Employer cannot make employees pay for crime committed by others

Published by rudy Date posted on October 18, 2011

Dear PAO,
The jewelry store where I was working was robbed during my shift. Now, the storeowner is deducting from our salaries the value of the items robbed. Our employer is also deducting from our salary a cash bond. Are these legal?
HR

Dear HR,
Wage is defined as the employee’s remuneration or earning paid by his employer for work done or to be done or for services rendered or to be rendered. It includes the fair and reasonable value, as determined by the Secretary of Labor, of board, lodging or other facilities customarily furnished by the employer to the employee (Article 97, Labor Code of the Philippines). It is what the laborer gets for every minute he spends in conscientiously performing his job. Being the fruit of his hard work, he should receive the full amount of his wage without deduction other than those authorized by law.
As a rule, no employer, in his behalf or in behalf of any other person, shall make any deduction from the wages of his employees, except in the following instances: 1) in cases where the worker is insured with his consent by the employer, and the deduction is to recompense the employer for the amount paid by him as premium of the insurance; 2) for union dues, in cases where the right of the worker or his union to check-off has been recognized by the employer or authorized in writing by the individual worker concerned; and 3) in cases where the employer is authorized by law or regulations issued by the Secretary of Labor (Article 113, ibid.). The act of your employer in deducting from your salaries the value of the items robbed in his store is clearly not among the aforementioned exceptions. There is neither law nor rule in our country which authorizes a storeowner to ask from his employees reimbursement for the items robbed in his store. Your employer cannot lawfully make his employees liable for the crime committed by some other persons. His proper recourse is to file the necessary charges against the perpetrator of the crime so that they may be held responsible and accountable in accordance with our laws.

As regards your second question, the deduction of cash bonds from an employee’s wage is allowed provided that his employer is engaged in such trades, occupations or businesses where the practice of making deductions or requiring deposits is recognized or is necessary or desirable as determined by the Secretary of Labor. These employers may also require their employees to make deposits from which deductions shall be made for the reimbursement of loss of or damage or tools, materials or equipment supplied by the employer (Article 114, ibid.).

Please be reminded that this opinion is solely based on your narration of facts and our appreciation of the same. The opinion may vary if other facts are added or elaborated.

We hope that we were able to address your concern. –Severino Frayna, Manila Times

Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to dearpao@manilatimes.net.

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