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Date: Sept. 30, 2020, 6:29 p.m.

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Date: 2020-10-09 19:31:43.000000

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Date: 2020-10-12 12:57:23.000000

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Computation of Separation Pay of Seasonal Piece-Rate Workers

Published by Department of Labor and Employment(DOLE) on Sept. 30, 2020.
Requested from DOLE by J. Villaruel at 06:29 PM on Sept. 30, 2020.
Purpose: Legal Research
Date of Coverage: 09/30/2020 - 09/30/2020
Tracking no: #DOLE-926746552398

J.VILLARUEL Sept. 30, 2020, 6:29 p.m.

Good day! May I humbly request for guidance on the computation of the separation pay of seasonal piece-rate workers in case of retrenchment. Under the jurisprudence, in the absence of wage rates based on time and motion studies determined by the labor secretary or submitted by the employer to the labor secretary for his approval, wage rates of piece-rate workers must be based on the applicable daily minimum wage determined by the Regional Tripartite Wages and Productivity Commission.

J.VILLARUEL Sept. 30, 2020, 6:29 p.m.

However, I have come across with the adjusted table for pakyaw rates in the agricultural sector in the sugar industry (RTWPB Regional Board VI, Resolution No. 02 Series of 2015) and I would need guidance on how to compute the separation pay of seasonal farm employees based on this table. Employees are seasonal workers working for 1 milling season per year (usually 6-8 months). Assuming the employee works for 7 months every year for 5 years and his activity involves loading and unloading canepoints by truck on road side, (the rate is Php 159/lacsa under the mentioned RTWPB resolution), how much is the separation pay? Thank you for your assistance.

J.VILLARUEL Oct. 1, 2020, 4:56 p.m.

PS. the updated pakyaw rates for agricultural sector in the sugar industry in Region 6 is RTWPB VI, Resolution No. 5, Series of 2019

J.BARBOZA Oct. 9, 2020, 7:31 p.m.

October 9, 2020 Dear Joriel, Thank you for your request dated Sep 30, 2020 under Executive Order No. 2 (s. 2016) on Freedom of Information in the Executive Branch, for Computation of Separation Pay of Seasonal Piece-Rate Workers. We received your request on Sep 30, 2020 and will respond on or before Oct 21, 2020 06:29:22 PM, in accordance with the Executive Order's implementing rules and regulations. Should you have any questions regarding your request, kindly contact me using the reply function on the eFOI portal at https://www.foi.gov.ph/requests/aglzfmVmb2ktcGhyHgsSB0NvbnRlbnQiEURPTEUtOTI2NzQ2NTUyMzk4DA, for request with ticket number #DOLE-926746552398. Thank you. Respectfully, Jann Barboza FOI Officer

M.VALEROS Oct. 12, 2020, 12:57 p.m.

October 12, 2020 Dear Joriel Villaruel, Greetings! Thank you for your request dated Sep 30, 2020 06:29:22 PM under Executive Order No. 2 (s. 2016) on Freedom of Information in the Executive Branch. You asked for Computation of Separation Pay of Seasonal Piece-Rate Workers. As a general rule, the monthly income is computed by averaging the monthly income for the year. This will be the basis of computing the separation pay of workers on a piece rate. Under no circumstances that it will be lower than the prescribed minimum wage in the Region. In case of intermittent work, to determine the length of service, we shall exclude the unworked months. Thus it will be computed as 7 mos x 5 years divided by 12. Depending on the reason, the computation may be 1/2 month to 1 month per year of service. Please find attached Handbook of Worker's Statutory Benefit for your perusal. We hope that we have addressed your concerns. For further questions, you may reach us through DOLE Hotline 1349. Thank you. Respectfully, Mark Valeros FOI Receiving Officer

Attachments:

2019-Edition-of-Handbook-on-Workers-Statutory-Monetary-Benefits.zip - Mark Valeros - [email protected]

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