REQUIRING ALL EMPLOYERS TO PAY THEIR EMPLOYEES A 13TH MONTH PAY.

• Number: Presidential Decree No. 851
• Sections: 4

Preamble

WHEREAS, it is necessary to further protect the level of

real wages from the ravage of world-wide inflation;

WHEREAS, there has been no increase in the legal minimum

wage rates since 1970;

WHEREAS, the Christmas season is an opportune time for

society to show its concern for the plight of the working masses so they

may properly celebrate Christmas and New Year.

NOW, THEREFORE, I, FERDINAND E. MARCOS, by virtue of the

powers vested in me by the Constitution do hereby decree as follows:

Section 1

SECTION 1. All employers are hereby required to pay all

their employees receiving a basic salary of not more than Pl,000 a

month, regardless of the nature of their employment, a 13th-month pay

not later than December 24 of every year.

Section 2

SEC. 2. Employers already paying their employees a

13th-month pay or its equivalent are not covered by this Decree.

Section 3

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 16th day of December 1975.

(Sgd.)

FERDINAND E. MARCOS

President

Republic of the Philippines

By the President:

(Sgd.)

JUAN C. TUVERA

Presidential Assistant