MANILA, June 4, 2025—The House of Representatives approved House Bill No. 11376, also known as the Wage Hike for Minimum Wage Workers Act, in its third and final reading. The measure mandates a ₱200 daily increase in the minimum wage for all private-sector minimum wage earners, passing with a vote of 171–1–0. It passed its third and final reading during a plenary session, where 171 lawmakers voted in favor, one against, and zero abstentions.

The ₱200 increase covers all private-sector minimum wage earners whether regular, contractual, subcontractual, agricultural, or non agricultural. Small enterprises with fewer than 10 employees, including those registered as Barangay Micro Business Enterprises (BMBEs), may be exempt or receive support from the Department of Labor and Employment (DOLE) to adjust. Importantly, existing benefits and allowances must be maintained and cannot be reduced due to the wage hike.
Employers who fail to comply face severe penalties: fines ranging from ₱100,000 to ₱500,000 and up to four years in prison.
Proponents led by TUCP Party List Representative Raymond Democrito Mendoza celebrated the vote as historic, noting it could lift over five million workers and their families out of poverty. Akbayan Representative Percival Cendaña described the increase as a vital lifeline amid soaring prices, while Gabriela Representative Arlene Brosas welcomed it as a long-overdue first step toward a living wage, citing studies that a family of five needs approximately ₱1,225 per day.
On the other hand, business groups such as the Employers Confederation of the Philippines and the Philippine Chamber of Commerce and Industry—warned that the mandated wage hike could fuel inflation, raise consumer prices, and risk job losses, especially among micro, small, and medium enterprises. Critics argue lawmakers may be prioritizing populist measures over economic realism, potentially undermining business viability.
Earlier this year, the Senate approved a counterpart bill proposing a ₱100 daily wage increase (SB 2534). A bicameral conference committee must reconcile the House and Senate versions before Congress adjourns on June 13, after which the consolidated bill will be submitted to President Ferdinand Marcos Jr. for his signature.
If signed into law, this will be the first legislated wage increase since 1989. Regional wage boards would still retain the authority to grant additional increases based on local living costs.
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