RMC No. 10-2016 — Publishes the daily minimum wage rates in Region III pursuant to Wage Order No. RBIII-19.

F BUREAU OF INTERNAL REVENUE REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE Quezon City BUREAU OF INTERNAL REVENUE RECORDS MGT.DVISION RECEIVEN FEB 0 1 2016 949AM M3A

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REVENUE MEMORANDUM CIRCULAR NO.IO-- 3DIG

SUBJECT to Wage Order No. RBIII -19. Publishing the Daily Minimum Wage Rates in Region IlI Pursuant

TO All Interna! Revenue Officials, Emplovees and Others Concerned

Order No. RBIII --19 issued on December 2. 2015 and published in the Philippine Star on December 17.2015: For the information and guidance of all concerned, quoted hereunder is the full text of Wage

REGIONAL TRIPARTITE WAGES AND PRODUCTIVITY BOARD ND. 3 Nationai Wages and Prodluctiviy Commission Depariment of Labor ard Employment Republic of the Philippiner San Fernando.Pampanga

WAGE ORDER NO. RBII-19

SETTING THE MINIMUM WAGE RATES IN REGION TH

Productivity Board Region tli. hereinafter referred to as the Board.to determine ana fix minimum wage rates and periodicafly review the same in reiation to prevailing soco economic and other conditions in the Region WHEREAS,Republic Act 6727 mandated .the Regional Tripartite Wages and

hearing on Ncvember 5.2015 to gather inputs on the wage concerns that wil guide ne Board n its teview of the current minimum wage rates in the region.The notice ot consuitation and public hearing was published Pampanga a local newspaper of wiue general circuiation in the Region conductea WHEREASin the exefcise ol its wagp fixing functionthe Board motu proprio sectoral wageconsutationonOctober272015 onOotober and a regional outic 2015atSunStar

conditions of the Regipn and that of the results of the sectoral consultalions, pubic hearing and deliberations conducted,the Board agreed to provide workers inmediate measures taking into account tne interest of botn iabor and maragement as weli as the cortinuec and sustained viability of business anc industry WHEREAS.as a tesuit of the review made on the prevailing socio .aconomic

relorm in wage sollng to provide effeclive protection to workers by setting a minimun wago fates not kowar than the regan's povory threshoid: WHEREAs, the BOiid adne(e6 to the Two-Tiered Wage Systern (TTWS) policy

Piovince of Aurora raceive wages below the poverty threshold. the ciaa whEREAs.among minmum wage eamers in the region, empioyee CFUE psiabishmenis enpioying not mnre than i6 workers in ine S WDkrEi

syster in the Rogion tor the effective arotecton ot the mnimum wage earnurs by sairg the fnni waoe ard io the equnabia distributon c1 te benens from pfoustvy growth by encouraging the estehlishment of poifonmanee-basad incentive achemer aoceptabis to both labor and managenent WHEREAs, thore is need io promote the implementation of the two-tierea wage

Act No8727 Issues this vagc Order. NOW THEREFORE.by virtue of the powerand authority vested under Republic otherwise known as tne Wage Rationalization Actthc Board hereby

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basic pay of all private sector workers in the Region shall be adjusted as follows Section1.AMOUNT OF INCREASE. Upon the effectivity of this Order the

E FiFTEEN PESOS (P15.00 per day basic pay in all provinces to be given in two tranches:

1$ tranche 2 tranche P 7.00 effective May 1,2016 P 8.00 upon effectivity oi the Order

than 16 workers in Aurora Province to be given in two tranches TWENTY PESOS (P20.00) per day basic pay for Retall and Service with less

2 tranche 1s' tranche P 10.00 upon effectivity of the Order P 10.00 effective May 1,2016

ill shall be as follows The new minimum wage rates of covered workers in the private sector in Region

Proe BatanacaPmpang TerBc.Zembae MINMUM WAGE Prvine of Au

Non Agncuture otal of p0 Ct fEDre Elaiment w SECTOR W RB16 M 3 trance Wag Orde 3 00 M W s mu 35 tranche E May 1 2015 1. 2 Wage Ne U 384 RBIB W.Q. bnd M 29 tran cs afet We Up wity af B.D Wage 3 Eectya tranche: May 1 216 2 Wage M Hew mum 3

Agriculure than P30 Retail/Bervice tatel NonPaton Phantn ett t 319 3 8.co B 00 B C 3 3 3 7.0 1 1.0 35 3 3E 26 8. e 29 27 1 23 2

woiker Wn 18 mo Wah less th an i 3 3 G 3.00 32 3A 7. 7.DD P 30 2 10.00 23 D.0 24

minimum wage eamers/workers and employees in the private sector in Region ilI regardiess of positiondesignation or status of employment and irrespective of the method by which their wages are paid. Not covered in this Wage Order are household Section 2. COVERAGE.The new wage rate proviced herein shall apply to all

family drivers and workers of Barangay Micro Business Enterprises with Certificates of Atnonty.pursuant toR.A.9178 or domestic helpers and persons emploved in the parsonal service of another inciuding

hours work a day. Wage Order shall be for the noimal working hourswhich shall not exceed eight (8 Section 3. BASIS OF INCREASE.The wage increase prescribed undei the

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including those who are paid on piecework takaypakyawor task basis,shall be entitled to feceive the prescribed increase in this order per eight (8 hours a dayor a proportion thereof for working less than eight (8 hours. Sectlon 4.WORKERS PAID BY RESULTS. All warkers paid by results

apprentices and learners shall in no case be less than seventy-five percent (75%) of the prescribed minimum wage rate under Section 1 of this Wage Order Section 5. SPECIAL GROUP OF WORKERS.The minimum wage rate of

the effectivity of this Order shali be ponsidered automatically modifed in accordance with the Wage Order All recognized learnership and apprenticeship agreements entered into before

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

of wages and enhance competitiveness, businesses are strongly encouraged to adopt housekeeping quality circles,labor-management cooperation, as well as implemeni productivity improvement schemes, such as, time and motion studies, good studies and technical assistance pursuant to RA 6971,the Productivity Incentives Act ot gainsharing programs. Accordingly the Regional Board shall provide the necessary 1990. Section 6.PRODUCTIVITY-BASED WAGES.In order to sustain rising levels

educational institutions,the share of workers and employees covered in the increase in tuition fees for School Year 2015-2016 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 2016-2017. Section 7. PRIVATE EDUCATIONAL INSTITUTIONS.In the case of private

the School Year 2015-2016 may defer compiiance with the provisions of this Wage Order until School Year 2016-2017. Private educational institutions which have not increased their tuition fees for

prescribed herein starting School Year 2016-2017 tn any case, all private educational institutions shall implement the increase

and for security,janilorial and similar services, the prescribed waga increase of the workers shall be bone by the principals or clients of the construction/service contractors and their contracts shall be deemed amended accordingly in the event,however,that the principais or cients lail to pay the prescribed increases. the construction/service contraciors shall be jointly and severally lable witn his principal or chent Section 8. CONTRACTORS.In the case of contracts for construction projects

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

Retail and service establishments employing not more than ten (10 workers at the time of the effectivity of this Wage Order

2 Distressed Establishments,as defined in the NWPC Guidelines Na.02 Series of 2007

3 Establishments adversely affected by calamities such as natural and/or human-induced disasters in accordance with NWPC Resolution No.01 Series of 2014.

Wage Order may file a verified appeal to the Commission through the Board within ten i0 calendar days from the publication of the Order Section 10.APPEAL TO THE COMMISSION Any party aggrieved by this

not operate to stay the Order uniess the party appealing such Order shall file with the Commission an undertaking with a surety or sureties satisfaciory to the Commission for payment of the corresponding increase to employees affected by the Order in the event such Order is affirmed. Section 11.EFFECT OF FILING OF APPEAL The filing of the appeal does

davs prior to the effectivity of this Wane Orcer shall be credited as complianee with the Order. provided that, where such increases are less than what is provided in the Order the employer shall pay the difference Section 12.CREDITING.increases granted by an empioyer within ninety 90

there is an agreement expressly allowing such crediting increases and those resulting from the regularization or promotion of employee,unless Such inoreases shall npt include CBA anniversary wage increases,merit wage

Article 124 of the Labor Code of the Philippines,as amended,any dispute that shouid arise as a result of a significant wage distortion the ermployer and the union shall negotiate to correct the distortion through the grievance procedure under their Collective Bargaining Agreement and it remains unresolved through voluntary arbitration the time said dispute was rcferred to voluntary arbitration Unless otherwiso agreed by the parties in writing.such disnute shall be decided by the voluntary arbitrator or panel of voluntary arbitrators within ten (10 calendar days from Soction 13.EFFECTS ON EXISTING WAGE STRUCTURE. Pursuant to

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

Relations Commission (NLRC.The NLRC shall conduct continuous hearings and decide the dispule within twenty (20 calendar days from the time said dispute is subrnitted for compulsory arbitration.

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compliance with this Wage Order shall be filed with the Regional Office of the proceedings under Aiticie 128 of the Labor Codeas amendedwithout prejudice to criminal prosecution which may be underiaken against those who fail to comply Department of Labor and Employment (DOLE and shall be the subject of enforcement Section 14.COMPLAINTS FOR NON-COMPLIANCE.Complaints for hon

or agreement between workers and employers. form under existing laws,decrees,issuance,executive orders and/or under any contract shall be construed to reduce any existing wage rates,allowances,and benefits of any Section 15.NQN-DIMINUTION OF BENEFITS Nothing in this Wage Order

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

permanent injunction or temporary restraining order may be issuod by any court. tribunal.or cther entity against any proceedings before the Board Section 17.PROHIBITION AGAINST INJUNCTION No preliminary or

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

corporation, partnership, or any entities engaged in business shall submit a verified iemized listing of their labor component to the Board not later than January 31.2016 and every year thereafter in accordance with the form prescribed by the Commission Section 19.REPORTING REQUIREMENTS. Any person company

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

provision of this Wage Order is declared unconstitutional or illegal,the other provisions or parts shall remain valid. Section 21.SEPARABILITY CLAUSEIf,for any reason, any section or

rules to impiement this Wage Order subject lo the approval of the Secretary of Labor and Employment Section 22.IMPLEMENTING RULES. The Board shali prepare the necessary

issued io guide establshments in the formuiaiion, adoption and mplementation ot Pursuant to the Two-Tiered Wage System, Advisory No. RTWBP 111-1 has been productivity programs ard performancc and productivify-based incentive schemes that an erterprise may provide haced on agreement between workers and management SeCtIOR 23.ADVISORY ON PERFORMANCE BASED INCENTIVE PAY

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days after its publicaticn in at least one 1 newspaper of generai circulation Section 24.EFFECTIVITY. This Wage Order shall take effect fifteen {15}

Pampanga APPROVED this 2 day of December 2015 at the City of San Fernando

FLORDELIZA MARIA REYES-RAYEL Board Membe

RAUL/C.REMODO Board Member EDGA Boord Membe VENTURA

SEVERING C.SANTOS Vice-Chairperson JUdITH P. ANgeLES Kf Vice-Chairperson

1a C. M.orl 1

ANA C.DIONE Chairperson

as possible. All revenue officials and employees are hereby enjoined to give this Circular a wide publicity

J- 5 BUREAU OF INTERNAL REVENUE RECORDS MGT.DIVISION RECEIVED FEB 0 1 2016 4:4g A.M MMan Commissi oner of Internal Revenue KIM S. JACINTO-HENARES 038650

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