14th-month pay bill filed in Senate

MANILA, Philippines - Deputy Senate minority leader Sen. Vicente Sotto III is seeking for the passage of a measure that will require employers to provide 14th month pay for workers.

Sotto said workers need another bonus package because the 13th month pay is not enough it is spent on Christmas expenses.

“We need extra earnings in the middle of the year to help ordinary workers in school and medical expenses for their family,” Sotto said.

Sotto noted that the recent wage increase of P10 is “too small compared to the daily expenses of ordinary Filipino workers.”

Under the proposed measure, Sotto wants the bill to cover all government and non-government rank-and-file employees regardless of their employment status, designation and irrespective of the method by which their wages are paid.

Workers entitled to the bonus package are those employed at least one month with the agency during the calendar year.

Under Senate Bill 1645,  it is proposed that the 13th month pay shall be paid not later than June 14th and the 14th month pay shall be paid not later than December 24th of every year provided however that the frequency of payment of this monetary benefit may be the subject of agreement between the employer and the employee or any recognized/collective bargaining agent of employees.

The bill also suggests that the minimum amount of the 14th month pay shall not be less than 1/12 of the total basic salary earned by the employee within the calendar year.

“Once passed into law, this will make the maxim attributed to President Ramon Magsaysay that 'those who have less in life should have more in law,'" Sotto said.

Within sixty days from the enactment of this law, the Secretary of the Department of Labor and Employment (DOLE) shall promulgate the implementing rules of the law.

If passed into law, any provision of this Act is declared invalid or unconstitutional, other provisions hereof which are not affected thereby shall continue to be in full force and effect.

“Any law, presidential decree or issuance, executive order, letter of instruction, administrative order, rule or regulation contrary to or inconsistent with any provision of this Act as hereby amended or modified accordingly,” the bill read.