Metro Manila (CNN Philippines, October 20) — Workers who were told not to report to work during the lockdown period will see their 13th month pay reduced, Labor Secretary Silvestre Bello III said on Tuesday.
“The number of days na hindi sila nakapasok, whether it is voluntary or involuntary, will have to be deducted in the computation of the 13th month pay,” he said in a media briefing.
[Translation: Whether it’s voluntary or involuntary, the days they did not go to work will be deducted in their 13th month pay.]
The 13th month pay will be given on pro rata basis, meaning it will be based on the actual salaries workers have earned. Labor Undersecretary Benjo Benavidez explained that the minimum amount of the benefit is computed by adding all actual salaries and dividing it by 12.
Several employees have decried the earlier pronouncement of Bello, who raised the possibility of exempting “distressed” and pandemic-stricken companies from paying out the mandatory benefit or allowing them to defer giving it out. Now, he said there are no exceptions despite the pandemic-induced recession.
“Ang 13th month pay ay talagang babayaran iyan,” Bello said. “There is no exception and there is no deferment… Maliwanag, on or before Dec. 24 kailangan bayarann ang mga empleyado.”
[Translation: The 13th month pay has to be paid. No exceptions, no deferment. It’s clear that they have to do it on or before Dec. 24.]
He added that struggling micro and small businesses have to take out new loans to cover the 13th month pay of their employees.
