RMC No. 21-2020 — Publishes the Daily Minimum Wage Rates in Central Luzon (REGION III) under Wage Order No. RBIII-22

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE NcN MAR. 04 202

LIPPI Too . BUREAU OF INTERNAL REVENUE Quezon City RECORDS MGT.DIVISION jvGI KNuo q:05An

February 11, 2020

REVENUE MEMORANDUM CIRCULAR NO. 21-2020

SUBJECT ** Publishing the Daily Minimum Wage Rates in Central Luzon (REGION III) under Wage Order No. RBIII-22

TO .. All Internal Revenue Officials, Employees and Others Concerned

concerned, we are publishing Wage Order No. RBIII-22 which was issued on November 27, 2019 and For the information and guidelines of all internal revenue officers, employees and others

published at Sun Star Pampanga on December 17, 2019:

REGIONALTRIPARTITE WAGES AND PRODUCTIVITY BOARD NO.3 National Wages and Productivity Commission Department of Labor and Employment City of San Fernando, Pampanga Republic of the Philippines

WAGE ORDER NO.RBIII-22

SETTING THE MINIMUM WAGE RATES IN REGION III

wage rates in the region and issue corresponding Wage Orders, subject to the is mandated under Republic Act 6727(The Wage Rationalization Act,to periodically assess wage rates and conduct continuing studies to determine and fix minimum guidelines issued by the National Wages and Productivity Commission WHEREAS,the Regional Tripartite Wages and Productivity Board -Region III

No.01, Series of 2015 (Guidelines in the Conduct of Public Consultations, the Amended Rules of Procedure on Minimum Wage Fixing and NWPC Guidelines Board "motu proprioscheduled a series of provincial sectoral wage consultations to determine if there is a need to issue a new wage order, considering the socio- economic indicators in the region and its provinces WHEREAS, pursuant to Sec. 3 (a) of NWPC Guidelines No. 01, Series of 2007,

20,2019;Tarlac and Nueva Ecija (September 10,2019;and Aurora (September 11, 2019.A regional public hearing was held thereafter in the province of Pampanga on provinces: Bulacan and Pampanga (August 6,2019);Bataan and Zambales (August September 20,2019 WHEREAS, the Board conducted public consultations in the following

results of the conduct of the provincial public consultations and regional public providers of employment opportunities economic conditions in the region and its provinces, the immediate call and appeal of all interested parties from both the workers' and employers' sector, and the hearing, the Regional Board agreed to aid workers and their families to cope with the rising cost of living, help place every family in a decent and humane living condition, and at the same time promote the productivity of business enterprises as WHEREAS,considering the result of the studies made on the prevailing socio

wage, considering the amount needed to restore the purchasing power of the workers' wages, the need to share the fruits of the regional economic growth and development, and further intensify the promotion for installation of productivity- based incentive schemes under the Two-Tiered Wage System; WHEREAS, the Board deemed it just and equitable to increase the minimum

Republic Act No.6727,otherwise known as the Wage Rationalization Act,the Board hereby issues this Wage Order: NOW THEREFORE, by virtue of the power and authority vested under

PESOS (Php20.00 per day basic pay of all private sector workers in the provinces of Aurora, Bataan,Bulacan Nueva Ecija, Pampanga,Tarlac,and Zambales shall be adjusted by TWENTy Section 1.AMOUNT OF INCREASE. 2h.c1 Upon the effectivity of this Order,the

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sector in Region III shall be as follows: The old and new minimum wage rates of covered workers in the private

Wage Order No.RBIII-21(Old

Non-Agriculture Retail Service Agriculture Establishments With 10 or more Establishments 10 workers Plantation Non-Plantation with 10 or more workers with less than workers With i1-15 With less than 10 workers workers SECTOR/INDUSTRY Nueva Ecija, Pampanga, Tarlac, MW under WO No. RBII-20 Provinces of Bataan, Bulacan, 380 350 369 355 355 373 334 and Zamhales Increase Wage 20 20 20 20 20 34 20 Wage upon Minimum effectivity 315 354 New 30 389 400 393 389 MW under WO No. RBII-20 314 32 329 264 effectively tranche: Order Of the Wage upon I B 10 10 10 10 Province of Aurora Minimum Wage New 339 324 312 274 gnd tranche: effectivity after the Six (6) months of the Wage Order 10 10 10 10 Minimum Wage New 349 34 322 284

Wage Order No. RBIII-22 (New)

Non-Agriculture Retail Service Agriculture SECTOR/INDUSTRY Non-Plantation Establishments workers Establishments with less than 10 workers Plantation with 10 or more Provinces of Bataan, Bulacan. MW under W.O. No. RBIII-21 Nueva Ecija, Pampanga, 393 30 354 40 Tarlac, Zambales. Increase Wage 20 20 20 20 Minimum Wage 420 413 390 374 New W.O. No. RBIII-21 under 349 MW 334 322 Province of Aurora Increase Wage 20 20 20 Minimum Wage 369 354 342 New

with 10 or more Establishments Establishments workers with less than 10 workers 389 375 20 20 409 395 284 20 304

Section 2. COVERAGE. The new wage rates provided herein shall apply to all workers and employees receiving the minimum wage in the private sector in the region, regardless of their position, irrespective of the method by which their wages are paid. designation or status of employment and

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employed in the personal service of another and workers of Barangay Micro Business Enterprises with Certificates of Authority, pursuant toR.A. 9178. This Wage Order shall not cover household or domestic workers and persons

Wage Order shall be for the normal working hours, which shall not exceed eight (8) hours work a day. Section 3. BASIS OF INCREASE.The wage increase prescribed under this

be entitled to receive the prescribed increase in this order per eight (8) hours a day or a proportion thereof for working less than eight (8) hours. including those who are paid on piecework,"takay","pakyaw",or task basis, shall Section 4. WORKERS PAID BY RESULTS. All workers paid by results

the prescribed minimum wage rate under Section l of this Wage Order. apprentices and learners shall in no case be less than seventy-five percent (75%) of Section 5. SPECIAL GROUP OF WORKERS. The minimum wage rate of

before the effectivity of this Order shall be considered automatically modified in accordance with the Wage Order. All recognized learnership and apprenticeship agreements entered into

for Disabled Person. wage rates prescribed pursuant to R.A.7277,otherwise known as the Magna Carta All qualified handicapped workers shall receive the full amount of the new

Incentives Act of l990. levels of wages and enhance competitiveness, businesses are strongly encouraged to adopt productivity improvement schemes,such as,time and motion studies,good housekeeping,quality circles, labor-management cooperation, as well as implement gain-sharing programs. Accordingly, the Regional Board shall provide the necessary studies and technical assistance pursuant to RA 6971, the Productivity Section 6. PRODUCTIVITY-BASED WAGES.In order to sustain rising

in tuition fees for School Year 2019-2020 shall be considered as compliance with this Wage Order. Where the share of the workers and employees is less than what is provided herein, the employer shall pay the difference starting School Year 2020- 2021. educational institutions, the share of workers and employees covered in the increase Section 7.PRIVATE EDUCATIONAL INSTITUTIONS.In the case of private

Private educational institutions which have not increased their tuition fees for the School Year 2019-2020 may defer compliance with the provisions of this Wage Order until School Year 2020-2021.

prescribed herein starting School Year 2020-2021. In any case,all private educational institutions shall implement the increase

however, that the principals or clients fail to pay the prescribed increases, the and for security,janitorial and similar services, the prescribed wage increase of the workers shall be borne by the principals or clients of the construction/service contractors and their contracts shall be deemed amended accordingly. In the event, Section 8.CONTRACTORS. In the case of contracts for construction projects

construction/service contractors shall be jointly and severally liable with his principal or client. ?.h u

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Section 9.EXEMPTION. Upon application with and as determined by the Board, the following may be exempt from the applicability of this Wage Order, subject to applicable rules and regulations issued by the Commission:

1. Distressed Establishments, as defined in the NWPC Guidelines No. 02,

Series of 2007;

2. Establishments adversely affected by calamities such as natural and/or

human-induced disasters in accordance with NWPC Resolution No, 0l, Series of 2014.

Wage Order may file a verified appeal to the Commission through the Board within ten (lO) calendar days from the publication of the Order. Section 1O.APPEAL TO THE COMMISSION. Any party aggrieved by this

Section ll.EFFECT OF FILING OF APPEAL. The filing of the appeal

the Order in the event such Order is affirmed. does not operate to stay the Order unless the party appealing such Order shall file Commission for payment of the corresponding increase to employees affected by with the Commission an undertaking with a surety or sureties satisfactory to the

in the Order, the employer shall pay the difference. with the Order, provided that, where such increases are less than what is provided (90) days prior to the effectivity of this Wage Order shall be credited as compliance Section l2. CREDITING. Increases granted by an employer within ninety

increases and those resulting from the regularization or promotion of employee, unless there is an agreement expressly allowing such crediting. Such increases shall not include CBA anniversary wage increases, merit wage

Section 13.EFFECTS ON EXISTING WAGE STRUCTURE.PurSuant to Article l24 of the Labor Code of the Philippines, as amended, any dispute that should arise as a result of a significant wage distortion, the employer and the union shall negotiate to correct the distortion through the grievance procedure under their Collective Bargaining Agreement, and if it remains unresolved, through voluntary decided by the voluntary arbitrator or panel of voluntary arbitrators within ten (10) calendar days from the time said dispute was referred to voluntary arbitration. arbitration. Unless otherwise agreed by the parties in writing, such dispute shall be

labor unions,the employers and workers shall endeavor to correct such distortions Any dispute arising therefrom shall be settled through the National Conciliation and In cases where there are no collective bargaining agreements or recognized

Mediation Board (NCMB) and if it remains unresolved after ten (10) calendar days of conciliation, the same shall be referred to the appropriate branch of the National Labor Relations Commission (NLRC). The NLRC shall conduct continuous hearings and decide the dispute within twenty(20) calendar days from the time said dispute is submitted for compulsory arbitration.

the case becomes subject of enforcement proceedings under Article l28 and 129 the Labor Code, as amended. compliance with this Wage Order shall be filed with the Regional Office of the Department of Labor and Employment (DOLE) having jurisdiction over the workplace and shall be subject to the mandatory thirty (30) days conciliation and mediation process under Single Entry Approach (SEnA).However,if settlement fails Section 14.COMPLAINTS FOR NON-COMPLIANCE.Complaints for non- U

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benefits of any form under existing laws,decrees,issuance,executive orders and/or under any contract or agreement between workers and employers. Order shall be construed to reduce any existing wage rates, allowances, and Section I5. NON-DIMINUTION OF BENEFITS. Nothing in this Wage

rates in accordance with this Wage Order shall be subject to the penal provisions under R.A.6727,as amended by R.A.8188. partnership,association or entity which refuses or fails to pay the prescribed wage Section 16.PENAL PROVISION. Any person, corporation, trust or firm,

permanent injunction or temporary restraining order may be issued by any court, tribunal, or other entity against any proceedings before the Board. Section lI.PROHIBITION AGAINST INJUNCTION.No preliminary or

bargaining for higher wages with their respective employers. construed to prevent workers in particular firms or enterprises of industries from Section 18. FREEDOM TO BARGAIN. This Wage Order shall not be

itemized listing of their labor component to the Board not later than January 3l,20l9 corporation,partnership,or any entities engaged in business shall submit a verified Section l9. REPORTING REQUIREMENTS. Any person, company

and every year thereafter in accordance with the form prescribed by the Commission.

repealed, amended or modified accordingly. parts thereof inconsistent with the provision of this Wage Order are hereby Section 20. REPEALING CLAUSE. All orders, rules, and regulations, or

provisions or parts shall remain valid. provision of this Wage Order is declared unconstitutional or illegal, the other Section 2l. SEPARABILITY CLAUSE. If, for any reason, any section or

necessary rules to implement this Wage Order subject to the approval of the Secretary of Labor and Employment. Section 22.IMPLEMENTINGRULES. The Board shall prepare the

Pursuant to the Two-Tiered Wage System, Advisory No. RTWPBIII-O1 has been issued to guide establishments in the formulation, adoption and implementation of Section 23. ADVISORY ON PERFORMANCE BASED INCENTIVE PAY.

that an enterprise may provide based on agreement between workers and management. productivity programs and performance and productivity-based incentive schemes

days after its publication in at least one(l newspaper of general circulation Section 24.EFFECTIVITY.This Wage Order shall take effect fifteen 15

Pampanga. APPROVED this 27th day of November 2019 at the City of San Fern 1cu

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3n hi U FLORDELIZA MARIA C. REYES-RAYEL Member, Employers' Representative Member, Emplqyers' Representative MARCO DNEPOMUCENO

Member, Workers' Representative RAUL C.REMODO Member EDGA kers' Representative VENTURA

CON M.DACANAY JB. JUDITH P. ANGELES (NEDA Regional/Directox Vice-Chairperson DTI Regional Director Vice-Chairperson

MA. ZENAIDA A/ANGARA-CAMPITA DOLE Regional Director Chairperson

Date of Publication: 17 December 2019

Date of Effectivity: 01 Janvary 2o20

publicity as possible. All concerned are hereby enjoined to be guided accordingly and to give this Circular as wide a

a:ay

Commissioner of Internal Revenue CAESAR R. DULAY

J-5 033295

BUREAU OF INTERNAL REVENUE AnmTYYmN HUXEAU F NICTIONS DIVISIOE LINAL KCVCNUS

s MAR 04 2020 0ft1 HN TfA0 AA U 04/ y: 4 b RECORDS MGT.DIVISION