MUST READ: DOLE Advisory on the 13th month payment


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The much-awaited 13th month pay out expected by most employees to either smaller or bigger company is recently making rounds on social media when Labor Secretary Silvestre Bello III reported on Thursday, October 8, 2020, stating that the Department of Labor and Employment (DOLE) is looking into the possible deferment in the granting of 13th month pay which causes an uproar to mostly employees who has been waiting for this by the end of the year. Bello stated via virtual press briefing: “Instead of not paying, why don’t we just consult labor and management so they could agree on deferment, let’s say give the benefit next year or next month. For me this is a more acceptable formula to address the issue of non-payment of the mandated benefit. Under the law, the commercial establishments classified as distressed are exempted from providing their workers with 13th month pay but the meaning of distressed establishment is broad and needs to be redefined. We are still studying this and it would be a subject of thorough discussion by both management and employees.”

October 15,2020 DOLE decided that there will be no exemption and therefore all employers is not exempted to give out the 13th month pay for their employees. With thus being said, it is of great news to everyone, bringing joy and excitement to the coming few months before December. Earlier today DOLE Region 6 releases guidelines for the pay out of the 13th month pay which will be the employees basis for the computation of the 13th month pay.

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