The rights of Filipino workers to receive just and timely compensation are protected under the Labor Code of the Philippines. This protection extends to workers even if they are physically located outside the country at the time of the dispute, provided the employer is a Philippine-based entity or the contract was executed under Philippine jurisdiction.
Legal Grounds for the Claim
Under Philippine law, "unpaid wages" refers to any remuneration or earnings, however designated, capable of being expressed in terms of money, which are payable by an employer to an employee under a written or unwritten contract of employment.
The most common legal bases for filing include:
- Non-payment of Final Pay: Failure to release the last salary, pro-rated 13th-month pay, and converted leaves after resignation or termination.
- Illegal Deductions: Unauthorized subtractions from the salary that do not fall under the exceptions provided by Law (e.g., SSS, PhilHealth, Pag-IBIG, or income tax).
- Wage Violation: Payment of wages below the prescribed regional minimum wage.
Jurisdiction: SENA and the DOLE
The Single Entry Approach (SENA) is the mandatory first step for all labor disputes in the Philippines. It is an administrative mechanism designed to provide a speedy, impartial, and inexpensive settlement procedure.
Filing While Abroad
Physical absence from the Philippines is not a legal bar to filing a complaint. The Department of Labor and Employment (DOLE) and the National Labor Relations Commission (NLRC) have modernized their systems to accommodate Overseas Filipino Workers (OFWs) and those who have relocated.
- Online Filing (e-SENA): The DOLE provides an electronic filing system (e-SENA) where complainants can submit their Request for Assistance (RFA) through the official website.
- Virtual Conferences: Mediation and conciliation hearings are now frequently conducted via video conferencing platforms (e.g., Zoom or Microsoft Teams). This allows the complainant to participate in the proceedings from their current country of residence.
The Step-by-Step Process
1. Preparation of Evidence
Before filing, gather all documentary evidence to support the claim:
- Employment Contract
- Payslips or Bank Transfer Statements
- Notice of Resignation or Termination
- Correspondence (Emails, SMS, or chats) regarding the demand for payment.
2. Filing the Request for Assistance (RFA)
Access the DOLE/SENA portal. You will be required to provide:
- The employer’s name and registered business address.
- The specific amount being claimed.
- A brief summary of the dispute.
3. Conciliation-Mediation
A Single Entry Approach Desk Officer (SEADO) will be assigned to the case. They will schedule a conference between you and the employer.
- Purpose: To reach a "Quitclaim and Release" agreement where the employer pays the agreed amount.
- Attendance: Since you are abroad, you must inform the SEADO immediately so they can provide the link for the virtual hearing.
4. Referral to Labor Arbiter
If no settlement is reached within 30 days of the initial conference, the SEADO will issue a "Referral for Compulsory Arbitration." The case then moves to the NLRC, where a Labor Arbiter will adjudicate based on position papers submitted by both parties.
Important Legal Considerations
Special Power of Attorney (SPA)
While you can attend virtual hearings, you may need a representative in the Philippines to sign physical documents or receive checks on your behalf.
- If you are abroad, the SPA must be Consularized or Apostilled in the country where you reside to be legally binding in Philippine courts or agencies.
Prescription Period
Under Article 306 (formerly 291) of the Labor Code, all money claims arising from employer-employee relations must be filed within three (3) years from the time the cause of action accrued. Otherwise, the claim may be forever barred.
The Status of OFWs
If you are an OFW whose recruitment was processed through a licensed agency, your complaint should generally be filed with the NLRC (National Labor Relations Commission) or through the Department of Migrant Workers (DMW), which specifically handles disputes involving overseas employment contracts.