RMC No. 19-2020 — Publishes the Daily Minimum Wage Rates in Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) under Wage Order No. BARMM-01

LIPPI 1902 BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE Quezon City February 11, 2020 RECORDS MGT. DIVISION M JGJ 2N MAR 04 2020 EKWm7 0SAM JU

REVENUE MEMORANDUM CIRCULAR NO. 19 -2020

SUBJECT . Publishing the Daily Minimum Wage Rates in Bangsamoro

Autonomous Region in Muslim Mindanao (BARMM) under Wage Order No. BARMM-01

TO All Internal Revenue Officials, Employees and Others Concerned

2019 and published at Mindanao Expose' on December 17, 2019: concerned, we are publishing Wage Order No. BARMM-01 which was issued on November 13. For the information and guidelines of all internal revenue officers, employees and others

WAGE ORDER NO.BARMM-01

PROVIDING FOR A NEW MINIMUM WAGEINCREASE FOR NON-AGRICULTURE AND AGRICULTURE SECTORS IN THE BANGSAMORO AUTONOMOUS REGION IN MUSLIM MINDANAO

minimum wage rates applicable in the Bangsamoro Region; Bangsamoro Tripartite Wages and Productivity Board is mandated to determine and fix the WHEREAS,per R.A. 6727, otherwise known as the Wage Rationalization Act, the

Wage Order No.20 providing for a basic wage increase of P16.00/day for Non-Agriculture and respectively which took effect last June 15,2018;while the Regional Wage Board XII issued P18.00/day for Agriculture, Retail and Service Establishments making the Minimum Wage Rates rder No.ARMM-17 providing for a basic increase at P 15.00/day for both Non-Agriculture and Agriculture Sectors, making the Minimum Wage Rates at P 280.00/day and P 270.00/day at P311.00/day and P290.00/day respectively which took effect last May 11,2018 WHEREAS,the Regional Wage Board in the defunct ARMM issued the last Wage

BARMM, by motu propio,conducted Public Consultations/Dialogues with the Tripartite City; September 12,2019 (for Cotabato City and the 63 Barangays in North Cotabato at Pagana Sectors region wide on September 11,2019 (for Maguindanao at Em Manor Hotel Cotabato Kutawato Restaurant, Cotabato City September 18, 2019 (for Marawi City and Lanao del Sur) at Ayala Resort Hotel, MSU Campus,Marawi City, September 21,2019for Basilan, Sulu and Employers Sector in Cotabato City last October 28,2019 at Royal Hall, Pagana Kutawato Restaurant, Cotabato City Tawi-Tawi at Grand Astoria Hotel, Zamboanga City, and Consultation/Dialogue with the WHEREAS, the Bangsamoro Tripartite Wages and Productivity Board (BTWPB-

following assessments, to wit: WHEREAS,after the conduct of said public consultations,BTWPB-BARMM made the

S O b) That the EMPLOYERS shall continue to develop and improve their policies on a) That both the EMPLOYERS and WORKERS support a minimum wage increase c) d That the BARMM, under the leadership of Interim Chief Minister AHOD That all sectors supported the productivity based scheme on the company level, in utilization of mineral resources for economic and industrial development; productivity improvement through skills trainings, and strategize proper for all sectors: a form of income augmentation; BALAWAG EBRAHIM, intends to primarily address poverty reduction by non-wage benefits,bonuses and other related incentives; raging more investors to come, generation of employment opportunities.

workers to, among others, security of tenure, humane conditions of work, and a living wage. the Philippines. Relatedly, Section 10, Article IX of the same law, guarantees the rights of Thus, with the effectivity of Republic Act No.11054, Cotabato City and the 63 Barangays in North Cotabato form part of the BARMM in which any Minimum Wage issuance, and other related concerns on wages and productivity shall eventually be integrated in the New Wage Order issued by BTWPB-BARMM,and henceforth Bangsamoro Government shall execute its authority over, among others, labor, employment and occupation without prejudice to the general supervision of the President of the Republic of WHEREAS, Section 2, Article V of Republic Act No.11054 provides that the

wage earners of the private sector in BARMM shall receive a basic wage increase of TWENTY Agriculture Sector and TEN PESOS (P10.00/day) for the Agriculture Sector in Cotabato City and 63 Barangays in North Cotabato respectively. PESOS P 20.00 per day for the Provinces of Maguindanao,Lanao del Sur, Basilan, Sulu, Tawi-Tawi and Cities of Marawi and Lamitan;FOURTEEN PESOS(P14.00/day) for the Non- Section 1. New Minimum Rate. Upon effectivity of this Wage Order, all minimum

as follows: The NEW MINIMUM WAGE RATES of the covered workers in the private sector shall

FOR PROVINCES OF MAGUINDANAO,LANAO DEL SUR,BASILAN,SULU,TAWI TAWI AND THE CITIES OF MARAWI AND LAMITAN Sector/Industry Minimum Wage Under W.O.No. ARMM-17 Basic Wage Increase Wage Under W.O NO.BARMM-01 New Minimum

A.Non-Agriculture B.Agriculture /Mining/Academe Construction/Commercial (Industrial/Manufacturing Non-Plantation Plantation P280.00/day P270.00/day P20.00/day P20.00/day P300.00/day P290.00/day

FOR COTABATO CITY AND THE 63 BARANGAYS IN NORTH COTABATO

Sector/Industry Minimum Wage Under W.O.No. 20(Region 12 Basic Wage Increase Wage Under W.O No.BARMM-01 New Minimum

A.Non-Agriculture (Industrial/Manufacturing Construction/Commercial P311.00/day P14.00/day P325.00/day

B.Agriculture /Mining/Academe Non-Plantation Plantation P290.00/day P10.00/day P300.00/day

region, except family drivers, those employed in the personal service of another, and workers in Section 2. Coverage. This Wage Order applies to all minimum wage earners in the

registered Barangay Micro Business Enterprises with Certificates of Authority pursuant to R. A. 9178.

improvement tools, Labor Management Cooperation, as well as implementing gain-sharing Accordingly, the Board shall provide the necessary studies and technical assistance pursuant to Republic Act No.6971 or the Productivity Incentives Act of 1990 programs that will provide more incentives to the workers through increased productivity enhance competitiveness, business establishments are encouraged strongly to adopt productivity Section 3. Productivity Based Wages. In order to sustain rising levels of wages and

day. this Order shall be for the normal working hours, which shall not exceed eight (8 hours work a Section 4. Basis of Minimum Wage. The minimum basic wage rates prescribed under

working less than eight (8) hours work a day. who are paid on piecework,takaypakyaw or task basis, shall be entitled to receive the prescribed minimum basic wage rate per eight (8) hours work a day, or a proportion thereof for Section 5.Workers Paid by Results. All workers paid by results, including those

effectivity of this Order shall be considered automatically modified insofar as their wage clauses are concerned to reflect the new prescribed wage rates. All recognized learnership and apprenticeship agreements entered into before the

pursuant to R.A.7277. All qualified handicapped workers shall receive the full amount of increase in this Order

educational institutions, the share of covered workers and employees in the increase of tuition ees for school year 2019-2020 shall be considered as compliance with the minimum basic wage ncrease set forth herein; provided, that if such minimum basic wage increase is less than the escribed adjustment, the employer shall pay the difference in the school year 2020-2021. Section 7. Application to Private Educational Institution. In the case of private

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

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

Section 8. Appeal to the Commission. Any party aggrieved by this Wage Order may file

publication of this Order. a verified appeal with the Commission through the Board within ten (10 calendar days from the

the Order unless the party appealing such Order shall file with the Commission an undertaking with a surety or sureties satisfactory to the Commission for payment of the corresponding basic wage increase to employees affected by the Order, in the event such Order is affirmed. Section 9. Effect of Filing of Appeai. The filing of the appeal does not operate to stay

Exemption), the following may be exempted from the applicability of this Wage Order ccordance with the NWPC Guidelines No. 02, Series of 2007 (The Amended Rules on Section 10.Exemptions.Upon application with and as determined by the Board, in

V a.Retail and Service Establishments regularly employing not more than 10 workers. b. Distressed Establishments;

C New Business Enterprises; and d.Establishments adversely affected by calamities such as Natural and Human-Induced Disasters.

Order shall be filed with the Ministry of Labor and Employment (MOLE) having jurisdiction over the workplace and shall be subjected to the mandatory thirty (30 day conciliation and becomes subject of enforcement proceedings under Article 128 and 129 of the Labor Code as amended. mediation process under Single Entry Approach (SEnA. However, if settlement fails, the case Section 11.Complaints for Non-Compliance. Complaints for non-compliance with this 2

reduce any existing wage rates, allowances and benefits of any form under existing laws, and employers. decrees,issuances,executive orders and/or under any contract or agreement between the workers Section 12. Non-Diminution of Benefits. Nothing in this Order shall be construed to

provisions under R.A.6727,as amended by R.A.8188. association or entity which refuses or fails to comply to this Order, shall be subjected to the penal Section 13. Penal Provision. Any person, corporation, trust or firm, partnership

proceedings before the Board. temporary restraining order may be issued by any court, tribunal or other entity against any Section 14. Prohibition Against Injunction. No preliminary or permanent injunction or

in particular firms or enterprises of industries from bargaining for higher wages with their respective employers. Section 15. Freedom to Bargain. This Order shall not be construed to prevent workers

to the Board not later than January 31, 2020 and every year thereafter in accordance with the any entity engaged in business shall submit a verified itemized listing of their labor component form prescribed by the Ministry. Section 16. Reporting Requirement. Any person, company, corporation, partnership or

thereof inconsistent with the provision of this Wage Order are hereby repealed, amended, or modified accordingly. Section 17. Repealing Clause. All orders, -issuances, rules and regulations, or parts

Order is declared unconstitutional or illegal, the other provisions or parts shall remain valid. Section 18. Separability Clause. If, for any reason, any section or provision of this

implement this Order subject to approval of the Interim Chief Minister of BARMM. Section 19. Implementing Rules. The Board shall prepare the necessary Rules to

at least one (1) newspaper of general circulation in the region. Section 20. Effectivity. This Order shall take effect fifteen (15) days after publication in

Approved_this 13th day of November, 2019, Cotabato/City, y amoro Region. Philippines.

HON ONATHAN Workers-Repres ACOSTA TT HON. ATTY. JOSEPH B. GO, JR. Employers' Reprdsentative &

O HoN.JQYAY c. MAQuinT I0 ATU HARON U.BANDILA

Workors' Representanve Employers' Representative

Executive Director, BPDA-BARMM HON. MONAJIRINT. ALI Vife Chairpersoh HOX. ABUAMRI A. TADDIK Minister, MTIT-BARMM Vice Chairperson

HON. MP ROMEO K. SEMA Minister, MOLE-BARMM Board Chairperson

Attested by:

LILIAN RUTH C. CABANBAN Accatab Board Secretary VI

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

1 BUREAU OF INTERNAL REVENUE NTYT Commissioner of Internal Revenue CAESAR R. DULAY

J-5 RECORDS MGT. DIVISION MAR. 04 2020 Wra qRAm C U :RUREAU OF INTERNAL KEVENUF INITErNAL COMMUNICAtIONS DIViSIOH 2 033295

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