Wage Hikes Approved in Metro Manila and Western Visayas

On Saturday, the Department of Labor and Employment (DOLE) announced the approval of the regional wage boards regarding the wage hikes of ₱33 for Metro Manila as well as ₱55 and ₱110 for Western Visayas. Following the issuance of Order No. NCR-23 on Friday by the Regional Tripartite Wages and Productivity Board (RTWPB) of Metro Manila, the new minimum wage in the capital region has increased to ₱570 and ₱533 for workers in non-agricultural and agricultural sectors, respectively.

This recent move is projected to safeguard close to 1 million minimum wage workers “from undue low pay” according to DOLE, particularly as the prices of basic goods, commodities, and petroleum products continue to increase in contrast to the purchasing power of professionals. Earlier in November 2018, workers in private establishments in Metro Manila also received a wage hike.

The RTWPB in Western Visayas, likewise, issued Order No. RBVI-26 brings the daily minimum wage of agricultural workers to ₱410 after a ₱95 hike. Additionally, wages for businesses in the region with over 10 employees went up to ₱450 while businesses with 10 or fewer workers also increased to ₱420.

Overall, around 214,836 minimum wage earners in the region, particularly in private establishments, are expected to be shielded from price hikes similar to Metro Manila. However, the RTWBP also took into consideration raising the minimum wage above the 2021 first semester poverty threshold, which was estimated at ₱12,082 for a family of five per month. Given the recent wage hike, an agricultural worker could earn a minimum of ₱12,300 per month.

Domestic workers in Western Visayas are also set to have a minimum monthly wage of ₱4,500 following the approval of a ₱500 increase. A total of 160,795 domestic workers — 49,413 of which are in a live-in set-up while the other 111,382 are live-out workers — are seen to benefit from this development. Prior to these increases, the last wage hike for both domestic workers and private establishment workers in the region was issued in May 2019 and November 2019, respectively.

Despite the approval of the regional wage boards, labor group SENTRO (Sentro ng mga Nagkakaisa at Progresibong Manggagawa) noted on Saturday that the wage hike in Metro Manila was still insufficient. “The ₱33 wage increase is a pittance and woefully inadequate. It is not even enough to allow workers to recover the lost value of their wages,” explained the group.

“Once again, the [regional wage boards have] failed the workers. It is high time we abolish it and go back to a national wage-setting mechanism,” it added. SENTRO backed its claims by pointing out that inflation in Metro Manila rose to 4.4% in April and 5.1% outside of NCR. The group is still hopeful for the implementation of the bill concerning the ₱750 national minimum daily wage, which is still pending with Congress. Nonetheless, the wage hikes are likely to take effect 15 days after they were issued.

Source: Rappler