Labor groups ask court to lift halt on NCR wage hike

MANILA, Philippines — Labor groups have asked a Pasig court to lift a temporary restraining order (TRO) that halted an P85 minimum wage increase in Metro Manila, arguing that the court lacked jurisdiction and is depriving over a million minimum wage earners of their rightful wages. The Federation of Free Workers (FFW), SENTRO, Partido Manggagawa, and other labor organizations filed an urgent motion for leave to intervene before Branch 152 of the Pasig Regional Trial Court on Monday, August 3. The groups branded the TRO as "legal snatching" of wages, stating, "A street snatcher strikes once. But if the TRO is not lifted today, this legal snatching will be repeated every working day." The dispute stems from a petition for declaratory relief filed on July 23 by Readycon Trading and Construction Corp. and R-II Builders Inc. The companies challenged National Capital Region Wage Order No. 27, which mandates an P85 increase in two tranches: P60 effective July 25, 2026, and another P25 effective Jan. 20, 2027. Following a summary hearing on July 28, the Pasig RTC issued an order that temporarily stops the wage order's implementation. The order kept the daily minimum wage at P695 instead of allowing it to rise to P755 under the first tranche. The rate was set to increase to P780 upon implementation of the second tranche. The labor groups contended that Article 126 of the Labor Code prohibits courts and tribunals from issuing injunctions or TROs against proceedings before the National Wages and Productivity Commission (NWPC) or regional wage boards. They also argued that the employers bypassed the remedy provided under Article 123, which allows an aggrieved party to appeal to the wage commission within 10 days of publication. "The statutory design is deliberate. Congress allowed review but protected workers against the loss of wages during review," the groups stated, asserting that a direct court action stopping the wage order undermines both the appeal process and the safeguards intended to protect workers' wages. The groups also asserted that employers do not have a "clear and unmistakable right" to continue paying the previous minimum wage. Businesses claiming financial difficulties should instead apply for exemptions before the Regional Tripartite Wages and Productivity Board, they said. "Petitioners cannot invoke alleged financial incapacity as a basis to enjoin the implementation of the Wage Order," the groups argued, noting that labor rules already provide for administrative remedies. They added that exemptions may be available to distressed establishments, new business enterprises, small retail and service establishments, and businesses affected by natural calamities, subject to wage commission rules.