Marcos orders review of economic impact of proposed P200 wage hike

Metro Manila, Philippines – President Ferdinand Marcos Jr. has ordered a careful review of the economic implications of the proposed P200 legislated daily wage hike recently approved by the House of Representatives, Communications Undersecretary Claire Castro said.

The directive comes after lawmakers passed House Bill 11376 on final reading Wednesday, with a vote of 171-1-0. The bill, known as the Wage Hike for Minimum Wage Workers Act, seeks to raise the minimum wage for private-sector workers across the country by P200.

In a palace briefing, Castro stressed that Marcos intends to weigh all economic consequences of the proposal before taking a position.

“Ito lamang po ang mensahe ng Pangulo and I quote, ‘We will look at the economic implications of these and how to resolve these with the opinion of the wage boards since the wage boards are also the creations of the Congress.’ So, nais po ng Pangulo na maibigay kung ano po ang makakabuti sa mga manggagawang Pilipino,” said Castro.

[Translation: We will look at the economic implications of these and how to resolve these with the opinion of the wage boards, since the wage boards are also creations of Congress. The president wants to ensure that what will be given is truly beneficial for Filipino workers.]

She added that the administration will take into account the views of all concerned sectors.

“Titingnan ang lahat ng aspeto at ang concerns ng lahat ng stakeholders. Iyon po. [All aspects and concerns of all stakeholders will be considered. That’s it],” she said when asked whether the President intends to sign the proposed measure once it reaches Malacañang. Castro clarified that the matter remains under Senate deliberation.

“Pag-aaralan pa po ito at nandiyan pa po ang Senado. Hindi pa po natatapos sa Senado ang usapin na iyan. Katulad po ng sinabi ng ating Pangulo, titingnan po ang anumang economic implications patungkol po dito pero nais po ng Pangulo na maibigay ang nararapat at mas makakabuti sa manggagawang Pilipino,” Castro added.

[Translation: This will still be studied and the matter is still with the Senate. That issue hasn’t been finalized in the Senate yet. As the President said, the economic implications of this proposal will be reviewed, but he wants to ensure that what will be provided is just and truly beneficial for the Filipino worker]

The bill has drawn backlash from several business groups, most notably the Employers Confederation of the Philippines (ECOP), which warned of the policy’s potential to harm the very workers it aims to help.

“Labor and their supporters in Congress are clutching at straws. They know fully well that the bill on the P200 minimum wage increase is dead in the water, as President BBM and all economic managers have often and strongly objected against legislated wage increase for its dire impact on the economy,” ECOP chairman Edgardo Lacson said in a message to reporters.