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No economic growth for workers amid new waves of job cuts, attacks on livelihood – KMU;

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Contrary to the Arroyo regime’s recent projections of a higher economic growth rate in 2010, workers expect to feel the exact opposite as new waves of retrenchment and implementation of flexible labor schemes continue to threaten the livelihood of thousands of Filipino families, according to Kilusang Mayo Uno.

Gloria Arroyo recently instructed the Development Budget Coordination Committee to look into the possibility of a four-percent growth in 2010 on the mere basis of expected higher spending due to elections.

“What kind of growth relies on mere election spending? We doubt whether such growth will ease our hungry stomachs and avert the continuing downslide of livelihood of Filipinos. It only reaffirms that economics in this land always turns a blind eye on the real picture and lasting solution,” said KMU Chairperson Elmer “Bong” Labog.

“The unabated retrenchment of thousands of workers, wage cuts, flexible labor schemes, steep commodity prices and poor spending on social services must stop this rotting regime from its excessive production of falsehoods and fantasies, he said.

KMU said the recent Social Weather Station (SWS) Survey which estimated that more than 10 percent of the population are unemployed is  a conservative count due to the artificial definition of “employed” and the failure to define the quality of domestic jobs.

Citing data from independent think-thank IBON Foundation, KMU said an overwhelming majority of new jobs created by the economy (1.3 million out of the 1.5 million new jobs) are low-paying and temporary. Regular and contractual workers, meanwhile, continue to suffer worse labor flex measures such as forced leave, reduced workhours and job rotation.

“The Arroyo regime and a host of economists cannot just “induce” us to increase consumption to supposedly contribute to economic growth. That’s a way of reaching desired growth targets that rests on blind faith in the absence of long-term solutions that will stabilize the economy,” Labog said.

He said short-term measures for achieving the growth that people desire are the creation of decent and stable jobs and higher spending on social services instead of gross spending on infrastructure projects.

“But long-term economic growth and development can only happen if there is genuine land reform combined with national industrialization. That is our only way out of this chronic and systemic crisis,” he added. #

Reference Person: 
Elmer "Bong" Labog, KMU Chairperson
Contact information: 
0929-629-3234

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