The Regional Tripartite Wage and Productivity Board (RTWPB) XI has issued Wage Order No. RB-XI-21 that granted an increase in minimum wage for workers in various sectors in Davao Region.
After series of consultation and conduct of public hearing, workers have been granted a Php47 wage hike in two (2) tranches, Php31 upon effectivity of wage order on 19 June 2022 and Php16 on 01 January 2023, which brings the minimum wage rate to Php443 for the non-agriculture and Php438 for the agriculture sector. Meanwhile, for retail/service establishments employing not more than 10 workers, wage increase is granted in three (3) tranches. An additional Php15 is given on 01 April 2023.
It can be observed that the board has simplified the classification of workers in the new wage order: (a.) non-agriculture (industrial, commercial, retail, and service regardless of the number of employees), and (b.) agriculture, in comparison to the previous wage order that took effect on 16 August 2018 which had three (3) classifications, setting apart establishments in retail and service employing not more than 10 workers.
In addition, RTWPB XI has issued Wage Order No. RB XI-DW-02 providing for minimum wage rate increase for domestic workers across the region which grants domestic workers a new and unvaried monthly minimum wage rate of Php4,500. In the previous wage order, which took effect on 16 December 2017, the minimum wage rate of domestic workers were based on two (2) area classifications: (a.) chartered cities and first class municipalities and (b.) other municipalities with Php3,000 and Php2,000 minimum wage rates respectively.
DOLE XI Regional Director Atty. Randolf C. Pensoy, who acts as the Chairman of the board, mentioned in a statement that the board thoroughly reviewed and evaluated the existing socio-economic conditions in the region considering the Consumer Price Index in Region XI as of April 2022 and the poverty threshold based on the latest available data provided by the Philippine Statistics Authority. After full implementation of the tranches, the minimum wage rate in Davao Region will range from Php438 to Php443. The wage increase is expected to protect 154,763 minimum wage earners in private establishments regardless of their position, designation or status and 64,111 domestic workers in the region.