2025 Regional Wage Determinations Conclude with Northern Mindanao

The 2025 cycle of regional wage adjustments in the Philippines has officially concluded. On December 22, 2025, the National Wages and Productivity Commission (NWPC) affirmed the final wage order of the year for Region X (Northern Mindanao).

This update brings the total number of issued wage orders to fourteen (14) for 2025, covering the majority of the country's regions. Below is a comprehensive guide to the new rates, effectivity dates, and compliance requirements for employers.

Key Takeaways for Employers

  • Region X Increase: A total of ₱39 increase (split into two tranches) for Northern Mindanao, effective January 16, 2026.

  • National Status: The NCR remains the region with the highest daily rate at ₱695.

  • Upcoming Reviews: Regions XI (Davao) and V (Bicol) will begin wage determination proceedings in early 2026.

  • Exemptions: Mechanisms are available for calamity-stricken businesses.


Region X (Northern Mindanao) Wage Order RX-24

The Regional Tripartite Wages and Productivity Board (RTWPB) for Region X has issued Wage Order No. RX-24, granting a ₱39 daily wage increase for private sector workers.

New Daily Rates Breakdown

Upon full implementation of all tranches, the new minimum wage rates in Region X will range from ₱485 to ₱500.

  • Wage Category I (₱500): Cities of Cagayan de Oro, Iligan, Malaybalay, Valencia, Gingoog, El Salvador, Ozamiz; Municipalities of Tagoloan, Villanueva, Jasaan, Opol, Maramag, Quezon, Manolo Fortich, and Lugait.

  • Wage Category II (₱485): All other areas not listed above, and retail/service establishments with 10 or fewer workers.

Implementation Schedule

  • Tranche 1 (₱25): Effective January 16, 2026.

  • Tranche 2 (₱14): Effective May 01, 2026.

Additionally, domestic workers (kasambahays) in the region will receive a ₱500 monthly increase, bringing their minimum monthly wage to ₱6,500.


Updated 2025-2026 Minimum Wage Matrix

The following table summarizes the status of minimum wage rates across all regions that issued orders in 2025. This includes staggered implementations (tranches) that may take effect in 2026.

Region

Amount of Increase

New MW Rates (Non-Agriculture)

New MW Rates (Agriculture)

New MW Rates (Retail/Service)

Date of Effectivity

NCR

50.00

695.00

658.00

-

July 18, 2025

CAR

35.00

505.00

505.00

-

December 30, 2025

I

37.00 - 45.00

480.00 - 505.00

480.00 - 505.00

-

November 19, 2025

II

20.00 - 40.00

500.00

500.00

-

November 5, 2025

III*

50.00 - 80.00

560.00 - 600.00

545.00 - 570.00

515.00 - 590.00

October 30, 2025

IV-A*

30.00 - 100.00

525.00 - 600.00

508.00 - 525.00

508.00

October 5, 2025

IV-B

25.00 - 51.00

505.00

505.00

-

January 1, 2026

VI

37.00 - 40.00

525.00 - 550.00

520.00

-

November 19, 2025

VII

37.00 - 47.00

500.00 - 540.00

500.00 - 540.00

-

October 4, 2025

VIII*

35.00

470.00

440.00

440.00 - 470.00

December 8, 2025

IX*

50.00

464.00

451.00

451.00 - 464.00

January 1, 2026

X*

39.00

485.00 - 500.00

485.00 - 500.00

-

January 16, 2026

XII*

30.00 - 33.00

460.00

443.00

460.00

November 2, 2025

XIII*

40.00

475.00

475.00

-

January 3, 2026

*Indicates rates upon full implementation of all tranches. Please verify specific tranche dates with your local DOLE office if operating in these regions.

Addressing Wage Distortion

With mandated increases affecting 4.5 million minimum wage earners, companies may face "wage distortion"—where the gap between salary levels is eliminated or significantly reduced.

The NWPC advises employers to correct these distortions to maintain employee morale and equity. Guidance can be found in NWPC Advisory No. 01, Series of 2023. Approximately 8 million full-time workers earning above the minimum wage are expected to benefit indirectly from these corrections.

Simplified Wage Structures & Productivity

In a move toward transparency, five regions (II, III, CALABARZON, MIMAROPA, and VII) have simplified their wage structures. This streamlining helps employers ensure clearer compliance and reduces administrative confusion.

Furthermore, the NWPC continues to roll out productivity improvement programs. As of November 2025, over 28,000 MSMEs have received orientation on productivity schemes, with many implementing Productivity-Based Incentive Schemes (PBIS) to generate shared revenue for workers.

Calamity Exemptions

Recognizing the impact of recent typhoons, the DOLE reminds businesses in calamity-stricken areas that they may apply for exemption from wage orders.

  • Eligibility: Affected enterprises may apply for full exemption or exemption from specific tranches.

  • Where to Apply: Applications should be filed with the RTWPB having jurisdiction over the business area.

  • Resources: Visit the NWPC Website for application details.

What’s Next?

If you operate in Region XI (Davao) or Region V (Bicol), prepare for potential adjustments soon. Wage determination processes for these areas are scheduled to commence in January and February 2026, respectively.

With mandated increases affecting 4.5 million minimum wage earners, companies may face "wage distortion"—where the gap between salary levels is eliminated or significantly reduced.

The NWPC advises employers to correct these distortions to maintain employee morale and equity. Guidance can be found in NWPC Advisory No. 01, Series of 2023. Approximately 8 million full-time workers earning above the minimum wage are expected to benefit indirectly from these corrections.

Simplified Wage Structures & Productivity

In a move toward transparency, five regions (II, III, CALABARZON, MIMAROPA, and VII) have simplified their wage structures. This streamlining helps employers ensure clearer compliance and reduces administrative confusion.

Furthermore, the NWPC continues to roll out productivity improvement programs. As of November 2025, over 28,000 MSMEs have received orientation on productivity schemes, with many implementing Productivity-Based Incentive Schemes (PBIS) to generate shared revenue for workers.

Calamity Exemptions

Recognizing the impact of recent typhoons, the DOLE reminds businesses in calamity-stricken areas that they may apply for exemption from wage orders.

  • Eligibility: Affected enterprises may apply for full exemption or exemption from specific tranches.

  • Where to Apply: Applications should be filed with the RTWPB having jurisdiction over the business area.

  • Resources: Visit the NWPC Website for application details.

What’s Next?

If you operate in Region XI (Davao) or Region V (Bicol), prepare for potential adjustments soon. Wage determination processes for these areas are scheduled to commence in January and February 2026, respectively.