CHRISTMAS season is when people are abuzz with what gift items to buy, parties to attend, food to prepare, among others. But one thing that individuals, especially employees, are very excited about is how much 13th month pay will they get.
Here's a infographic showing a formula on how much extra pay will you receive:
Thirteen-month pay is a form of monetary benefit given to every rank-and-file employee.
The Department of Labor and Employment (Dole) said that every rank-and-file employee in the private sector has the right to receive 13th month pay, provided they worked for at least one month in a year.
The Dole said that it is an obligation of every employer to give the extra pay not later than December 24.
READ: Dole to employers: Pay 13th month not later than December 24
The Labor Code, as amended, distinguishes a rank-and-file employee from a managerial employee.
"A managerial employee is one who is vested with powers to lay down and execute management policies and/or to hire, transfer, suspend, lay-off, recall, discharge, assign or discipline employees, or to effectively recommend such managerial actions. All employees not falling within this definition are considered rank-and file employees," the Dole said.
In some cases, according to Philippine Labor Laws, a rank-and-file employee with multiple employers is also entitled to 13th month pay; thus, if an employee works in the government and at the same time works part time in a private enterprise, he or she shall receive the benefit from the private company.
Moreover, an employee who resigned within the year shall be entitled to 13th month pay, provided he or she has worked at least one month.
The payment may be demanded by the employee upon the separation, and the formula is still the same.