Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 1614)
The main purpose of Presidential Decree No. 1614 is to increase the minimum wage and grant additional cost-of-living allowances to workers in the Philippines in response to increased prices caused by the OPEC oil price increase and other economic disruptions.
All workers covered by PD 1389, whether agricultural or non-agricultural, are covered by Presidential Decree No. 1614.
Effective April 1, 1979, the new minimum wage rates are: P13.00 for non-agricultural workers in Metro Manila; P12.00 for non-agricultural workers outside Metro Manila; P10.00 for plantation agricultural workers; and P9.00 for non-plantation agricultural workers.
Non-agricultural workers earning not more than P1,000.00 receive a monthly cost-of-living allowance (COLA) of P60.00; plantation agricultural workers earning not more than P1,000.00 receive a COLA of P40.00; and non-plantation agricultural workers earning not more than P1,000.00 receive a COLA of P20.00 monthly.
The increases in minimum wages and the cost-of-living allowances took effect on April 1, 1979.
Section 3 provides that the Minister of Labor shall consider the viability of distressed, labor-intensive, and export-oriented industries, as well as the well-being of workers, in promulgating implementing rules for the decree.
The Minister of Labor is mandated to promulgate the implementing rules of PD 1614.
PD 1614 addresses these impacts by increasing minimum wages and granting additional cost-of-living allowances to help fixed-income groups, especially wage earners, cope with increased living costs.
Yes, PD 1614 applies to all workers covered by PD 1389, which includes both agricultural and non-agricultural workers.
Presidential Decree No. 1614 was signed by President Ferdinand E. Marcos and countersigned by Jacobo C. Clave, Presidential Executive Assistant.