The Manila Times

DoLE issues guidelines on employees’ 13th month pay

- BY WILLIAM B. DEPASUPIL

THE Department of Labor and Employment (DoLE) has issued the guidelines on the issuance of the 13th month pay to all rankAND-fiLE EMPLOYEES IN THE PRIVATE SECTOR.

Labor Secretary Silvestre Bello 3rd issued over the weekend Labor Advisory 28 to assure private sector workers, particular­ly employees of micro and small business enterprise­s ( MSBEs), that they would receive their 13th month as mandated by law.

“No request or applicatio­n for exemption from payment of 13th month pay, or for deferment of the payment thereof shall be accepted and allowed,” read the guidelines.

Article 5 of the Labor Code requires employers in the private sector to give their rank-and-file employees a 13th month pay, regardless of their position, designatio­n or employment status.

Under the guidelines, the benefit should be granted irrespecti­ve of the method by which the workers’ wages are paid, provided that they have worked for at least one month during the calendar year.

Bello explained that the minimum 13th month pay required by law shall not be less than one-twelfth of the total basic salary earned by an employee within a calendar year.

The computatio­n of the 13th month pay is the total basic salary earned during the year divided by 12 months equals to proportion­ate 13th month pay.

The 13th month pay should be given to employees on or before December 24.

The law also requires all covered employers to make a report of compliance to the provisions to the nearest DoLE regional office not later than January 15 of each year.

Bello earlier said MSBEs that cannot afford to give the 13th month pay because of Covid-related problems would be provided assistance by the government either in cash or through a loan facility from banks so that they can comply with their obligation­s to their workers.

He also pointed out that applicatio­n for subsidy would be subjected to an assessment process to determine if the company is really in distress.

“Micro and small business enterprise­s must show proof that they are really losing money,” he further said.

 ?? PHOTO BY RENE H. DILAN ?? The Department of Labor and Employment’s main building in Intramuros, Manila.
PHOTO BY RENE H. DILAN The Department of Labor and Employment’s main building in Intramuros, Manila.

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