Distribution of Collected Service Charge in Relation to Non-diminution of Benefits

December 26, 2019LABOR ADVISORY NO. 014-19DISTRIBUTION OF COLLECTED SERVICE CHARGE IN RELATION TO NON-DIMINUTION OF BENEFITSPursuant to Article 5 of the Labor Code of the Philippines, as amended, Section 3 of Republic Act No. 11360, "An Act Providing that Service Charges Collected by Hotels, Restaurants and Other Similar Establishments be Distributed in Full to All Covered Employees, Amending for the Purpose Presidential Decree No. 442, as Amended, Otherwise Known as the Labor Code of the Philippines," and consistent with the principle of non-diminution of benefits, the following is issued:SECTION 1. Non-diminution of Benefits. — Republic Act No. 11360 and its implementing rules and regulations shall not be construed to diminish existing benefits under existing laws, company policies and collective bargaining agreements. ATICcSSECTION 2. Distribution of Service Charge. — All employees who are already receiving service charge prior to, or at the time of the effectivity of Republic Act No. 11360 and its implementing rules and regulations, including the contractor's employees, shall continue to be entitled to the distribution of collected service charge.SECTION 3. Enforcement and...