Davao city: The Department of Labor and Employment in Davao Region (DOLE-11) announced Friday that the second tranche of the minimum wage increase for private sector workers will take effect on Sept. 1 under Wage Order No. RB XI-24. The order raises the daily minimum wage for agricultural workers from PHP515 to PHP525, while those in the non-agriculture sector will see an increase from PHP525 to PHP540. The first tranche took effect on March 13, 2026.

According to Philippines News Agency, DOLE-11 Regional Director and Regional Tripartite Wages and Productivity Board (RTWPB-11) Chairperson Dax Villaruel called on employers to comply with and fully implement the new wage rates. "Employers are encouraged to implement the mandated wage adjustments as a concrete expression of respect for workers' rights and recognition of their valuable contributions to the enterprise," Villaruel said.

He emphasized that compliance with labor standards promotes workers' welfare, industrial peace, productivity, and a healthy workplace. "Compliance with the prescribed minimum wage is part of the regular labor inspection agenda of DOLE. Labor inspectors will verify establishments' compliance with the wage order during routine inspections," he added.

Villaruel noted that past inspection records show minimum wage payment consistently ranks among the top areas of non-compliance. However, Barangay Micro Business Enterprises (BMBEs) with valid Certificates of Authority from the Department of Trade and Industry are exempt from the minimum wage law under Republic Act 9178, or the Barangay Micro Business Enterprises Act of 2002.

The wage adjustment was issued following consultations by RTWPB-11, including a public hearing in February 2026. It applies to all minimum wage earners in the private sector across the region, regardless of position, designation, or status, and irrespective of the method of wage payment.