DOLE reminds employers to disburse 13th-month pay by Dec 24

The Department of Labor and Employment (DOLE) is reminding private employers that the 13th-month pay must be disbursed to employees on or before December 24.

DOLE Secretary Bienvenido Laguesma emphasized that this payment is a non-negotiable, statutory right for Filipino workers.

The 13th-month pay is equivalent to at least one-twelfth of an employee's total yearly earnings, calculated based on their basic salary.

Key components like overtime pay, night shift differential, holiday pay, unused leave credits, and cost-of-living allowances are generally excluded from the basic salary calculation unless company policy dictates otherwise.

All rank-and-file employees in the private sector are entitled to this benefit, provided they have been employed for at least one month within the calendar year.