Dear Atty. Kathy,

I am about to go on maternity leave. I asked the Payroll Staff of our company the amount I am entitled to receive so I can plan my finances during my leave. The Payroll Staff told me I will receive an amount equal to my basic pay. When I asked if the amount of our monthly cash allowances (rice allowance, housing allowance) will also be included, the Payroll Staff said only the actual amount of the salaries is required to be paid. Is this correct?

Sharon

***

Dear Sharon,

The Implementing Rules and Regulations of the 105-Day Expanded Maternity Leave Law provides that covered female workers availing of the maternity leave benefits must receive their full pay (Rule VI, Section 3).

The IRR also provides that the full pay includes allowances provided for under existing company policy (Rule II, Section 1):

j. "Full pay" refers to actual remuneration or earnings paid by an employer to a worker for services rendered on normal working days and hours not lower than the wage rate fixed by the Regional Tripartite Wages and Productivity Board including allowances provided for under existing company policy or collective bargaining agreement, if any. Full pay in the public sector, on the other hand, includes the basic salary and allowances as may be provided under existing guidelines.

Thus, what the Payroll Staff said is incorrect. Allowances provided for under existing company policy should be included in the amount of the full pay.

Atty. Kathy Larios