P47-daily wage hike in effect in Davao

SunStar Photo by Ramcez Villegas
SunStar Photo by Ramcez Villegas

THE third phase of Wage Order No. RB XI-21 is now in full effect, providing non-agricultural sector workers a P47 increase in their daily wage.

Minimum wage earners in the private sector of the Davao Region saw a wage hike with the implementation of Wage Order No. RB XI-21 on June 19, 2022.

Mandated by Republic Act Number 6727, also known as "The Wage Rationalization Act," which assesses wage rates and determines applicable minimum wages in the region, Wage Order No. RB XI-21 granted a raise to minimum wage earners in the Davao Region.

A Facebook post by the Department of Labor and Employment-Davao Region (Dole-Davao Region) on Saturday, August 26, announced that minimum wage earners in the Davao Region's private sector would receive wage increases in three stages.

The most recent of the three stages took effect on April 1, 2023, benefiting non-agricultural workers. This includes employees in service and retail establishments with more than ten workers and those with ten or fewer workers. Their minimum daily wage, previously at P438, has been raised to P443.

For non-agricultural workers, such as those in the industrial, commercial, and retail or service sectors employing more than ten workers, a P4- increase in the basic daily wage was granted.

Furthermore, workers in non-agricultural sectors with ten or fewer workers received a P62-per-day basic wage increase, while agricultural workers received a P47-per-day basic wage increase.

The first phase was effective on June 19, 2022, and the second phase took effect on January 1, 2023.

Meanwhile, Wage Order RB XI DW-02, in effect since June 20, 2022, raised the minimum wage for domestic workers in chartered cities, first-class municipalities, and other municipalities in the region to P4,500.

This covers cities like Digos, Davao, the Island Garden City of Samal, Tagum, Mati, and Panabo. The provinces included are Davao de Oro, Davao Oriental, Davao del Norte, and Davao del Sur.

A local minimum wage earner in Davao, employed in a private institution with 10 workers, who chose to remain anonymous, shared that this increase is beneficial, especially for someone earning about P4,000 every 15 days. She said that a minimum wage hike is overdue with rising market prices. However, she added that even though the increase is helpful, it still falls short of adequately supporting her family and basic needs.

The raise was issued following a petition by the United Pantaron Banana Workers Union-Association of Democratic Labor Organization-Kilusang Mayo Uno (UPBWU-ADLO-KMU) and the Trade Union Congress of the Philippines (TUCP). The Regional Tripartite Wages and Productivity Board-Davao Region (RTWPB-Davao Region) conducted consultations and a public hearing to assess the need for a new wage order.

Dole-Davao Region reminds employers to strictly adhere to the newly implemented standard minimum wage under the new wage orders. RGP


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