Is 14th month pay compulsary for employers to give?

Question

I have total of 11 employees in my newly established internet cafes, shall I give 14th month pay? Is it compulsary like 13th month pay?

What is 14th month pay anyway?

Answer 1

you don't have to pay 14th month pay. even 13th month pay is consider to be a bonus.  

Answer 2

Why you need 11 employees to run an internet cafe?  If you take all you have and divide it up to give those 11 employees, how much you got left? Tell me, why would anyone want to have a business that does that? Maybe thats why everybody just wait for their share from OFW relative? Somebody needs to teach you people how to run a business for profit.  Making a profit is not a sin, ya know.

Answer 3

The 13th month bonus is what was require by the law. You can probably check the labor code for more details. http://www.dole.gov.ph/laborcode/

***Totally out of the topic...why dont you just ask your brother to work for one of your internet cafes so you can get him off the streets for being a barker?!

***And I missed your CAPS! THIS ISNT QUITE YOU ANYMORE.=P

Additional Info : I dont think that any of those is degrading. I applaud your family for still doing what they use to do. Being a jeepney driver and a barker is a decent job. It may be clichéic but its better doing that than stealing from others.

Its a bit unusual though, since you have gone better financially which usually is, family members try to blend in and adapt what you also have.

Thats fine sweetie. You and your family are on your way to a better future.

Cheers!

Answer 4

14th month pay, like Christmas bonus/cash, is a "bonus" and is not compulsory as 13th month pay which is required by the law.

It is in your discretion as business owner to allocate your employees 14th month pay if your funding allows.

The 14th month pay is computed the same as 13th month pay btw. I used to help manage my friend's small online gaming business and I use to call DOLE for further clarification and understanding of those issues.