Philippines faces calls for wealth tax and wage hikes amid rising inequality
Labour and rights groups in the Philippines have renewed demands for higher wages and a wealth tax on the country’s richest. The calls come as unemployment rises and the gap between earnings and living costs widens. Activists argue that extreme wealth inequality is worsening economic hardship for millions. Recent data shows the top 10% of Filipinos held around ₱40 trillion in wealth in 2022. This figure is nearly three times the combined ₱15 trillion net worth of the bottom 90%. Meanwhile, the Family Living Wage in Metro Manila has climbed to ₱1,266 per day, while the minimum wage remains stuck at ₱695.
Unemployment has also risen to 5.8%, with many new jobs being short-term, contractual, and insecure. Lidy Nacpil, coordinator of the Asian Peoples’ Movement on Debt and Development (APMDD), stated that a wealth tax could generate ₱502 billion. She argued this sum could fully fund the national health budget or address other urgent needs. Sonny Africa, executive director of Ibon Foundation, supported the proposal, estimating a potential annual revenue of ₱500-600 billion from taxing billionaires. Nacpil added that extreme wealth leads to extreme emissions, calling for polluters and the ultra-rich to be taxed instead of workers. Bishop Gerardo Alminaza urged top officials to voluntarily cut their salaries and perks amid ongoing corruption scandals. Fara Diva Gamalo, from Church People-Workers Solidarity, called for unity among workers to challenge unjust policies, including contractualisation laws and the Wage Rationalisation Act.
The push for a wealth tax and wage hikes reflects growing frustration over economic inequality. With living costs outpacing earnings and job insecurity rising, activists insist that taxing the richest could fund essential services. The proposals also aim to address systemic issues like corruption and exploitative labour laws.
