Search results
Apr 14, 2024 · Presidential Decree No. 851, otherwise known as the 13th Month Pay Law, which required all employers to pay their employees a 13th month pay, was issued to protect the level of real wages from the ravages of worldwide inflation.
Feb 5, 2023 · In this article, we'll discuss how to compute 13th month pay and answer the most frequently asked questions about the 13th-Month Pay Law.
Oct 3, 2023 · The 13th-month pay is an additional compensation given to employees in the Philippines, typically at the end of each year. It's a government-mandated employee benefit under Presidential Decree No. 851. [1] Who is Eligible for This Mandatory Benefit?
All employers are required to pay their rank and file employees thirteenth-month pay, regardless of the nature of their employment and irrespective of the methods by which their wages are paid, provided they worked for at least one (1) month during a calendar year.
Jan 24, 2024 · The 13th month pay is a mandatory benefit or compensation given to rank-and-file employees in the Philippines at the end of the year, as mandated by Presidential Decree No. 851 signed by President Ferdinand Marcos on December 16, 1975.
Oct 9, 2023 · For the formula, all you need is the basic salary, and then simply divide it by 12. Total basic salary per year / 12 = 13th month pay. For example, if an employee earns Php14,000 per month and doesn’t have unpaid days off, it would be: Php168,000 / 12 = Php14,000.
Oct 29, 2021 · Under the law, the 13th-month pay shall not be less than one-twelfth (1/12) of the total basic salary earned by an employee within a calendar year. “Total basic salary earned during the year (12 months) = proportionate 13th-month pay,” it said.
Nov 23, 2023 · The 13th month pay is an employee monetary benefit mandated by the Philippine government under Presidential Decree No. 851. All private employers are required to provide this benefit to rank-and-file employees at the end of each year — and no later than December 24.
13th month pay is an extra payment given to all rank-and-file employees in the private sector at the end of the year. This extra payment is equal to 1/12 of the employee’s basic salary earned for the year.
Jun 18, 2024 · The 13th-month pay is deeply embedded in Philippine labor practices. It is a crucial aspect of employee compensation that significantly impacts both employers and employees. Understanding the 13th-month pay law ensures compliance with legal requirements and upholds the principles of fair labor practices.
