The government intends to pursue legal action to overturn a court-ordered temporary freeze on the minimum wage increase in the National Capital Region, citing that the salary adjustment was implemented following due process. Labor officials made this announcement on Friday, in response to a recent court ruling. The minimum wage hike had been granted to private-sector workers in Metro Manila. The government is confident that the wage board operated within its legal mandate in issuing the wage hike.
A 20-day temporary restraining order was issued by the Pasig City Regional Trial Court Branch 152 on Thursday, suspending the implementation of the minimum wage increase. The order affects the first tranche of the increase, which took effect on July 25, and an additional increase scheduled for January 2027. The court's decision was made in response to a petition filed by two construction firms, which argued that the mandated increase would lead to financial difficulties and potential job cuts.
Labor officials have stated that employees who have already received the initial wage increase will not be required to refund the amount. This is because the workers have a vested right to the increase, and there was no order to suspend it at the time it was received. The Office of the Solicitor General will lead the legal efforts to represent the national wage commission in the court proceedings.
The chairperson of the NCR wage board maintained that the wage board operated within its legal mandate in issuing the wage hike. It is argued that the plaintiffs should have exhausted administrative remedies by appealing to the national commission before seeking judicial intervention. The government plans to argue for the validity of the minimum wage hike in an upcoming hearing on August 3.
The minimum wage hike was granted to provide a daily increase of P85 for private-sector workers in Metro Manila. The government is confident that the wage hike was implemented following the proper guidelines and procedures. The upcoming hearing will determine the fate of the minimum wage increase, and the government is preparing to present its case to support the validity of the hike.