Oil price reductions should be higher

Reduction in the prices of petroleum products should be higher because of overpricing by oil companies according to the militant labor center Kilusang Mayo Uno (KMU). This is in reaction to the P1 and 0.50 cents per liter price roll back yesterday in the prices of gasoline and diesel, respectively.

"The boasted GDP expansion to 5.6% will never be felt by the ordinary Filipinos. While oil companies are amassing big profits, value of workers' peso continue to depreciate significantly as against the prices of basic commodities and services," said Joel Maglunsod, KMU Secretary General.

Independent think-tank IBON Foundation have estimated that oil companies have overpriced 83 centavos per liter from January to July 2006 alone amassing P6.05 million income everyday.

"Even the means to cook the Filipinos' staple food like noodles and sardines are priced like gold," commented Maglunsod as oil firms kept the prices of the socially-sensitive liquefied petroleum gas (LPG) at current levels.

The labor leader also cited the study by the International Labor Organization (ILO) which exposed the dire situations of workers in the Philippines and Asia. Based on the study, underemployment, insecurity and other poor working conditions continue to haunt Asia despite economic growth due to the fact that workers did not earn enough to lift themselves and their families above the $2-a-day poverty line.

"In our country, the passage of the P125 wage hike bill remains a demand and dream for workers in the private sector as apathy and sheer callousness is displayed by the Arroyo government. Ironically, it pushed for a meager P25 wage hike in the NCR and increases of cost of living allowances in other regions which are insignificant compared to the continuing oil price hikes and overpricing of oil companies. GMA is happy over the GDP statistics which for ordinary Filipinos cannot be sautéed or boiled to feed our children," ended Maglunsod.