ILOILO City – As early as November, the Department of Labor and Employment (DOLE) reminded employers to give the appropriate 13th month pay to qualified employees in the private sector.
“The DOLE secretary is reminding employers to pay ‘yong karapat-dapat na 13th month pay to be received by the employees because this is a mandatory requirement by the department and the law,” DOLE-6 director Atty. Sixto Rodriguez Jr. said in a Panay News interview yesterday morning.
He referred to Presidential Decree (PD) No. 851, Series of 1975, issued by former President Ferdinand E. Marcos.
“The Christmas season is an opportune time for society to show its concern for the plight of the working masses so they may properly celebrate Christmas and New Year,” stated PD No. 851.
It added: “All employers are hereby required to pay all their employees receiving a basic salary of not more than P1,000 a month, regardless of the nature of their employment, a 13th month pay not later than December 24 of every year.”
On Wednesday, Nov. 8, DOLE secretary Bienvenido Laguesma also issued Labor Advisory No. 25, Series of 2023.
Who is Qualified?
Under Labor Advisory No. 25, Series of 2023, the 13th month pay shall be paid to rank-and-file employees in the private sector regardless of their position, designation or employment status and irrespective of the method by which their wages are paid, provided that they have worked for at least one month during the calendar year.
It shall also be given to rank-and-file employees paid on a piece-rate basis, fixed or guaranteed wage plus commission, those with multiple employers, those who resigned, were terminated from employment, or were on maternity leave and received a salary differential.
The minimum 13th month pay shall not be less than one-twelfth (1/12) of the total basic salary earned by an employee within a calendar year.
Time of Payment
The 13th month pay shall be given on or before Dec. 24, 2023.
However, Rodriguez said the DOLE encourages giving it as early as possible so that employees can avoid the holiday rush.
Rodriguez emphasized that no request or application for exemption from payment of 13th month pay or deferment of its payment shall be accepted and allowed.
Report of Compliance
Employers shall make a report of their compliance through the DOLE.
Rodriguez said that for DOLE to monitor compliance, employers are required of the Establishment Report System at https://reports.dole.gov.ph/ no later than Jan. 15, 2024.
The report shall conform substantially to the following:
* Name of establishment
* Address
* Principal product or business
* Total employment
* Total number of workers who benefitted
* Amount granted per employee
* The total amount of benefits granted
* Name, position, and telephone number of the person giving the information
Compliance with the 13th month pay shall be monitored by the appropriate DOLE regional, field or provincial office having jurisdiction over the workplace following Department Order No. 238, Series of 2023./PN
