Bill mandating 14th month pay for rank and file employees filed in Senate

September 20, 2013 9:25 am 

MANILA, Sept. 19 – Senator Vicente Sotto III has filed a Senate bill mandating all government and non-government employers to grant 14th month pay for the rank and file employees.

Sotto filed Senate Bill 1645 as he described the recent P10 daily minimum wage increase as “too small” for the employees to cope up with the high prices of basic commodities.

”We recognize the indispensable need to provide our Filipino laborers, both from the public and private sectors additional 14th month pay. The recent P10 increase in the minimum wage is too small. Wages have invisibly decreased due to the rise in prices of basic commodities. Improved business earnings have not cascaded on its own,” Sotto explained.

Sotto said the existing 13th month pay shall be paid not later than June 14th and the 14th month pay shall be paid not later than December 24th of every year.

”It is provided however that the frequency of payment of this monetary benefits may be the subject of agreement between employer and employee or any recognized/ collective bargaining agent of employees, “ the Senate bill said.

“The minimum amount of the 14th month pay shall not be less than 1/ 12 of the total basic salary earned by the employee within the calendar year,” it further said.

”The 13th month pay is gobbled up by Christmas expenses. We need extra earnings in the middle of the year to help in school and medical expenses,” Sotto said. (PNA)

DSP/JFM

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