TACLOBAN CITY—The Regional Tripartite Wages and Productivity Board (RTWPB) of Eastern Visayas has approved a P30 increase in the daily minimum wage for workers in the region following extensive consultations and public hearings.
Issued on November 5, 2024, Wage Order No. 24 introduces the wage increase in two phases.
The first phase, granting a P15 daily increase, will take effect immediately. The second phase, also amounting to P15 per day, will be implemented starting June 1, 2025.
With this adjustment, the new daily minimum wage for workers in the non-agriculture sector and service retail establishments employing 11 or more workers will increase fromP405 to P435.
Meanwhile, for cottage industry workers and service retail establishments with fewer than 11 employees, the minimum wage will rise from P375 to P405.
The RTWPB emphasized that the wage review process included extensive consultations held across Eastern Visayas in Catbalogan City, Ormoc City, Maasin City, and Catarman from September 5 to September 26, 2024.
These meetings aimed to ensure comprehensive representation from various stakeholders, including employers, employees, local government officials, and other concerned parties.
A public hearing on October 21, 2024, in Tacloban City allowed further engagement, evidence presentation, and testimonies to support the need for wage adjustments.
Several factors were taken into account in approving the wage increase, including the region’s Consumer Price Index (CPI) and inflation rate, which averaged 3.6% from November 2023 to September 2024. Additionally, the Philippine Statistics Authority (PSA) reported a poverty threshold of P444 per day for a family of five in 2023, while the gross regional domestic product (GRDP) grew by 6.4% for 2022-2023.
The new wage order will be effective 15 days after its publication in a newspaper of general circulation, likely by mid-November 2024.
It will apply to all minimum wage earners in the private sector, regardless of their position, designation, or payment method.
Employers who fail to comply with the mandated increase may face penalties under the provisions of Republic Act No. 6727 (Wage Rationalization Act), as amended by Republic Act No. 8188.
In a statement, the RTWPB underscored that the wage increase is intended to help workers cope with rising living costs while maintaining the viability of businesses in the region.
The decision reflects the Board’s commitment to fostering fair and sustainable economic growth, benefiting both laborers and enterprises throughout Eastern Visayas.
(JOEY A. GABIETA)
