Lawmakers slam NCR's P85 wage hike as 'inadequate'


WORKERS installed concrete blocks at the sidewalk along Elliptical Road in Quezon City as part of the LGU's sidewalk improvement project to enhance pedestrian safety.
Photo by Analy Labor for DAILY TRIBUNE
Two party-list lawmakers on Wednesday criticized the newly approved P85 wage increase for workers in the National Capital Region (NCR), saying it falls short of addressing the rising cost of living and the daily needs of Filipino families.
In separate statements, Kamanggagawa Party-list Rep. Eli San Fernando and Gabriela Women's Party-list Rep. Sarah Elago said the increase was inadequate and would only delay efforts to legislate a more substantial wage hike.
San Fernando argued that the wage adjustment fails to account for the decline in the purchasing power of the peso since 2018.
Citing data from the Philippine Statistics Authority (PSA), he said the peso's purchasing power has fallen by about 30 percent, effectively reducing the value of workers' daily wages by P100 to P200.
"How can the administration be so proud of this kind of insult to workers?" San Fernando said."Current wages are already stingy and insufficient to live with dignity, but the only increase they get is a measly P85."
San Fernando also questioned the timing of the wage hike announcement, noting that it coincided with the House Committee on Labor and Employment's discussions on proposals for a legislated wage increase.
He alleged that the administration intends to highlight the increase during President Ferdinand Marcos Jr.'s upcoming State of the Nation Address.
"The malicious intention is clear… don't fool the public," he said.
Elago echoed the criticism, saying the increase would quickly be offset by the 12 percent value-added tax (VAT)imposed on goods and services.
She argued that Filipino workers continue to shoulder the burden of rising prices despite the wage adjustment.
"The approval of a P85 wage increase for workers in the National Capital Region is long overdue, but it remains grossly insufficient to meet the daily needs of Filipino workers and their families," Elago said.
She urged the government to adopt broader measures to ease the cost of living, including removing VAT on basic necessities such as electricity, water, toll fees, and fuel.
"What Filipino workers need is a wage that can allow them to live and policies that prioritize their rights and welfare," she said.
San Fernando also renewed his call for a national minimum wage, saying current wage-setting mechanisms have failed to provide workers with a living wage.
"Looking forward, it is imperative that we recognize that failure and seriously consider measures that will abolish them in favor of a national minimum wage," he said."We will not back down on this. The struggle for labor justice continues, and no one—not the RTPWBs, not DOLE, not even the President himself—can derail our momentum."
The Department of Labor and Employment earlier announced that the P85 wage increase will be implemented in two tranches: P60 will take effect in July 2026, while the remaining P25 will be implemented in January 2027.