Private and domestic workers in CARAGA are set to receive minimum wage hikes following the unanimous affirmation of the National Wages and Productivity Commission on 13 December 2024 of the new wage orders motu proprio issued by the Regional Tripartite Wages and Productivity Board (RTWPB) – XIII.

Wage Order No. RXIII-19 grants a P50 daily wage increase for private sector workers in the region to be given in two (2) tranches. This brings the daily minimum wage from P385 to P415 across all sectors upon effectivity and from P415 to P435 upon implementation of the second tranche on 01 May 2025.

Similarly, Wage Order No. RXIII-DW-05 provides a P1,000 increase for domestic workers in the region, bringing the sector’s monthly minimum wage to P6,000.

Wage Order Nos. RXIII-19 and RXIII-DW-05 will be published on 17 December 2024 and will take effect after fifteen (15) days from publication, or on 02 January 2025.

In affirming the wage order, the NWPC found that RTWPB XIII complied with the criteria for determining a wage increase under Republic Act No. 6727 or the Wage Rationalization Act, which include the needs of workers and their families, capacity of employers/industry to pay, and the requirements of economic and social development in the region.

The wage order is expected to directly benefit 65,681 minimum wage earners in the region. About 132,217 full-time wage and salary workers earning above the minimum wage may also indirectly benefit as a result of upward adjustments at the enterprise level arising from the correction of wage distortion. On the other hand, the wage increase for kasambahays is also expected to benefit a total of 32,866 domestic workers – approximately 24% (7,939) of whom are on live-in arrangements.

The NWPC has reiterated its instructions to other RTWPBs to undertake information campaigns to ensure compliance and provide assistance to enterprises in correcting possible wage distortions pursuant to NWPC Advisory No. 01, Series of 2023. RTWPB-CARAGA was likewise ordered to implement productivity improvement programs and gainsharing schemes to support wage growth, especially in areas that may have low productivity.

As in any wage order, and as provided for in the NWPC Omnibus Rules on Minimum Wage Determination, as amended, retail/service establishments regularly employing not more than ten (10) workers, and enterprises affected by natural calamities and/or human-induced disasters may apply to the RTWPB for exemption from the wage increase. Registered Barangay Micro Business Enterprises (BMBEs) are not covered by the minimum wage law pursuant to Republic Act No. 9178 [2002]. For exemption applications and further clarifications on the wage order, the RTWPB may be reached through its email address rb13@produktiboatsahod.onmicrosoft.com.

As of date, thirteen (13) wage orders (Regions NCR, CAR, I, II, III, IVA, MIMAROPA, VI, VII, VIII, IX, XII and XIII) have been issued for workers in the private sector. Additionally, seven (7) wage orders (Regions CAR, I, II, MIMAROPA, VI, VIII and XIII) have been issued for domestic workers. All these wage orders were initiated motu proprio.

For the three other remaining regions, RTWPB X is in the final stage of its minimum wage determination process after completing its scheduled public hearings, while RTWPB XI is scheduled to commence in January 2025. Meanwhile, RTWPB-V continuously monitors and assesses the conditions and ongoing recovery in the region, particularly the impact on communities and businesses by recent typhoons.