In a move to enhance the financial well-being of workers in Eastern Visayas, a new wage order will come into effect on December 2, 2024. This order, issued on November 5, 2024, by the Regional Tripartite Wages and Productivity Board (RTWPB), will increase the daily minimum wage by PHP30, spread over two phases. The first phase, effective December 2, will see a PHP15 increase, followed by another PHP15 increase on June 1, 2025.
This adjustment will raise the daily minimum wage for non-agricultural and larger service retail workers from PHP405 to PHP435. For those in cottage industries and smaller service retail establishments, the wage will rise from PHP375 to PHP405. Approximately 126,000 workers across the region are expected to benefit from this change.
The decision followed extensive consultations held across several cities in Eastern Visayas from September 5 to September 26, 2024, and a public hearing in Tacloban City. These discussions were crucial in assessing the need for a wage adjustment, taking into account socio-economic indicators such as the consumer price index and inflation rate, which averaged 3.6 percent over the past year.
Additionally, the RTWPB considered the poverty threshold, reported at PHP444 per day for a family of five in 2023, and the region’s gross domestic product growth of 6.4 percent from 2022 to 2023. The board, chaired by Department of Labor and Employment Regional Director Dax Villaruel, aimed to help workers cope with the rising cost of living.
In a related development, the RTWPB also approved a PHP500 increase in the monthly salary for domestic workers, setting the new minimum wage range between PHP5,500 and PHP6,000. This decision will impact around 57,000 domestic workers in the region’s six provinces.
The RTWPB in Eastern Visayas, a tripartite body, includes representatives from the government, workers, and employers, ensuring a balanced approach to wage determinations.