Impact of Middle East crisis to be considered in next wage review in May 2026 – NWPC

Concerns related to the Middle East conflict – such as its impact on prices of basic goods and wages – shall be taken into consideration in the next review of the minimum wage rate, the National Wages and Productivity Commission (NWPC) said on Monday.

In a statement, the NPWC said it is preparing for the 2026-2027 minimum wage review cycle, which will start in Metro Manila by mid-May.

This is following the completion of the 2025-2026 minimum wage review cycle.

“Concerns related to the Middle East situation, its effects on prices of basic commodities and its impact on wages, shall be taken into consideration during the next minimum wage review cycle, consistent with the rules on minimum wage review process,” the NWPC said.

It added that the Regional Tripartite Wage and Productivity Boards (RTWPBs) “are also closely monitoring the socioeconomic conditions in their respective regions.”

The NWPC said this is in line with President Ferdinand Marcos Jr.’s directive for a “timely review of regional minimum wage rates to reduce economic uncertainty and foster a stronger link between productivity and fair pay, ensuring that wage growth remains balanced with business viability.”

The NWPC – an attached agency of the Department of Labor and Employment (DOLE) – noted that 16 wage orders for the private sector and 13 wage orders for domestic workers were issued during the previous 2025-2026 minimum wage review cycle.

The daily increase in minimum wages for the private sector ranged from P20 to P100, with some regions implementing tranche increases. For domestic workers, the increase in monthly wage rates ranged from P300 to P2,000.

An estimated 4,694,886 minimum wage earners directly benefited from the wage orders, the NWPC said.

It added that around 8,757,032 full-time wage and salary workers earning above the minimum wage may also indirectly benefit from upward adjustments at the enterprise level due to the correction of wage distortions or the narrowing of pay gaps between different job levels.

Approximately 1,042,999 domestic workers in both live-in and live-out arrangements benefited from the monthly wage increases.

The process of reviewing minimum wage rates is provided for in Republic Act 6727 or the Wage Rationalization Act and the Omnibus Rules on Minimum Wage Determination. It is guided by established criteria such as inflation, cost of living, employment levels, productivity trends, and employers’ capacity to pay.

RTWPBs conduct consultations and public hearings with tripartite partners and other stakeholders to “consider regional realities, enforcing social dialogue and tripartism,” the NWPC added. — JMA, GMA News