The Philippine Chamber of Commerce and Industry (PCCI), the country’s largest business organization, recognizes the authority of the Regional Tripartite Wages and Productivity Board and the Department of Labor and Employment (DOLE) in issuing the new Wage Order granting a daily minimum wage increase of P85 for workers in the National Capital Region.
PCCI President Perry A. Ferrer emphasized the Chamber’s commitment to comply with the Order while urging the government to adopt wage policies that strengthen enterprise productivity and competitiveness.
“We affirm our commitment to the rule of law and call upon all employers in the region to comply fully with the Wage Order upon effectivity. While we recognize the legitimate aspiration of Filipino workers for better wages amid the continuing rise in the cost of living, we believe that wage determination must take into account the capacity of enterprises —particularly micro, small, and medium enterprises (MSMEs)— to absorb significant increases in labor costs while preserving jobs, maintaining business, and sustaining investments,” Ferrer said.
He said that wage increases when not accompanied by productivity gains and reductions in the cost of doing business risk fueling inflation, weakening the competitiveness, and discouraging investments.
“More than wage increases, we hope that our government will address the growing inflation – lowering the cost of basic commodities, transportation, gasoline, and other necessities- so that gains will benefit all Filipinos and not only selected sectors,” the PCCI head added.
PCCI Director for Labor and Employment Butch Guerrero underscored the broader economic impact of the wage adjustment. He said that employers operating on thin margins will be compelled to rationalize operations —streamlining procurement, renegotiating supplier contracts, delaying expansion, or accelerating automation.
“These adjustments, while necessary, may ripple across the formal and informal sectors of the economy, ultimately affecting the livelihoods of the country’s nearly 50-million workforce,” Guerrero, who also chairs the 52nd Philippine Business Conference and Expo (PBC&E) said.
The PCCI reaffirmed its commitment to constructive social dialogue with government, labor, and stakeholders in pursuing balanced policies that protect workers while enabling enterprises to grow, invest, and create quality jobs for millions of Filipinos.
Ferrer said that the Chamber will continue to advocate for reforms that strengthen Philippine competitiveness, expand employment opportunities, and ensure that economic progress benefits both workers and employers alike.
