DOLE: Workers should get 13th month pay on time

CEBU, Philippines —  The Department of Labor and Employment (DOLE) has reminded private sector employers to release the 13th month pay of workers no later than December 24, 2023.

DOLE Secretary Bienvenido E. Laguesma issued Labor Advisory No. 25, Series of 2023, on November 8, 2023 to guide employers and workers on the proper computation of the mandatory benefit pursuant to the Labor Code of the Philippines and Presidential Decree No. 851, the latter specifically requires  all employers to pay their employees a 13th-month pay.

In a statement, the labor department said that the issuance reiterates that the 13th month pay “shall be paid to rank-and-file employees in the private sector regardless of their position, designation, or employment status, and irrespective of the method by which their wages are paid, provided that they have worked for at least one month during the calendar year.”

DOLE said that also entitled to the benefit are rank-and-file employees who are paid on a piece-rate basis, fixed, or guaranteed wage plus commission; those with multiple employers; those who resigned; those who were terminated from employment; or those who were on maternity leave and received salary differential.

According to the advisory, the minimum 13th month pay shall not be less than one-twelfth (1/12) of the total basic salary earned by an employee within the calendar year computed which is the total basic salary/12 months = proportionate 13th month pay.

DOLE also clarified that it shall not allow requests for exemption or deferment of its payment.

To monitor compliance, employers are directed to submit a report through the DOLE Establishment Report System no later than January 15, 2024.

The report shall contain the name of the establishment, address, principal product or business, total employment, the total number of workers benefitted, the amount granted per employee, and the total amount of benefits granted.

The DOLE Regional/Field/Provincial Office having jurisdiction over the workplace shall monitor compliance with this general labor standard. (CEBU NEWS)