MANILA, Philippines (UPDATE) – Good news for workers: The Regional Tripartite Wage and Productivity Board of the National Capital Region (RTWPB-NCR) has approved a P10 increase in the minimum wage in Metro Manila.
"The RTWPC-NCR... unanimously made a decision to increase the minimum wage by P10.00 per day to bring the minimum wage to P466 in the National Capital Region upon the effectivity of the new wage hike," Labor Secretary Rosalinda Baldoz said in a statement.
The RTWPB-NCR has also decided to integrate P15 of the existing P30 Cost of Living Allowance (COLA) under RTWPB-NCR Wage Order No. 17 into the basic wage effective January 1, 2014.
"This will bring the new basic wage to P451 and the new minimum wage to P466. This is the first time that the RTWPB-NCR has unanimously decided on a wage increase for workers in the national capital," Baldoz said.
The minimum wage consists of basic wage and COLA.
DOLE-NCR Regional Director Alex Avila, chairperson of wage board, said the new minimum wage applies to all minimum wage workers in the private sector in the NCR regardless of their position, designation, or status of employment, and irrespective of the method by which they are paid.
However, household workers, family drivers and workers of Barangay Micro Business Enterprises are not covered by the new wage order.
"Our workers' take home pay is increased to P11,240 per month, or by 2.1 percent, compared to the current P11,005 per month. Our workers will get a bigger 13th month pay of P11,651 or an increase of about 5.9 as a result of the COLA integration," Baldoz said.
The NCR Board will issue the Rules and Regulations implementing the Wage Order within 10 days from its publication. The new wage order will take effect 15 days after its publication in a newspaper of general circulation.
Labor groups unhappy
Alan Tanjusay, spokesperson of Trade Union Congress of the Philippines (TUCP), said labor groups will appeal the decision of the wage board, calling the increase a “great injustice to workers.”
“We feel this is a great injustice to our minimum wage earners in Metro Manila. Napalaki ng contribusyon nila sa ating ekonomiya,” Tanjusay told dzMM’s “SRO” on Friday.
“Hindi kami kontento at ito ay nakakagalit,” he added.
Earlier, various workers' groups have called for a wage hike, ranging from P83 to P125.
However, the Employers’ Confederation of the Philippines (ECOP) warned that increasing the minimum wage would result in mass layoffs and closure of companies.