Solon, DOLE chief clash over P85 wage hike implementation in Metro Manila

MANILA, Philippines — Kamanggagawa party-list Rep. Elijah San Fernando and Labor Secretary Francis Tolentino clashed on Tuesday over the P85 daily minimum wage increase for Metro Manila workers.

San Fernando believes it should already be enforced as one criterion for the injunction has not been met.

His view was expressed at the House hearing on the Department of Labor and Employment (DOLE) proposed budget for 2027.

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The lawmaker maintained that Wage Order No. 27 — which grants a P85 wage increase in two tranches —  should be in effect because the petitioners have admitted that they could not post the P10 billion bond required by the Pasig Regional Trial Court (RTC).

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The injunction bond serves as security for damages to the parties involved should the court decide to reverse its decision. 

According to San Fernando, during the House committee on appropriations’ hearing on the judicary’s proposed 2027 budget, Court Administrator Ma. Theresa Gomez-Estoesta confirmed his belief that an injunction cannot be implemented if there is no bond posted.

“In the absence of a writ, nothing stops the DOLE from implementing the wage increase,” San Fernando said in Filipino.  

“If that is the case, Secretary, why doesn’t the [DOLE] implement Wage Order No. 27? You yourself said that you stand by the government’s view that if there is no bond, there is no injunction,” the lawmaker asked the labor secretary.

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“Therefore, the wage increase for minimum wage earner should have been implemented and given since July 25,” San Fernando told Tolentino.

“Yesterday, the judiciary said during their budget hearing, if there is no bond, there is no injunction. Therefore, Wage Order No. 27 should be in effect,” San Fernando recalled.

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He then asked Tolentino for Dole’s stance on the implementation of the wage order.

READ: Dole seeks to lift injunction vs. P85 NCR wage hike

Tolentino answered in a manner that echoes the position of the Office of the Solicitor General, noting that  “sans a posting of the bond, the writ is not in order.”  

San Fernando once again asked why the agency could not enforce the wage order if the secretary himself said that he recognizes that there is no injunction if there is no bond.

Tolentino answered that DOLE believes the lifting the injunction “is not a matter of self help.”

He added: “This means that it is not (up to) Dole and litigants to decide if the process is wrong. The court will decide on this.”

San Fernando reiterated his point and stressed that the Pasig RTC does not have jurisdiction over the case in the first place.

He cited the Article 126 of the Labor Code where the provision prohibits any courts or entity from suspending any wage order issued. 

“So what the Dole is saying is that no matter how long your explanation is, at the end of it all, you’re saying that you will not implement the wage hike,” Fernando was seeking clarification from Tolentino.

READ: NCR wage hike: SC urged to intervene after Pasig RTC extends suspension

Tolentino said that he did not mean that DOLE does not want to implement the order. But he reiterated that “this depends on the decision of the judge.”

He added, “I will not argue even if this will be aired on social media.”

The lawmaker then told the secretary that under the Republic Act No. 6727 or the Wage Rationalization Act, regional wage boards have the authority to determine wages. 

For his part, Tolentino said that he issued Administrative Order (AO) 264 which provides for unified guidelines for the implementation, monitoring and exemption from wage orders.

Dole earlier said the AO mandates the agency to ensure “that approved wage orders are effective and immediately executory 15 calendar days after its complete publication in a newspaper of general circulation.”

After hearing the secretary’s position, San Fernando moved to defer the committee’s consideration of DOLE’s proposed budget for next year, except for the Technical Education and Skills Development Authority.

The deferment recommendation was seconded by Akbayan party-list Rep. Percival Cendaña.

However, Cagayan de Oro Rep. Rufus Rodriguez objected to the motion.

This situation led to divide lawmakers in voting who were in favor or not in favor of San Fernando’s motion.

Seven lawmakers voted to defer the budget consideration for DOLE while 31 lawmakers were against it. 

Last June 30, Tolentino announced the “historic” wage hike of P85 for minimum wage workers in Metro Manila.

The first tranche of P65 was supposed to be effective last July 25, while the second tranche of P20 was due on January 20 next year. 

However, the Pasig City RTC Branch 125 issued a temporary restraining order on the implementation of the P85 wage increase until August 13.

This was followed by a petition filed by petitioners Readycon Trading and Construction Corp. and R-II Builders Inc.

The wage increase implementation was further delayed as the court granted the request for writ of preliminary injunction sought by the two firms. 

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The Office of Solicitor General has asked the Pasig court to resolve its pending motion for reconsideration to lift the freeze order that halted the implementation of the P85 wage hike. /apl