5/22/2018 2. Sevilla Trading Co vs. Semana
1/2
2. SEVILLA TRADING COMPANY, Petitioner, vs. A.V.A. TOMAS E.
SEMANA, SEVILLA TRADING WORKERS UNIONSUPER, Reson!entG.R. No.
"#2$#% & Ari' 2(, 2))$
*ACTS&
On appeal is the Decision of the Court of Appeals (CA)
sustaining the sustaining the Decision of Accredited Voluntary
Arbitrator Toma
Semana.
or t!o to three years prior to "###$ petitioner Se%illa Trading
Company (&etitioner)$ a domestic corporation engaged in trading
busine
organi'ed and eisting under &hilippine la!s$ added to the
base figure$ in its computation of the "th*month pay of its
employees$ the amoun
other benefits recei%ed by the employees !hich are beyond the
basic pay.
&etitioner claimed that it entrusted the preparation of the
payroll to its office staff$ including the computation and payment
of the "th*m
pay and other benefits.+hen it changed its person in charge of
the payroll in the process of computeri'ing its payroll$ and after
audit !as conduc
it allegedly disco%ered the error of including non*basic pay or
other benefits in the base figure used in the computation of the
"th*month pay o
employees.,t cited the -ules and -egulations ,mplementing
&.D. o. /0" !hich stated1
23asic salary shall include all remunerations or earnings paid
by an employer to an employee for ser%ices rendered but may
include cost*of*li%ing allo!ances granted pursuant to &.D.
o. 040 or 5etter of ,nstruction o. "67$ profit*sharing payments$
and
allo!ances and monetary benefits !hich are not considered or
integrated as part of the regular or basic salary of the employee
at the t
of the promulgation of the Decree on December "8$ "#60.9
&etitioner then effected a change in the computation of the
thirteenth month pay$ as follo!s1
"th*month pay : net basic pay
;ence$ the ne! computation reduced the employees thirteenth
month pay.The daily piece*rate !or
