CONTRARY to common belief, the Department of Labor and Employment-Davao Region (Dole-Davao Region) clarified that even contractual employees in both public and private sectors are entitled to the mandatory 13th-month pay.
However, the inclusion of work bonuses depends on the discretion of the management or employers.
In a recent radio interview, Rojell Cruz, head of the Dole-Davao Region Labor Standards Unit, said that mandatory pay is a legal requirement, and employees must adhere to the laws.
“Contractual employees or job contracting or employees of the contractor in general term, entitled gihapon na sila sa13th month pay as long as they are paid daily (Contractual employees, including those in job contracting or working for a contractor, are still entitled to the 13th-month pay, especially if they are paid daily)," he said.
He underscored that the 13th-month pay is a mandatory benefit.
Cruz added, "Generally, tanang employers are obliged to pay their employees. Kung naa'y bonuses, part na sa prerogative sa management kung naa sila'y additional benefits but the minimum requirement is the 13thmonth pay (All employers are obliged to pay their employees' 13th month. Employers may choose to provide additional bonuses, the minimum requirement is the 13th-month pay)," he added,
SunStar Davao interviewed Noriza Mabanding, a full-time medical student and a virtual assistant (VA),
who confirmed entitlement to the 13th-month pay despite working for foreign-based accounts.
“Naa gihapon mi [13th month]. Bisan pa man nga naga-trabaho, online and I am not working here in the Philippines, nor I am working for a Filipino based company, naka-state sa amoang contract nga naa mi madawat inig mahumanay na ang tuig (We still receive the 13th month. Even though I work online and not in the Philippines, and I'm not employed by a Filipino-based company, our contract specifies that we will receive it at the end of the year)," Mabanding said, expressing gratitude that her employers adhere to the constitutional provisions.
According to Presidential Decree No. 851, established in 1975 by former President Ferdinand E. Marcos Sr., all employees are mandated to provide this benefit to rank-and-file employees by the end of each year or no later than December 24.
As per Department of Labor and Employment standards, a worker's compensation for the 13th month must be at least one-twelfth (1/12) of their base pay for the year.
Eligibility extends to individuals who have worked for at least one month in a company, regardless of the nature of their employment. DEF
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