Employers have to release 13th-month pay of their employees within this week.
By Samuel Medenilla
Employers only have until this week to release the 13th-month pay of their employees or risk facing sanctions from the Department of Labor and Employment (DOLE).
Labor Undersecretary Dominador Say issued the warning today a few days before December 24 -- the deadline for the disbursement of the 13th-month pay.
"To employers, you will be violating the law if you don't give your employees their 13th-month pay. Violations that may ultimately lead to [the issuance of a] closure order for your establishments," Say said.
He said they would also sanction employers, who will fail to pay the 13th-month pay of their employees in full before the deadline.
"Technically, that is also a violation. But it would be better than not giving the 13th month pay at all," Say said.
Say noted only distressed companies are exempted from paying the 13th-month pay.
He urged employees, who will not get their 13th-month pay on time to file a complaint against their employer.
"To employees, who won't get their 13th-month pay, report to DOLE and we will help them file complaints against their employers," Say said.
The 13th month pay is a legally mandated financial benefit employers must give to their rank-and-file employees pursuant to Presidential Decree No. 851.
It is equivalent to one-twelfth of the salary of a worker within a calendar year. It is usually paid on or before Dec. 24 each year although some companies chose to give a portion of it to their workers during the midyear.
Department of Labor and Employment (MANILA BULLETIN)