home Career Guide What to know about the Minimum Wage in the Philippines?

What to know about the Minimum Wage in the Philippines?


 

     The Wage Rationalization Act No.6727, mandates the minimum wages in the Philippines. It also authorized the Regional Tripartite Wages and Productivity Boards (RTWPBs) to determine the daily minimum wage rates. The daily minimum wage rate is computed based on industry (non-agriculture, agriculture plantation, non-plantation) per locality (differs per region) and in some cases depending on the number of workers and the capitalization of enterprises (retail and service).

 

     This 2016, a new wage increase was issued under the Wage Orders which apply to all sector workers and employees receiving the daily minimum wage. Under Wage Order No. NCR-20, minimum wage earners in NCR started receiving additional P10 COLA – cost of living allowance. Their old P15 COLA also is now integrated to the basic wage aside from the  new additional P10 COLA. This increase was implemented with an aim that all minimum wages shall always be above the poverty threshold to help workers and their families meet basic needs.

 

     The table below shows the new minimum wages in all sectors in  NCR – Caloocan, Las Piñas, Makati, Malabon, Mandaluyong, Manila, Marikina, Muntinlupa, Parañaque, Pasay, Pasig, Quezon City, San Juan, Taguig, Valenzuela, and Municipalities of Navotas and Pateros.

2016 Minimum Wages in NCR 

Sector/ Industry Minimum Wage (MW) under W.O. No. NCR-19 COLA Integrat ion New Basic Wage WO NCR-20b New COLA New Minimum Wage Rates
Non-agricul ture including Private Hospi tals wi th bed capacity of 100 or less P466.00 P15.00 P481.00 P10.00 P491.00
Agriculture
Plantation 429.00 15.00 444.00 10.00 454.00
Non-plantation 429.00 15.00 444.00 10.00 454.00
Retail / Service Establishments
Employing 15 workers or less 429.00 15.00 444.00 10.00 454.00
Manufacturing Establishments
Regularly employing less than 10 workers 429.00 15.00 444.00 10.00 454.00

 

Summary of 2016 Regional Daily Minimum Wage Rates 

REGION Wage Order (WO) No. and DATE OF EFFECTIVITY NON-AGRICULTURE AGRICULTURE - Plantation AGRICULTURE - Non-Plantation
NCR WO 20 / June 2, 2016 P 454 - 491 P 454 P 454
CAR WO 17 / June 29, 2015 265 - 285 255 - 270 255 - 270
I WO 17 / July 19, 2015 220 - 253 233 227
II WO 16 / January 5, 2014 247 - 255 235 - 243 235 - 243
III WO 19 / January 1, 2016 306 - 357 291 - 327 279 - 311
IV - A WO 16 / May 1, 2014 267 - 362.50 267 - 337.50 267 - 317.50
IV - B WO 07 / July 3, 2015 217 - 285 225 - 235 225 - 235
V WO 17 / December 25, 2015 248 - 265 248 248
VI WO 22 / May 2, 2015 256.50 - 298.50 266.50 256.50
VIl WO19 / October 10, 2015 295 - 353 275 - 335 275 - 335
VIII WO 18 / March 30, 2015 260 241 235
IX WO 18 / June 10, 2013 280 255 235
X WO 18 / July 3, 2015 303 - 318 291 - 306 291 - 306
XI WO 18 / June 1, 2014 317 307 307
XII WO 18 / Aug. 1, 2014 275 257 257
XIII WO 13 / February 14, 2015 268 268 268
ARMM WO 16 / May 1, 2016 265 255 255

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