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Undated photo shows a man counting Philippine Peso bills inside a store in Manila, Philippines.
AFP / File
MANILA, Philippines — The first legislated wage hike in more than three decades is up for third reading at the House of Representatives. But with just two weeks left before the 19th Congress adjourns, its fate remains uncertain.
“We’ll see,” House Speaker Martin Romualdez said on Monday, June 2, adding that the lower chamber would simply “leave it up to the process.”
House Bill 11376, or the Wage Hike For Minimum Wage Workers Act, proposes a P200 daily increase in the minimum wage of private sector workers, regardless of whether they’re regular or not.
To ease the burden on small businesses, the measure also seeks to provide compliance incentives through the Department of Labor and Employment (DOLE).
Although the bill passed second reading in February, it has since stalled. Labor groups and the bill’s proponents have called on President Ferdinand “Bongbong” Marcos Jr. to certify the measure as urgent.
Despite mounting calls for wage increases, Marcos remained cautious about the bill even on Labor Day, repeating his January view that any hike should undergo careful review to avoid hurting businesses and potentially fueling inflation.
“With regard to the discussion on wage hike, it is nice to hear sweet promises, but these have an effect on the growth of businesses, jobs and the economy. So we need to study them carefully,” he said on May 1.
Reluctance. Some economists, however, argue that businesses can afford the proposed wage hike. The real issue, they say, is the reluctance to allocate a greater share of profits to workers.
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Romualdez, a cousin of the president, also gave no firm assurance on the bill’s passage, deferring instead to “the wisdom and sound discretion of the plenary.”
The third reading allows no further amendments. If the bill passes, it will proceed to the bicameral conference committee, where the Senate and House versions will be harmonized before final approval and transmission to the president.
Calls. Rep. Raymond Democrito Mendoza (TUCP Party-list), one of the bill’s principal authors, said on May 30 that there should be no reason to delay its passage, noting it cleared second reading without opposition and the Senate unanimously approved its own P100 wage hike bill earlier in 2024.
The National Wage Coalition also rallied outside the House of Representatives on Monday, calling for the bill’s final passage. The group said the proposed wage hike would boost productivity, spur economic growth and help workers keep up with the rising cost of basic goods and services.
“With only six session days left in June, every Filipino worker and their family is counting on the commitment of Speaker Ferdinand Martin G. Romualdez and the members of the House of Representatives to be truly the House of the People,” the coalition said in a statement.
If bill becomes law. If passed in its current form, the wage hike bill would raise the daily minimum wage in Metro Manila to P845, up from the current P645. In other regions, daily wages would end up ranging from P560 to P760.
However, according to an analysis by economic think tank IBON Foundation, these figures still fall short of the estimated family living wage, which exceeds P1,200 per day. There are around five million minimum wage earners nationwide.
RELATED: City, province workers get different pay for same work. Why labor groups say it's unfair
