The Regional Tripartite Wages and Productivity Board IV-A (RTWPB IV-A) conducted its 1st and 2nd Public Hearings on the Proposed Minimum Wage Adjustment for the Formal Sector and Domestic Workers in Region IV-A (CALABARZON) on 25 August 2026, in Calamba City, Laguna, and 27 August 2026, in Lipa City, Batangas, respectively.

More than 500 representatives from the labor, management, employer, and domestic worker sectors took part in the discussions, presenting their respective positions and raising key issues surrounding the proposed minimum wage adjustment.

Labor representatives emphasized the continuing decline in workers’ purchasing power due to inflation and the increasing cost of basic goods and services. During the hearings, one representative noted that while the current minimum wage in Region IV-A is ₱600 per day, its purchasing power has significantly declined, with its real value estimated at around ₱444.

Some labor groups, including representatives of minimum wage earners, called for a ₱666 daily wage increase to help address the gap between current wages and the amount needed by families to meet their basic needs.

To help businesses manage the impact of higher wages, labor representatives proposed that the government explore a minimum wage subsidy funded through taxes. They also highlighted the importance of union rights and direct negotiations between workers and management to allow compensation to reflect the actual capacity and performance of individual companies.

Meanwhile, management and employer representatives emphasized the need for a predictable and sustainable wage-setting framework. They proposed having a longer-term outlook, preferably covering five to ten years, to allow businesses, particularly foreign investors, to properly plan their operations, investments, and labor costs.

Representatives of micro, small, and medium enterprises (MSMEs) highlighted the various operational costs they face, including government-mandated expenses, senior citizen and PWD discounts, leave differentials, regulatory requirements, compliance costs, and red tape. Employers also explained that an increase in the basic wage does not only affect employees’ salaries. It may also increase employer obligations for SSS, PhilHealth, and other mandatory contributions, as well as expenses linked to gross-based local business permits and other operating costs.

Representatives from the Employers Confederation of the Philippines (ECOP) also defended the existing multi-tier wage classification in Region IV-A, explaining that a single wage rate across the region could place greater pressure on smaller or slower-growing municipalities compared with highly industrialized and urbanized areas.

They therefore urged the Board to carefully consider the impact of any wage adjustment on business sustainability, employment, investments, and long-term economic growth. One management representative also suggested that the government explore direct wage subsidies of ₱2,000 as a possible way to supplement workers’ income while minimizing the immediate burden on businesses.

The two public hearings highlighted the different concerns and priorities of the labor and management sectors. While labor representatives emphasized the urgent need to improve workers’ purchasing power and address the rising cost of living, management and employers stressed the importance of ensuring that wage adjustments remain sustainable and predictable for businesses.

The views, concerns, and recommendations presented during the public hearings will form part of the RTWPB IV-A’s continuing review and evaluation of the proposed minimum wage adjustment as the Board deliberates on an appropriate wage policy for workers in Region IV-A. (Ma. Khelly Ann J. Victoriano)