SEN. Juan Miguel Zubiri yesterday refiled the P100 legislated daily minimum wage increase for workers and employees in the private sector after both houses of Congress failed to ratify it in the 19th Congress.
In the bill’s explanatory note, Zubiri said the determination of daily minimum wage for private sector workers used to rest with Congress until RA 6727 was passed into law in 1989, which created the Regional Wages and Productivity Board, which now determines the minimum wage in the regions.
“In the determination of wages, the Boards shall, among other relevant factors, consider the needs of workers and their families, the capacity to pay of employers, and the industry, comparable wages, and requirements for national development,” Zubiri said.
He said there is a need to increase the daily minimum wage since the purchasing power of the peso is affected by inflation.
“Given the urgency of the situation, a legislated wage increase is called for to ease the effect of wage erosion brought about by inflation. This measure proposes a P100 wage increase for workers in the private sector to help cover food, water, fuel, electricity, clothing, transportation, rent, communications, and other personal needs,” he added.
Zubiri, during the 19th Congress, led the push for a legislated daily wage increase. The Senate passed the bill on third reading in February 2024.
The House of Representatives, however, came up with its version of the bill, giving a P200 daily minimum wage increase to workers.
The House passed its version of the bill with only a few days left before the 19th Congress adjourned, thus both chambers failed to iron out the differing provisions in the bill.
