Pasig court freezes P85 wage hike

Upgrade to High-Speed Internet for only ₱1499/month!

Enjoy up to 100 Mbps fiber broadband, perfect for browsing, streaming, and gaming.

Visit Suniway.ph to learn

August 14, 2026 | 12:00am

MANILA, Philippines —  The Pasig Regional Trial Court (RTC) Branch 152 has issued a writ of preliminary injunction stopping the implementation of Wage Order 27, effectively putting on hold the P85 daily minimum wage increase for workers in the National Capital Region.

In a 14-page decision issued yesterday, the court said the injunction would remain in effect pending its resolution of the petition for declaratory relief filed by construction firms Readycon Trading and Construction Corp. and R-II Builders.

Both companies argued that the wage increase could cause serious financial injury and disrupt their existing bidding and cost structures.

The wage hike was supposed to grant workers an initial P60 increase starting July 25, followed by another P25 in January 2027.

The court said it considered the potential loss of employment among workers if employers are unable to absorb the higher labor costs, noting that losing a job would be more serious and difficult to reverse than temporarily forgoing an additional wage increase.

“Losing one’s employment is graver and irreversible than the temporary inability to receive additional wages,” the court said.

The court stressed that the injunction was intended to preserve the status quo while it examines the merits of the case and weighs the interests of both employers and workers.

In issuing the injunction, the court rejected the argument that its action disregarded Article 126 of the Labor Code, which bars courts from issuing injunctions against wage board proceedings.

It said the injunction was intended as “preservative relief” to ensure that the rights and livelihoods of both management and labor are considered while the case is being resolved.

To address potential damage arising from the injunction, it set a P10-billion bond as a condition for its issuance.

“It is to the best interest of all stakeholders that the assailed wage order be temporarily put on pause,” the court said.

Labor groups have opposed the legal action, arguing that the injunction violates Article 126 of the Labor Code, which prohibits courts from restraining wage board proceedings. –Christine Boton