P100 Daily Minimum Wage Increase Act of 2025

TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES First Regular Session JUL -7 A8:47 SENATE Ri.: Senate Bill No. 141 Introduced by Senator Juan Miguel F. Zubiri AN ACT PROVIDING FOR A ONE HUNDRED PESOS (P100.00) DAILY MINIMUM WAGE INCREASE FOR EMPLOYEES AND WORKERS IN THE PRIVATE SECTOR EXPLANATORY NOTE

Section 9, Article II of the 1987 Constitution states that, "The State shall

promote a just and dynamic social order that will ensure the prosperity and independence of the nation and free the people from poverty through policies that provide adequate social service, promote full employment, a rising standard of living, and an improved quality of life for all." The Regional Wages and Productivity Boards created by virtue of Republic Act No. 6727 prescribe the minimum wages for workers in the private sector. Prior to the enactment of this law, the determination of minimum wage for workers rested with . Congress. In the determination of wages, the Boards shall among other relevant factors, consider the needs of workers and their families, capacity to pay of employers and the industry, comparable wages, and requirements for national development. At present, the National Capital Region (NCR) has the highest daily nominal wage rate for non-agricultural workers at Php645.00, while the Bangsamoro Autonomous Region in Muslim Mindanao has the lowest rate for non-agricultural workers, which ranges from Php336.00 to Php361.00, depending on the area. Given the urgency of the situation, a legislated wage increase is called for to ease the effect of wage erosion brought about by inflation. This measure proposes a Php100.00 wage increase for workers in the private sector to help cover food, water,

fuel, electricity, clothing, transportation, rent, communications and other personal needs. In view of the foregoing, the passage of this bill is earnestly sought. JUAN MIGUEL F. ZUBIRT

TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES First Regular Session 25 JLL -7 18:47 SENATE Senate Bill No. Introduced by Senator Juan Miguel F. Zubiri AN ACT PROVIDING FOR A ONE HUNDRED PESOS (P100.00) DAILY MINIMUM WAGE INCREASE FOR EMPLOYEES AND WORKERS IN THE PRIVATE SECTOR Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION 1. Short Title - This Act shall be known as the "P100 Daily Minimum

Wage Increase Act of 2025".

SEC. 2. Declaration of Policy. - It is a policy of the State to alleviate the living

conditions of the ordinary Filipino through policies that provide for a decent and humane standard of living and improved quality of life, particularly of the working class by ensuring the right of labor to its just share in the fruits of production, to guarantee the workers' right to a living wage, and to promote social justice through the adoption of measures calculated to ensure the well-being and economic security of all the members of the community.

SEC. 3. Wage Increase. - The daily rate of all minimum wage workers in the

private sector, regardless of employment status, including those in contractual and subcontractual arrangements, whether agricultural or non-agricultural, shall be increased by One hundred pesos (P100.00) upon the effectivity of this Act. Nothing in this Act shall prevent the respective Regional Tripartite Wages and Productivity Boards to grant additional increases to the workers and employees on the basis of their determination pursuant to Republic Act No. 6727, otherwise known as the "Wage Rationalization Act," as amended.

SEC. 4. Correction of Wage Distortion. - Where a wage distortion occurs as

a result of the increase in minimum wage under this Act, the employer and the union, or

the employer and the workers, in the absence of a union, shall negotiate to correct the distortion in accordance with the provisions of Article 124 of Presidential Decree No. 442 or the "Labor Code of the Philippines," as amended, and other existing laws, rules and regulations.

SEC. 5. Non-Chargeability of Prior Increases. - No wage increase shall be

credited as compliance with the increase prescribed herein unless expressly provided under valid collective bargaining agreements: Provided, That such wage increase was granted in anticipation of the minimum wage increase under this Act: Provided, further, That where such increase is less than the prescribed increase under this Act, the employer shall pay the difference. Such increases shall not include anniversary wage increases, merit wage increases and those resulting from the regularization or promotion of employees.

SEC. 6. Non-Diminution of Other Benefits. - Nothing in this Act shall be

construed to reduce any existing allowance and benefit of any form under existing laws, decrees, issuances, executive orders and any contract or agreement between workers and employers.

SEC. 7. Inspection by the DOLE. - The Department of Labor and Employment

(DOLE) shall conduct inspection of payroll and other financial records kept by the company or business to determine whether the workers are paid the prescribed minimum wage increase and other benefits granted by law. The said inspection may take place at any time of the day or night, whenever work is being undertaken. In unionized companies, the DOLE inspectors shall always be accompanied by the president or any responsible officer of the recognized bargaining unit or of interested union in the conduct of the inspection. In non-unionized companies, establishments or businesses, the inspection should be carried out in the presence of a workers' representative.

SEC. 8. Penalties. - Any person, corporation, trust, firm, partnership,

association or entity violating any provision of this Act shall be punished by a fine of not less than Fifty thousand pesos (P50,000.00) but not more than One hundred thousand pesos (P100,000.00) plus moral damages for each affected worker and the costs of litigation including attorney's fees, or imprisonment of not less than two (2) years nor more than four (4) years, or both at the discretion of the court: Provided, That if the violation is committed by a corporation, trust or firm, association or any other entity, the 34 penalty of imprisonment shall be imposed upon the entity's responsible officers including,

but not limited to, the president, vice president, chief executive officer, general manager, managing director or partner. The employer concerned shall be ordered to pay an amount equivalent to double the unpaid benefits owing to the employees: Provided, That the payment of indemnity shall not absolve the employer from the criminal liability imposable under this Act: Provided, further, That any person convicted under this Act shall not be entitled to the benefits provided for under the Probation Law. In case a fine and/or indemnity is decreed by the National Labor Relations Commission (NLRC) against person/s who violated the provisions of this Act and cannot be immediately satisfied because of the refusal to pay, or in case of the unavailability or inadequacy of funds, the bank deposits, financial interests and other personal property not capable of manual delivery in the possession or control of third parties of the owner in case of sole proprietorship or the assets of the corporation, association or any other entity, shall be garnished. If such properties are not enough, movable and immovable properties may be levied to fully satisfy the imposed fines and/or indemnities. Failure on the part of any corporation, trust or firm, partnership, association or any other entity to comply with the provisions of this Act shall be a ground for non- renewal of business permits.

Sec. 9. Construction in Favor of Labor. - All doubts in the implementation

and interpretation of the provisions of this Act, inciuding its implementing rules and regulations, shall be resolved in favor of labor.

Sec. 10. Implementing Rules and Regulations. - The Secretary of Labor

and Employment shall promulgate the necessary rules and regulations for the effective implementation of this Act.

Sec. 11. Separability Clause. - If any provision or part of this Act is heid

unconsitutional, the remainder thereof not otherwise affected shall remain in full force and effect.

Sec. 12. Repealing Clause. - All laws, decrees, executive orders, rules and

regulations and other issuances or parts thereof which are inconsistent with this Act are hereby repealed, amended or modified accordingly.

Sec. 13. Effectivity Clause. - This Act shall take effect after fifteen (15) days

following the completion of its publication either in the Official Gazette or in a newspaper of general circulation. Approved,