The Wage Rationalization Act No.6727, mandates the minimum wage rates in the Philippines 2020. It also authorized the Regional Tripartite Wages and Productivity Boards (RTWPBs) to determine the daily minimum wage rates. The daily minimum wage rate is computed based on industry (non-agriculture, agriculture plantation, non-plantation) per locality (differs per region) and in some cases depending on the number of workers and the capitalization of enterprises (retail and service).

     Last October 30, 2018, a new wage increase was issued under the Wage Orders which apply to all sector workers and employees receiving the daily minimum wage.This increase was implemented with an aim that all minimum wages shall always be above the poverty threshold to help workers and their families meet basic needs.

Minimum Wage Rates in the Philippines 2020
as of June 2, 2020

SUMMARY OF DAILY MINIMUM WAGE RATES PER REGION
Non- Agriculture, Agriculture
				AGRICULTURE
REGION	WAGE ORDER  No./ Date of Issuance	DATE OF EFFECTIVITY	NONAGRICULTURE	Plantation	Non-Plantation
NCR	WO 22/October 30, 2018	22-Nov-18	Php 500.00 – 537.00	Php 500.00	Php 500
CAR	WO 20/October 1, 2019	18-Nov-19	340.00 – 350.00	340.00 – 350.00	340.00 – 350.00
I	WO 20/March 19, 2019	30-Apr-19	282.00 – 340.00	295	282
II	WO 20/February 4, 2020	16-Mar-20	370	345	345
III	WO 22/November 27,2019	1-Jan-20	369.00-420.00	354.00-390.00	342.00-374.00
IV-A	WO 18/February 28, 2018	28-Apr-18	317.00 – 400.00	303.00 – 370.00	303.00 – 356.00
IV-B	WO 09/October 9, 2018	27-Nov-18	294.00 – 320.00	294.00 – 320.00	294.00 – 320.00
V	WO 19/August 14, 2018	21-Sep-18	310	310	310
VI	WO 25/October 22, 2019	26-Nov-19	310.00 – 395.00	315	315
VII	WO 22/November 26, 2019	5-Jan-20	356.00-404.00	351.00-394.00	351.00-394.00
VIII	WO 21/July 22, 2019	18-Aug-19	325	295	295
IX	WO 20/June 29, 2018	30-Jul-18	316	303	303
X	WO 20/October 9, 2018	1-Nov-18	343.00 – 365.00	331.00 – 353.00	331.00 – 353.00
XI	WO 20/June 27, 2018	16-Aug-18	396	391	391
XII	WO 21/December 16, 2019	2-Feb-20	336	315	315
CARAGA	WO16/April 2, 2019	1-May-19	320	320	320
BARMM	WO 01/November 13, 2019	1-Jan-20	300.00 – 325.00	290.00 – 300.00	290.00 – 300.00

CURRENT DAILY MINIMUM WAGE RATE IN NCR – National Capital Region

Per Wage Order No. NCR-22
Effective: 22 November 2018

Sector/Industry	Basic Wage/Integration of COLA	Basic Wage Increase	New Minimum Wage Rates
Non-Agriculture	₱512.00	₱25.00	₱537.00
Agriculture (Plantation and Non Plantation)	₱475.00	₱25.00	₱500.00
Retail/Service Establishments employing 15 workers or less
Manufacturing Establishments regularly employing less than 10 workers

This Wage Order covers the Cities of Caloocan, Las Pinas, Makati, Malabon, Mandaluyong, Manila, Marikina, Muntinlupa, Paranaque, Pasay, Pasig, Quezon, San Juan, Taguig, Navotas, and Valenzuela and Municipality of Pateros which  grants the following:

• ₱25.00/day basic wage increase for all sectors
• Integration of ₱10.00 COLA under Wage Order NCR-20 into the basic pay

Other Facts about Minimum Wage Rates in the Philippines 2020

• The following categories of establishments are exempted from the minimum wage order :
  1. Distressed establishments;
  2. Retail/service establishments regularly employing not more than ten (10) workers; and
  3.  Establishments adversely affected by natural calamities.
• Minimum wage earners are exempted from paying income tax according to the National Internal Revenue Code – RA 9504 but their additional income earned from employment, business or practice of profession is subject to income tax as well as  commissions and fixed monthly allowances received on top of the minimum wage. The following are exempted from income tax:
  1. Holiday pay
  2. Overtime pay
  3. Night shift differential pay
  4. Hazard pay
• Homeworkers and those who are paid on piece rate, sakada, takay, pakyaw or task basis, shall receive not less than the prescribed minimum wage rates under the Regional Wage Orders for normal working hours which shall not exceed eight (8) hours a day.
• Wage of apprentices and learners shall in no case be less than seventy-five (75%) percent of the applicable minimum wage rates.
• A qualified disabled employee shall be subject to the same terms and conditions of employment and the same compensation, privileges, benefits, fringe benefits or allowances as a qualified able bodied person based on Sec. 1 of
  RA 10524 or the Magna Carta for Persons with disability).

• Source:
  • DOLE – NATIONAL WAGES AND PRODUCTIVITY COMMISSION
  • Retrieved June 24, 2020