HR Talk: 13 Questions Answered about the 105-Day Maternity Leave Law (And an Excel Calculator to Compute Mat Ben) – Tina in Manila
The RA No. 11210 105-Day Maternity Leave Law is one of the most highly celebrated laws passed by the Duterte government last 2019. Despite the hoopla surrounding this law, so many people are still confused about its application, specifically how the maternity benefit is computed. Even as I’ve browsed through multiple articles, so many writers still have the computation part wrong.
“What’s the semester of contingency? How exactly do you compute salary differential?”
To make things simpler, I have collated the following questions to make sense of this wonderful yet oftentimes confusing law for your reference:
Updated with two additional questions on July 6, 2020
1. What is RA No. 11210 or the Expanded Maternity Leave Law (EMLL)?
Otherwise known as the “105-Day Expanded Maternity Leave Law,” the RA 11210 expanded the maternity leave of women — married or otherwise — to:
2. What is the Difference between the 105-Day Expanded Maternity Leave Law to its Predecessor?
3. What I Found to be Most Interesting About this Law:
4. How can an employer get exemption from RA No. 11210?
A company can be exempted from RA 11210 if employers asks DOLE for approval of exemption. This is done every year, and the justification is sufficient for DOLE to exempt the company. The target employers for exemption include:
According to the DOLE Advisory No. 1, Series of 2019, employers can be exempted from paying the salary differential by submitting in duplicate copies the following documents to the DOLE Regional/Provincial/Field/Satellite Offices where they operate within the first semester of every calendar year:
The Certificate of Exemption is valid for one year from issuance. However, if the Regional Tripartite Wage and Productivity Board (RTWPB) has already issued that business a Certificate of Exemption for payment of minimum wages for a certain year, this Certificate is already enough to exempt the company from paying the salary differential for the same year. No need to apply for another exemption.
WARNING: Once you file, DOLE will conduct an inspection if necessary to verify the number of workers, nature of business and get other information within 5 working days of application receipt. It is still subject for approval.
5. Who are Qualified for the SSS 105-Days Maternity Leave Benefit?
If the female worker does not have enough qualifying contributions, she is NOT entitled to both SSS Maternity Benefit and Salary Differential Pay.
IMPORTANT: The female worker should have at least THREE (3) monthly SSS remittances in the twelve-month period immediately before the semester of contingency for childbirth, miscarriage or emergency termination of pregnancy. If you have inadequate number of hulogs, you are disqualified.
If disqualified, you are referred to the PhilHealth Circular No. 022-2014 or the “Social Health Insurance Coverage and Benefits for Women About to Give Birth.”
NOTE: Payment of maternity benefit automatically disqualifies the member from availing of the sickness benefit from the same period.
6. What is the Semester of Contingency?
SSS looks at the Semester of Contingency for members to avail of Maternity, Disability, Sickness and Retirement Benefits. Philippines QA offers one of the better explanation on what exactly a Semester of Contingency means:
7. How do I Compute my SSS Maternity Benefit and Salary Differential using my Semester of Contingency?
Step 1: Check out if you are qualified based on your hulogs.
If you’re too lazy to compute it, just use this chart:
Check out your due date, see if you have paid at least 3 hulogs on the months highlighted in YELLOW. If you are, you’re qualified. If not, you’re not.
Step 2: Identify the Top 6 Hulogs You Made that Fell on the Qualifying Period.
Step 3: Get the Average of the 6 Hulogs to See the Corresponding Monthly Salary Credit
Using the SSS Contribution Table of 2019, check out the corresponding Monthly Salary Credit for the top 6 hulogs. Since Php 2,400 is the maximum hulog, then the MSC of the staff is Php 20,000, the highest allocation.
Add all the top 6 and divide it by 180 to get the Daily Salary Credit. So for our example, the Daily Salary Credit is Php 20,000 x 6 / 180 = Php 666.67 per day.
Step 4: Multiply the SSS Daily Salary Credit to Get the SSS Maternity Benefit
If your calculated average Daily Salary Credit is Php 666.67:
Step 5: If you are employed, the Salary Differential is;
To Calculate Full pay: Actual Earnings including allowances provided under CBA if any
To Calculate Equivalent Monthly Rate: Daily Wage x Factor — 313 if 6 days work, 261 if 5 days work — divided by 12.
Hence, if you earn Php 30,000, the estimated maternity benefit is Php 105,000 (Computation: Php 30,000 x 3.5 months). Breakdown as follows:
The amount that the Employee will get is Php 105,000 minus Php 2,800 SSS minus Php 1,575 Philhealth and Php 350.00 Pag-Ibig = Php 100,275.00.
To make it simple, employees will usually not get any Salary Differential if they are earning Php 20,000 and below.
IMPORTANT TO REMEMBER:
8. My head is exploding with all the Calculations. Do you have an SSS Maternity Benefit Calculator to make my life simple?
Yes, I do!
I have developed a simple FINAL SSS Maternity Benefit 070420 to help people find out their Semester of Contingency and calculate their maternity benefits regardless of the year. It is downloadable for free, but must be checked out via the desktop. You can’t use it via the mobile phone until I next level my app development skills.
The only thing you need to do is input your information on the YELLOW boxes. The calculator will compute your estimated Maternity Benefit for you.
DISCLAIMER: This online calculator is made available solely for the convenience of public. It follows the SSS schedule of contribution tables and is based on the author’s own interpretation. It provides calculations based on the information you provide. All data entered are not stored. It is suggested, however, to clear your browser cache after completing your transaction.
Should you find any inaccuracy, or have suggestions to improve this calculator, please PM me.
9. I am Qualified. Where Can I File for My SSS Maternity Benefit?
The SSS is clear — if you are employed, you have to file your MAT-1 with your Employer. It is then your employer who needs to submit the form to the SSS.
If you are paying voluntarily, you can file for your Maternity Benefit online or via the branch:
If you have been terminated from your work recently, if you are giving birth within 6 months of Termination, you still need a) A Certificate of Non-Advancement of SSS Maternity Leave Benefit and B) L-501 from your Employer. Beyond the 6-month timeline, you won’t need these documents anymore.
10. What do Employed Workers Need to Do to Avail of the Maternity Benefit?
NOTICE: It is the employee’s responsibility to give their SSS number to their employer. The deadline of payment is the last day of the month following the applicable month.
Reiterating: If the female employee goes AWOL, the Employer can still reimburse to the SSS by providing the following documents in combination below:
We understand that many employees choose to abandon their work without turnover after giving birth. Please ensure that the staff is cleared properly before her maternity leave, and you have complete documents in holding her accountable for certain documents if in case she does not return.
11. What are Females who are Not Employed but Have Enough SSS Hulogs?
IMPORTANT: If unemployed, there are no salary differential computed. Just the SSS maternity benefit.
WARNING: The SSS contributions must be remitted on time.
SOURCE: SSS Corporate Communications Department, July 2019
12. Why did SSS deny my claim for “overlapping benefits?”
If there’s an overlapping mat benefit claims (IRR, Rule VI, Sec. 7, Consecutive Pregnancies and Multiple Childbirths):
14. For voluntary members who need a bank account so SSS can transfer the money, which banks can accept SSS benefit payments?
Voluntary SSS members who are qualified for the Maternity Benefit can receive the money through:
a. Their Bank Savings or Checking Account.
b. For cash cards, please make sure that your cash card can receive more than Php 10,000 at a time, or the money will bounce back
c. SSS UMID card as your ATM card, but you need first to activate your UMID card at Union Bank kiosks at SSS branches
For a., the following banks can receive such payments:
Thank you to PhilippinesQA.com for compiling the above-mentioned list.You’re the best!
13. Why Was My Maternity Benefit Claim Denied?
For various reasons. Here are 15 most common reasons:
Download the Excel Here: Reasons Why Maternity Claim Was Not Paid
14. Where Can I Conveniently Download All the Documents I Need to Apply for my Maternity Leave Benefit?
BONUS QUESTION: How do I Contact SSS for Other Inquiries?
Did you know that you can notify SSS DAW of your pregnancy through text?
This content was originally published here.