P85-wage hike to be rolled out in 2 tranches, DOLE says
First installment of P60 in effect on July 25
Department of Labor and Employment (DOLE) Secretary Francis "Tol" Tolentino (Facebook)
The P85 daily wage increase for minimum wage earners will be given in two tranches, the first installment will be on July 25, the Department of Labor and Employment (DOLE) said.
The wage increase was initially announced to be implemented on July 19 but the delay in the implementation was brought by the challenges brought by the weather disturbance that hit the country, including the required publication to a newspaper of general circulation.
DOLE Secretary Francis Tolentino said the first tranche will be P60 followed by the remaining P25 on Jan. 20 next year.
The wage increase only covers minimum wage earners working in Metro Manila but Tolentino said other regions may follow soon.
He said deliberations are ongoing in Calabarzon, Central Luzon and Central Visayas.
Secretary Tolentino clarified that the implementation date follows the official publication of NCR Wage Order No. 27 on July 9, which grants minimum-wage workers an 85-peso increase—the largest single daily wage adjustment ever enacted in Metro Manila.
The wage increase, once fully implemented, will bring daily minimum wage to 780 in Metro Manila.
workers in agriculture, service and retail shops with 15 or fewer employees, and manufacturing firms with fewer than 10 regular workers will see their daily rate reach P743.
Tolentino said any companies failing to adhere to the new regulations will face corresponding penalties.
“There are penalties for that. But in Metro Manila, the NCR, the compliance rate is almost 94-95%. It's followed right away. So that's our monitoring for the past wage hikes last year,” said Tolentino.
Tolentino then urged the use of mechanisms such as collective bargaining agreements (CBAs) to address potential wage distortions affecting workers earning above the minimum wage.