Updated for general guidance as of 2025. This is informational, not a substitute for legal advice.

1) Big picture

Employees in the Philippines have a statutory right to be paid correctly and on time. When wages, allowances, or statutory benefits are withheld, underpaid, or delayed, workers can pursue money claims through administrative enforcement (Department of Labor and Employment or “DOLE”) or adjudication (National Labor Relations Commission or “NLRC”/Labor Arbiters). Remedies are designed to be accessible, low-cost, and fast, with conciliation required at the outset in most cases.

2) What counts as “unpaid salary”?

“Unpaid salary” (often called money claims arising from employer-employee relations) commonly includes:

Basic wages (monthly/daily/hourly) and wage differentials (e.g., paid below applicable minimum wage or wage order).
Overtime pay, premium pay (work on rest days/special days), holiday pay (regular holidays), and night shift differential.
Service incentive leave (SIL) pay (commutation if unused/convertible).
13th month pay under PD 851 (and any unpaid proportion thereof).
No work, no pay exceptions improperly applied; illegal salary deductions; unpaid allowances if part of wage (or by policy/CBA).
Backwages/separation pay when tied to an illegal dismissal finding (filed as a labor case; see jurisdiction below).
Final pay (last pay) items: earned wages, pro-rated 13th month, monetized SIL, and other amounts due upon separation.

Not everything is “wage”: some benefits are supplements (discretionary) rather than facilities (for the employee’s benefit). Deductions for facilities require proof of voluntary acceptance and fair value. Unilateral deductions or deposits (e.g., “breakage”) are tightly regulated or barred.

3) Who is covered (and typical exemptions)

Most rank-and-file and non-exempt employees are covered by wage standards. Managerial employees, field personnel, and those whose hours cannot be determined with reasonable certainty are generally not entitled to overtime, premium pay, and night differential, though they must still receive compensation agreed upon and cannot be paid below the minimum wage if they are not in exempt categories for wage orders. Domestic workers have a separate regime (Batas Kasambahay) with defined minimums and entitlements.

4) Legal bases (high level)

Labor Code of the Philippines, as amended (labor standards on wages, hours, holidays, benefits; visitorial/enforcement powers; prescriptive periods).
Wage Orders issued by Regional Tripartite Wages and Productivity Boards (RTWPBs) (set regional minimum wages).
Presidential Decrees and special laws (e.g., PD 851 for 13th month; Batas Kasambahay for domestic workers; Migrant Workers and Overseas Filipinos Act for OFWs).
Implementing Rules and DOLE Department Orders (procedural/enforcement rules, SEnA, inspection).
NLRC Rules of Procedure (case filing, appeals).
Supreme Court jurisprudence (e.g., legal interest, prescription, quitclaims, burdens of proof).

5) Where to file: forum and jurisdiction

A. DOLE Regional/Field Office

When appropriate: Labor standards enforcement (e.g., underpayment of minimum wage, OT, holiday, 13th month, illegal deductions), particularly discovered through inspection. Under DOLE’s visitorial and enforcement powers, the agency can issue compliance orders regardless of amount, especially for inspection findings.
What you get: Compliance Orders directing payment; possible writs of execution; administrative fines for violations.
Good for: Straightforward payroll/standards issues, multiple employees, workplace-wide violations.

B. NLRC (Labor Arbiter)

When appropriate:
- Illegal dismissal (with claims for backwages/reinstatement/separation pay).
- Money claims that are not within DOLE’s summary/inspection mechanism (e.g., disputed status/entitlement, complex damages, claims with reinstatement).
- Claims against labor-only contractors or to enforce solidary liability of contractor and principal.
What you get: Arbiter decision; monetary awards; reinstatement orders; appealable to the NLRC Commission, then to the Court of Appeals by Rule 65, and ultimately the Supreme Court on pure questions of law.

Practical tip: If your claim is strictly about underpayment and payroll math (no dismissal issue), DOLE is often faster. If you were terminated/constructively dismissed or claim damages, go straight to the NLRC.

6) Mandatory conciliation: SEnA

Most labor claims start with SEnA (Single Entry Approach), a 30-day conciliation-mediation at a Single Entry Assistance Desk (SEAD) in DOLE or the NLRC. You file a Request for Assistance (RFA). If settled, the parties sign a settlement agreement enforceable like a judgment. If unresolved, the officer issues a Referral/Endorsement so you can file the proper case (DOLE complaint or NLRC case). Certain urgent enforcement actions and inspection cases can proceed outside SEnA.

7) Filing the claim: step-by-step

Gather evidence (see §10).
SEnA RFA at the DOLE/ NLRC office where the employer is located or where you worked.
Conciliation sessions: bring computations; propose settlement.
If no settlement:
- For labor standards issues → file a DOLE complaint or trigger an inspection (anonymous tips possible).
- For illegal dismissal / complex money claims → file a NLRC Complaint (position paper stage follows).
Proceedings:
- DOLE: May inspect, audit payroll, issue a Compliance Order; employer can seek review within DOLE.
- NLRC: Summons; mandatory conferences; position papers with evidence; Arbiter decision.
  - Appeal: Within 10 calendar days from receipt of decision. Employers appealing monetary awards must post a bond roughly equal to the award to perfect the appeal.

8) Deadlines (prescriptive periods)

Money claims arising from employer-employee relations: 3 years from when the cause of action accrues (typically, from each underpayment or non-payment).
Illegal dismissal actions: 4 years (treated as an injury to rights). Ancillary money claims tied to the dismissal case follow the dismissal action’s timeline once properly raised.
Criminal actions for willful non-payment (after finality of administrative finding) follow separate rules.

To avoid prescription issues, file promptly. For continuing underpayment, each payday can trigger a fresh accrual.

9) What you can recover

Unpaid wages and wage differentials (including shortfalls vs. wage orders).
Overtime pay (generally +25% premium on ordinary days; +30% if on rest day/holiday) for work beyond 8 hours/day, if not exempt.
Premium pay for rest days/special days; holiday pay rules for regular holidays (non-work pay or 200% if worked, subject to detailed exceptions).
Night shift differential (generally 10% of the regular hourly rate for work between 10:00 p.m. and 6:00 a.m.).
Service incentive leave commutation (if applicable).
13th month pay deficiency.
Damages/attorney’s fees (in NLRC cases where warranted).
Legal interest: generally 6% per annum from the time of judicial or extrajudicial demand (e.g., filing date) until full satisfaction, per prevailing jurisprudence.

Exact percentages may vary by law, rules, wage order, or case facts; always compute carefully and cite bases.

10) Evidence: what wins (and who bears the burden)

Burden of proof: Employers must prove payment and compliance (e.g., payrolls, pay slips, vouchers, time records). Workers should still submit prima facie proof.
Employee’s exhibits:
- ID, contract/appointment letter, company handbook/policies, schedules/shift assignments.
- Pay slips, bank credits, cash vouchers/receipts, emails/chats about pay, HR memos.
- DTR/biometrics printouts, timekeeping screenshots, duty rosters, CCTV logs (if available).
- Computations with clear formulas and dates.
- Sworn statements (yours and co-workers) detailing hours and unpaid amounts.
Employer’s exhibits typically include government-mandated records: payroll, daily time records, wage registers, and proof of remittances.

11) Computation basics (quick reference)

Let:

Daily Rate = (Monthly Rate × 12) / 313 (common divisor for daily-paid on 6-day schedule) or / 365 (for monthly-paid inclusive of rest days/holidays), depending on policy and jurisprudence used.
Hourly Rate = Daily Rate / 8.

Illustrative (rank-and-file, non-exempt; verify your CBA/policy):

Overtime (OT) on ordinary day = Hourly Rate × 1.25 × OT hours.
OT on rest day/holiday = Hourly Rate × 1.30 (premium) × 1.25 (OT) × OT hours (some practices compute sequentially; others use integrated multipliers—be consistent and cite basis).
Night Shift Differential = Hourly Rate × 0.10 × hours worked between 10:00 p.m.–6:00 a.m.
Regular Holiday worked (first 8 hrs) = Daily Rate × 2.00; if with OT, add OT on holiday basis.
Special (non-working) day worked (first 8 hrs, usually) = Daily Rate × 1.30 (check local rules/CBAs).
Rest day worked (first 8 hrs) = Daily Rate × 1.30 (if no special/holiday overlap).

These are common multipliers; confirm any local wage orders, company CBAs, and DOLE advisories that may specify different treatment.

12) Special situations

Probationary employees: entitled to full pay/benefits for hours worked and earned benefits; probationary status does not justify underpayment.
Project/seasonal employees: entitled for periods actually worked; end-of-project pay issues may arise from delayed payroll/clearance.
Contracting/outsourcing: If labor-only contracting exists, principal and contractor may be solidarily liable for wage claims.
Small businesses/startups: There is no lawful “cash-flow excuse.” Wage orders and statutory benefits remain mandatory.
OFWs: Money claims are typically filed with NLRC (Labor Arbiter) under the Migrant Workers Act; employment contracts (POEA standard terms) are key. Venue and special rules apply.
Domestic workers (Kasambahay): Minimum cash wage, 13th month, SIL, SSS/PhilHealth/Pag-IBIG coverage, and other entitlements under Batas Kasambahay.
Quitclaims/Waivers: Valid only if voluntary, with reasonable consideration, and no deception or coercion. Courts/DOLE scrutinize these; unfair quitclaims can be nullified.

13) Defenses employers commonly raise (and how they’re assessed)

“Paid already” → must be proved by payroll, signed payslips, or bank records.
“Exempt employee” → employer must prove the exemption (job duties, level of discretion/supervision, nature of work).
“Unauthorized OT” → OT may still be compensable if the employer suffered or permitted the work (knew or should have known).
“No time records” → when the employer fails to keep mandated records, evidentiary doubts are resolved against the employer; reasonable employee estimates can be credited.

14) Remedies and enforcement

Administrative: DOLE Compliance Orders, writs of execution, and penalties for continued non-compliance.
Adjudicatory: NLRC writs of execution after entry of judgment; garnishment/levy on employer assets; solidary enforcement against principals/contractors where applicable.
Criminal: Willful non-payment/underpayment may lead to criminal liability after final administrative determinations and subject to due process.
Retaliation: Dismissal or discipline for asserting statutory rights can itself be illegal and expose the employer to dismissal remedies.

15) Taxes, SSS/PhilHealth/Pag-IBIG, and records

Payroll corrections often require back remittances to SSS, PhilHealth, and Pag-IBIG with surcharges/interest per agency rules.
Backwages/arrears may be subject to income tax per current BIR rules/jurisprudence, except items expressly exempt (e.g., 13th month up to the exempt ceiling).
Keep records: pay slips (employers must issue them), DTR/biometrics, and employment documents for at least 3–5 years to cover prescription and audit windows.

16) Practical playbook (employee’s checklist)

Write down dates, hours, pay periods, and amounts short-paid.
Collect pay slips, chats/emails, DTR screenshots, bank statements.
Compute itemized shortfalls (show formula per pay period).
Send a demand (email/letter) asking for payment by a set date.
File SEnA RFA at the nearest DOLE/NLRC desk.
Conciliate—be ready with figures and a proposed settlement.
Escalate: DOLE complaint/inspection or NLRC case, as appropriate.
Track deadlines (3-year money claims; 4-year illegal dismissal).
Preserve evidence; avoid signing quitclaims without advice.
Consider counsel—especially for dismissal, contracting, or large claims.

17) For employers: compliance essentials

Pay on time (at least twice monthly for most workers) in legal tender/through lawful channels; issue itemized pay slips.
No unauthorized deductions. Obtain clear, written consent where allowed; never dip below statutory floors.
Maintain accurate time and payroll records; keep them available for DOLE inspection.
Audit wages after each Wage Order; promptly adjust payroll.
Train HR/payroll on OT/night differential/holiday computations and SEnA handling.
Address grievances early; settlements save cost and risk.

18) Frequently asked questions

Q: I have no pay slips. Can I still claim? Yes. You can use sworn statements, co-worker corroboration, schedules, chats/emails, and bank records. If the employer lacks required records, tribunals may credit reasonable estimates in your favor.

Q: Can I claim for just one late paycheck? Yes. A single instance of non-payment or delay is actionable, and DOLE can require compliance and impose penalties.

Q: I worked OT without written approval. If the employer knew or should have known you worked (e.g., staying logged in, post-shift outputs) and accepted the benefit, OT can be compensable.

Q: What if I already signed a quitclaim? You can still contest it if it was coerced, for a grossly inadequate amount, or contrary to law/public policy.

Q: How long will this take? Timelines vary by forum and case complexity. SEnA targets quick settlements; DOLE inspection cases and NLRC litigation can take longer.

19) Templates (quick starters)

A. Short demand (email/letter)

Subject: Demand for Payment of Unpaid Wages Dear [HR/Manager], I am writing to demand payment of my unpaid wages/benefits covering [dates/pay periods], including [items]. My computations (attached) show a total of ₱[amount]. Kindly release payment within five (5) working days of receipt. Otherwise, I will seek relief through DOLE/NLRC. Sincerely, [Name], [Position], [Contact]

B. Computation sheet headings

Employee name & position
Period covered (per cutoff)
Basic rate (monthly/daily/hourly) & divisor used
Hours worked (regular/OT/night)
Rates & multipliers applied
Holiday/rest day entries
Deductions (authorized only)
Net shortfall per cutoff; running total
Notes/basis (law, wage order, policy)

20) Key takeaways

Act within 3 years for money claims (and 4 years for illegal dismissal).
Choose the right forum (DOLE vs. NLRC) based on the nature of your claim.
Documentation wins cases—compute clearly and keep records.
Conciliation first (SEnA) often resolves matters quickly.
Interest, penalties, and potential solidary liability make early settlement prudent.

If you want, share your situation (dates, pay, hours, employer location), and I can draft a tailored computation sheet and a filing roadmap you can use immediately.