DOLE Urges Early Release of 13th-Month Pay by Private Sector Employers
Manila – The Department of Labor and Employment (DOLE) has issued a reminder to all private-sector employers in the Philippines to release the mandated 13th-month pay of their employees by December 24. This directive was outlined in Labor Advisory 25, series of 2023, issued on November 8 by Labor Secretary Bienvenido Laguesma.
According to Philippines News Agency, the advisory also includes the department’s yearly guide on the proper computation of this mandatory benefit for employees in private companies.
The advisory clarifies that rank-and-file employees, regardless of whether they are paid on a piece-rate basis, receive a fixed or guaranteed wage plus commission, have multiple employers, are resigned or terminated from employment, or were on maternity leave and received salary differential, are entitled to this benefit. The calculation for the minimum 13th-month pay is based on 1/12 of the total basic salary earned by an employee within the calendar year. This payment is mandated under the Labor Code of the Philippines and Presidential Decree 851. DOLE emphasized that it would not entertain requests for exemption or deferment of this payment and expects all employers to submit their respective compliance reports by January 15, 2024.
The compliance report should include details like the name of the establishment, address, principal product or business, total employment, the number of workers benefitted, the amount granted per employee, and the total amount of benefits granted. DOLE’s Regional/Field/Provincial Offices will monitor compliance with this standard. For further inquiries on the 13th-month pay, the public can reach out to DOLE Hotline 1349, which operates 24/7, or contact 0931-066-2573 during office hours. Inquiries can also be made via email to [email protected] or through direct messages to DOLE’s Facebook Page.
In a related development, the Regional Tripartite Wages and Productivity Board – National Capital Region will conduct a public hearing on minimum wage adjustment for domestic workers on November 22 at the Philippine Trade Training Center in Pasay City. Interested parties are invited to attend the hearing or send emails and position papers by November 17. The last wage increase for Metro Manila domestic workers, amounting to PHP1,000, took effect on July 13, 2022.