Current Minimum Daily Wage in Cavite

According to the International Labour Organization, minimum wage is “the minimum

amount of remuneration that an employer is required to pay wage earners for the work
performed during a given period, which cannot be reduced by collective agreement or
an individual contract”. The purpose of minimum wages is to prevent employees from
receiving inequitably low pay. They guarantee that everyone receives a fair and equal
share of the benefits of growth, and also a minimum living wage for all who are working
and in need of such protection.
According to Rastogi, V. (2020) Minimum wage rates are gradually rising across
ASEAN countries to keep pace with increasing cost of living and enhance domestic
demand. To stimulate growth and avoid labor strife, ASEAN countries have pushed for
higher minimum wages and new labor laws to protect workers’ rights. Daily minimum
wage rates in the Philippines vary by region, ranging from P290 to P537 per day.
Wages are determined by tripartite regional wage boards in each region. Compared to
its neighbors Indonesia and Vietnam, the country’s average minimum wage rate is
among the highest in ASEAN.
On April 28, 2018, the Department of Labor and Employment implemented Wage Order
No. IVA-18. Minimum wage earners in private establishments in CALABARZON issued
a basic wage increase of P9.00 to P24.50. The minimum wage rate in Region-IV-A is
P303 to P400.
AREA OF MINIMUM WAGE AMOUNT OF NEW MONTHLY
CLASSIFICATION UNDER W.O. NO. INCREASE MINIMUM WAGE
RBIVA-DW-01 RATE
Growth Corridor P2,500.00 P1,000,00 P3,500,00
Area
Emerging Growth P1,800.00 P1,200.00 P3,000.00
Area and Resource
Based Area

Figure 1.0
Figure 1.0 shows the minimum wage rates for Domestic workers and the effectivity of
the wage order no. RBIVA-DW-01 which is implemented on March 1, 2019. It covers the
provinces of Cavite, Laguna, Batangas, Rizal, Quezon or known as CALABARZON.
Minimum Wage Rates in Cavite
The minimum wage in Cavite is right now under Wage Order No. IVA-18 and it is
updated as of October 27, 2020. This includes all of the area; Resource Based Area,
Growth Corridor Area, and Emerging Growth Area.

RESOURCE Non-Agriculture Plantation Non-Plantation

BASED AREA (Agriculture) (Agriculture)
 Amadeo, P317.00 P303.00 P303.00
Magallanes,
Mendez, Gen.
Emilio Aguinaldo
Ternate P327.00 P303.00 P303.00

Figure 2.1
Figure 2.1 shows the Minimum wage rates in the resource-based area around Cavite,
this includes: Amadeo, Magallanes, Mendez, Gen. Emilio Aguinaldo, and Ternate. For
the Non-Agriculture workers their minimum wage ranges from P317 to P327 and under
the Agriculture – plantation and non-plantation workers’ minimum wage is P303.

GROWTH Non-Agriculture Plantation Non-Plantation

CORRIDOR AREA (Agriculture) (Agriculture)
Bacoor, Imus P400.00 P372.00 P372.00
Carmona, General P373.00 P347.00 P347.00
Trias, Rosario
Cavite City, P373.00 P347.00 P347.00
Dasmarinas,
Tagaytay, Trece
Martires
Kawit, Silang, P373.00 P347.00 P347.00
Tanza, Gen.
Mariano Alvarez
Indang, Naic P373.00 P328.00 P328.00
Alfonso P373.00 P337.00 P337.00
Figure 2.2
Figure 2.2 shows the minimum wage around the growth corridor area in Cavite. For the
Non-Agriculture jobs, it ranges from P373 to P400, subsequently for the Agriculture
workers’ minimum wage ranges from P328 to P372.

EMERGING Non-Agriculture Plantation Non-Plantation

GROWTH AREA (Agriculture) (Agriculture)
Maragondon P333.00 P303.00 P303.00
Noveleta P333.00 P303.00 P303.00
Figure 2.3
Figure 2.3 shows the minimum wage rates in the Emerging Growth Area in Cavite which
is Maragondon and Noveleta. The minimum wage for the Non-Agriculture workers
around this area is P333 and for the Agriculture workers is P303.
According to Numbeo, In the present, a single person estimated monthly costs are
P26,089.07 and for a family of four the estimated monthly costs are P88,766.40 and
both are without rent. If these people were living in Cavite, assume that they live in
Growth Corridor Area, they can only earn up to P10,400 in a month, therefore it is
inadequate. According to an article by philstar, in the midst of public outcry over a
government economists’ claim that a P10,000 budget is enough to support a family of
five, but Socioeconomic Planning Secretary Ernesto Pernia clarified that the estimate
amount should be P42,000, assuming that the household has two family members that
is earning P21,000 each per month.
If I was given an opportunity to have a high rank position in the government, I would like
to change the current standard of living. Given that Philippines is already part of the
third-world country around the world, I would like to make a different which I could make
the minimum wage rates higher to avoid the poverty in our country. The earnings of
each person/household are inadequate to live comfortably. Just like in our place right
now in this pandemic, not all of the families are privilege to sit and wait until this
pandemic is gone, most of them needs to work even there is a virus spreading since our
country already has tons of debt and they cannot afford to give us the essentials,
however, the government must take the responsibility to make our country a better
place.

“What is a Minimum Wage” retrieved from

https://www.ilo.org/global/topics/wages/minimum-wages/definition/WCMS_439072/
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%20defined,agreement%20or%20an%20individual%20contract
%E2%80%9D.&text=The%20purpose%20of%20minimum%20wages,workers
%20against%20unduly%20low%20pay.
Rastogi, V. (2020). “Minimum Wages in AEAN: How are they Calculated?” retrieved
from https://www.aseanbriefing.com/news/minimum-wages-in-asean-how-are-they-
calculated/#:~:text=The%20Philippines%20has%20daily%20minimum,boards
%20located%20in%20every%20region.
“Daily Minimum Wage Rates in Region IV-A (CALABARZON)” retrieved from
https://nwpc.dole.gov.ph/regionandwages/region-iv-a-calabarzon/
“Minimum Wage Rates in Cavite” retrieved from
https://cavite.gov.ph/home/investments/minimum-wage/
“Cost of living in the Philippines” retrieved from
https://www.numbeo.com/cost-of-living/country_result.jsp?country=Philippines
“NEDA: Family of 5 needs P42,000 a month to survive” retrieved from
https://www.philstar.com/headlines/2018/06/08/1822735/neda-family-5-needs-p42000-
month-survive