Calabarzon (Cavite, Laguna, Batangas, Rizal, and Quezon) is a vibrant and diverse economic powerhouse. It is home to an increasing population and a dynamic blend of urban and rural landscapes.
As such, this region serves as a critical hub for industry, agriculture, and commerce. Given this, the Regional Tripartite Wages and Productivity Board in Region IV-A sets the minimum wages to protect workers in the region. This covers all sectors, from agriculture workers to employees in first-class municipalities.
The latest wage order issued by the regional wage board last September 1, 2023, added a Php 35.00 to Php 50.00 increase across the sectors. This new wage order went into effect last September 24, 2023.
The following minimum wages vary, not per province, but per classification. Calabarzon has three main classifications, namely, the growth corridor area, emerging growth area, and resource-based area.
As submitted to the National Wages and Productivity Commission (NWPC), the new minimum wage rates are as follows:
Growth corridor area
After the minimum wage hike last September 2023, the new minimum wages for Calabarzon’s growth corridor area are as follows.
| New Minimum Wage Rates for the Growth Corridor Area | |||
| Non-Agriculture | Agriculture | Retail and Service Establishments Employing 10 Workers or less | |
| Extended Metropolitan Area | Php 520.00 | Php 479.00 | Php 385.00 |
| Component Cities | PhP479.00 | PhP479.00 | PhP385.00 |
| 1st Class Municipalities | PhP479.00 | PhP425.00 | PhP385.00 |
Growth corridor area
The growth corridor area includes cities and municipalities that are rapidly urbanizing and industrializing. Under this classification are the following localities:
Cavite
- Bacoor
- Carmona
- Cavite City
- Dasmariñas
- Gen. Mariano Alvarez
- Gen. Trias
- Imus
- Kawit
- Rosario
- Silang
- Tagaytay City
- Tanza
- Trece Martires City
Laguna
- Biñan
- San Pedro
- Cabuyao
- Calamba City
- Los Baños
- San Pablo City
- Sta Cruz
- Sta. Rosa City
Batangas
- Batangas City
- Bauan
- Lipa City
- San Pascual
- Sto. Tomas
- Tanauan City
Rizal
- Antipolo City
- Cainta
- Rodriguez
- Tanay
- Taytay
Quezon
- Lucena City
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Emerging growth area
For the emerging growth areas, the region’s wage board approved the following rates.
| New Minimum Wage Rates for the Emerging Growth Area | |||
| Non-Agriculture | Agriculture | Retail and Service Establishments Employing 10 Workers or less | |
| 2nd and 3rd Class Municipalities | PhP425.00 | PhP385.00 | PhP385.00 |
Emerging growth area
The emerging growth areas are primarily rural and agricultural localities with resource potential. Moreover, they are close to urban and industrial areas. Under this classification are the following municipalities:
Cavite
- Indang
- Naic
- Noveleta
- Ternate
Laguna
- Paete
- Pakil
Batangas
- Balayan
- Calaca
- Calatagan
- Lemery
- Mabini
- Nasugbu
- Rosario
- San Jose
- San Juan
- Taysan
Rizal
- Angono
- Binangonan
- Pililia
- San Mateo
- Teresa
Quezon
- Candelaria
- Sariaya
- Tiaong
Resource-based area
The new rates following the minimum wage increase for resource-based areas are as follows:
| New Minimum Wage Rates for the Resource-Based Area | |||
| Non-Agriculture | Agriculture | Retail and Service Establishments Employing 10 Workers or less | |
| 4th, 5th and 6th Class Municipalities | PhP385.00 | PhP385.00 | PhP385.00 |
The localities under the resource-based area classification are rural and agricultural. Though these areas have resource potential, they are far from the big markets. The municipalities under resource-based areas include those not covered in the two previous categories.
Related:
Impact of new minimum wage in Calabarzon
How would this benefit other salaried workers who are earning beyond the minimum wage?
As per the labor department, increasing the daily minimum wages in Calabarzon also creates a wage distortion correction. This means that other workers earning higher salaries may indirectly benefit and get a bump in their pay. Apart from minimum wage workers, other employees will enjoy a greater take-home income and shield against inflation.
Who sets the minimum wage for Calabarzon?
The Calabarzon wage board sets the minimum wage for Region IV-A. Often, the wage board factors economic signals such as inflation, cost of living, and economic growth for the increases. As such, the rate of increase often varies per region in the Philippines.
How would the increase benefit minimum wage earners?
An increase in the minimum wage can significantly benefit minimum wage earners by providing them with higher earnings, reducing poverty, improving their standard of living, increasing consumer spending, enhancing financial stability, and narrowing income inequality. It also boosts job satisfaction, health, education, and empowerment among workers while potentially reducing the need for multiple jobs.
Who is exempt from the minimum wage law?
The minimum wage law, pursuant to Republic Act 9178, exempts Barangay micro businesses. This means that they may not follow the minimum wage recommendations for their area. Moreover, the Minimum Wage Determination under the NWPC Omnibus Rules allows for the exemption of retail and service establishments that are affected by natural calamities and disasters. However, this only applies to businesses that regularly employ 10 or fewer employees.
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