Title
Increase in Emergency Allowance and Salaries
Law
Presidential Decree No. 1123
Decision Date
Apr 21, 1977
Presidential Decree No. 1123 implemented in the Philippines in 1977 increased emergency allowances for private sector employees and salaries for public sector workers to protect against inflation and address the difficulties faced by low-income workers.
A

Private Sector Emergency Allowance Increase

  • An across-the-board increase of sixty pesos (P60.00) in the emergency allowance is mandated for all private sector employees.
  • Effective 1 May 1977, employers must adjust emergency allowances previously set under Presidential Decree No. 525 as follows:
    • Workers previously receiving P50.00 are to receive P110.
    • Workers previously receiving P30.00 are to receive P90.
    • Workers previously receiving P15.00 are to receive P75.

Public Sector Salary Increase

  • All government employees with a monthly salary not exceeding six hundred pesos (P600) shall receive a ten percent (10%) salary increase.
  • This increase is effective starting 1 May 1977.

Compliance Reporting Requirements

  • Private employers are required to file a report confirming compliance with the decree.
  • Reports must be submitted to the Labor Statistics Service of the Department of Labor located in Manila.
  • A copy of the compliance report must also be forwarded to the nearest Department of Labor Regional Office.

Implementation and Exemption Provisions

  • The Secretary of Labor and the Commissioner of the Budget are tasked with issuing the necessary rules and regulations to enforce the decree within their respective jurisdictions.
  • These rules will provide for exemptions for distressed employers, whether public or private, to alleviate potential adverse impacts on development and employment.

Effectivity

  • The decree takes effect on 1 May 1977.
  • The decree is signed and promulgated by the President of the Philippines and the Presidential Executive Assistant in Manila on 21 April 1977.

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