Publishing the Daily Minimum Wage Rates in Bicol Region (Region V) under Wage Order No. RBV-20

July 6, 2022 REVENUE MEMORANDUM CIRCULAR NO. 93-2022 SUBJECT : Publishing the Daily Minimum Wage Rates in Bicol Region (Region V) under Wage Order No. RBV-20 TO : All Internal Revenue Officials, Employees and Others Concerned For the information and guidelines of all internal revenue officers, employees and others concerned, we are publishing Wage Order No. RBV-20 which was issued on May 19, 2022 and published at Bicol Mail on June 02, 2022: Republic of the Philippines Department of Labor and Employment National Wages and Productivity Commission REGIONAL TRIPARTITE WAGES AND PRODUCTIVITY BOARD V WAGE ORDER NO. RBV 20 PROVIDING FOR A MINIMUM WAGE INCREASE FOR THE PRIVATE SECTOR WORKERS IN REGION V WHEREAS , the Regional Tripartite Wages and Productivity Board V (RTWPB) is mandated under Republic Act No. 6727, otherwise known as The Wage Rationalization Act, to periodically assess wage rates and conduct continuing studies in the determination of the minimum wage applicable in the region or industry; WHEREAS , the current Wage Order No. RBV-19 took effect on 21 September 2018; WHEREAS , the Board on 4 March 2020 approved Wage Order (WO) RBV-20 providing private sector workers a daily wage increase of Twenty-Five Pesos (P25.00) to be given in two tranches: Ten Pesos (P10.00) upon effectivity of the Wage Order and another Fifteen Pesos (P15.00) on 1 July 2020; WHEREAS , as required under the Rules, the said Wage Order was immediately transmitted to the National Wages and Productivity Commission (NWPC) for review and was calendared for the 12 March 2020 Commission Meeting which was cancelled due to pandemic-related circumstances; WHEREAS , the Board then agreed on 29 May 2020 to suspend the issuance of the WO RBV-20 and accordingly requested NWPC to hold in abeyance its review subject to periodic monitoring on the effects of the pandemic to the employers' and workers' sectors, which request was granted by the latter on 4 June 2020; WHEREAS , the Board during its regular meeting on 22 March 2022 received a petition filed by Solidarity of Unions in the Philippines for Empowerment and Reforms (SUPER) seeking a Four Hundred Forty Pesos (P440.00) per day minimum wage increase for all workers in the private sector in the region; WHEREAS , in the same meeting, another letter-petition was received from the Board's Labor Sector Representatives, seeking a Sixty-Five Pesos (P65.00) wage increase on top of the previously deliberated Twenty-Five Pesos (P25.00) increase back in March 2020; WHEREAS , after due notice to all stakeholders, the Board conducted public hearings on 26 April 2022 at Naga City, Camarines Sur and 28 April 2022 at Legazpi City, Albay to assess and determine the propriety of issuing a new Wage Order; WHEREAS , the Board received on 26 April 2022 another wage petition from Trade Union Congress of the Philippines (TUCP), which seeks a Four Hundred Forty Pesos (P440.00) per day increase in minimum wage for all private sector workers in Bicol; WHEREAS , the Board also received various position papers from the Management Sector, namely Metro Naga Chamber of Commerce and Industry (MNCCI), Macagang Business Center, Inc., Camarines Sur Chamber of Commerce and Industry (CSCCII) and Albay Chamber of Commerce of Industry (ACCI), elaborating their respective positions on the petitions for minimum wage hike; WHEREAS , in setting the minimum wage, the Board has to consider the various criteria under Republic Act No. 6727 , as well as the guidelines on the Two-Tiered Wage System ; WHEREAS , after a thorough review and evaluation, the following socio-economic indicators in the Region were considered: a. The Consumer Price Index in the Region was 102.7 in September 2018 and rose to 117.6 in April 2022. b. The Poverty Threshold in the Region is PhP335 for a family of 5 in CY 2018. c. Purchasing power of the Peso is P0.85 and real wage is P263.61 in Bicol as of April 2022. NOW THEREFORE , by virtue of the power and authority vested under RA No. 6727, RTWPB V hereby issues this Wage Order. Section 1. Amount of Increase. Upon effectivity of this Wage Order, minimum wage earners in the private sector in the Region shall receive a P35.00 basic wage increase per day and another P20.00 on 01 December 2022. Section 2. New Minimum Wage Rate. The new daily minimum wage rate in Region V shall be the following: Sectors/Industry Current Minimum Wage Rate Wage Order No. RBV-20 1st Tranche 2nd Tranche New Minimum Wage All Sectors/Industry P310.00 P35.00 P20.00 P365.00 Prior to the implementation of the 2nd tranche on 01 December 2022, the Board may convene to revisit the Wage Order in case of supervening condition. The government sector shall convene the National Government Agencies (NGAs) with programs to promote the welfare of MSMEs and workers and to provide access thereto. Section 3. Basis of Minimum Wage Rate. The minimum wage rate prescribed under this Order shall be for the normal working hours which shall not exceed eight (8) hours of work a day. Section 4. Covered. The wage increase prescribed herein shall apply to all minimum wage earners in the private sector within the region, regardless of their position, designation or status and irrespective of the method by which their wages are paid. Section 5. Penal Provision. Any person, corporation, trust, firm, partnership, association or entity who refuses or fails to pay the prescribed increase shall be dealt with pursuant to the provisions of Section 12 of RA No. 6727, as amended by RA No. 8188 . Section 6. Effectivity. This Wage Order shall take effect after fifteen (15) days from its publication in a newspaper of general circulation. APPROVED. This 19th day of May, 2022. Done in Naga City, Camarines Sur, Philippines. (SGD.) DANTE L. ENCINAS Workers' Sector Representative (SGD.) CLARINE P. TOBIAS Employers' Sector Representative (SGD.) LOPITO R. MENDOZA Workers' Sector Representative (SGD.) EDGARDO T. NAVARROZA Employers' Sector Representative (SGD.) AGNES M. ESPINAS-TOLENTINO, CESO III Vice-Chairperson National Economic & Development Authority V (SGD.) RODRIGO M. AGUILAR, CESO V Vice-Chairperson Department of Trade & Industry V (SGD.) MA. ZENAIDA A. ANGARA-CAMPITA, CESO III Chairperson Department of Labor and Employment V All concerned are hereby enjoined to be guided accordingly and to give this Circular as wide a publicity as possible. (SGD.) LILIA CATRIS GUILLERMO Commissioner of Internal Revenue ATTACHMENT Wage Order No. RBV-20 May 19, 2022