THE Regional Tripartite Wages and Productivity Board (RTWPB) – National Capital Region (NCR) has approved a P40 pay increase for all minimum wage earners in Metro Manila.
In a phone interview, RTWPB-NCR Chairperson Atty. Sarah Buena Mirasol said Wage Order No. NCR-24 was approved last June 26 and will take effect on July 16.
“There is a new wage order, NCR-24, increasing the minimum wage to P610 for the non-agriculture sector and P573 for agriculture, service and retail establishments employing 15 or fewer workers, and manufacturing establishments employing less than 10 workers,” Mirasol said.
There was no immediate reaction from workers’ groups seeking a wage increase.
Currently, the minimum wage rate for the non-agriculture sector in Metro Manila is P570.
On the other hand, the floor wage for agriculture, service and retail establishments employing 15 or fewer workers, and manufacturing establishments employing less than 10 workers in NCR stands at P533.
Mirasol said the latest NCR wage order is set to be published in newspapers today, Friday.
This means the new wage order is expected to take effect by July 16, or 15 days after its publication.
To recall, the Kapatiran ng mga Unyon at Samahang Manggagawa filed a wage petition last December 5, 2022 seeking a P100 wage increase in Metro Manila.
Also, the Unity for Wage Increase Now filed a wage petition asking for a P1,141 minimum wage rate in Metro Manila last March 21.
The last wage hike granted by the NCR wage board was issued in May 2022 and took effect in June 2022.
In a statement, the Department of Labor and Employment (DOLE) said the salary hike is the answer to several wage petitions filed by labor groups seeking an increase in the daily minimum wage due to the escalating prices of basic goods and commodities.
It said the new wage order is expected to directly benefit 1.1 million minimum wage earners based in Metro Manila.
“The new rates, which translate to a 7 percent increase from the prevailing daily minimum wage rates in the region, remain above the regional poverty threshold of P452 per day for a family of five,” the DOLE said.
“This likewise results in a comparable 7 percent increase in wage-related benefits covering 13th-month pay, service incentive leave (SlL), and social security benefits, such as SSS, PhilHealth, and Pag-lBlG,” it added.
The department said some establishments may be exempted from the new wage order.
This, it said, is provided for under the Omnibus Rules on Minimum Wage Determination of the National Wages and Productivity Commission (NWPC).
“As in any wage order, retail/service establishments regularly employing not more than 10 workers, and enterprises affected by natural calamities and/or human-induced disasters may apply for exemption from the wage increase,” it said.
“For exemption applications and further clarifications on the wage order, the RTWPB-NCR may also be reached through its email address wage_ncr@yahoo.com.ph,” added DOLE.
MORE CHANGES
President Marcos Jr. yesterday said there may be some changes in the minimum wage in the country soon to protect Filipino workers from the rapid expansion of the economy.
The President, in an interview during the launch of the Kanegosyo Center of the Cebuana Lhuillier group of companies at the Palacio de Memoria in Roxas Boulevard in Parañaque City, said ongoing negotiations before the Tripartite Wage Board would be concluded soon.
“So, I think we will be concluding the negotiations — the tripartite negotiations on the wage board. So, mayroon tayong makikita na para makatulong naman tayo doon sa mga mas maliliit at nangangailangan ng tulong (So, I think we will be concluding the negotiations — the tripartite negotiations on the wage board. So, we will see some form of help to the small workers and those in need),” he said.
Marcos first mentioned an expected wage hike during the courtesy call of International Labor Organization (ILO) Director General Gilbert Houngbo in Malacanang last Tuesday, a news release from the Presidential Communications Office (PCO) issued yesterday said.
He said the DOLE has sat down with the workers and labor unions and organizations to strike a balance and alleviate the “inflationary pressures” on workers.
“But I think our negotiations with workers, with the unions, with the different negotiations, we will be able to come to a good working number, a good compromise,” the President said.
The current minimum wage in the Philippines ranges between P372 and P470, depending on the region where the business is located.
Marcos acknowledged that the rapid industrialization and expansion of the economy could hurt the labor sector but there must be a balance between the needs of the workers and the capability of a company, especially the small businesses.
“Our workers, of course, are asking for a (wage) increase, workers in those small businesses. We might drive the businesses out because they (employers) cannot pay because they are too small,” he said.
The President said apart from addressing the welfare of the workforce in the country, his administration is also working overtime to address the problem of illegal recruitment and human trafficking.
Labor Secretary Bienvenido Laguesma, who was present during the meeting with the ILO chief, said majority of the businesses in the Philippines are in the category of micro and small. Micro businesses are those with only one to nine workers, while small are employ 10 to 99 workers.
Laguesma said DOLE will be presenting to the President and the Cabinet the Philippine Development Plan 2020-2023, which have been endorsed by the labor sector and DOLE, before holding a national tripartite conference.
He said DOLE will also meet with the workers and employers by next month regarding Executive Order (EO) No. 23, which directs the administration to form an inter-agency committee to strengthen the coordination and expedite the investigation, prosecution and resolution of cases of extrajudicial killings and harassment of workers and union leaders and members.
