CALABARZON minimum wage’s value drops, says labor groups

The purchasing power of CALABARZON’s P600 daily minimum wage has fallen to an estimated P444 due to inflation, labor representatives warned as the regional wage board conducts public consultations on potential pay adjustments.

More than 500 stakeholders representing labor, management, employers and domestic workers gathered for public hearings held in Calamba City, Laguna and Lipa City, Batangas, as part of the Regional Tripartite Wages and Productivity Board IV-A’s ongoing review.

Labor leaders argued that persistent inflation and the rising cost of basic goods continue to erode workers’ real income.

Some labor organizations proposed a P666 daily wage increase, asserting that a substantial raise is essential to bridge the gap between current pay rates and household living expenses.

Employers urged the wage board to evaluate the potential impact of higher labor costs on corporate sustainability, job retention and regional investments.

Representatives from micro, small, and medium enterprises highlighted expanding operational and regulatory overhead. Business representatives noted that hikes in basic pay would automatically trigger higher mandatory government contributions and associated employment expenses.

Management representatives also defended CALABARZON’s tiered wage scale, arguing that a uniform regional rate would place an unsustainable strain on businesses in smaller municipalities compared to those in heavily industrialized centers.

As an alternative, one management representative suggested a P2,000 direct monthly wage subsidy from the government to assist workers without burdening employers.

Daily minimum wages in CALABARZON currently range from P508 to P600, depending on the sector and municipal classification. The rates apply to workers across Cavite, Laguna, Batangas, Rizal and Quezon.

The wage board will evaluate the submissions from both labor and management sectors before issuing a decision. No new wage order has been approved so far.