Metro Manila, Philippines – The Labor Department said the government will provide three-month subsidies to help struggling small and medium enterprises (SMEs) comply with recent wage adjustments and prevent layoffs.

In a news release on Wednesday, Sept. 30, the Department of Labor and Employment said the subsidies will be distributed through the Sagip-Trabaho Program.

It said this will help SMEs against resorting to layoffs, scaled-down operations, or shutdowns, while guaranteeing that their daily minimum-wage workers will receive their approved adjusted wage.

The subsidy will run from October to December and will cover ₱180 per employee, capped at 35 employees.

Implementation will begin in Metro Manila in light of the ₱60 wage increase approved in September, while the effectivity in other regions will be relative to the adoption of the wage adjustments by the regional wage boards.

DOLE reminds employers to continue paying government contributions to SSS, PhilHealth, Pag-IBIG, and the Employees’ Compensation Commission. Similarly, secure job stability and adhere to standard labor laws.

Sagip-Trabaho is part of the government’s Unified Package for Livelihood, Industry, Food and Transport (UPLIFT) that helps vulnerable sectors in light of the Middle East.