FOR THE LONGEST time, labor groups have been calling for the abolition of the so-called Regional Tripartite Wages and Productivity Board (RTWPB) which is responsible for setting minimum wage rates for each region.
While legislative measures have been filed in Congress, not even one of those proposals made it to the plenary.
Under the 20th Congress, Kamanggagawa partylist Rep. Elijah San Fernando expressed optimism that the current batch of legislators would seriously consider House Bill 5678 (Fair Industry Wages) seeking to ensure parity based on actual work rather than on zip code or addresses.
According to San Fernando, it’s high time that the Philippine Congress address the huge discrepancy that has been hounding workers from various regions.
ABOLITION CLAMOR
To begin with, the partylist congressman called for the abolition of the regional wage boards, even as he hinted at shifting to Industrial Tripartite Wage and Productivity Boards (ITWPBs) for each and every industry.
“Each board will be composed of representatives from the Department of Labor and Employment (DOLE), employers, and workers’ organizations within the same industry, ensuring a balanced and participatory approach to wage determination,” reads part of the legislative bill.
The bill proposes to set industry-based wage standards and eliminate pay disparities among workers performing the same jobs across regions.
“Hindi dapat maging batayan ng kabuhayan ng manggagawa kung saan siya pinanganak o saan siya nakatira,” San Fernando was quoted by Politiko upon filing last Thursday HB 5678.
“Pare-pareho ang trabaho, pero magkaiba ang sahod, dahil lang sa zip code. Through industry-based wages, we align pay with the value of work, not location,” he noted.
SECOND WAGE BILL
Previously, Rep. San Fernando filed House Bill 94 (National Minimum Wage Bill) which he claimed would ensure that every industry builds upward from that floor: fairly, transparently, and based on real economic value.
According to the partylist congressman, HB 5678 will complement the HB 94 which he earlier filed.
“While the National Minimum Wage Bill sets the floor, the Fair Industry Wages Bill ensures that every industry builds upward from that floor: fairly, transparently, and based on real economic value,” San Fernando said.
“The existing regional wage mechanism locks provincial workers in low-wage cycles while prices and profits continue to soar. These bills seek to fix that,” he added.
EQUITABLE SALARY
He also cited the declared policy of the State to guarantee just and equitable compensation to all workers grounded on the principle of social justice and in recognition of the indispensable role of labor in nation building.
Under the existing law, the State shall establish a universal wage floor across all industries ensuring no worker falls below a baseline standard of decent compensation.
The bill gave a premium on the mandate of the State to support the determination of industry-based wage standards that reflect sector-specific productivity, value creation and cost of living associated with work performed.
He went on to say that the 1987 Constitution guarantees the right of every Filipino worker to “security of tenure, humane conditions of work, and a living wage.”
BELOW REALISTIC
Despite the Constitutional mandate, millions of workers across the country continue to receive wages that fall far below what is necessary to sustain a dignified existence.
The current wage-setting system, he noted, shaped by fragmented policies and outdated structures, has systematically failed to protect the labor force from chronic deprivation.
The current national average minimum wage is only P481 per day, way below the average living wage estimated at P1,218.
This massive gap demonstrates the inadequacy of minimum wages to cover even the most basic needs of Filipino households. Regional disparities deepen this injustice.
San Fernando also cited official data manifesting injustice in the system of determining how much workers should be paid.
INDUCING POVERTY
In Metro Manila workers earn a minimum of P695 per day while those in Bangsamoro receive only P411, regardless of similar costs in food, education and healthcare their compensation remains deeply unequal, San Fernando stressed.
Such disparity cannot be justified by the regional variation alone, especially when it results in widespread poverty among working families.
The industry wage boards, under HB 5678, will be tasked to formulate industry-specific minimum wage standards based on productivity, enterprise classification, and cost of living, recommend productivity-based incentive schemes to encourage fair wage progression, conduct periodic industry wage reviews to reflect inflation, sectoral growth, and profit trends, and ensure that no worker earns below the statutory national minimum wage.
“The time has come to rebuild the economy around the dignity of work—not cheap labor, but just wages.
PROGRESS INDICATOR
San Fernando emphasized that “true progress is not measured by stock market gains or GDP growth, but by whether workers can live decently from their labor.”
The solon added that the measure will “create a fairer and more rational wage structure” that rewards skill, productivity, and contribution, instead of being arbitrarily determined by location or political influence.”
Kampihan ng mga Maralita at Manggagawa (commonly known as Kamanggagawa) is a political party dedicated to workers rights and comprehensive labor reforms.
Founded in 2024, the party chaired by Alex S. Arellano, focuses on addressing wage inequality and promoting economic justice for marginalized sectors, particularly workers and the urban poor.
Kamanggagawa originally operated under the name Alternatiba Partylist, and was formed in preparation for the 2025 midterm elections, with a shift in focus to labor rights and wage reforms.