Private firms urged not to fire employees unable to work due to Luzon-wide lockdown

Workers wait for buses after office hours on March 16, hours after President Rodrigo Duterte declared the enhanced Luzon lockdown <i>Photo: George Calvelo / ABS-CBN News</i>
Workers wait for buses after office hours on March 16, hours after President Rodrigo Duterte declared the enhanced Luzon lockdown Photo: George Calvelo / ABS-CBN News

The Philippine government today urged private companies to adopt work-from-home arrangements for their employees and to keep them onboard even if they are unable to physically report to work amid Luzon’s enhanced community quarantine.

Cabinet Secretary Karlo Nograles said in a briefing today that “employers should not terminate their employees by reason only of not reporting for work because of the COVID-19 situation.”

Nograles added that “unless the company is engaged in basic necessities or services, employers should not require their employees to [physically] report for work.”

He also urged big companies to give their employees’ 13th month pay in advance so that their workers can survive the possible loss of income during the lockdown.

Both President Rodrigo Duterte and Labor Secretary Silvestre Bello III had earlier urged private companies to release the 13th pay in advance if possible. Mandated by law, the 13th month pay is given to Philippine employees at the end of the year and is equivalent to an entire month’s salary.

Read: Banks asked to give debt relief as part of COVID-19 response, ‘disinfection’ temp jobs offered

However, Budget Secretary Wendel Avisado told the Philippine Star in a text message today that there is no directive from Duterte to release the 13th month pay of government workers ahead of schedule, though all national government employees will receive their full salaries, even if they are telecommuting.

“There is no directive since our workers are even able to save money because they do not need to commute everyday to their offices because work is suspended… The focus of the government now is to help our poor families that are [leading a] hand-to-mouth existence, the daily wage earners,” Avisado added.

Meanwhile, billionaire businessman and CEO of First Pacific Company Ltd. Manny Pangilinan announced last night that he is releasing the 13th-month pay of his employees who are working for PLDT, Smart, and Meralco, to ensure their “well-being” while Luzon is on lockdown. All employees from the companies will also continue to receive salaries and benefits, be allowed to work from home, be given vitamins, and not have their vacation and sick leave docked for the duration of the lockdown.

For its part, the Ayala group, led by fellow billionaire CEO Jaime Zobel de Ayala, said last night that it will be rolling out a P2.4 billion (US$46,728,571) relief package for employees and partners affected by the lockdown. The package consists of wages, bonuses, leave conversions, and deferred loan payments for the company’s own employees and the extended workforce of its partner employers so they can continue to be paid during the quarantine period.

“These include P600 million (US$11,653,986) in salary continuance for displaced workers from construction sites, shuttered malls and retail spaces of Makati Development Corporation and the Ayala Malls group,” Zobel said.

 




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