CAGAYAN DE ORO — Workers across Northern Mindanao received their Labor Day gift on May 1, 2026, as President Ferdinand Marcos Jr. announced the final tranche of the region’s minimum wage increase. Effective that day, private sector workers in Wage Category I—covering Cagayan de Oro, Iligan, and other key cities—now earn P500 daily, up from P486. Category II workers in other areas rose to P485, marking the completion of a two‑step adjustment that began in January.
The P14 final increase followed a first tranche of P25 that took effect on January 16, 2026, which had raised the rate from P461 to P486. The cumulative P39 hike aims to help workers cope with rising costs of food, transport, and basic goods while giving businesses time to adjust through a staggered rollout.
Who Gets the Raise
Wage Category I includes workers in Cagayan de Oro, Iligan, Malaybalay, Valencia, Gingoog, El Salvador, Ozamiz, and several municipalities including Tagoloan, Villanueva, Jasaan, Opol, Maramag, Quezon, Manolo Fortich, and Lugait. Category II applies to all other areas in Region 10, as well as retail and service establishments employing ten or fewer workers.
Domestic workers (kasambahays) also received a boost. Their monthly minimum wage increased from P6,000 to P6,500 under Wage Order No. RBX‑DW‑06, effective January 16, 2026.
Balancing Workers and Employers
RTWPB‑10 Chairperson Joffrey M. Suyao explained that the two‑tranche approach was designed to ease the burden on workers while remaining mindful of employers’ ability to maintain viable enterprises. Regional officials noted that Cagayan de Oro’s previous wage rate was slightly below the poverty threshold in some areas, and the new P500 floor aims to close that gap.
The Region 10 adjustment is part of a broader national wave of wage orders. Between 2023 and 2025, cumulative hikes in Metro Manila reached P125, bringing the daily rate to P695. For the 2025–2026 cycle, 16 wage orders were issued nationwide, benefiting approximately 4.69 million minimum wage earners.
Looking Ahead
With the new rates now in effect, DOLE‑10 has urged employers to update their payroll systems. Workers who suspect underpayment can report violations to the nearest DOLE field office. Beyond compliance, labor officials are promoting productivity‑enhancing measures such as energy and water conservation to help businesses offset higher labor costs.
For minimum wage earners in Northern Mindanao, the P500 daily rate translates to roughly P12,500 per month (based on 25 working days). While still modest compared to Metro Manila, the 7.5% improvement over the P465 rate from early 2026 is a meaningful step toward better purchasing power.
