MALACAÑANG
M a n i l aPRESIDENTIAL DECREE No. 1751 December 14, 1980
INCREASING THE STATUTORY DAILY MINIMUM WAGE AT ALL LEVELS BY P4.00 AFTER INTEGRATING THE MANDATORY EMERGENCY LIVING ALLOWANCES UNDER PRESIDENTIAL DECREES 525 AND 1123 INTO THE BASIC PAY OF ALL COVERED WORKERS
WHEREAS, organized labor has petitioned for the improvement of the benefits granted to the workers under Presidential Decree 1713;
WHEREAS, further studies indicate the possibility of granting additional benefits to the workers without unduly impairing the viability of business and industry in the face of the present world economic crisis;
NOW, THEREFORE, I, FERDINAND E. MARCOS , President of the Philippines, by virtue of the powers vested in me by the Constitution, hereby decrees;
Section 1. The mandatory emergency living allowances under Presidential Decrees 525 and 1123 shall be integrated into the basic pay of all covered workers effective January 1, 1981.
Section 2. After integration, the statutory minimum wages shall be increased by P4.00 a day effective January 1, 1981 in establishments paying their workers P50...
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Presidential Decrees
Increasing The Statutory Daily Minimum Wage At All Levels By P4.00 After Integrating The Mandatory Emergency Living Allowances Under Presidential Decrees 525 And 1123 Into The Basic Pay Of
Presidential Decree No. 1751
Summary of Presidential Decree No. 1751 and its Implementing Rules:
Integration of Allowances
- The mandatory emergency living allowances under Presidential Decrees 525 and 1123 shall be integrated into the basic pay of all covered workers effective January 1, 1981. (Section 2)
- For monthly-paid employees, the total monthly amount to be integrated shall not be less than the total allowance applicable under PD 525 and 1123, or P4.00 a day times the number of days considered paid in a month, whichever is higher. (Section 4a)
- For daily-paid employees working regularly, the amount to be integrated shall be determined by dividing the total monthly allowance by 25.25 days. (Section 4b)
- For daily-paid employees working less than 303 days a year, the amount to be integrated shall be determined by dividing the total yearly allowance by the number of their normal working days. (Section 4c)
Minimum Wage Increase
- The statutory minimum wage shall be increased by P4.00 a day effective January 1, 1981, in establishments paying their workers at least P50.00 a month under PD 525. (Section 3a)
- Employees receiving more than the minimum wage shall be entitled to an increase equivalent to at least the total integrated allowance. (Section 3c)
- The minimum wage of employees hired on or after January 1, 1981, by establishments capitalized at P1 million or more, or those paying P50.00 a month under PD 525, shall be increased by P4.00 a day. (Amendment to Section 2)
Deferment of Wage Increase
- In establishments required by PD 525 to pay P15.00 or P30.00 monthly allowance, the effectivity of the P4.00 a day wage increase may be deferred to January 1, 1982. (Section 6)
Minimum Wage of Special Groups
- The minimum wage of learners, apprentices, and handicapped workers shall not start below 75% of the applicable minimum wage. (Section 8)
- Existing learnership and apprenticeship agreements before January 1, 1980, shall be automatically amended by PD 1751 and these Rules regarding wage clauses. (Section 8)
Other Provisions
- The minimum wage rates shall be for work of not more than eight (8) hours a day. (Section 9)
- The minimum wage rates shall be exclusive of other benefits enjoyed by employees. (Section 10)
- Transfer of personnel shall not be a valid ground for reducing the minimum wage rates enjoyed prior to the transfer. (Section 11)
- Minimum wage rates of mobile and branch employees shall be based on their domicile or headquarters, and the place where they are stationed, respectively. (Section 12)
- In case of significant wage distortions due to the wage increase or integration, negotiations may be initiated to correct the distortions. (Section 13)
- The Decree and Rules shall not authorize the withdrawal or reduction of existing allowances, bonuses, and other benefits. (Section 14)
- PD 525 and 1123 and their implementing rules are repealed, while PD 1614, 1634, 1678, and 1713 and its implementing rules remain in full force and effect. (Section 15)
- The Decree and Rules shall be enforced in accordance with the Labor Code and its implementing rules. (Section 16)
- The Rules took effect on January 1, 1981. (Section 17)
Integration of Allowances
- The mandatory emergency living allowances under Presidential Decrees 525 and 1123 shall be integrated into the basic pay of all covered workers effective January 1, 1981. (Section 2)
- For monthly-paid employees, the total monthly amount to be integrated shall not be less than the total allowance applicable under PD 525 and 1123, or P4.00 a day times the number of days considered paid in a month, whichever is higher. (Section 4a)
- For daily-paid employees working regularly, the amount to be integrated shall be determined by dividing the total monthly allowance by 25.25 days. (Section 4b)
- For daily-paid employees working less than 303 days a year, the amount to be integrated shall be determined by dividing the total yearly allowance by the number of their normal working days. (Section 4c)
Minimum Wage Increase
- The statutory minimum wage shall be increased by P4.00 a day effective January 1, 1981, in establishments paying their workers at least P50.00 a month under PD 525. (Section 3a)
- Employees receiving more than the minimum wage shall be entitled to an increase equivalent to at least the total integrated allowance. (Section 3c)
- The minimum wage of employees hired on or after January 1, 1981, by establishments capitalized at P1 million or more, or those paying P50.00 a month under PD 525, shall be increased by P4.00 a day. (Amendment to Section 2)
Deferment of Wage Increase
- In establishments required by PD 525 to pay P15.00 or P30.00 monthly allowance, the effectivity of the P4.00 a day wage increase may be deferred to January 1, 1982. (Section 6)
Minimum Wage of Special Groups
- The minimum wage of learners, apprentices, and handicapped workers shall not start below 75% of the applicable minimum wage. (Section 8)
- Existing learnership and apprenticeship agreements before January 1, 1980, shall be automatically amended by PD 1751 and these Rules regarding wage clauses. (Section 8)
Other Provisions
- The minimum wage rates shall be for work of not more than eight (8) hours a day. (Section 9)
- The minimum wage rates shall be exclusive of other benefits enjoyed by employees. (Section 10)
- Transfer of personnel shall not be a valid ground for reducing the minimum wage rates enjoyed prior to the transfer. (Section 11)
- Minimum wage rates of mobile and branch employees shall be based on their domicile or headquarters, and the place where they are stationed, respectively. (Section 12)
- In case of significant wage distortions due to the wage increase or integration, negotiations may be initiated to correct the distortions. (Section 13)
- The Decree and Rules shall not authorize the withdrawal or reduction of existing allowances, bonuses, and other benefits. (Section 14)
- PD 525 and 1123 and their implementing rules are repealed, while PD 1614, 1634, 1678, and 1713 and its implementing rules remain in full force and effect. (Section 15)
- The Decree and Rules shall be enforced in accordance with the Labor Code and its implementing rules. (Section 16)
- The Rules took effect on January 1, 1981. (Section 17)