QuestionsQuestions (PRESIDENTIAL DECREE NO. 1713)
It provides for (1) an increase in minimum daily wage rates by P1.00 and (2) additional mandatory monthly living allowances for certain private sector employees, with rules on possible exemptions/deferments, crediting of prior wage/allowance increases, and administrative implementation by the National Wages Council and the Minister of Labor and Employment.
It increases minimum daily wage rates by P1.00.
Private employers must pay additional mandatory living allowances to employees whose wage or salary is not more than P1,500.00 a month.
Non-agricultural workers: P60.00/month; Plantation workers: P45.00/month; Agricultural non-plantation workers: P30.00/month.
It applies broadly to all private employers in general for the wage and allowance increases, and it also expressly mentions that existing or new enterprises may be granted exemption or deferment if temporarily distressed or dislocated.
An enterprise that is or may become temporarily distressed or dislocated may be granted full exemption or deferment of compliance by the National Wages Council.
The National Wages Council.
The Council must act on petitions with complete supporting documents within one month from submission.
Yes. Any increase in wages or allowances granted by employers unilaterally or by collective agreement between July 1, 1980 and the effectivity date of PD 1713 may be credited toward the amounts of allowances provided in the decree.
It defines the time window during which prior wage or allowance increases may be credited against the mandatory living allowances provided by PD 1713.
It must review all existing decrees granting mandatory living allowances and basic minimum wages, and consolidate or restructure such allowances for easier administration and enforcement, while reaffirming the basic income of the lowest categories of workers.
The Minister of Labor and Employment.
No. Section 6 states that nothing in PD 1713 shall be construed to minimize or eliminate any benefit to which a worker is already entitled under existing law, contract, or practice.
It takes effect immediately.
To sustain national growth while ensuring a development path that is both enduring and compassionate, by adjusting wages to ensure workers receive a decent living wage while maintaining the viability of business and industry.
By mandating increases in minimum wages and living allowances, while also allowing enterprises that are temporarily distressed or dislocated to seek full exemption or deferment of compliance from the National Wages Council.
It explains the context for wage adjustments: the Conference on Wages, Employment and Industrial Relations (convened on Aug. 15–16, 1980) proposed adjustments to ensure a decent living wage and continued viability of business and industry.