Global Policy Update:Philippines NCR Minimum Wage to Increase

Employment (DOLE) announced that approximately 1.2 million minimum wage earners in the National Capital Region (NCR) will receive a ₱50 daily wage increase, effective July 18, 2025.

This adjustment was unanimously approved by the NCR Regional Tripartite Wages and Productivity Board (RTWPB-NCR). The new wage rates are as follows:

• Non-agricultural sector:
  Daily wage increased from ₱645 to ₱695
• Agricultural and micro-enterprises:
  Daily wage increased from ₱608 to ₱658
  (Applicable to retail/service establishments with ≤15 workers and manufacturing firms with ≤10 workers)

According to estimates from the National Wages and Productivity Commission (NWPC):

• Monthly income increase:
  +₱1,100 for a 5-day workweek,
  +₱1,300 for a 6-day workweek
• Adjusted monthly take-home pay (including 13th-month pay, paid leaves, and social security):
  • Non-agricultural workers:
    ₱15,247 (5-day) / ₱18,216 (6-day)

Policy Rationale:

• Q1 2025 GDP growth: 5.44%
• May inflation rate (NCR): 1.7%
• April unemployment rate: 5.1%

Implementation Details:

• Daily wage adjustment: +₱50
  (Equivalent to a 7.75%–8.22% increase)

• Effective Date: July 18, 2025

Exemptions:

√ Retail/service firms with ≤10 employees

√ Distressed establishments

√Registered Barangay Micro Business Enterprises (BMBEs)

Employer Action Points:

√ Update payroll systems before July 18

√ Adjust SSS, PhilHealth, and other social security contributions accordingly

Source:

Philippine Department of Labor & Employment (DOLE), Philippine Statistics Authority (PSA)
Reference link

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