Minimum Wage Hike Palace Under Review
3 min read
APRIL 02,2025
MANILA, Philippines – The proposed P200 across-the-board minimum wage increase is under review by the Regional Tripartite Wages and Productivity Board (RTWPB), a Palace official confirmed on Wednesday. This follows calls from the Trade Union Congress of the Philippines (TUCP) urging President Ferdinand Marcos Jr. to certify the wage hike bill as urgent. The proposed wage hike is aimed at helping workers cope with rising inflation and the increasing cost of living.
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Ongoing Review of Minimum Wage Adjustment Across Regions
Palace Press Officer Claire Castro emphasized that President Marcos has instructed labor officials to follow the labor code and conduct a thorough salary review across all regions. The review will consider factors such as inflation, cost of living, and economic conditions in different areas of the country.
“Our President’s directive is clear: follow the labor code. He also instructed the Regional Tripartite Wages and Productivity Board to review salaries in every region,” Castro explained during a briefing.
The review is currently underway in 16 regions, and several areas have already raised wages, she added. This shows a commitment to fair wage adjustments that reflect the economic realities in various provinces.
TUCP’s Appeal for Immediate Action
The TUCP has been pressing Marcos to prioritize the wage hike. They argue that higher wages are crucial to addressing the rising inflation and living costs. Many workers are struggling with the increased prices of basic goods and services, and the P200 wage increase is seen as a step toward improving their quality of life.
However, in a January interview, Marcos emphasized the need for more study before approving the increase.
“We have a tripartite board that determines wage increases. We must carefully study how this aligns with existing policies. Congress created this board to set minimum wages,” the President explained.
Striking the Balance Between Minimum Wage Hikes and Economic Stability
The President acknowledged that inflation remains a challenge and that prices of goods continue to rise. Rising fuel costs and supply chain disruptions have contributed to the surge in prices of daily necessities, making it harder for low-income families to meet their needs.
“We’ll try to find a solution. As you know, inflation is still an issue, and prices continue to increase. We haven’t fully brought it under control,” Marcos said.
Economic experts warn that while wage hikes are necessary for worker welfare, they must be balanced with overall economic stability. Excessive increases could lead to inflationary pressures, negatively impacting businesses and the economy. The government is tasked with ensuring that any adjustments support both workers and the country’s economic health.
As discussions continue, both workers and business owners are closely monitoring the situation. They want to see how the government will balance wage adjustments with economic stability and business sustainability. The Regional Tripartite Wages and Productivity Board will be key in shaping the next steps.
Looking Ahead
The debate over the proposed wage hike highlights the broader economic challenges facing the Philippines. It underscores the need for policies that foster economic growth, job creation, and the protection of workers’ rights. As the government navigates these complexities, it will be essential to keep both workers’ needs and business sustainability in mind.
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