MANILA, Dec. 7 (PIA)—The Department of Labor & Employment urges private employers to pay their workers’ 13th month pay by 24 December.
Labor Secretary Rosalinda Baldoz said 13th month pay is a labor standard requirement of the Labor Code and all employers are required to pay it to their workers, regardless of the nature of their employment, and irrespective of the methods by which their wages are paid, provided they worked for at least one month during a calendar year.
She added that giving 13th month pay to workers would foster “good labor-management relations and increase workers’ and enterprises’ productivity and competitiveness.”
The 13th month pay constitutes one-twelfth (1/12th) of the basic pay received by an employee in a calendar year
Baldoz said that while the 13th month pay includes remunerations or earnings paid by an employer to the worker for services rendered, it does not include: cost-of-living allowances (COLA);profit-sharing payments cash equivalents of unused vacation and sick leave credits; overtime pay; premium pay; night shift differential pay; holiday pay;allowances and monetary benefits which are not considered or integrated as part of the regular or basic salary of the employee.
“This year, the 24th of December falls on a Thursday, so employers may pay their workers the 13th month benefit on this day, but I urge them to pay earlier to avoid the rush,” said Baldoz.
Employers may also opt to pay their workers one-half of their 13th month benefit before the opening of the regular school year in May or June; and the remaining half on or before December 24.
"If not paid after this date, the 13th month pay becomes due and demandable," said Baldoz, adding that employers who fail to pay the 13th month benefit are liable to money claim cases that workers may file with any DOLE Regional Office.
“Once the DOLE receives a request for assistance (RFA) to resolve a non-payment of 13th month benefit, the RFA will be acted upon using the single entry approach (SEnA) mechanism of conciliation-mediation which is a very accessible, fair, non-litigious, and inexpensive dispute settlement system,” said Baldoz.
The Labor and Employment Chief also added that all employers are required to make a report of compliance to the nearest DOLE regional office not later than 15 January of each year. (DOLE/RJB/SDL/PIA-NCR)
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