The adjustment will “protect around more than a million minimum wage earners” from “undue low pay” and restore “purchasing power of minimum wage earners” after the escalation of prices for basic goods, commodities and petroleum,” the department said. The region’s last daily wage increase was in November 2018, it said.
The move comes as the government tries to contain inflation, which quickened to 4.9% in April, the fastest pace since December 2018, on higher prices of basic commodities. Central bank Governor Benjamin Diokno said earlier this month that supply disruptions have contributed to inflationary pressure and warranted “closer monitoring” for timely intervention to prevent potential second-round effects.
The daily wage rate and minimum monthly salary were also raised in Western Visayas, central Philippines, the department said, adding that this would benefit around 375,000 workers.
