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NCR wage board grants ₱50 daily minimum wage increase

Around 1.2 million minimum wage earners in the National Capital Region (NCR)will receive a daily minimum wage increase of P50, Department of Labor and Employment (DOLE) Secretary Bienvenido E. Laguesma announced today. The increase, which was unanimously approved by the NCR Regional Tripartite Wages and Productivity Board (RTWPB) through wage order no. 26, is the highest ever granted by the NCR wage board and will bring the daily minimum wage rate in NCR from P645 to P695 for the non-agriculture sector, and from P608 to P658 for the agriculture sector, service and retail establishments employing 15 or less workers, and manufacturing establishments regularly employing less than 10 workers.

The increase is set to take effect on 18 July 2025, immediately after the anniversary date of the last minimum wage increase in NCR which took effect on 17 July 2024.

According to the National Wages and Productivity Commission (NWPC), the amount of increase is equivalent to an increase of ₱1,100 per month for a five-day workweek, and ₱ 1,300 for a six-day workweek. Under the new rate, non-agriculture workers will have a monthly take-home pay of about ₱P15,247 to ₱P18,216 for a five-day and six-day workweek, respectively, inclusive of mandatory social welfare benefits such as 13th month pay, service incentive leave, SSS, PhilHealth and Pag-IBIG.

In authorizing the increase, the NCR wage board considered the gross domestic product (GDP) which was at 5.4% in the first quarter of 2025, according to the latest data from the Philippine Statistics Authority. The board also noted that the inflation rate in NCR had eased to 1.7% in May 2025, while the latest unemployment rate as of April 2025 was at 5.1%.

Secretary Laguesma said that in deciding the amount of minimum wage increases, the role of the wage boards is to balance the rights of workers to be protected from unduly low pay and of management to reasonable profits, as well as the overall development objectives of promoting employment and productivity and preventing inflation.

Secretary Laguesma added that the issuance of the new wage order is in line with the standing directive of President Ferdinand R. Marcos, Jr. for the timely and regular review of regional minimum wage rates to reduce uncertainty, enhance fairness for all stakeholders, and foster a stronger link between productivity and wages. Between 2023 and 2025, the daily minimum wage rate for private sector workers in NCR has increased by a total of P125.

Secretary Laguesma also said that DOLE shall undertake a massive information campaign to ensure public awareness and closely monitor compliance by enterprises with the wage order through labor inspection.

According to the NWPC, about 1.7 million full-time wage and salary workers earning above the minimum wage may indirectly benefit from wage adjustments at the enterprise level arising from the correction of wage distortions. A wage distortion occurs when the new minimum wage overlaps with or reduces or eliminates the difference between the wage rates set at the enterprise level and the previous minimum wage. NWPC Advisory No. 01, Series of 2023, provides guidance to correct possible wage distortions.

Retail and service establishments regularly employing not more than ten (10) workers, and enterprises affected by natural calamities and/or human-induced disasters may apply for exemption from the wage increase. Registered Barangay Micro Business Enterprises (BMBEs) are not covered by the minimum wage law.

The NCR wage board is the first to issue a wage order in the 2025 round of possible regional minimum wage increases. Between July and August, public consultations on a new wage order will be conducted by the regional boards of I, II, III, IV-A and VII.

For further clarifications and other concerns, RTWPB-NCR can be reached through rbcnr@nwpc.dole.gov.ph.

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