Flowcharts in Fixing Minimum Wage

and
Wage Distortion

By: Faustino S. Tumamak III

 Flowcharts in Fixing Minimum Wage

Fixing Minimum Wage can be done either by:

Motu Proprio by the RTWPB;

or as directed by NWPC; or

A Verified Petition.
 By Motu Proprio

RTWPB initiates action or

inquiry to determine whether a
Wage Order should
be issued

Motu proprio; or
As directed by the
NWPC.

RTWPB may also conduct

Publication of Notice Consultations with concerned
of the Public Hearing Sectors/industries.
 By Motu Proprio
Published in a newspaper of general
circulation
in the region; and/or
Publication of Notice Posted in public places as determined by the
of the Public Hearing RTWPB
Notice includes date/s, place/s and time of the
hearings.

Publication or posting shall be made

at least 15 days before the date
of initial hearing.

Oppositor may file his opposition to the petition

on or before the initial hearing;
Opposition shall be filed with the Board;
It must be filed in three legible copies and must
contain the ff:
Name/s and addresses of the
oppositor/s;
Public Hearing Signature/s of authorized officials;
Reasons or ground for the oppositon;
and
Relief sought.
 By Motu Proprio
May be conducted by the Board en banc or by a
duly authorized committee wherein each sector
is represented;
Public Presence of the Regional Chairman or any of the
Hearing Vice Chairman is required;
If unable to attend, Board members may send ob
servers;
Hearing is conducted in a manner that shall
ensure
that all sectors and parties who stand to be affected
are given the widest opportunity to be heard.
Conducted n each province in the region as far as
practicable;
Hearing shall be concluded within 45 days from
the
date of initial hearing except when conditions in the
region warrant otherwise.
Within 30 days RTWPB decides on the merits,
if
there is any, raised during the hearing.

Issuance of Wage
Order
 By Motu Proprio
Must not be lower than the applicable statutory mini-
mum wage rate;
Issuance of May include wages by:
Wage Industry;
Province/locality as may deemed necessary by
Order the board.
Provided, such wage rates shall not be lower
than the regional minimum wage rates;
Board furnishes the NWPC the copy of the Wage
Order
or Decision

Wage Order must specify the region,

province,
or industry to which the minimum wage rates
prescribed under the Order shall apply and pro-
vide exemptions, if any, subject to guidelines is-
sued by the Commission;

Review of Wage
Order
 By Motu Proprio

RTWPB shall submit for approval of the DOLE Sec. Upon

Review of recommendation of the NWPC, the necessary IRR of the
Wage Wage Ordernot later than 10 days from the review of the
Order Wage Order.

DOLE Sec. shall act on the IRR w/in a period of 20 days

from receipt of the said IRR;
RTWPB shall cause the publication of IRR in at least
1 newspaper of general circulation in the region.

Published in a newspaper of general

Circulation in the region for 15 days.

Publication of
Wage Order
 By Motu Proprio

Must be filed with the Board not later

Publication APPE

than
of AL to 10 days from the date of publication of the
Wage Order Order;
the Accompanied by a memorandum of
NWPC appeal
stating the grounds, arguments supporting '
the same, and relief;
3 legible copies.
Does not operate to stay the effectivity,
unless appellant files with the NWPC an
undertaking with a surety satisfactory to
the Commission for payment of
employees affected by the Order of the
corresponding increase, in the event
such Order is affirmed.

Takes effect after 15 days from publication in a newspaper

Effectivity of
General circulation in the region.
 By Motu Proprio
Via Petition for Re-
View on Certiorari
(Rule 45) within 15 APPEAL to
Days from receipt the
Of Decision. NWPC

Via Petition for

Certiorari (Rule 65)
Within 60 days from
CA via Petitionfor Receipt of decision.
Review (Rule 45)

Supreme Court
 By Verified Petition

Petitioner files Petition for Wage

Increase
With the appropriate Board

3 Legible Copies containing the ff:

Name/s; addresses of Petitioner
and signature/s of authorized
officials;
Grounds for the Petition;
Amount of Wage increase sought; and
Area and/or industry covered.

RTWPB shall give Notices to the ff:

EE's and ER's group;
Provincial, City, and Municipal
Publication of Petition Officials;
Other interested Parties.
and Notice
of the Public Hearing
 By Verified Petition
Published in a newspaper of general
circulation
Publication of Petition and in the region; and/or
Notice Posted in public places as determined by the
RTWPB
of the Public Hearing Notice includes date/s, place/s and time of the
hearings.

Publication or posting shall be made

at least 15 days before the date
of initial hearing.

Oppositor may file his opposition to the petition

on or before the initial hearing;
Opposition shall be filed with the Board;
It must be filed in three legible copies and must
contain the ff:
Name/s and addresses of the
oppositor/s;
Public Hearing Signature/s of authorized officials;
Reasons or ground for the oppositon;
and
Relief sought.
 By Verified Petition
May be conducted by the Board en banc or by a
duly authorized committee wherein each sector
is represented;
Public Presence of the Regional Chairman or any of the
Hearing Vice Chairman is required;
If unable to attend, Board members may send ob
servers;
Hearing is conducted in a manner that shall
ensure
that all sectors and parties who stand to be affected
are given the widest opportunity to be heard.
Within 30 days Conducted n each province in the region as far as
RTWPB practicable;
Hearing shall be concluded within 45 days from
decides on the merits the
date of initial hearing except when conditions in the
region warrant otherwise.

Order of Hearing shall be the Petitioner shall present

his/her evidence first, followed by the oppositor, if there is
any.
The hearing shall be conducted in the manner that shall
ensure that all sectors and parties who stand to be
directly affected by the Board are given the wides
opportunity to be heard.
Issuance of Wage The Board is not bound to observe strictly by technical
rules of evidence and procedures.
Order
Hearing is concluded within 45 days from the date of
initial hearing except when conditions in the region
warrant otherwise.
 By Verified Petition
Must not be lower than the applicable statutory mini-
mum wage rate;
Issuance of May include wages by:
Wage Industry;
Province/locality as may deemed necessary by
Order the board.
Provided, such wage rates shall not be lower
than the regional minimum wage rates;
Board furnishes the NWPC the copy of the Wage
Order
or Decision

Wage Order must specify the region,

province,
or industry to which the minimum wage rates
prescribed under the Order shall apply and pro-
vide exemptions, if any, subject to guidelines is-
sued by the Commission;

Review of Wage
Order
 By Verified Petition

RTWPB shall submit for approval of the DOLE Sec. Upon

Review of recommendation of the NWPC, the necessary IRR of the
Wage Wage Ordernot later than 10 days from the review of the
Order Wage Order.

DOLE Sec. shall act on the IRR w/in a period of 20 days

from receipt of the said IRR;
RTWPB shall cause the publication of IRR in at least
1 newspaper of general circulation in the region.

Published in a newspaper of general

Circulation in the region for 15 days.

Publication of
Wage Order
 By Verified Petition

Must be filed with the Board not later

Publication APPE

than
of AL to 10 days from the date of publication of the
Wage Order Order;
the Accompanied by a memorandum of
NWPC appeal
stating the grounds, arguments supporting '
the same, and relief;
3 legible copies.
Does not operate to stay the effectivity,
unless appellant files with the NWPC an
undertaking with a surety satisfactory to
the Commission for payment of
employees affected by the Order of the
corresponding increase, in the event
such Order is affirmed.

Takes effect after 15 days from publication in a newspaper

Effectivity of
General circulation in the region.
 By Verified Petition
Via Petition for
Re-
View on APPEAL to
the
Certiorari NWPC
(Rule 45) within
15
Days from Via Petition for
receipt Certio-
Of Decision. Rari (Rule 65)
CA via Petitionfor Within 60 days from
Review (Rule 45) Receipt of decision.

Supreme Court
 By Motu Proprio
Via Petition for Re-
View on Certiorari
(Rule 45) within 15 APPEAL to
Days from receipt the
Of Decision. NWPC

Via Petition for

Certiorari (Rule 65)
Within 60 days from
CA via Petitionfor Receipt of decision.
Review (Rule 45)

Supreme Court
 Wage Distortion
Wage Distortion

Shall mean a situation where an increase in prescribed

Wage rates results in the elimination or severe contraction
of intentional quantitative differences in wage or salary
rates between and among employee groups in an
establishment as to effectively obliterate the distinctions
embodied in such wage structure based on skills, length of
service, or other logical bases of differentation.
 Wage Distortion
(Organized establishment)

EE & Union Grievance Voluntary

negotiates to Procedure in
Correct the Arbitrator
distortion. the CBA

Rule 43 CA
Rule 65

Rule 45 or SC
65 Finality
 Wage Distortion
(Organized establishment)

ER & Union
endeavor to NCMB NLRC-RAB
Correct the
distortion.

Rule 45 CA
Rule 65

Rule 45 or SC
65 Finality