A labor group has expressed its satisfaction over the recent approval of a P200 across-the-board wage increase for workers in the private sector.
The wage hike was approved by the House Committee on Labor and Employment, led by Rep. Fidel Nograles, as a substitute for House Bills 514, 756, 7871, and 10319—proposed laws aimed at implementing a wage increase across the country.
In an interview with Bombo Radyo, Elmer Forro, Secretary General of Bagong Alyansang Makabayan (BAYAN) – Panay, highlighted that the wage hike would help workers rise above the poverty threshold and contribute to the overall growth of the nation’s economy. Forro also expressed hope that the bill would be urgently approved in the 19th Congress.
The bill provides an exemption for small businesses and barangay micro-business enterprises to prevent placing a heavy burden on their operations.
Forro further urged employers to take part in efforts to boost the purchasing power of workers, which would result in higher sales and economic growth for businesses.
Under the P200 Daily Across-the-Board Wage Increase Act, all private sector employers, regardless of their size or industry—whether in agriculture or non-agriculture—are required to pay their employees an additional P200.
The bill also includes penalties for non-compliance, with fines ranging from P50,000 to P100,000, or imprisonment for two to four years. Employers who fail to pay the required wage increase will also be mandated to pay double the amount of unpaid benefits.
The Department of Labor and Employment (DOLE) will oversee the creation of the implementing rules and regulations for this new law.