Manila: Eleven members of the House of Representatives have introduced a bill aiming to provide qualified minimum wage families with PHP12,000 in annual assistance, directing the subsidy towards local micro, small, and medium enterprises (MSMEs).
According to Philippines News Agency, House Bill 10648, known as the proposed Pambansang Agapay sa Pamilya at Maliliit na Negosyo (PAMANA) Act, seeks to grant eligible families PHP1,000 monthly via a digital wallet linked to the Philippine Identification System. The measure was filed by Reps. Jude Acidre, Ziaur-Rahman Adiong, Joel Chua, Jannette Garin, Jefferson Khonghun, Gerville Luistro, Francisco Paolo Ortega, Terry Ridon, Ramon Rodrigo Gutierrez, David Suarez, and Ysabel Maria Zamora.
The proposal aims to address a gap in the country's social protection system by providing assistance to minimum-wage earners who, while vulnerable to rising living costs, are not typically covered by conditional cash transfer programs. In a news release, Acidre highlighted that many minimum-wage earners struggle to meet basic needs despite being employed.
Under the bill, eligible families must be headed by a minimum-wage earner, registered under the Philippine Identification System (PhilSys), and not current beneficiaries of the Pantawid Pamilyang Pilipino Program (4Ps) or similar programs. The exclusion of 4Ps beneficiaries is designed to prevent duplication and ensure the subsidy reaches working households without comparable government assistance.
The program targets private-sector employees receiving the statutory minimum wage set by the Regional Tripartite Wages and Productivity Board and public-sector employees whose compensation does not exceed the applicable minimum wage. Self-employed and informal-sector workers earning at or below the regional minimum wage may also apply through local social welfare offices.
The subsidy, distinct from conventional cash assistance, can only be used at accredited local MSMEs. Beneficiaries may spend up to PHP200 daily, with unused funds remaining in their digital wallets. The subsidy cannot be withdrawn as cash or used for certain restricted purposes, such as online gambling or purchasing alcohol and tobacco.
Ortega emphasized that the local spending requirement supports household consumption while generating demand for local businesses. The Department of Social Welfare and Development (DSWD) would administer the program in coordination with several other government departments. They would verify eligibility using existing databases and provide alternative payment mechanisms for those without smartphones or reliable internet.
Chua noted that the digital system would facilitate direct assistance transfers and enhance oversight. Preliminary estimates suggest the program's annual cost would be between PHP64 billion and PHP68 billion, less than 1 percent of the proposed national budget for Fiscal Year 2026. The bill proposes establishing the PAMANA Trust Fund, supported by revenue sources like value-added tax collections from digital services.
Acidre concluded by stating that PAMANA is designed to ensure no family is left behind due to income thresholds, representing an investment in the dignity of working families and local enterprises.
