The Senate approved on Wednesday, Feb. 14 on second reading a bill proposing an increase of P100 in the daily minimum wage for private sector workers in the entire country, which is estimated to benefit over 4.2 million minimum wage earners.

Once enacted, Senate Bill (SB) No. 2534 or the P100 Daily Minimum Wage Increase Act of 2023 shall increase by P100 the minimum wage rate of all workers in the private sector, whether agricultural or non-agricultural.

"Nothing in this Act shall prevent the respective Regional Tripartite Wages and Productivity Board to grant additional increases to the workers and employees on the basis of its determination pursuant to Republic Act No. 6727, otherwise known as the 'Wage Rationalization Act', as amended," it states.

Senator Jinggoy Estrada, chairperson of the Senate Committee on Labor, Employment and Human Resources Development, endorsed for plenary approval SB No. 2534 last Feb. 7.

From the original proposal of a P150 daily wage increase, Estrada said his committee recommended a P100 daily pay hike as almost all regional wage boards have already responded to the workers’ clamor by ordering an increase ranging from P30 to P90 last year.

“Bagama’t kinikilala natin ang wage hikes na ipinatupad kamakailan ng regional wage boards, tila nabura na ito ng patuloy na pagtaas ng presyo ng pangunahing bilihin, kaya natin iminumungkahi ito. Ang pagtaas ng sahod ng mga manggagawa sa mas disenteng lebel ay napapanahon at talagang kailangan para ipantay, kahit papaano, sa pagtaas ng presyo ng bilihin (While we recognize the wage hikes implemented recently by the regional wage boards, this was somewhat eroded by the continuous increase in the price of basic commodities, that's why we proposed this. The increase in salary of workers to a more decent level is timely and really needed to keep up with the price hike),” Estrada said in his sponsorship speech. 

While the minimum wage in Metro Manila for the non-agricultural sector has consistently recorded the highest basic pay in the country at P610 per day, the actual daily pay is eroded by inflation, the lawmaker said.

The real value of the minimum wage—which reflects the inflation-adjusted rates using the consumer price index—has fallen to P514.50 in the capital as of July 2023 and further decreased to P504 for October 2023. This scenario is replicated across all regions, Estrada added.  

Senate President Juan Miguel "Migz" Zubiri thanked his colleagues in the Senate, especially Estrada, for their unanimous support for the proposal to increase the daily minimum wage of workers.

"Saktong sakto sa Valentine’s Day—ito na po ang ultimate regalo natin sa ating mga manggagawa (Appropriately on Valentine's Day—this our ultimate gift to our workers)," he said.

"Nagkakaisa ang Senado para sa kapakanan ng manggagawang Pilipino. Gaya po ng sabi ko dati, naririnig ng Senado ang panawagan ng bayan para sa disenteng sahod. At hindi lang tayo nakikinig, tayo ay umaaksyon rin (The Senate is in unison for the welfare of Filipino workers. Like I said before, the Senate hears the calls of the public for a decent pay. Not only did we listen, but we acted)," he added.

Zubiri said that they are expecting the bill to be approved on third reading on Monday next week.

The senators are appealing to the House of Representatives to act on the wage increase bills.