MANILA, Philippines—Labor Secretary Rosalinda lamented Thursday that a number of companies are not complying with Presidential Decree No. 851 and shortchanging their workers by not giving their 13th month pay.
While she did not identify any of these companies, she warned that they “shall be dealt with accordingly” by the Department of Labor and Employment.
Baldoz said in a press statement that the “13th month pay is a core labor standard which should be enjoyed by all workers” and that it was the department’s tasks “to ensure that all employers abide by the law.”
She said there were still “delinquent employers who chose not to conform with the law and shortchange their employees,” and “I strongly urge those workers who have not received theirs (13th month pay) to report the violation to the nearest DOLE regional office in their areas.”
She noted that under PD 851, “all employers are required to pay all their workers a 13th month pay not later than Dec. 24 of every year.”
She noted, however, that the 13th month pay does not include allowances and monetary benefits not considered part of the basic salary, such as the cash equivalent of unused vacation and sick leave credits, overtime pay, night shift differential, holiday pay, and cost of living allowance.