Daily Star logoBusiness

Bacolod City, Philippines Friday, July 5, 2019
Front Page
Star Business
Star Life
People & Events
DOLE to study 14th
month pay proposal


MANILA — The Department of Labor and Employment yesterday welcomed the proposed bill requiring the grant of 14th-month pay to private sector employees.

Labor Secretary Silvestre Bello III said they will study the proposed measure to consider the interest of labor and management, as well as its impact on the country’s economic stability.

He added a tripartite assessment is needed to find out its viability under the country’s present economic situation.

Bello said there is a need to consider the capability of the employers, considering that the country’s economy largely depends on the sustainability of its micro, small, and medium enterprises.

Bacolod-based Kongreso ng mga Empleyado ng Pilipinas Inc., a non-government organization composed of employees from both private and government, meanwhile, proposed that the 14th month pay should be applicable to employees in the private and government sectors.

“It shall not only be applicable to the private sector, considering that these employers are also paying business taxes to LGUs and other taxes to the national government. The law should not distinguish employees from private and government. It must be equitable to all,” Henry Mecha, the group’s national secretary general, said in a statement furnished the STAR yesterday.

Senate President Vicente Sotto III has re-filed Senate Bill 10, or “An Act Requiring Employers in the Private Sector to Pay 14th Month Pay”. The proposal has been pending in the Senate since 2016.

The bill seeks to give 14th-month pay to “rank-and-file employees, regardless of their employment status, designation, and irrespective of the method by which their wages are paid, provided that they have worked at least one month during the calendar year”.

Currently, private sector workers are receiving 13th-month pay, mandated under Presidential Decree 851.*PNA


back to top

ButtonNEDA highlights gains in WV
ButtonNew Bacolod-Clark flights August
ButtonCulture integration in governance pushed

ButtonDOLE to study 14th month pay proposal