Philippines Labor Secretary Francis N. Tolentino has called for a more responsive and evidence-based wage-setting system, urging wage authorities to regularly assess economic conditions and workers’ purchasing power rather than waiting for formal petitions or crises to trigger reviews.
Speaking at the mid-year planning and assessment activity of the National Wages and Productivity Commission (NWPC) and Regional Tripartite Wages and Productivity Boards (RTWPBs) in Pasay City on August 20, Tolentino said minimum wage policies should keep pace with changing economic conditions and the needs of both workers and employers.
He called for greater flexibility in wage-setting, with regular assessments to determine whether existing minimum wage rates continue to reflect the economic realities faced by workers.
“What we owe the Filipino worker is not just a single generous gesture at the year’s end followed by silence until the next crisis forces our hand,” Tolentino said.
The Labor Secretary proposed that the NWPC conduct a mid-year wage and price assessment to examine first-half consumer price movements and their impact on lower-income households. The assessment would also consider how inflation affects the real value of minimum wages across regions.
“Rather than wait for a petition or for conditions to become dire enough to force an emergency wage order, this commission should now think of producing a midyear wage and price assessment every midyear,” he said.
Tolentino also urged the NWPC and RTWPBs to establish clear criteria for responding to extraordinary economic conditions.
Such a framework, he said, would enable regional wage boards to initiate wage reviews when necessary rather than waiting for the next scheduled review cycle.
The call comes as the government continues to deal with the injunction involving the Metro Manila minimum wage increase.
Tolentino said authorities must comply with the court order while exploring lawful mechanisms to respond to changing economic conditions.
“We should not be held hostage by a court injunction. However erroneous it might be, we have to respect it at the moment; we have to find other means to be flexible enough to respond to the conditions as they emerge, means outside the court but within the legal parameters provided for by the Labor Code of the Philippines,” he said.
Department of Economy, Planning, and Development Undersecretary Rosemarie G. Edillon also attended the event and provided an overview of current economic conditions and the outlook for the remainder of 2026.
Meanwhile, NWPC Executive Director Maria Criselda R. Sy stressed that human dignity should remain at the centre of wage-related decisions.
The mid-year activity also covered wage concerns, upcoming consultations and hearings, productivity initiatives, and the performance and catch-up plans of the NWPC and RTWPBs.
Tolentino said the broader objective is to establish a wage-setting system that is transparent, evidence-based and humane while balancing the interests of workers and employers.
“The process should be right, in accordance with the law, helpful to workers, and helpful to employers,” he said.