Practice question
An employee’s established annual minimum thirteenth-month entitlement is PHP 24,000. Employer already paid PHP 12,000 expressly as its first half, and no different bonus or payment is involved. It claims that any advance payment discharges the entire entitlement. Which is correct?
- Any advance extinguishes the entire annual duty.
- PHP 12,000 remains due toward the established annual amount.
- The employee must repay the first half.
- PHP 24,000 remains in addition to the half already paid.
- The benefit disappears because payment was early.
Legal references
- Memorandum Order 28 s.1986 modifying PD 851 coverage: https://lawphil.net/executive/mo/mo1986/mo_28_1986.html
- DOLE-BWC 2024 Handbook on Workers’ Statutory Monetary Benefits, relevant service charge, holiday pay and thirteenth-month sections: https://nwpc.dole.gov.ph/wp-content/uploads/2024/11/Workers-Statutory-Monetary-Benefits-Handbook-2024-Edition.pdf
Answer this question in flashcards to review your response and continue practicing.