NCR wage hike ‘still far’ from living wage

Labor, biz groups divided over P200 wage hike bill
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THE P50 daily minimum wage increase recently approved in the National Capital Region (NCR) is a development but remains far from what workers truly need to live decently.

This was the statement of Cebu-based labor group Alyansa sa mga Mamumuo sa Sugbo–Kilusang Mayo Uno (AMA Sugbo-KMU), as it renewed its call for a legislated P1,200 national minimum wage.

Jaime Paglinawan, chairperson of AMA Sugbo-KMU, said in an interview on Monday, June 30, 2025, that although the P50 increase was the highest granted so far by the regional wage board, it still falls short of the “makabuhing suholan,” or living wage being demanded by workers across the country.

“Layo ra gyud ni sa among gipangayo nga makabuhing suholan. Sa sunod nga mga adlaw, duna tay laing wage petition nga ipaabot sa Regional Tripartite Wages and Productivity Board (RTWPB) 7, ug manghinaut mi nga magbase kini sa kulang sa minimum wage nga naa sa atong rehiyon,” Paglinawan said.

(This is far from what we were asking for in terms of a livable wage. In the coming days, we will be submitting another wage petition to the Regional Tripartite Wages and Productivity Board (RTWPB) 7, and we hope it will be based on the gap in the current minimum wage in our region.)

He added that while the NCR wage order could influence similar adjustments in other regions, including Central Visayas, the current minimum wage in Region 7, ranging from P453 to P501, is already inadequate.

Paglinawan said a new wage petition is expected to be filed soon before the Regional Tripartite Wages and Productivity Board (RTWPB) 7, grounded on the widening gap between actual wages and the rising cost of living.

The labor leader also criticized the Marcos administration for its lack of support for the P200 wage increase bill passed by the House of Representatives, describing the government's inaction on wage legislation as a failure to prioritize workers' welfare.

Paglinawan also challenged lawmakers in both chambers of Congress to pass legislation enacting a P1,200 national minimum wage.

He criticized the Marcos administration for failing to support pro-labor wage bills, describing the administration’s response to labor concerns as failure of support for the P200 wage hike passed in the lower House.

His statement came after the Department of Labor and Employment (DOLE) announced on its official website on Monday, June 30, that the NCR RTWPB had approved a P50 daily minimum wage increase.

The adjustment raises the non-agricultural daily rate from P645 to P695, and the agricultural, service, and retail sector wage from P608 to P658 for establishments with 15 or fewer workers.

The new wage order, the highest ever approved in NCR, will take effect on July 18, 2025, a day after the anniversary of the last wage hike.

DOLE Secretary Bienvenido Laguesma in the same statement said the wage board considered key economic indicators in its decision, including a gross domestic product (GDP) growth of five point four percent in the first quarter of 2025, an inflation rate of one point seven percent in May, and an unemployment rate of five point one percent in April.

The wage increase is expected to benefit 1.2 million minimum wage earners in NCR, while around 1.7 million other workers may indirectly benefit from wage adjustments due to distortions in enterprise-level pay structures.

Laguesma said DOLE will conduct an extensive information campaign and labor inspections to ensure full compliance with the new wage order.

Public consultations for possible wage increases in other regions, including Region 7 (Central Visayas), Region 1 (Ilocos), Region 2 (Cagayan Valley), Region 3 (Central Luzon), and Region 4A (Calabarzon), are scheduled between July and August 2025. (CDF)

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