of the National Economic and Development Authority (NEDA) of a P10,000 monthly budget for a family of five.

“NEDA’s assessment is utterly erroneous. Just to cite one flaw. NEDA alleges that P959 out of the P10,000 is allotted for rice. Such a budget can only buy 30 kilos of P32 NFA rice—which is hard to find in the market—for one month or 1 kilo per day to be shared by 5 people. This translates to just one cup (200g) per person per day or around 250 calories, far below the recommended daily calorie intake of 1,500-2,000. P10,000 means malnourished and stunted workers and children,” explained Rene Magtubo, PM national chair.

In PM’s own study, P3,150 monthly are needed to buy daily 2.5 kilos of the cheapest commercial rice at P42. Of the P39,000 monthly budget, 44% is earmarked for food and 56% for non-food items. Utilities like electricity, water and cooking gas make up 8%, house rent 15%, transportation expenses 11% and education needs 13% of the total budget.

“Our cost of living study is in fact an underestimation as it does not provide for leisure and recreation, savings or social security which should comprise 10% as a standard or for a house help which is a necessity if the government insists that both parents must work to sustain the family,” Magtubo averred.

PM is calling for a substantial wage hike and national minimum wage as promised by President Rodrigo Duterte. The group is supporting pending bills calling for a national minimum wage of P750 to P800.

Magtubo insisted that “The focus now is on worsening inflation that has eroded workers nominal wages. But hardly noticed is growing inequality due to the stagnation of real wages while productivity is booming. From 2001 to 2016, labor productivity grew by at least 50 percent, yet the real wages did not grow at all. Workers have been denied their fair share in the fruits of production.” 





Cost of Living Estimate
for a family of 5 living in NCR (May 2018)


Items

Volume/Cost
Daily
Cost
Monthly
Cost
%
share
Food & Beverages


17,446.50
44.33
rice
2.5kg/day x P42 (sinandomeng)
105
3,150

ulam & gulay
3 servings (P82/pax/day x 5 pax)
410
12,300

seasoning
2kg onion (P97/kilo),
1kg garlic (P110/kilo)
10.13
304

fruits
4kg  x P60 (banana)
8
240

cooking oil
2 liters x P106
7.07
212

sugar
2kg x P56.25
3.75
112.5

soy sauce
1 liter P42
1.40
42

vinegar
1 liter P34.50
1.15
34.50

fish sauce
1 liter P53
1.77
53

coffee
2 (100g) x P76.25
5.08
152.50

milk
3 (900g) x P282
28.20
846

Utilities


3,358
8.53
electricity
200kwh (P10.90/kwh)
72.67
2,180

water
20cu.m. (P23.95/cu.m)
15.97
479

LPG
1 cylinder
23.30
699

House rental


6,000
15.25

1 month rent
200
6,000

Toiletries


1,027.05
2.61
soap
6 bars (135g) x P40.50
8.10
243

shampoo
2 (180ml ) x P101.90
6.79
203.80

sanitary napkins
3 (packs of 8) x P42.75
4.28
128.25

toothpaste
2 (150ml) x P77.50
5.17
155

laundry soap
24 (70g pack) x P5.50
4.40
132

deodorant
2 (40ml) x P82.50
         5.50
165

Education


5,170.83
13.14
miscellaneous fees
3 pax x P750 = P2250/schoolyear
6.25
187.50

school allowance
100 x 2 pax & 50 x 1 pax/day x 22 days x 10 months = P55,000/yr

152.78

4583.33

theatre tickets
1 ticket x P200/grading x 4 periods x 3 pax/schoolyear = P2,400
6.67
200


school projects
2 subjects x P100
/grading x 4 periods x 3 pax = P2,400/schoolyear

6.67

200

Health


450
1.14
ascorbic acid
5 (1 tablet ascorbic acid generic) X P3
15
              450

Communications


1,500
3.81
phone or cellphone
at least P25/day load x 2
50
1,500

Transpo expenses


4,400
11.18
fare to and from work
2 pax x P100/day x 22days
146.67
4,400

Total

P1,311.77
P39,352.38


NOTES:

1.     Family is composed of a couple with 3 children. Children are all in public schools (2 HS level and 1 elementary), school supplies, work books expenses, internet use for research are not yet included
2.     Basket does not include bill for a house-help
3.     Utilities such as electricity and water vary from time to time depending on consumption
4.     No item for leisure/recreation
5.     Health budget does not include medical expenses
6.     No budget allotted for savings.  NWPC basket provides 10% of the total

June 7, 2018

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