RTWPB ORIENTS PRIORITY INDUSTRIES IDENTIFIED UNDER ADVISORY 02-14 OF WAGE ORDER RBCAR-16

The Regional Tripartite Wages and Productivity Board conducted an orientation for workers and employers of
industries identified under Advisory 02-14, the Productivity Based Pay of Wage Order RB-CAR-16 for the Second
Tier implementation on June 24, 2014, DOLE Regional Director and RTWPB Chairman Henry John S. Jalbuena
reported.
Under Advisory 01-13 previously issued by the Board, three industries were identified, namely: Manufacturing;
Wholesale, retail, motor repair shops group and Hotels and Restaurants. After one year of implementation the
Board conducted a review of the economic performance of all the industries in the Region, including the three
previously identified industries, to determine which sector has attained a better business performance and who
may implement the Second Tier.
Results of review, research studies and consultations with affected industries and in coordination with agencies
like NEDA, DTI and PSA, show that three previously identified maintained their positive industry performance.
The same results reveal that an additional sector, the Administrative and Support Services, have also attained a
positive industry outlook and therefore was included as priority industries for purposes of implementing the
Second Tier. Hence, the Board issued Advisory 02-14 with four industries identified.
The Productivity Based Pay or the Second Tier provided by Wage Order No. RB-CAR-16 which is voluntary for
implementation by employers. It takes the form of incentives or gratuity given to deserving workers for their good
work performance and work attitude. It is given to workers as a reward and recognition for their contribution in the
overall improvement of business performance and competitiveness.
As provided in the advisory, companies adopting the second tier shall create a committee to be called Productivity
and Incentive Committee, preferably with equal representation from the workers and management, to design the
incentive scheme. But if the company has an existing committee, performing the same or similar functions, the
same may be retained or revised.
Businesses implementing the Second Tier are also encouraged to avail of tax incentives as provided for under RA
6971 also known as An Act to Encourage Productivity and Maintain Industrial Peace by Providing Incentives to
both Labor and Capital or the Productivity Incentives Act of 1990.

CLEARED FOR RELEASE:

HENRY JOHN S. JALBUENA
DOLE CAR
REGIONAL DIRECTOR

DOLE, RTWPB CAR RECOGNIZES ADDITIONAL 7 COMPLIANT ESTABLISHMENTS TO THE NEW LABOR
LAWS COMPLIANCE SYSTEM
The Department of Labor and Employment- Cordillera Administrative Region has issued additional Certificates of
Compliance to 7 compliant establishments in Baguio on General Labor Standards and Occupational Safety and
Health Standards, which shall be valid for a period of two years. Likewise the Regional Tripartite Wages and
Productivity Board has issued Certificates of Recognition to the same establishments for the implementation of
the productivity-based pay.
The seven establishments who have complied with the new Labor Laws Compliance System are: WI-AL
Construction Builders, Tuvera Pension House, Gemmas Pancit and Spices Grocery, Wilconstruct Enterprises,
Carpentrade Hardware, Power Plus Store, and Naduma Enterprise, Inc.
Jalbuena said that, During the last years celebration of Labor Day, President Benigno Aquino III, approved 372
additional plantilla positions for Labor Laws Compliance Officers nationwide. This is a major reform agenda of the
DOLE which changed its policy on monitoring compliance with labor laws standards from purely regulatory to a
progressively developmental approach.
The new system of voluntary compliance through the use of developmental approach is a supplement to (a)
inculcate a culture of compliance with labor laws standards, occupational safety and health, productivity basedpay; (b) ensure fair, expeditions, and non-litigious settlement of disputes; (c) encourage the use of settlement in
all labor cases; and (d) strengthen tripartism among the employees, employers and the government.
Meanwhile, according to Maricor Macay, representative of the Carpentrade Hardware, who received Certificate of
Recognition, she said, We gain the trust of the employees towards the company, because, they know for a fact
that we follow the set guidelines by DOLE. It also boosts the confidence of the employer and employees.
She also narrated that the certificates they received from the Department of Labor and Employment is a symbol
of harmonious working relationship of the management and labor. Maricor added that this could lead to the higher
number of applicants wanting to be part of the Carpentrade Hardware family.

CLEARED FOR RELEASE:

HENRY JOHN S. JALBUENA
DOLE-CAR
REGIONAL DIRECTOR