b. Payment by Results

Retirement Benefits of Workers Who Are Paid By Results

For covered workers who are paid by result and do not have a fixed monthly salary rate, the basis for the determination of the salary for 15 days shall be their average daily salary (ADS). The ADS is derived by dividing the total salary or earning for the last 12 months reckoned from the date of retirement by the number of actual working days in that particular period, provided that the determination of rates of payment by results are in accordance with established regulations. (Rules Implementing R.A. No. 7641, Sec. 5.3)

Exceptions:

• In case of force majeure or other circumstances beyond the employer’s control, payment must be made immediately after such occurrence has ceased; and
• In case of payment of wages by result involving work which cannot be completed in two weeks and in the absence of CBA or arbitration award:
• Payments are made at intervals not exceeding 16 days, in proportion to the amount of work completed; and
• Final settlement is made upon completion of the work. (IRR Labor Code, Sec. 3, Rule VIII, Book III)

In ALL Cases: No employer shall make payment with less frequency than once a month.

If on account of force majeure or circumstances beyond the employer’s control, payment of wages on or within the time herein provided cannot be made, the employer shall pay the wages immediately after such force majeure or circumstances have ceased.