Practice question
A private company calls a recurring employment payment an allowance under an unwritten agreement. It argues the name and lack of writing alone conclusively place it outside wage, while the worker says generic wage status necessarily fixes every statutory benefit base. Which is best?
- The word allowance always excludes every wage question.
- Examine the payment’s statutory character and separately identify each benefit’s applicable base.
- An unwritten agreement can never be proved.
- Generic wage status automatically decides every benefit formula.
- Only the company’s preferred label is legally relevant.
Legal references
- Labor Code Articles 84, 94 and 97(f): https://lawphil.net/statutes/presdecs/pd1974/pd_442_1974.html
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