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Bicol Region Workers See Minimum Wage Increase to PHP480

Bicol: The newly approved minimum wage increase in the Bicol Region is anticipated to provide relief to workers amid rising costs while fostering stronger cooperation between employers and employees, a labor official stated.

According to Philippines News Agency, Imelda Gatinao, Director of the Department of Labor and Employment in Bicol (DOLE-5), highlighted that the PHP45 wage increase under Wage Order No. RBV-23 was determined based on consultations and data that reflect the region's economic realities. Gatinao explained that the previous minimum wage of PHP435 was below the estimated PHP460 poverty threshold, as per data from the Philippine Statistics Authority.

The new wage order stipulates that the daily minimum wage will rise to PHP480, implemented in two tranches: PHP20 effective April 8 and an additional PHP25 later in the year. This gradual implementation aims to mitigate the impact on businesses, particularly micro establishments. The wage increase is expected to benefit over 100,000 minimum wage earners in the region.

Gatinao emphasized that the decision by the tripartite wage board was balanced, considering that about 92.6 percent of establishments in Bicol are micro enterprises. "We had to determine how to address the gap while ensuring that small businesses, which are major sources of employment, are not heavily burdened," she said. The gradual implementation is intended to allow small businesses time to adjust while maintaining employment levels.

Workers have expressed mixed reactions to the wage adjustment. Nicole Sealna, a 22-year-old front office associate, welcomed the increase, though she noted it remains insufficient given rising prices. "Even if it's just a small amount, it will help my family and me, especially since I am the breadwinner," Sealna said. Graduating student Justine Michael Straubhaar views the wage adjustment as a step toward making local employment more viable for fresh graduates, expressing hope that the minimum wage will be sufficient for future endeavors in Bicol.