If an employee earns a total basic salary of ₱216,000 in a year, how much is the thirteenth-month pay?
Under Presidential Decree No. 851, an annual basic salary of ₱216,000 yields a proportionate thirteenth-month pay of exactly ₱18,000.
What is the deadline for paying the thirteenth-month pay?
Presidential Decree No. 851 mandates that employers must issue the thirteenth-month pay not later than December 24 every year.
What is the deadline for paying the thirteenth-month pay? Read More »
Can an employer pay the thirteenth-month pay in installments?
Under Presidential Decree No. 851, employers may split thirteenth-month payments, giving half before the school year and half by December 24.
Can an employer pay the thirteenth-month pay in installments? Read More »
Can a union dictate the frequency of the thirteenth-month pay?
Payment frequency for thirteenth-month pay can be negotiated through a collective bargaining agreement under Presidential Decree No. 851 rules.
Can a union dictate the frequency of the thirteenth-month pay? Read More »
Are piecework basis employees entitled to the thirteenth-month pay?
Presidential Decree No. 851 legally guarantees thirteenth-month pay for employees compensated on a non-traditional piecework basis.
Are piecework basis employees entitled to the thirteenth-month pay? Read More »
How is the thirteenth-month pay calculated for employees with a fixed wage plus commission?
For employees with fixed wages plus commission, thirteenth-month pay is calculated strictly on the fixed wage under Presidential Decree No. 851.
What constitutes “basic salary” for computing the thirteenth-month pay?
Under Presidential Decree No. 851, basic salary includes all regular remunerations paid by an employer for an employee’s standard services.
What constitutes “basic salary” for computing the thirteenth-month pay? Read More »
Are employers who already provide a Christmas bonus required to pay thirteenth-month pay?
Presidential Decree No. 851 exempts employers already paying their employees an equivalent annual bonus amounting to one-twelfth of basic salary.
Are employers of household helpers covered by Presidential Decree No. 851?
While initially exempt under Presidential Decree No. 851, household helpers are now entitled to thirteenth-month pay under RA 10361.
Are employers of household helpers covered by Presidential Decree No. 851? Read More »
Are commission-based workers entitled to thirteenth-month pay?
Employers of workers paid purely on a commission, boundary, or specific task basis are exempt under Presidential Decree No. 851.
Are commission-based workers entitled to thirteenth-month pay? Read More »
