BALANGA CITY, Bataan – “Please give your workers their 13th month pay on time,” the Department of Labor and Employment (DOLE) urged Central Luzon employers yesterday.
DOLE Regional Director Zenaida Angara-Campita said in an interview with local newsmen that employers must pay their workers’ 13th month pay not later than December 24.
“It is every employer’s obligation to pay their workers their much-awaited 13th month pay so that they may fully enjoy spirit of the yuletide season with their families,” RD Campita said, adding:
“All employers are required to pay their rank-and-file employees their 13th month pay regardless of the nature of their employment and irrespective of the methods which their wages were paid, provided they worked for at least one month in a year.”
The labor laws and their implementing rules and regulations mandate the payment of the pro-rated 13th month pay, computed this way:
Total Basic Salary X Employment Length ÷ 12 months = 13th Month Pay
Ex. (P10,000.00) (8 months) (12) = P6,666.00
RD Campita underscored that the 13th month pay is defined as 1/12 of the basic salary of an employee within a calendar year.
“The basic salary includes all remunerations or earnings paid by an employer to an employee for services rendered, but may not include cost-of-living allowances or COLA, profit-sharing payments, cash equivalents of unused vacation and sick leave credits, overtime pay, premium pay, night differential pay, holiday, and all allowances and monetary benefits which are not considered, or integrated as part of the regular or basic salary of the employee,” RD Campita explained.
Under the Labor Code, RD Campita said that employers are required to make a report of compliance to the DOLE regional office not later than January 15 of each year.
“The 13th month pay is a labor standard provision of the law that the DOLE does not compromise as to its payment as employers are duty-bound under labor laws to report their compliance with this worker benefit,” RD Campita said, adding:
“Giving our workers what is due to them after a job well-done throughout the working year will result in better labor-management relationships as well as increase in productivity and competitiveness.”
Employers failing to pay the 13th month benefit are liable to money claim cases that aggrieved employees may file with any DOLE regional or field office, RD Campita warned.