Increasing the Statutory Daily Minimum Wages After Integrating the Cost of Living Allowance Under Wage Orders Nos. 1, 2, 3, 5 and 6 Into the Basic Pay of All Covered Workers

EXECUTIVE ORDER NO. 178 May 1, 1987

INCREASING THE STATUTORY DAILY MINIMUM WAGES AFTER INTEGRATING THE COST OF LIVING ALLOWANCE UNDER WAGE ORDERS NOS. 1, 2, 3, 5 and 6 INTO THE BASIC PAY OF ALL COVERED WORKERS

WHEREAS, the National Tripartite Conference, held on April 10-11, 1987, has agreed in principle on the integration of existing cost-of-living-allowances (COLAs) into the basic pay, leaving to the President of the Philippines the decision on the manner and schedule of integration;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, do hereby order:

Sec. 1. The cost-of-living allowances mandated under existing Wage Orders shall be integrated into the basic wage of all covered workers based on the following schedule:

a) COLAs under Wage Orders Nos. 1, 2 and 3, effective May 1, 1987

b) COLAs under Wage Orders Nos. 5 and 6, effective October 1, 1987

For establishments with less than 30 employees and paid-up capital of P500,000 or less:

a) COLAs under Wage Orders Nos. 1 and 2, effective...

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Summary of Executive Order No. 178

Integration of Cost of Living Allowances (COLAs) into Basic Wage
- COLAs under Wage Orders Nos. 1, 2, and 3 to be integrated into basic wage effective May 1, 1987. (Section 1a)
- COLAs under Wage Orders Nos. 5 and 6 to be integrated into basic wage effective October 1, 1987. (Section 1b)
- For establishments with less than 30 employees and paid-up capital of P500,000 or less:
    - COLAs under Wage Orders Nos. 1 and 2 to be integrated effective May 1, 1987. (Section 1a)
    - COLA under Wage Order No. 3 to be integrated effective October 1, 1987. (Section 1b)
    - COLAs under Wage Orders Nos. 5 and 6 to be integrated effective January 1, 1988. (Section 1c)

Implementation
- Secretary of Labor and Employment, as Chairman of the National Wages Council, shall promulgate necessary rules and regulations to implement the Executive Order. (Section 2)

Repealing Clause
- All laws, orders, issuances, rules and regulations or parts thereof inconsistent with this Executive Order are hereby repealed or modified accordingly. (Section 3)

Effectivity
- This Executive Order shall take effect on May 1, 1987. (Section 4)