2nd NCR wage order in effect as 1st order still in court

MANILA, Philippines — A second wage order for an estimated 1.1 million workers in Metro Manila took effect on Saturday even as an earlier wage order remained pending in court despite its injunction being barred by law.

On Sept. 7, the Regional Tripartite Wages and Productivity Board in the National Capital Region (NCR) issued Wage Order (WO) No. 28—which took effect on Sept. 26, the Department of Labor and Employment (Dole) announced that day.

This order raises by P60 the minimum wages in the NCR of P695 in the nonagricultural sector and P658 in the agricultural sector.

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READ: Wage order raising NCR minimum pay by P60 takes effect

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But the wage board issued an earlier order, WO 27, in July. This was supposed to provide an P85 increase in two tranches—P60 starting July 25 and the remaining P25 in January 2027.

Amid opposition by business groups to that “historic” wage increase, as Labor Secretary Francis Tolentino described it, construction companies Readycon Training & Construction Corp. in Pasig City and R-II Builders Corp. in Diliman, Quezon City, challenged WO 27 on July 23 before the Pasig Regional Trial Court-Branch 152.

The court headed by Presiding Judge Marie Joyce Manongsong then issued a temporary restraining order (TRO) on July 30 despite that injunction being barred by law.

READ: PH wage hike seen offering limited boost to consumption

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Unpaid bond

The Wage Rationalization Act of 1989 (Republic Act 6727), which amends the Labor Code, states that “No preliminary or permanent injunction or temporary restraining order may be issued by any court, tribunal or other entity against any proceedings before the Commission or the Regional Boards.”

The Pasig court itself acknowledged that provision but still issued its TRO, with the presiding judge stating there was a need “to make a determination on how the constitutional right of businesses to reasonable returns to investment and to expansion and growth should be weighed against the workers’ interests in the context of wage fixing.”

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Upon the TRO’s lapse on Aug. 13, she extended the suspension of WO 27 by issuing a writ of preliminary injunction with a P10-billion bond — which Readycon and R-II Builders, however, have yet to post.

SC order on 2 firms

Late last month, labor groups led by Kamanggagawa party list subsequently challenged the suspension of WO 27 before the Supreme Court.

But Readycon and R-II Builders have yet to comply with the high court’s order directing them to respond to Kamanggawa’s petition.

Labor groups have also asked the Judicial Integrity Office of the Supreme Court to look into the orders issued by the Pasig court.

Back pay from WO 27

“If Dole had stood firm that the court had no jurisdiction over the wage increase issue, it would have been clear that there would be no injunction because there was no P10-million bond,” Trade Union Congress of the Philippines spokesperson Carlos Miguel Oñate said in August.

“We should have already received more than P3,000 in back pay, as well as the guaranteed P25 increase coming in January next year,” he said.

Other labor groups also emphasized that back wages are still due from WO 27.

Federation of Free Workers president Sonny Matula said his group would still pursue the delayed salary increase from that order.

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“We are not giving up on Wage Order No. 27,” Matula said. “The workers lost income while the case dragged on. Accountability means more than finding out what happened—it means making sure workers receive what they were supposed to receive.” /das