THE Department of Labor and Employment (DOLE) is warning employers against delaying the release of the final pay of their former employees.
In a statement, the DOLE said the final pay of workers who have left their jobs must be given on time or employers risk facing disputes and formal complaints.
“Employers must release workers’ final pay on time,” DOLE said.
“Employers who delay or withhold final pay are breaking the law and could face complaints or penalties,” it added.
In 2025, the department said the DOLE Hotline 1349 received a total of 23,496 calls regarding final pay.
“Issues about final pay were the most common labor standards concerns,” the DOLE said.
Final pay includes all wages and benefits owed to the employee, such as unpaid salaries, prorated 13th month pay, separation or retirement pay, cash for unused leave, tax refunds, and any other benefits listed in company policies or agreements.
Under Labor Advisory No. 06-2020, all employers must give an employee’s final pay within 30 days after they leave the company, unless the company has a better policy. (Anton Banal/SunStar Philippines)