'Legal snatching': Labor groups ask court to lift halt order on NCR wage hike

MANILA, Philippines — Labor groups asked a Pasig court to lift its temporary restraining order blocking an P85 minimum wage increase in Metro Manila, arguing that the court lacked jurisdiction and was depriving workers of wages granted under a regional wage order.

The Federation of Free Workers, SENTRO, Partido Manggagawa and other labor organizations filed an urgent motion for leave to intervene before Branch 152 of the Pasig Regional Trial Court on Monday, August 3.

The groups called the halt order a "legal snatching" of wages from more than a million minimum-wage earners in Metro Manila.

"A street snatcher strikes once. But if the TRO is not lifted today, this legal snatching will be repeated every working day," they said.

The dispute arose from a petition for declaratory relief filed July 23 by Readycon Trading and Construction Corp. and R-II Builders Inc.

The companies challenged National Capital Region Wage Order No. 27, which provides for an P85 increase in two tranches: P60 effective July 25, 2026, and another P25 effective Jan. 20, 2027.

Following a summary hearing on July 28, the Pasig RTC issued an order that temporarily stops the wage order's implementation.

The order kept the daily minimum wage at P695 instead of allowing it to rise to P755 under the first tranche. The rate would increase to P780 upon implementation of the second tranche.

Groups question RTC jurisdiction

The labor groups argued that Article 126 of the Labor Code prohibits courts and tribunals from issuing injunctions or temporary restraining orders against proceedings before the National Wages and Productivity Commission or regional wage boards.

They also said the employers bypassed the remedy provided under Article 123, which allows a party aggrieved by a wage order to appeal to the wage commission within 10 days of publication.

"The statutory design is deliberate. Congress allowed review but protected workers against the loss of wages during review," the groups said.

They argued that a direct court action stopping the wage order undermined both the appeal process and safeguards intended to protect workers' wages.

The groups also said the employers had no "clear and unmistakable right" to continue paying the previous minimum wage.

Businesses claiming financial difficulty may instead apply for exemptions before the Regional Tripartite Wages and Productivity Board, they said.

"Petitioners cannot invoke alleged financial incapacity as a basis to enjoin the implementation of the Wage Order," the groups said, arguing that labor rules already provide an administrative remedy.

They added that exemptions may be available to distressed establishments, new business enterprises, small retail and service establishments and businesses affected by natural calamities, subject to the wage commission rules.