Minimum wage hike approved in Calabarzon, Central Visayas
MANILA, Philippines — A minimum wage increase in Calabarzon and Central Visayas has been approved by its respective Regional Tripartite Wages and Productivity Boards (RTWPBs), the Department of Labor and Employment (DOLE) said on Monday, September 16.
Around 1.2 million minimum wage earners in Calabarzon and Central Visayas will be covered by this increase.
In Calabarzon, the minimum wage increase ranges from P21 to P75 per day, while the minimum wage increase for Central Visayas is set at P33 to P43 per day.
“Both adjustments were reached through consensus and unanimously approved by the government, labor and employer representatives in both RTWPBS, and have likewise been unanimously affirmed by the National Wages and Productivity Commission,” the DOLE said in a statement.
DOLE said that the last wage order for Calabarzon was on Sept. 24, 2023 and its increase will take place on September 30 this year.
Meanwhile, the last increase for Central Visayas was in October last year, while this latest round of increases will be implemented on Oct. 2, 2024.
The minimum wage hike is being implemented in private establishments, and it varies on the geographical area of the establishment.
Calabarzon has classified its labor groups into two sectors: non-agriculture, and agriculture. In certain areas, both sectors will receive their wage hikes in two tranches: the first one is on September 30 and the next tranche is on April 1, 2025. The amount of the minimum wage increase depends on the classification of work and the class of the area.
Here is a list of the new set of wage hikes in Calabarzon:
- Extended Metropolitan Area: P560 (non-agriculture) and P500 (agriculture)
- Component Cities: P520 upon the first tranche, P540 on the second tranche (non-agriculture) and P500 (agriculture)
- 1st Class Municipalities: P520 (non-agriculture) and P465 for the first tranche, P500 on the second tranche (agriculture)
- 2nd and 3rd Class Municipalities: P450 (non-agriculture) and P425 (agriculture)
- 4th, 5th, and 6th Class Municipalities: P420 for the first tranche, P450 on the second tranche (non-agriculture), and P425 (agriculture)
For retail and service establishments employing not more than 10 workers, the minimum wage is now set at P425 per day.
Central Visayas classified its minimum wages according to geographical areas as well.
- Class A: P501
- Class B: P463
- Class C: P453
“The new rates for workers in private establishments translate to about 7%-8% increase from the prevailing daily minimum wage rates in the two regions and result in a comparable 11% increase in wage-related benefits covering 13th-month pay, service incentive leave, and social security benefits such as SSS, PhilHealth, and Pag-IBIG,” the DOLE said.
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