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Saturday, July 5, 2025
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Agricultural sector appeals to President Marcos Jr. to defer minimum wage hike

The Philippine Chamber of Agriculture and Food, Inc. (PCAFI) has formally appealed to President Ferdinand R. Marcos Jr. to defer the approval and implementation of a recently passed House bill proposing a P200 daily minimum wage increase. In a letter dated June 11, 2025, PCAFI president Danilo Fausto expressed “grave concern” over the bill, which was approved on its third and final reading by the House of Representatives on June 3, 2025.

PCAFI’s primary concern revolves around the alleged lack of consultation with the agricultural sector, particularly farmers and fisherfolk, regarding the wage hike. “The decision of Congress to approve the wage increase did not undergo consultation with the agricultural sector,” the letter stated, emphasizing that this oversight meant Congress “failed to take into consideration the implications and effect of the said wage increase bill on the lives and welfare of farmers and fisherfolks.”

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While acknowledging that PCAFI is “not against any wage increase to uplift the income of our workers,” Fausto highlighted a critical paradox: “Our farmers and fisherfolks, because of the very nature of their livelihood, they will not be covered by any wage increases.” Conversely, these vital food producers “will be greatly affected by increases in prices of prime commodities brought about by upward wage adjustments.”

The appeal underscored the precarious state of the agricultural sector, which recorded a growth decline of -1.6 percent in 2024. Fausto asserted that it is “bad timing to increase wages while the sector is anguishing.”

Furthermore, PCAFI warned that the proposed wage increase would significantly hamper the sector’s development. They anticipate that “operational costs will discourage any investments and expansion due to the wage increase,” thereby impeding the crucial development of the agriculture value chain and supply chain.

PCAFI is earnestly appealing to President Marcos Jr. for his “kind consideration to defer the approval and implementation of the Congress’ approved wage increase” until the agriculture sector has “fully recovered and achieved reasonable productivity and growth.”

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