WITH a large number of businesses in the country classified as micro, small, and medium enterprises (MSMEs), the Department of Labor and Employment (DOLE) has ordered Regional Tripartite Wages and Productivity Boards (RTWPBs) to simplify processes that will help them comply with prevailing minimum wage rates.
Based on Administrative Order (AO) No. 264-2026, Labor Secretary Francis Tolentino said it is imperative for RTWPBs to make necessary assistance more accessible to MSMEs that need support.
“The RTWPBs are directed to simplify mechanisms for MSMEs covered by wage order exemptions within the prescribed 75-calendar-day period from publication of a wage order,” said Tolentino.
“MSMEs must be given appropriate mechanisms to comply with wage regulations,” he added.
Earlier, Tolentino said DOLE will make its Adjustment Measures Program (AMP) available to MSMEs to provide funding for equipment and other productivity-enhancing measures. The program aims to help small businesses manage higher labor costs while using their available capital for wage adjustments.
Tolentino also said eligible MSMEs may file for exemption from a wage order within the prescribed 75-day period, subject to requirements and qualifications.
Meanwhile, the labor chief directed all DOLE regional offices to closely monitor private establishments’ compliance with prevailing minimum wage rates in their respective areas.
He said the department wants stronger monitoring and enforcement of wage orders issued by regional wage boards.
“DOLE, through the regional offices and RTWPBs, shall ensure that approved wage orders are effective and immediately executory 15 calendar days after their complete publication in a newspaper of general circulation,” said Tolentino.
“The National Wages and Productivity Commission (NWPC) and RTWPBs are likewise directed to continuously monitor wage order implementation and compliance within their respective jurisdictions,” he added.
Additionally, Tolentino said noncompliant business establishments must be issued the necessary directives to take corrective action.
“Compliance orders shall be issued to establishments with wage deficiencies,” said Tolentino. (Anton Banal/SunStar Philippines)