13th month pay to be given on pro rata basis: Palace

ABS-CBN News

Posted at Oct 19 2020 10:12 PM | Updated as of Oct 20 2020 12:04 AM

A worker prepares a Christmas lantern for display on Aug. 31, 2020 at a shop along Granada Street in Quezon City. Larry Monserate Piojo, ABS-CBN News

MANILA - Workers' 13th month pay will be given on a "pro rata" basis, which means that they might not get it in full, Malacañang said Monday.

The 13th month pay will be "based on the actual salary earned," said Presidential Spokesperson Harry Roque, quoting Labor Undersecretary Benjo Benavidez. 

"Ang pro rata po, ibig sabihin niyan... 12 months iyan, kapag nagtrabaho ka ng 12 months, mayroon kang 1 month/13 month. Kung nagtrabaho ka ng 6 na buwan, kalahati lang makukuha mong 13th month," he told reporters. 

(That means that if you worked for 12 months, you will get 1 month of your pay or the full 13th month pay. If you worked for 6 months, you will get half of your 13th month.)

The coronavirus pandemic has left businesses struggling, which forced some to reduce office hours, implement flexible work arrangements, or lay off workers.

The issue of 13th month pay recently made headlines after Labor Secretary Silvestre Bello III floated its possible deferment for "distressed" businesses. Last week, he announced that there will be no postponement or exceptions, which required employers to give this mandatory benefit on or before Dec. 24. 

The labor department is seeking permission from the finance department to help micro and small enterprises give their workers 13th month pay through government subsidy or loans, he said.