ILOILO City – Even if they intend to file an appeal, employers are still obliged to implement the new minimum wage that will take effect on June 5.
According to the Regional Tripartite Wages and Productivity Board (RTWPB) in Western Visayas, the appeal will not stay the execution of its wage order.
“Under the law, (despite) pending appeal it (wage hike) will be effective,” said Atty. Sixto Rodriguez Jr., director of the Department of Labor and Employment (DOLE) in Region 6 and RTWPB chair.
The Iloilo Business Club (IBC) recently urged the regional wage board to reconsider its wage order. It warned of its adverse effects to micro, small and medium enterprises (MSMEs) that are yet to recover from the economic consequences of the coronavirus pandemic.
Rodriguez said he had been assigned to other regions in the past and he did not know of an establishment that stopped operating due to wage increase.
On May 17, the National Wages and Productivity Commission (NWPC) affirmed the new minimum wage order in Region 6. The following day, the RTWPB of Western Visayas received the Commission’s decision.
According to IBC, the wage hike is not only “very ill-timed” but also “blatantly disregards the economic realities being faced by the business community in the province and city of Iloilo.”
Local businesses are just starting to recover from the adverse economic effects of the coronavirus pandemic, it pointed out.
But Rodriguez had a different view. He said since the economy in the region is almost back to normal operations, the status of workers should also be uplifted alongside their employers.
“I encourage employers to please follow the law and give what is due to their employees,” Rodriguez said.
For non-agricultural / industrial / commercial sector employing more than 10 workers, Wage Order No. RBVI-26 set the minimum daily wage at P450 from P395, and P420 from P310 for those employing 10 workers or less.
On the other hand, for those in the agricultural sector the minimum wage will be P410 from P315.
In another order (Wage Order No. RB6-DW-04), the RTWPB provides for a P500 increase in the monthly salary of domestic workers or P4,500 from P4,000.
“We have so many labor inspectors in the region and in the province. They will see to it that the wage order is implemented,” said Rodriguez.
He also clarified that the wage order is appealable regardless of the category of the employer.
However, it may take time since it will be decided by their higher authority like the NWPC, said Rodriguez.
“We respect the rights of employers. If they could not afford the wage hike, we will give them time to voluntarily comply with it rather than file a case against them and pursue labor litigation later on,” said Rodriguez.
IBC warned that businesses may be forced to suspend operations, lay off their workers or even shut down their doors because (the wage hike) would be too much for them.” (With a report from the Philippine News Agency/PN)
