In a landmark development, the House of Representatives on Tuesday approved House Bill 11376, which proposes a P200 legislated wage hike for private sector workers. The bill gained overwhelming support with 171 lawmakers voting in favor and only one opposing, marking the first congressional wage increase passed in 36 years.
The proposed measure aims to provide much-needed relief for millions of minimum-wage earners in the country, who continue to struggle with rising living costs. Currently, minimum wage workers in Metro Manila earn P645 daily, while those in many other regions receive significantly less. Meanwhile, the estimated family living wage—considered the amount needed for a family of five to live decently—is approximately P1,200 per day.
House Bill 11376 aims to narrow this wide gap by mandating an across-the-board increase in daily wages for private sector workers nationwide. The bill will now move to a bicameral conference committee, where lawmakers from the House and Senate will reconcile differences with a separate Senate measure that seeks a P100 wage hike.
While the Senate’s version of the bill is more modest, the two chambers are expected to deliberate on a final amount that balances economic sustainability with the urgent need to uplift workers. Lawmakers backing the P200 increase argue that the higher rate is necessary to help Filipino families cope with inflation and the ongoing effects of the pandemic and global economic instability.
Labor groups have hailed the House’s move as a long-overdue recognition of the sacrifices made by workers who keep the country’s economy running. “This is a significant step forward,” said one labor leader. “For decades, wage adjustments were left to regional wage boards. A legislated wage hike is a stronger response to poverty and inequality.”
Business groups, however, expressed concern that a significant wage hike could burden micro, small, and medium enterprises (MSMEs), especially in regions with lower economic activity. Some have called for subsidies or tax relief to accompany the measure if enacted.
As bicameral discussions loom, the nation watches closely, hopeful that the final bill will deliver meaningful wage relief without derailing business recovery.