In a significant move to bolster the earnings of minimum wage workers, 14 Regional Tripartite Wage Productivity Boards (RTWPBs) have approved wage hikes that will directly impact nearly five million private sector employees in 2024. According to the Department of Labor and Employment (DOLE), these increases, ranging from PHP21 to PHP75, have been sanctioned across various regions including the National Capital Region (NCR), Cordillera Administrative Region (CAR), and several others such as Ilocos, Cagayan Valley, Central Luzon, Calabarzon, and Mimaropa. Additional regions like Western Visayas, Central Visayas, Eastern Visayas, Zamboanga Peninsula, Northern Mindanao, Soccsksargen, and Caraga have also seen adjustments in their minimum wage rates.
In NCR, a PHP35 increase was approved on June 27, raising the minimum wage to PHP645 from PHP610, benefiting approximately four million workers. Northern Mindanao, the most recent region to adjust its minimum wage, implemented a PHP23 increase for non-agriculture workers and PHP35 for those in agriculture, to be rolled out in two phases starting January 12, 2025, and July 1, 2025, respectively.
Domestic workers in nine regions, including Metro Manila, Cordillera, Ilocos, Cagayan Valley, Mimaropa, Western Visayas, Eastern Visayas, Northern Mindanao, and Caraga, have also seen their salaries increase by PHP500 to PHP1,100. In Metro Manila, the monthly minimum wage for domestic workers has been set at PHP7,000 following a recent wage order.
The National Wages and Productivity Commission (NWPC) has amended its guidelines to allow RTWPBs more flexibility in reviewing and issuing wage orders. This amendment supports a more streamlined and transparent wage system, with four RTWPBs successfully simplifying their wage structures. The DOLE emphasizes that these initiatives aim to enhance compliance and support sustainable wage growth through productivity improvement programs.
However, two regions, Bicol and Davao, have yet to issue wage orders. Bicol’s decision to defer wage adjustments stems from the aftermath of Severe Tropical Storm Kristine, with plans to resume the process in February 2025. Davao is currently in consultations with stakeholders, with a wage determination scheduled for January 2025.
In response to natural calamities, the DOLE has outlined an exemption mechanism for affected businesses, encouraging them to apply through their respective RTWPBs. The department also promotes its Adjustment Measures Program (AMP) to help mitigate economic disruptions. As the year concludes, the NWPC reaffirms its commitment to supporting a fair and predictable wage review process, aiming to foster long-term wage and productivity growth.