Below is a comprehensive discussion on two crucial benefits for women employees in the Philippines: 13th Month Pay and Maternity Benefits under the Expanded Maternity Leave Law (Republic Act No. 11210). This overview covers the legal bases, eligibility requirements, coverage, computation, and relevant considerations. While this discussion will attempt to be as exhaustive as possible, always consult the text of official issuances (laws, regulations, and circulars) and seek legal counsel for specific situations.

1. Thirteenth (13th) Month Pay

1.1. Legal Basis

Presidential Decree (P.D.) No. 851 – The primary law that mandates the grant of 13th month pay to all rank-and-file employees in the private sector.
Implementing Rules and Regulations – Further clarified by the Department of Labor and Employment (DOLE) through various Circulars and Advisories.

1.2. Coverage and Exemptions

Coverage: All rank-and-file employees in the private sector, regardless of the nature of their employment and irrespective of the methods by which their wages are paid, are entitled to 13th month pay, provided they have worked for at least one (1) month in the calendar year.
Rank-and-file vs. Managerial Employees: Managerial employees (those with the power to lay down and execute management policies, hire or fire employees, or effectively recommend such actions) are excluded. Rank-and-file employees, including supervisors who do not meet the legal definition of “managerial,” are entitled.
Exemptions:
- Government employees, except those working in government-owned or -controlled corporations (GOCCs) operating primarily as private subsidiaries.
- Domestic helpers who are covered under the Kasambahay Law (R.A. No. 10361) but note that many employers voluntarily grant a similar bonus to household helpers.
- Employers already paying their employees a 13th month pay or its equivalent may be exempt from the obligation to give a separate 13th month pay if the benefits match or exceed the required amount.

1.3. Rate and Computation

Formula:
[ \text{13th Month Pay} = \frac{\text{Total Basic Salary Earned During the Calendar Year}}{12} ]
- “Basic salary” typically includes only the earnings for actual work rendered. It excludes allowances, monetary benefits not integrated into the basic pay, and other fringe benefits (e.g., overtime, holiday pay, premium night shift differentials, cost-of-living allowances, etc.).
Proration: Employees who worked less than a full calendar year are still entitled to a proportionate 13th month pay based on the actual number of months employed within the year.
Deadline for Payment: On or before December 24 of each year. However, employers can give partial or advanced payments (e.g., half in June, half in December).

1.4. Inclusion of Maternity Leave in 13th Month Pay Computation

Generally, maternity leave benefits are not included in the computation of “basic salary.” Maternity leave pay is a benefit from the Social Security System (SSS), partially or wholly advanced by the employer, which is not a direct payment for hours worked.
However, time spent on paid leaves (including maternity leave) is generally considered as continuous employment for determining length of service. Although the salary received during maternity leave is not counted as part of “basic salary earned,” that period is not considered a break in service. Thus, the fraction of the year when an employee is on maternity leave still counts as employed time for the purpose of being entitled to a 13th month pay.

2. Maternity Benefits Under the Expanded Maternity Leave Law

2.1. Legal Basis

Republic Act No. 11210 – Also called the “Expanded Maternity Leave Law,” it was signed into law on February 20, 2019, and became effective on March 11, 2019.
Implementing Rules and Regulations (IRR) – Jointly issued by the Department of Labor and Employment (DOLE), Civil Service Commission (CSC), and Social Security System (SSS), providing guidelines for both private and public sector employees.

2.2. Coverage and Entitlement

Covered Female Workers:
- Those in the private sector, whether permanent, probationary, or contractual, provided they are members of the SSS.
- Female workers in the informal economy, self-employed, voluntary SSS contributors.
- Female employees in the public sector, covered by the Government Service Insurance System (GSIS).
Eligibility:
- There is no minimum number of contributions explicitly stated under R.A. 11210 itself for availing of maternity leave benefits. However, SSS rules typically require at least three (3) monthly contributions within the 12-month period preceding the semester of contingency to qualify for SSS cash benefits.
- Even if a female employee is not qualified to receive SSS maternity benefits (due to insufficient contributions), the law still requires that the employer grant the mandated leave period. The monetary benefit from SSS, however, may not be available if the employee does not meet the contribution requirement.

2.3. Duration of Maternity Leave

105 Days of paid leave for live childbirth, regardless of mode of delivery (normal or cesarean).
120 Days of paid leave if the employee qualifies as a solo parent under R.A. No. 8972 (Solo Parents’ Welfare Act).
60 Days of paid leave in case of miscarriage or emergency termination of pregnancy.

Option to Extend: A female employee may extend her maternity leave by up to 30 days without pay, subject to employer agreement.

2.4. Allocation of Maternity Leave Credits

A mother may allocate up to 7 days of her maternity leave benefits to the child’s father (whether or not the father is married to the mother), or in cases where the father is absent or not eligible, to an alternate caregiver (e.g., a relative up to the fourth degree of consanguinity).
The mother must inform her employer in writing that she intends to allocate these days.

2.5. Amount of Maternity Benefit

Cash Benefit from SSS: The daily maternity benefit is equivalent to 100% of the average daily salary credit (ADSC), multiplied by the number of maternity leave days availed (i.e., 105, 120, or 60 days, whichever is applicable).
Employer’s Role: In practice, the employer advances the maternity benefit to the female employee, and then applies for reimbursement from the SSS. If the employee’s monthly salary is higher than the SSS ceiling, the employer may opt (but is not legally mandated) to provide the difference.
Other CBA or Company Benefits: If the company, via Collective Bargaining Agreement (CBA) or individual policy, grants a higher maternity benefit than required, the employer must comply with that.

2.6. Non-Diminution of Benefits

Employers are prohibited from reducing or substituting existing maternity benefits (e.g., if a company policy already gives 120 days of leave, they cannot reduce it to 105 days). Benefits must always be at least the minimum mandated by law.

2.7. Security of Tenure and Protection Against Discrimination

Security of Tenure: An employee on maternity leave is ensured job security. It is illegal for an employer to terminate her on grounds of pregnancy or for filing a maternity leave claim.
Return to Work: A woman returning from maternity leave must be returned to the same position or a comparable position without loss of seniority rights.

3. Interaction Between the Two Benefits

3.1. Maternity Leave and 13th Month Pay Eligibility

Entitlement to 13th Month Pay: Even when an employee is on maternity leave, the right to 13th month pay remains. Maternity leave is an excused leave of absence where the employee is still considered continuously employed.
Computation Nuance: The cash benefits received from the SSS for maternity leave do not form part of “basic salary” for computing 13th month pay. Nonetheless, the total period that the employee was employed within the calendar year is counted for the purpose of determining whether the employee is entitled to a pro-rated portion of 13th month pay.

3.2. When to Pay 13th Month Pay to Those on Maternity Leave

The law requires that all rank-and-file employees receive their 13th month pay on or before December 24. Even if an employee is on maternity leave during the end of the year, she must still receive her 13th month pay within the statutory deadline.
Any portion not advanced earlier must be settled by the employer.

3.3. Common Misconception: Double Compensation

It is not “double compensation” for an employee to receive SSS maternity benefits and a 13th month pay in the same year. These are two separate, legally distinct entitlements.

4. Employer Responsibilities and Best Practices

Policy Alignment: Employers should ensure that their internal policies or handbook properly reflect the expanded maternity leave benefits and the required rules on 13th month pay.
Coordination with SSS: Employers must be up to date on SSS contribution requirements and the reimbursement process to ensure that maternity benefits advanced to employees are refunded without undue delay.
Timely Payment:
- 13th Month Pay – Pay on or before December 24, or any earlier schedule as mandated by company policy.
- Maternity Benefits – Pay in accordance with R.A. 11210 and the relevant SSS issuance upon commencement or near the start of the maternity leave.
Proper Documentation: Maintain accurate records of employees’ salaries, periods of leave, and SSS maternity benefit claims.
Communication: Provide clear guidance to employees about filing procedures, the documents needed, and deadlines (for both 13th month pay and maternity benefits).

5. Frequently Asked Questions (FAQs)

1. Are part-time or probationary employees entitled to 13th month pay and maternity benefits?
Yes. As long as they meet the coverage requirements (e.g., rank-and-file status and SSS membership), probationary and part-time employees are legally entitled to 13th month pay and to maternity benefits under the Expanded Maternity Leave Law.

2. Does maternity leave affect the amount of 13th month pay?
It does not reduce one’s entitlement. The actual amount of the 13th month pay is computed based on basic salary. Maternity leave pay is excluded from that computation, but the period on leave is not considered a break in service.

3. Is an employer obliged to pay the difference if the employee’s salary is higher than the maximum SSS maternity benefit?
Legally, there is no mandatory requirement to do so unless required by a Collective Bargaining Agreement (CBA) or the company’s policies. Some employers, however, choose to shoulder the difference out of policy or employee welfare considerations.

4. Can an employer refuse to grant the full 105 days of paid maternity leave for any reason?
No. The Expanded Maternity Leave Law makes it mandatory to provide 105 days (or 120 for a solo parent, 60 for miscarriage) of paid maternity leave. Non-compliance can lead to legal sanctions.

5. Can an employee on maternity leave receive 13th month pay in advance?
Yes. Employers are allowed to give partial or full advances of the 13th month pay at any time. However, final or remaining amounts must be paid by December 24.

6. Conclusion

13th Month Pay and Maternity Benefits under the Expanded Maternity Leave Law (R.A. No. 11210) are cornerstone labor entitlements for female employees in the Philippines. The two benefits are separate and distinct:

13th month pay is a statutory monetary benefit granted to rank-and-file employees for their work throughout the year and must be given on or before December 24.
Maternity leave pay is a benefit funded by the SSS (and advanced by the employer) that ensures women have sufficient financial and employment security during pregnancy and childbirth.

Employers must comply fully with these benefits to avoid legal repercussions, while female employees should remain informed about their rights to ensure that they receive appropriate compensation and protection under the law. Proper understanding and administration of these benefits foster a fair and equitable workplace for women, and ultimately contribute to overall compliance with Philippine labor standards.