Vice President Leni Robredo urged employers not to “take advantage” of the possible postponement of 13th month pay this year due to the COVID-19 pandemic.
The option to defer the payout of this benefit was suggested by Labor Secretary Silvestre Bello III in a press briefing on Thursday, October 8, citing financial difficulties many businesses face due to the virus lockdown, reported the Philippine News Agency.
Bello said businesses may opt to postpone distribution of 13th month pay to a later date instead. He added that a company may ask to be classified as “distressed” so it can be “excused” or “exempted” from handing out 13th month pay to its employees.
In her weekly radio show on Sunday, October 11, Robredo told co-host Ely Saludar that employees would know whether their companies have really lost the capacity to give 13th month pay at this time, and they could also tell whether their employers are taking advantage of the opportunity.
The Vice President then said, “Naiintindihan natin iyong pinagdadaanan ng lahat ngayon, pero…sana lahat tayo mag-share ng burden. Lahat magsakripisyo, lahat parang mag-belt-tightening kasi talagang mahirap iyong panahon.”
(We understand what everyone’s going through right now, but…I hope everyone could share the burden. Everyone could sacrifice or tighten their belts because these are trying times right now.)
The Vice President recounted her conversations with some business owners who said they could forego earning money for a while, in the hopes that they won’t retrench employees. She also noted that some businesses have already taken a hit and have no choice but to dismiss their workers.
Still, Robredo said about a possible deferment of 13th month pay, “Iyong pakiusap lang natin…sana hindi i-take advantage iyong opportunity.” (My plea is…I hope nobody would take advantage of the opportunity.)
Drilon: 13th month pay can’t be deferred
Meanwhile, in a radio interview with DZBB on Sunday, Senate Minority Leader Franklin Drilon said 13th month pay cannot be deferred under the law.
A former labor secretary under the Corazon Aquino administration, Drilon said 13th month pay should still be given out to Filipino employees not later than December 24, because there are “no exemptions” set in Presidential Decree (PD) No. 851, which mandates this benefit.
“‘Yung exemption ay nakalagay lang sa IRR (implementing rules and regulations). Sa batas mismo, walang exemption kahit nalulugi ka,” Drilon said. (The exemptions are only set in the IRR. Under the decree itself, there is no exemption even if you’re incurring losses.)
He added that the proposal to defer has “no authority” under the law, even if both employer and employee agree to it. The labor department cannot approve this agreement as well, he continued.
“In PD 851, there is no provision that says when you’re incurring losses, you can be exempted from giving 13th month pay. You’re only exempted if you’re giving Christmas bonus already, which is the equivalent of 13th month pay,” Drilon said in a mix of Filipino and English.
He also said that if ever there would be exemptions, like for “distressed” companies, it should be on a per-enterprise or case-by-case basis, not industry-wide. – Rappler.com
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