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Republic Act 6727: Wage Rationalization Act
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Republic Act 6727: Wage Rationalization Act

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Questions and Answers

What is the primary purpose of the Regional Tripartite Wages and Productivity Boards (RTWPBs)?

To determine the daily minimum wage rates in different regions based on established criteria

How many regions are specified in the text as having distinct minimum wage rates?

16

What factors can affect the daily minimum wage rates prescribed by the Regional Wage Orders?

Number of workers and capitalization of enterprises

What provision do the Wage Orders provide for under certain circumstances?

<p>Application for exemption from compliance with the minimum wage rates</p> Signup and view all the answers

What is the name of the region composed of the provinces of Agusan del Norte, Agusan del Sur, Surigao del Norte, and Surigao del Sur?

<p>Caraga</p> Signup and view all the answers

What are the different industrial sectors where minimum wages are fixed according to Republic Act No. 6727?

<p>Non-agriculture, agriculture plantation, non-plantation, cottage/handicraft, and retail/service</p> Signup and view all the answers

What activities are included in the definition of 'agriculture' according to the Rules Implementing RA 6727?

<p>Cultivation and tillage of the soil, production, cultivation, growing and harvesting of agricultural or horticultural commodities, dairying, raising of livestock or poultry, and culture of fish and other aquatic products in farms or ponds.</p> Signup and view all the answers

What is the primary characteristic of a retail establishment as defined by the Rules Implementing RA 6727?

<p>The sale of goods to end-users for personal or household use.</p> Signup and view all the answers

What is the main difference between a retail establishment and a service establishment according to the Rules Implementing RA 6727?

<p>A retail establishment sells goods, while a service establishment sells services to individuals for their own or household use.</p> Signup and view all the answers

What happens to a retail establishment's classification if it engages in wholesale activities regularly?

<p>It loses its retail character.</p> Signup and view all the answers

Study Notes

Wage Rationalization Act

  • Republic Act No. 6727, also known as the "Wage Rationalization Act", sets the minimum wages for different industrial sectors.

Sectors and Classification

  • Sectors classified into: non-agriculture, agriculture plantation, non-plantation, cottage/handicraft, and retail/service.
  • Classification based on number of workers, capitalization, or annual gross sales in some sectors.

Definitions

  • "Agriculture" includes farming, cultivation, production, and other activities related to farming, but excludes manufacturing and processing of farm products.
  • "Retail establishment" sells goods to end-users for personal or household use, and loses its retail character if it engages in wholesale activities.
  • "Service establishment" provides services to individuals for personal or household use.

Regional Tripartite Wages and Productivity Boards (RTWPBs)

  • RTWPBs determine daily minimum wage rates in different regions based on established criteria.
  • Regions include:
    • National Capital Region (NCR) or Metro Manila
    • Cordillera Administrative Region (CAR)
    • Region I - Northern Luzon or Ilocos
    • Region II - Cagayan Valley
    • Region III - Central Luzon
    • CALABARZON (Cavite, Laguna, Batangas, Rizal, and Quezon)
    • MIMAROPA (Mindoro Oriental, Mindoro Occidental, Marinduque, Romblon, and Palawan)
    • Region V - Bicol
    • Region VI - Western Visayas
    • Region VII - Central Visayas
    • Region VIII - Eastern Visayas
    • Region IX - Western Mindanao or Zamboanga Peninsula
    • Region X - Northern Mindanao
    • Region XI - Southern Mindanao or Davao
    • Region XII - Central Mindanao or SOCCSKSARGEN
    • Caraga (Agusan del Norte, Agusan del Sur, Surigao del Norte, and Surigao del Sur)
    • Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)

Wage Orders

  • Regional Wage Orders prescribe daily minimum wage rates per industry per locality within the region.
  • Wage Orders provide basis and procedure for application for exemption from compliance.

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This quiz is about the Republic Act 6727, also known as the Wage Rationalization Act, which sets the minimum wages for different industrial sectors.

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