Press Release
April 19, 2016


GENERAL SANTOS CITY--If "Gobyernong may Puso" wins, independent vice-presidential candidate Sen. Francis "Chiz" Escudero said it will impose a strict and general implementation of the minimum wage for workers in the private sector.

Escudero said he and his presidential running mate, Sen. Grace Poe, will make sure that all workers are paid in accordance with the minimum wage set by government and employers are fined or imprisoned if found shortchanging their employees.

"Titiyakin namin na minimum wage at least ang ibinabayad ng bawat kumpanya sa kanilang mga empleyado," Escudero said during a radio interview in the country's "tuna capital" where he shared the Gobyernong may Puso's vision of "a country where every Filipino is treated equally, where no one is left behind."

Minimum wage rates in the country vary from region to region, with boards established for each region to monitor the economic activity and adjust minimum wages based on growth and unemployment rates, and other factors.

The minimum wage for non-agriculture employees in the National Capital Region is P481 a day, which is the highest daily nominal wage rate in the country. The lowest rate for non-agricultural workers is P217, which is in Region 4B, also known as Mimaropa.

Failure to pay the required minimum wage entails serious penalties. Under Republic Act No. 6727 or the Wage Rationalization Act, as amended by RA 8188, the employer may be punished with a fine of at least P25,000 to P100,000 and/or imprisonment of at least two years to four years.

If the violating employer is a corporation, partnership, or other type of entity, the responsible officers, such as the president, vice-president, chief executive officer or general manager, may be imprisoned.

Minimum wage earners in the private and public sectors are exempt from payment of income tax under RA 9504, which was sponsored by Escudero in 2008 when he was chairman of the Senate Committee on Ways and Means. The law covers not only the basic pay, but also holiday pay, overtime pay, night shift differential and hazard pay received by minimum wage earners.

Meanwhile, Escudero reiterated that they will put a stop to the prevalent practice of labor contractualization to provide workers with regular employment and security of tenure.

"Unang araw pa lang ng administrasyon sa ilalim ni Sen. Grace, ie-end namin ang 'endo' (end of contract)," Escudero said.

During the ABS-CBN's "Harapan ng Bise" debate over the weekend, Escudero said they plan to repeal an order by the Department of Labor and Employment, which he said is being exploited by businessmen to avoid payment of perks and benefits accorded to regular employees.

News Latest News Feed