DOLE reports high compliance rate of companies on minimum wage

January 3, 2011 1:37 pm 

MANILA, Jan. 2 – The Department of Labor and Employment (DOLE) has reported a high compliance rate of the country's companies in the minimum wages set by the various Regional Tripartite Wages and Productivity Board (RTWPBs).

“In the minimum wage compliance, ang report sa amin is 81 percent compliant ang mga companies natin… ito ang pinaka-importanteng benefit na kailangan,” Labor Undersecretary Lourdes Trasmonte said.

DOLE officials are expecting the compliance rate to increase further when they complete their inspections of firms nationwide.

Since September 2010, the department is undertaking an expanded and enhanced Labor Enforcement and Action Program (LEAP) to achieve a higher rate of compliance with general labor standards by companies and establishments.

Meanwhile, Trasmonte reported that only some 50 percent of business firms in the country have complied with the payment of the holiday pay to their employees.

Based on their inspections under LEAP, Trasmonte said that only half of the 35,680 establishments they have inspected nationwide have complied with the holiday payment rules.

She explained that based on their labor standards inspection activities throughout the country, employers are more often found violating the holiday pay regulation than the minimum wage standards.

“Nahihirapan silang sumunod sa holiday pay kasi marami tayong holidays,” Trasmonte said.

“There is some 50 percent compliance rate, although ang (eventual) target namin diyan e it will go up to 65 to 70 percent compliance,” the DOLE official said.

Under the law, employers are required to pay their employees, who will go on duty on an officially-declared holiday, an additional percentage based on their regular pay depending on the type of holiday declared by the government.

The inspection program has been suspended from Dec. 1, 2010 until Jan. 16, 2011. (PNA)



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