'No compromise on workers' 13th month pay,' Baldoz reminds employers

Date Posted: November 29th, 2011 12:00 AM


Labor and Employment Secretary Rosalinda Dimapilis-Baldoz yesterday reminded the country’s private sector employers there will be “no compromise” when it comes to the 13th month pay due the country’s workers.
Baldoz made the early reminder as the country braces for the long Christmas holidays and as workers anticipate the payment of year-end benefits, including the statutory 13th month pay.
Paraphrasing the overarching goal of President Benigno S. Aquino III, in his 22-point labor and employment agenda, “to promote industrial peace based on social justice while investing in our country’s top resource, our human resource, to make us more competitive,” Baldoz said:
“The 13th month pay is mandated by law. It is a core labor standard. The DOLE will not compromise on its payment by the employers to their workers,” she added.
The Labor Code of the Philippines (Presidential Decree 851) requires all employers to pay their rank-and-file employees a 13th month pay regardless of the nature of their employment and whatever the method their wages are paid, provided they worked for at least one month during a calendar year. It should be paid not later than 24 December of every year.
According to Baldoz, piece-rate workers are also entitled to the 13th month pay, as well as resigned or separated/terminated employees, who should be paid “in proportion to the length of time he worked during the year, reckoned from the time he started working during the calendar year and up to the time of his resignation or termination from the service.”
The 13th month pay should not be less than one-twelfth (1/12) of the total basic salary of an employee within a calendar year. For computation purposes, the basic salary includes all remunerations or earnings paid by an employer to an employee for services rendered.
It does not include, however, allowances and monetary benefits not considered as part of the basic salary, such as the cash equivalent of unused vacation and sick leave credits, overtime pay, night shift differential pay, holiday pay, and cost of living allowance (COLA).
However, these salary-related benefits should be included as part of basic salary in the computation of the 13th month pay if by individual or collective agreement, company practice or policy the same are treated as part of the basic salary of the employee.
Employers exempted from paying the 13th month are the government and any of its political subdivisions, including government-owned and –controlled corporations, except those
corporations operating essentially as private subsidiaries of the government; employers who are already paying their employees 13th month pay or more in a calendar year or its equivalent at the time of the issuance of PD 851; employers of house helpers and persons in the personal service of another; and employers of those who are paid on purely commission, boundary, or task basis, and those paid in fixed amount for performing specific work regardless of the time consumed in the performance of the work.

In urging compliance with the payment of the 13th month pay, Baldoz encouraged workers to report violations to the following: The DOLE Call Center at Hotline 2917 from your Globe or TM mobile phones, 908-2917 from your fixed-line phones for free, or text (SMS) 2910; the Bureau of Working Conditions at tel. no. 527-3000 local 301 and 307; email [email protected]; [email protected]; DOLE-National Capital Region (DOLE-NCR) at lel. nos. 400-62-42 or 400-39-18; email [email protected] or [email protected]DOLE-Cordillera Administrative Region (CAR) at tel. nos. (074) 442-2447; 442-0824; e-mail [email protected]  or [email protected]; DOLE-Region 1 at tel. no. (072) 700-2520; e-mail at [email protected]; DOLE-Region 2 at trunk lines (078) 844-1364, 844-1383, 844-5516; email [email protected]; DOLE-Region 3 at tel. nos. (045) 455-1613; email [email protected]DOLE-Region 4A at tel. no. (049) 545-7360; 545-7357; email [email protected]; [email protected]; [email protected]DOLE-Region 4B at tel. no. (043) 288-1485; email [email protected]; [email protected];
DOLE-Region 5 at tel. nos. (052) 820-4806; (052) 480-5831(DL); email  [email protected]DOLE-Region 6 at tel. nos. (033) 320-8026; (033) 509-0400; email [email protected]DOLE-Region 7 at tel. no. (032) 253-0638; email [email protected]DOLE-Region 8 at tel. no. (053) 325 5236; 523-4220; 325-6293; email [email protected]; DOLE-Region 9 at tel. no. (062) 991-2673; 993-1877; DOLE I-Text: 0917-7244338; email [email protected]DOLE-Region 10 at tel. no. (088) 857-2218; email [email protected]; DOLE-Region 11 at tel. nos. (082) 227-8772; 226-3175; 227-3157; email [email protected]DOLE-Region 12 at Tel No: (083) 520-0125; email [email protected]; and, DOLE-Region 13 (CARAGA) at tel. no. (085) 342-9503; 342-9606; email at [email protected]. [email protected].
To maintain compliance thereof, all employers are required to submit immediately their written compliance, with supporting documents, to the nearest Regional Office.
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