Wage board clears P60 NCR wage hike while P85 order remains frozen

The Philippine wage board has approved a new P60 daily minimum wage increase, aiming to deliver the initial portion of a P85 hike currently under dispute in court since July. The Wage Order NCR-28 could raise the non-agricultural minimum wage from P695 to P755 later this month, assuming approval by the National Wages and Productivity Commission.

However, some lawmakers cautioned that issuing a second wage order might complicate the ongoing legal battle over Wage Order NCR-27, which also incorporates a P25 increase in January. The Department of Labor and Employment's regional director confirmed the approval of Wage Order NCR-28 on Monday night, which is pending review by the NWPC.

The P60 increase will be implemented in a single tranche, potentially taking effect by September 26 or 27 if endorsed by the commission and published accordingly. For agricultural workers and employees of small retail and service establishments or small manufacturing firms, the wage rate would rise from P658 to P718. Wage Order NCR-27 had planned for a P85 increase in two stages: P60 starting July 25 and an additional P25 on January 20, 2027.

Its implementation faced challenges from various court injunctions, including a Status Quo Ante Order and a Writ of Preliminary Injunction. Despite these obstacles, both DOLE and the wage authorities maintain that Wage Order NCR-27 remains valid, and they continue to challenge the injunction. The Supreme Court is currently examining a separate petition by labor groups seeking to invalidate the lower court orders blocking the wage order's implementation.

Critics argue that the issuance of Wage Order NCR-28 following the injunction against NCR-27 may undermine the legal standing of the new order.