Sunday, December 23, 2007

Piecework workers entitled to 13th month pay -- DoLE

Piecework workers entitled to 13th month pay -- DoLE

MANILA, Philippines -- The Department of Labor and Employment (DoLE) reminded employers that workers paid on piecework basis, along with all the other rank and file employees, are entitled to the 13th month pay.

In a statement, DoLE Secretary Arturo Brion said Presidential Decree 851 mandates all employers to pay their rank and file workers the 13th month pay regardless of the nature the workers’ jobs and irrespective of the methods by which their wages are paid provided they worked for at least one month during a calendar year.

Brion said the law entitles all full-time rank and file workers, as well as those who are paid on piecework basis, or a fixed or guaranteed wage plus commission, to receive the 13th month pay.

Workers paid on piece-rate basis are those who are paid a standard amount for every piece or unit of work produced that is more or less regularly replicated without regard to the time spend in producing each piece or unit.

He added that employees working part-time in two or more firms are also entitled to the 13th month pay from each of their employers.

He said that the 13th month pay should not be less than one-twelfth (1/12) of the total basic salary earned by an employee in a calendar year whether he or she is paid on a full time, part-time, or piecework basis, or paid with fixed salary plus commission.

He also said that the benefit should be paid not later than December 24 of every year. An employer, however, may give his or her employees one-half of the 13th month pay before the opening of the regular school year and the remaining half on or before December 24 of every year.

Exempted from the 13th month pay are workers who are paid on purely commission, boundary, task basis, or pakyaw (wholesale), or those who are paid a fixed amount for performing specific work. Household helpers and persons in the personal service of another are also not entitled to the13th month pay.

Brion said giving 13th month pay to these workers depends upon the discretion of employers. He, nonetheless, enjoined employers of household helpers and those who provide them personal services to give these workers the 13th month benefit.

“These workers deserve benefits as they perform domestic chores and attend to the needs of our families at home, thereby, allowing us to attend to our jobs and businesses,” Brion said.

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