Rule 7, Chapter 2

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National Wages and

Productivity
Commission
(Art. 120-122)

Art. 120
I. The Commission
General Function : to assist DOLE in its policy and
program coordination.
-. Established in 1989 through the Republic Act 6727:
Wage Rationalization Act

Art. 121
II. Powers & Functions of the Commission
A. National Consultative & advisory body regarding wages,
income, and productivity
B. Formulation of policies and guidelines
C. Prescribe Rules and Guidelines for the Determination of
Minimum Wages and Productivity Measure
D. Review Regional Wage Levels Set by Regional Tripartite Wages
E. Undertake studies, research and surveys, compile data, and
disseminate information for the attainment of its functions and
objectives

Art. 121
F. Review Plans and Program of Regional Tripartite Wages
G. Exercise Technical and administrative supervision over
Regional Tripartite Wages
H. To hold, from time to time, a National Tripartite
Conference
I. To exercise other functions and powers as necessary
to implement Art. 6727

Art.121
III. Composition of the Commission
Undersecretary of Labor and Employment (DOLE): Ex-officio Chairman
Director-General of NEDA: Ex-officio Vice-Chairman
Two Members each from workers and employers sectors

TOTAL of 6 Major Members


IV. Commission Secretariat
Composed of: an Executive Director & 2 Deputy Directors
- to assist the commission

Art. 122
V. Regional Tripartite Wages and Productivity
Boards
- Regional Boards, established in all regions
including in autonomous regions
Regional Tripartite Wage and Productivity Board NCR
2nd/F DY International Bldg. San Marcelino cor. Gen. Malvar Sts.
Malate, Manila

Art. 122
VI. Powers and Functions of the Boards
A. Develop plans, Programs, and Projects relative to wags, income, and
productivity improvement in regions
B. Determination of Minimum Wage Rate applicable to region and issues Wage
Orders
C. To undertake studies, collate and disseminate information periodically for the
attainment of its functions, objectives, and programs.
D. Corrdinate with other Regional Boards
E. Receive, Process, and act on application for Exemption from Prescribed Wage
Rate
F. Other fnction necessary to carry out their mandate

Art 122
VII. Composition of Boards
Regional Directors of NEDA AND DTI as vice-chairman
(2) Members from Workers
(2) Members from Employers
Secretariat
Will serve for 5 years

Arts. 121-122
VIII. Authority to Organize and Appoint Personnel
- Nomination from the Employers and Workers Sectors
- Department of Labor and Employment (DOLE) will
recommend to the President
- The President of the Philippines will appoint both
Employers and Workers

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