In July 1989, the Philippine Congress enacted into law Republic Act No. 6727, also known as the "Wage Rationalization Act."
The Act established a new mechanism for minimum wage determination through the creation of the National Wages and Productivty Commission ( NWPC) and the Regional Tripartite Wages and Productivity Boards (RTWPBs) in all regions of the country.
The NWPC is an attached agency of the Department of Labor and Employment (DOLE).
To be the primary policy development and resource center on wages, incomes and productivity.
Mission
To ensure a decent standard of living for workers and their families, and contribute to the competitiveness of enterprises through improved productivity of workers.
Quality Policy
The NWPC is committed to:
* Provide quality service that will contribute to the attainment of a highly productive, competitive and well compensated Filipino workforce;
* Continuously improve its services for the satisfaction of its internal and external customers through continual process and systems improvement;
* Comply with all applicable regulatory requirements; and
* Develop its human resource.
Mandate
The NWPC and RTWPBs, as key policy making bodies on wages, incomes, and productivity, have the following mandates:
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Fix minimum wages on regional, provincial, and/or industry levels.
*
Promote productivity improvement and gainsharing.
Under Republic Act No. 6971, the "Productivity Incentives Act of 1990," they are also mandated to provide the necessary studies and technical assistance to enable workers and employers to conclude productivity agreements.
The NWPC is tasked to develop general policies and guidelines on wages, incomes, and productivity and exercise technical and administrative supervision over the RTWPBs.
The RTWPBs, on the other hand, are tasked to implement the wages, incomes, and productivity policies and programs in thier respective regions. They are thought to be in the best position to determine the most appropriate minimum wage levels in their respective areas of jurisdiction, taking into account regional/area-specific socio-economic differences and industry peculiarities.
Services
The NWPC and RTWPBs provide the following services on wages, incomes, and productivity:
Research and Policy
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Advise the President and Congress on matters relating to wages, incomes, and productivity
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Determine and fix minimum wage rates at the regional,provincial, and industry levels
*
Undertake researches and studies on wages and productivity
*
Formulate policies and guidelines on wages, incomes, and productivity
Training and Consulting
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Provide training courses on quality and productivity (Q&P) improvement for company owners, managers, supervisors, and workers of qualified small and medium enterprises (SMEs).
*
Extend firm level consulting and technical assistance on the actual implementation of Q&P improvement projects for beneficiary-SMEs.
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Promote gainsharing schemes at the firm level.
Information and Publication
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Render information services in the areas of wages, incomes, and productivity to walk-in and phone -in clients, as well as through the NWPC website and library.
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Disseminate publication and information materials on minimum wages and Q&P improvement ang gainsharing.
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Conduct wage clinics or one-on-one consultation with clients on wage related concerns.
