18 MINIMUM WAGES AND WAGE FIXING

MACHINERY
18.1 Wages defined

LABOR CODE, Art. 97(f)

Gaa v. CA, G.R. No. L-44169, December 3, 1985.

18.1.1 Gratuity: what wages are

not
18.1.2 Cash wage and facilities:
wage components
18.1.3 Commission as wages

Plastic Town Center Corp. v. NLRC, 172 SCRA 580 (1989)

Millares v. NLRC, 305 SCRA 500 (1999); SLL International
Cables Specialist v. NLRC, 644 SCRA 411 (2011)
Songco v. NLRC, 183 SCRA 610 (1990);
Boie Takeda v. De la Serna, 228 SCRA 329 (1993); Phil.
Duplicators v. NLRC, 241 SCRA 380 (1995)

18.1.4 Minimum wage, defined

LABOR CODE, Arts. 99, 97(f), 61, 75(c), & 80(b);

R.A. No. 9547, Sec. 2

18.1.5 Effect on benefits

LABOR CODE, Art. 100;

Davao Fruits Corp. v. ALU, 225 SCRA 562 (1993)

18.2 Two basic wage principles:

Aklan Electric Corp., Inc. v. NLRC, 323 SCRA 258 (2000);
18.2.1no work, no pay;
Social Security System v. SSS Supervisors' Union, 117 SCRA
18.2.2 equal pay for equal work
746(1982)

LABOR CODE, Art. 135;

International School Alliance of Educators v. Quisumbing,
G.R. No. 128845, June 1, 2000
18.3 Coverage of the Labor Code
provisions on wages

LABOR CODE, Arts. 97 (b), (c ) & (e) & 98;

Phil. Fisheries Development Authority v. NLRC,213 SCRA
621 (1992)

18.4 Wage-fixing machinery

18.4.1 Rationale for wage
rationalization
18.4.2 Agencies in wage fixing
machinery
18.4.2.1 National Wages
and Productivity
Commission
18.4.2.2 Regional
Tripartite Wages and
Productivity Board
18.4.3 Standards/criteria for minimum
wage fixing
18.2.4 Wage order

Wage Rationalization Act (R.A. No. 6727) which amended

Art. 120-127 & Omnibus Rules, Book III, Rule IX
RA 6727, Sec. 2

RA 6727, Sec. 3; LABOR CODE, Arts. 120, 121 & 126

RA 6727, Sec. 3; LABOR CODE, Arts. 122, 126
Nasipit Lumber Co. v. NWPC, 289 SCRA 667 (98)
RA 6727, Sec. 3; LABOR CODE, Art. 124
LABOR CODE, Arts. 123 & 124

18.2.4.1 Methods of fixing

18.2.4.1.1 Floor
wage method
18.2.4.1.2 Salary ceiling method
18.2.4.2 Validity

18.2.4.3 Wage distortion

Employers Confederation of the Philippines v. NWPC, 201

SCRA 759 (1991)
Cagayan Sugar Milling Co. v. Secretary, 284 SCRA 150
(1998); Metropolitan Bank and Trust Company, Inc. v.
NWPC, 514 SCRA 346(2007)
LABOR CODE, Art. 124;
Prubankers Association v. Prudential Bank & Trust Co., 302
SCRA 74 (1999); P.I. Manufacturing, Inc., v. P.I.
Manufacturing Supervisors and Foremen Association, 543
SCRA 613 (2008)