The Regional Tripartite Wages and Productivity Board approved a P35 wage increase for workers in the National Capital Region, the Department of Labor and Employment (DOLE) announced on Monday, July 1.
In a press release, DOLE said the increase is set to be effective 15 days after the publication of the order in the newspapers, or on July 17.
According to Labor and Employment Secretary Bienvenido Laguesma, the objective of the minimum wage is to ensure that salaries will not reach floor level.
"Bukod po sa public consultation, public hearing, mayroon pong wage deliberation, ‘yung mismo pong ating wage board kung saan mayroong kinatawan ang mga manggagawa at namumuhunan", Laguesma said in an interview on DZRH's Magandang Umaga Pilipinas.
Meanwhile, labor unions viewed the increase as an insult to the labor sector’s significance and skills.
Rene Magtubo of Partido Manggagawa reiterated that there is no clear basis for the P35 increase.
"Pano sila nag-arrive ng 35 wala dun sa wage order at ang usapan sa kongreso ay isang daan na sa senado, pinasa na sa kamara ay 150 pataas kasi tong wage board barya barya ang ubento,” Magtubo stated.
In his part, Laguesma said that based on reports he received, the representative from the labor groups expressed dissent following the discussion on the approval of the P35 wage increase.
"Iyon naman po ay kinikilala sa isang malayang bansa…pero kung nagkaroon na ng pagpapasya ang mayorya, siguro ‘yun po ang dapat na ipatupad ng atin pong mga implementors sa level po ng rehiyon," the secretary said.
He stated that the Wage Board follows ten criteria which are included in the Wage Rationalization Act, or RA 6727.
"Bahagi po doon ang pangangailangan ng manggagawa, ikalawa po ‘yung mayroon po ‘yung pagtanaw din po sa kapasidad ng mga negosyo na magkaloob po ng karagdagang umento sa umiiral na sahod at doon din po ‘yung pagkakataon na magkaroon ng countryside development lalo na po sa ibang mga rehiyon outside NCR, pagkakaroon po ng paglikha ng karagdagang trabaho, at ‘yon pong may kinalaman din sa consumer price index," said Laguesma.
"So sampung criteria po ‘yan na tinitignan ng ating mga boards. Syempre po may pagsasaalang-alang din sa pwedeng maging epekto sa ating employment level at sa atin ring inflation rate sa ating bansa," he added.
The minimum wage for non-agriculture workers in the private sector will be P645, up from P610, which took effect on July 16, 2023.
For agriculture workers, service and retail establishments that employ 15 or fewer workers, and manufacturing establishments employing less than 10 workers will be P608 from P573.
The wage board that approved the recent wage hike is comprised of individuals from the government, management, and labor sectors.
