Cayetano renews push for Labor Commission to bridge wage gap

Senator Alan Peter Cayetano on Thursday renewed his call for the creation of an Executive-Legislative Labor Commission (LabCom), saying it is key to fixing the country’s wide wage disparities.

The move came as the Senate Committee on Labor, Employment, and Human Resources Development reviewed the national minimum wage, possible wage hikes, and the push for a living wage during its hearing on September 4, 2025.

“Kung love natin ang Pilipinas, kung love natin ang laborers, [at] kung gusto nating ang mga overseas Filipino workers kapag dumating ang araw ay hindi na kailangang mag abroad, we have to have a labor commission,” Cayetano said.

Cayetano’s LabCom Act of 2025 (Senate Bill No. 104) is one of his 10 priority measures for the 20th Congress. The bill seeks to create a commission that can craft industry-specific and region-sensitive wage policies, instead of depending on broad legislated wage hikes that often stall in Congress.

The proposed measure sets the definition of living wage as “the amount of family income needed to provide for the family’s food and non-food expenditures with sufficient allowance for savings or investments for social security so as to enable the family to live and maintain a decent standard of human existence beyond mere subsistence level, taking into account all of the family’s physiological, social and other needs.”

“Y’un nga ang problema sa legislative wage hike. Hindi magkaroon ng consensus. The LabCom will not talk in generalities. It will come out industry specific,” Cayetano said. The proposed commission will include representatives from Congress, the Senate, and key agencies such as NEDA, DTI, DOLE, and DMW. It will also bring in voices from big business, MSMEs, and the labor sector.

Cayetano said this inclusive structure would help develop fair and sustainable wage standards across industries and regions “to achieve the kind of society we aspire for.” “This will help end the endless stream of Filipinos who are forced to leave their homes and families for what they hope would be greener economic pastures continue,” he said.###