PHP150 Wage Hike Set for Iloilo City Job Order, Contract Service Workers

By Rjay Zuriaga Castor

Job order and contract-of-service workers employed by the Iloilo City government will receive a PHP150 daily wage hike starting August under the administration of mayor-elect Raisa Treñas-Chu, daughter of outgoing Mayor Jerry Treñas.

From the current PHP450 daily wage, workers will receive an additional PHP130, raising their daily pay to PHP580 — higher than the PHP485 minimum wage for private sector employees in the region.

Treñas-Chu said the increase aims to help casual workers cover their contributions to the Philippine Health Insurance Corp. (PhilHealth), as they will soon be enrolled in the agency’s coverage.

“With the same advocacy of prioritizing their health, they have an increased salary to pay for their PhilHealth because we have a memorandum of agreement with PhilHealth,” she said Thursday during a tree-planting activity at Iloilo Sunset Boulevard.

She said PHP30 from the wage hike will be allocated monthly for PhilHealth contributions, easing the financial burden on workers and helping during medical emergencies.

The salary adjustment is funded by the city’s income surplus and improved Real Property Tax collection, the second-largest source of city revenue.

In 2024, the city implemented a 300% increase in real property taxes, a move that drew criticism from property owners and businesses concerned about the financial impact.

Meanwhile, Treñas-Chu also announced that a health insurance plan or Health Maintenance Organization (HMO) coverage for regular employees is in development, in coordination with the Resource Employees Association of City Hall.

The HMO program is expected to launch in July.

“Our story is that when you prioritize healthcare, we prioritize the health of our city government employees because you take care of your own first,” she said.

Permanent city employees will also benefit from the implementation of the second tranche of the Salary Standardization Law VI, which takes effect in August.

Funding for the salary adjustments was secured through Supplemental Budget No. 1, approved by the Sangguniang Panlungsod in April.