13th Month Pay of Household Helpers: Is it a Government Requirement?

Giving Away Philippine Money

The budget during the holidays balloons to gigantic proportions that makes husbandry raise his eyebrows if not his BP!

A major chunk, apart from the gifts, goes to the 13th month pay of helpers.  With 3 helpers plus a driver that is a whopping 22k additional on the monthly budget.

We have given our helpers the 13th month pay ever since we have had one so I was surprised to find out that it is not required by the government to give household helpers a 13th month pay.

According to Philippine Presidential Decree 851 issued in 1975.

Section 1. Payment of 13-month Pay All employers covered by Presidential Decree No. 851, hereinafter referred to as the “Decree”, shall pay to all their employees receiving a basic salary of not more than P1,000 a month a thirteenth-month pay not later than December 24 of every year.

Section 3. Employers covered The Decree shall apply to all employers except to:

(d) Employers of household helpers and persons in the personal service of another in relation to such workers; and…”

For a complete inscription of PD 851 click LawPhil.net.

We will still give our helpers the 13th month pay but this time I emphasize that it is our gift to them and we are not required to give them 13th month pay.  It makes them more appreciative of the gesture instead of demanding that it is their right.

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