Around 1.2 million minimum wage earners in the National Capital Region (NCR) are set to receive a P50 daily minimum wage hike, the Department of Labor and Employment (DOLE) announced on Monday, 30 June.

The increase, unanimously approved by the NCR Regional Tripartite Wages and Productivity Board (RTWPB), raises the daily minimum wage in the non-agricultural sector from P645 to P695.

For workers in the agriculture sector, service and retail establishments employing 15 or fewer workers, and manufacturing establishments regularly employing fewer than 10 workers, the rate will rise from P608 to P658.

According to the National Wages and Productivity Commission (NWPC), the increase equates to an additional P1,100 monthly for a five-day workweek and P1,300 for a six-day workweek.

With the new rates, non-agriculture workers can expect a monthly take-home pay of approximately P15,247 for a five-day workweek and P18,216 for a six-day workweek. These amounts include mandatory social welfare benefits such as 13th-month pay, service incentive leave, SSS, PhilHealth, and Pag-IBIG.

The NCR wage board based its decision on the country’s 5.4 percent gross domestic product (GDP) in the first quarter of 2025, as reported by the Philippine Statistics Authority. It also cited NCR’s 1.7 percent inflation rate in May and the 5.1 percent unemployment rate in April.

The NWPC also noted that around 1.7 million full-time wage and salary workers earning above minimum wage may indirectly benefit from wage adjustments to address wage distortions—situations where the new minimum wage overlaps or eliminates differences between existing enterprise-level wage rates.

The wage hike takes effect on 18 July 2025, following the anniversary of the previous increase on 17 July 2024.

Retail and service establishments regularly employing no more than 10 workers, and businesses affected by natural or human-induced disasters, may apply for exemption. Registered Barangay Micro Business Enterprises (BMBEs) remain exempt from the minimum wage law.