Metro Manila minimum wage to rise to P780 per day
MANILA, Philippines — The daily minimum wage in Metro Manila will rise to P780 by January 2027 after the regional wage board approved an P85 increase to be implemented in two tranches.
Labor Secretary Francis Tolentino announced the wage increase on Tuesday, June 30, at the Malabon Central Market, describing it as "historic" and saying it would benefit 1.1 million workers in the National Capital Region.
The first tranche will take effect on July 19, when the daily minimum wage will increase by P60 to P755, according to the Department of Labor and Employment.
The second tranche, covering the remaining P25, will take effect on Jan. 20, 2027, bringing the daily minimum wage to P780 from the current P695.
The announcement came as the House committee on labor and employment was holding a hearing on bills seeking a legislated wage increase.
Criticism and debate. Labor groups immediately criticized the increase as inadequate, saying it is too small and should not have been limited to Metro Manila.
"Napakaliit ng P85 na dagdag na sahod, hulugan pa at sa NCR lang. Lubhang hindi sapat kumpara sa ilang ulit na pagtaas ng presyo ng langis, singil sa kuryente at iba pang gastusin," Kilusang Mayo Uno said.
(The P85 wage increase is too small, will be given in tranches and applies only to NCR. It is extremely inadequate compared with repeated increases in oil prices, electricity rates and other expenses.)
Several labor groups at the House hearing have been pushing for a P200 wage increase and a P1,200 living wage. Economic think tank IBON Foundation said regional minimum wages, including in Metro Manila where the rate is currently the highest, remain below what a family of five needs to live decently.
Business groups, however, have warned against a legislated P200 increase, saying it would raise payroll costs for small firms, pressure low-margin businesses and risk job losses or higher prices.
The Philippine Chamber of Commerce and Industry argued that a uniform increase would hit micro, small and medium enterprises—which make up a large majority of employers in the Philippines—hardest.
- Latest
- Trending
