RMC No. 20-2020 — Publishes the Daily Minimum Wage Rates in Central Visayas (REGION VII) under Wage Order No. ROVII-DW-02

REPUBLICOF THE PHILIPPINES nG

S BUREAU OF INTERNAL REVENUE DEPARTMENT OF FINANCE evGi Km q:65rm] MAR 04 2020 U

JPPI Quezon City RECbRDS MGT. DIVISION

February 11, 2020

REVENUE MEMORANDUM CIRCULAR NO. 20-2020

SUBJECT .. Publishing the Daily Minimum Wage Rates in Central Visayas (REGION VII) under Wage Order No. ROVII-DW-02

TO : All Internal Revenue Officials, Employees and Others Concerned

and published at The Freeman on December 21, 2019: concerned, we are publishing Wage Order No. ROVII-DW-02 which was issued on November 26, 2019 For the information and guidelines of all internal revenue officers, employees and others

National Wages and Productivity Commission Department of Labor and Employment Republic of the Philippines DE

REGIONALTRIPARTITE WAGES AND PRODUCTIVITY BOARD VI

WAGE ORDER NO.ROVII-22

PROVIDING FOR INCREASE IN THE MINIMUM WAGE RATES IN CENTRAL VISAYAS

Reginal Tripartite Wages and Productiity Boards to determine and fix the minimum wages of private sector workers in the regions; WHEREAS, Republic Act 6727 otherwise known as the Wage Rationalization Act of 1989 mandated the

(MWU and Union Bank Employees Association UBEA,fled a Petition for Three Hundred Forty-One Pesos and Seventy-Five Centavos (P341.75) across-the-board daily wage adjustment on August 9,2019 WHEREAS, the Cebu Labor Coalition Lonbisco Employees Union (LEO, Metaphil Workers Union

anniversary and the prohibitive period for fifing petitions has lapsed WHEREAS, the petition was fed six 6 days after existing Wage Order No.21 reached its one-year

filed and considered for purposes of conducting public hearings and wage deliberations to expedite the resolution thereof: WHEREAS,on August 13,2019 the Board issued Resolution No6-2019 declaring the petition as duly

CitySeptember 242019 Bogo CitySeptember 30,2019and Tagbilaran City October 112019 2019 and a series of wage public hearings were conducted in Dumaguete City September 172019, Cebu WHEREASthe Notice of Public Hearings was published in The Freeman Newspaper on August 17

region and taking into consideratio the issues raised during the public hearings and the position papers Central Visayas submitted by concemed stakeholders, the Board agreed to increase the existing minimum wage rates in WHEREAS, as a result of the periodic and continuous review of the socio economic condiion in the

the recommendations of stakeholders during the public hearings for the Board to review the geographic classification of wages, the simplification of the existing geographic wage classfcation from four (Class A B,C,D to three categories {Class A,B,C was undertaken WHEREAS,in line with the thrust to rationalize the wage structure in the region, and in consideration of

expanded to cover all establishments employing less than ten workers. The agriculture classification was retained but the rates were recassified with the rates of establishments employing less than ten worker workers was simplified into non-agricuiture while non- agriculture employing less than ten workers was WHEREAS,in terms of sectoral classifcations,the existing non- agricuiture empioying ten or more

NOW,THEREFORE, by virtue of the power and authority vested under Republic Act No.6727, the Regiona Tripartite Wages and Productivity Board, Region Vil,hereby issues this Wage Order

workers and employees in Region Vil, shall be as follows Section 1. Upon effectivity of this Wage Order, the daily minimum wage rates of all private sector

A

and Municipalities of Compostela, Cities of Carcar,"Cebu, Danao, Lapulapu, Mandaue, Naga, Tatisay Consolacion, Expanded Metro Cebu Canlaon, Dumaguete, Guihulngan, Minglanilla, Other Class A TagbilaranTaniayToledo GEOGRAPHICAL AREAS Cities Not Covered Uinder Bais, Bayawan, Bogo, CLASS A Cordova CLASS B San Fernando, Loan No.ROVII-2 Wage und er Minimum ** p 338 * p 348 P 386 NON-AGRICULTURE In cre ast Wge P 28 P 18 p 18 MInj mu Wage P 404 p 366 N * p 328 ** p 313 Wa ge under No. ROVII-21 Minimum P 368 AGRICULTURE Incre ase Wage P 26 P 33 P 48 Minm um Wage P 394 P 361 Nw ** P 33 Wage und e * p 343 Minmnum ESTABUSHMENTS EMPLOYING P 376 ROVII-Z3 LESS THAN TEN WORKERS ncrease Wage P 18 P 18 P 28 Minimum Wage P 394 P 361 New

CLASS C

*** p 348 P8 ***p 328 P 23 *** p 343 P 8 Other Municipalities Not Covered Under Class A **** p 338 P 18 P 3S6 t** p 313 P 38 P 351 **** p 333 P 18 P 351

* P323 P 33 P313 P 38 **** p 318 P 33

Municipalities in Siquijor Province,Bantayan and Camotes Islands Cities in Cebu Province Not Included in Class A -- Bogo and Toledo Municipalities in Bohol ang Negros Oriental Provinces Cities in Bohol (Tagbilaran) and Negros Oriental (Bais, Bayawan, Canlaon, Dumaguete, Guihulngan,Tanay) Municipalties in Cebu Province except Compostela, Consolacion Cordova LilloanMinglanilla San Fenando

Sector workers and employees in Region Vit. Section 2. cOVERAGE. The adjustments prescribed under this Order shall apply to all minimum wage private

of another, and workers of establishments registered under the Barangay Micro Business Enterprises with valid Certificates of Authority. Not covered from the provisions of this Order are household or domestic workers; persons in the personal service

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

increase set forth herein shall be covered starting School Year 2020-2021. be considered as compliance with the increase prescribed herein. However, payment of any shortfall in the wage institutions, the share of covered workers and employees in the increase in tuition fees for School Year 2019-2020 shail Section 4. APPLICATiON TO PRIVATE EDUCATIONAL INSTITUTIONS. In the case of private educational

defer compliance with the increase prescribed herein until the beginning of School Year 2020-2021. In any case, private educational institutions shall implement the increase herein starting School Year 2020-2021. Private educational institutions which have not increased their tuition fees for the School Year 2019-2020 may

security, janitorial and similar services, the prescribed increases in the wage rates of the workers shall be borne by theprincipals or clients of the construction/service contractors, and the contract shail be deemed amended accordingly. In the event, however, that the principal or client fails to pay the prescribed increase or new minimum wage rates, the construction/service contractor shall be jointly and severally liable with his principal or client. Section 5. APPLICATION TO CONTRACTORS. In the case of contracts for construction projects and for

piecework, "takay" or task basis, shall be entitled to receive not less than the prescribed minimum wage increase per eight (8) hours work a day, or a proportion thereof for working fess than eight (8) hours. Section 6. WORKERS PAID BY RESULTS. All workers paid by results, including those who are paid on

case be paid less than seventy-five percent (75%) of the applicable minimum wage rates prescribed in this Order. Section 7. WAGES OF SPECIAL GROUPS OF WORKERS. Wages of apprentices and leamers shall in no

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

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

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wage of workers in establishment which have branches in different parts of the region or where headquarters is outside the region, shall be the rate applicable to the area where the worker is based. Section 8.APPLICATION TO TRANSFER,BRANCH AND MOBILE WORKERS. The applicable minimum

from a high class city/municipality to a lower class city/municipality, the higher rate shall continue to be applied. In case of mobile workers, the minimum wage shall be the rate applicable to the head office. In case of transfer

calamities such as natural and/or human-induced disasters may be exempted from the applicability of this Order upon application with and as determined by the Board based on documentary and other requirements in accordance with applicable rules and regulations issued by the Commission. Section 9. EXEMPTION. This wage order does not allow exemption. Establishments adversely affected by

enhance competitiveness,businesses are strongly encouraged to adopt productivity improvement schemes,such as time sharing programs. The Regional Board shall provide the necessary technical assistance in the implementation of and motion studies, good housekeeping, quality circles, labor-management cooperation, as well as implement gair productivity improvement programs. Section 10. PRODUCTIVITY IMPROVEMENT PROGRAMS.in order to sustain rising level of wages and

this Order, employers who recognize and value the contribution of their workers, may provide productivity-based competitiveness of establishments among others. The Board shall issue an advisory on the range of productivity incentive incentive pay to them based on indicators such as business performance, labor productivity, work behavior which may be applied by establishments. Section 11, IMPLEMENTATION OF TWO-TIERED WAGE SYSTEM.On voluntary basis and upon effectivity of

appeal with the Commission through the Board within ten (10)caiendar days from the publication of this Order Section 12. APPEAL TO THE COMMISSION.Any party aggrieved by this Wage Order may file a verified

to the Commission for payment of the corresponding increase to employees affected by the Order in the event such Order is afimed. unless the party appealing such Order shall file with the Commission an undertaking with a surety or sureties satisfactory Section 13. EFFECT OF FiLING AN APPEAL. The filing of the appeai does not operate to stay the Order

wage rates under this Order results in distortion of the wage structure within an establishment, the same shall be corected in accordance with the procedure provided for under Art.124 of the Labor Code as amended. Section 14. EFFECTS ON EXISTING WAGE STRUCTURE. Where the application of the increases in the

Section 15.COMPLAINTS FOR NON-COMPLIANCE.Complaints for non-compliance with this Order shall be filed with the Regional Office of the Department of Labor and Empioyment (DOLE) having jurisdiction over the workplace Approach (SEnA).However,if settlement fails,the case becomes subject of enforcement proceedings under Articles 128 and shall be the subjected to the mandatory thirty (30) days conciliation and mediation process under the Single Entry and 129 of the Labor Code as amended

any contract or agreement between the workers and employers. wage rates,allowances and benefits of any form under existing laws,decrees,issuances,executive orders and/or under Section 16.NON-DIMiNUTION OF BENEFITS.Nothing in this Order shall be construed to reduce any existing

provisions under RA 6727,as amended by RA 8188. refuses or fails to pay the prescribed wage increase in accordance with this Order shall be subject to the penal Section 17.PENAL PROVISION. Any person, corporationtrust or firm, partnership, association or entity which

restraining order may be issued by any court, tribunal or other entity against any proceedings before the Board. Section 18. PROHIBITION AGAINST INJUNCTION. No preliminary or permanent injunction or temporary

enterprises of industries from bargaining for higher wages with their respective employers. Section 19. FREEDOM TO BARGAIN. This Order shall not be construed to prevent workers in particular firms or

in business shall submit a verified itemized listing of their labor component to the Board not ater than January 30,2021 and every year thereafter in accordance with the form prescribed by the Commissign. Section 20. REPORTING REQUIREMENT.Any person,company,corporation,partnership or any entity engaged

the provision of this Wage Order are hereby repealed, amended or modified accordingly. Section 21. REPEALING CLAUSE. All orders, issuances, rules and regulations, or parts thereof inconsistent with

unconstitutional or illegal, the other provisions or parts shall remain valid. Section 22. SEPARABiLITY CLAUSE. If, for any reason, any section or provision of this Order is declared

subject to approval of the Secretary of Labor and Employment. Section 23. tMPLEMENTING RULES.The Board shall prepare the necessary rules to implement this Order

general circulation in the region. Section 24, EFFECTIVITY. This Order shall take effect fifteen (15) days after its publication in a newspaper of

CEBU CITY, PILIPPINES, Novmer 26, 2019

ATTY. ERNESTO F. CARREON Member, Labor Sector /Member, Employer Sector Mr. PHiLiP M.Tkn

MR. Meber, Labor Sector TOMONGHA Member, Employer Sector VACANT

DIR. ASTERIA X. CABERTE Vice/Chairperson WWM DIR. EFREN B. CARREON Vice enairperson

DiR. SALOME O(SIAtON Chairperson

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

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J5 BUREAUUFINIERN NtaYiT VALREVENUE Commissioner of Internal Revenue CAESAR R. DULAY 033295

RECORDS MGT.DIVISION MAR 04 2020 GG W :65m RUREAU O' HILNNML KEvLNUF WUNIC.ITIONS DIVISION

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