minimum wage hike in Metro takes effect despite pending appeals

By Patrick V. Miguel

THE National Wages and Productivity Commission (NWPC) confirmed that the P40 minimum wage hike will take effect on July 16 despite the appeal of several labor organizations pursuing a higher increase. The appeal was filed by several labor groups on July 3, three days after Wage Order No. NCR-24 was published. Wage Order No. NCR-24 imposes a P40 minimum wage hike, from P570 to P610 for the non-agriculture sector, and from P533 to P573 in the agriculture sector.

Labor organizations cited inflation and the “soaring prices of basic services and commodities” as reasons why the P40 increase is not enough. They petitioned that the basis of minimum wage determination should be the family living wage of P1,161.

The Kilusang Mayo Uno stated on their Facebook page on June 30 that the minimum wage hike is not enough. They noted the P7 increase, as last year’s minimum wage was P33, which is not enough in the economy’s inflation rate. explore avenues like the Asean-Australia-New Zealand Free Trade Agreement (AANZFTA) and Regional Comprehensive Economic Partnership (RCEP) as platforms to foster growth.

Philippines Statistics Authority (PSA) announced on July 5 that the inflation rate in June was 5.4 percent.

NWPC said the appeal is part of the minimum wage determination process, and are expected to resolve the appeal within 60 days from the filing date.

De La Vega also encouraged Australian businesses to focus on skills upgrading and to continue investing in the country.

Citing data from the Philippine Statistics Authority (PSA), BCDA said approved investments of Australian firms in the Philippines during the first quarter of 2023 doubled to about P450 million or approximately AU$12 million, compared to the same period last year.

BCDA also cited PSA data showing that Australia emerged as the 13th largest trading partner of the Philippines last April 2023, with US$335.27 million in total trade.