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Wages of managerial employees

Wages of managerial employees
"I am currently a manager of a fast food chain in Metro Manila. Three years ago, I obtained a loan from a bank to finance the medical expenses of my ailing mother. Unfortunately, my loan became due and I wasn’t able to pay because of the high interest rates. The bank filed a case against me for collection and garnishment of my payroll account with my employer. Can I validly object to the legal step taken by the bank? JasmineDear Jasmine, To answer your question, we shall refer to Article 1708 of the New Civil Code which reads as follows:“ARTICLE 1708. The laborer’s wage shall not be subject to execution or attachment, except for debts incurred for food, shelter, clothing and medical attendance. xxx” (Emphasis supplied). Applying the said law in your situation, the bank can validly sue you for collection and garnishment of your payroll account. The amount you loaned is included among the exceptions provided for under the law and will fall under the debts incurred for medical attendance. Moreover, in the case of Gaa vs Court of Appeals (GR L-44169, Dec. 3, 1995), the Court ratiocinated through Associate Justice Lino Patajo that “Article 1708 used the word wages and not salary in relation to ‘laborer’ when it declared what are to be exempted from attachment and execution. The term ‘wages’ as distinguished from ‘salary,’ applies to the compensation for manual labor, skilled or unskilled, paid at stated times, and measured by the day, week, month, or season while ‘salary’ denotes a higher degree of employment, or a superior grade of services, and implies a position of office: by contrast, the term wages “indicates considerable pay for a lower and less responsible character of employment, while ‘salary’ is suggestive of a larger and more important service” (Emphases supplied). Thus, as a managerial employee, your salary is not exempt from garnishment.This opinion is solely based on the facts you have narrated and our appreciation of the same. Thus, the opinion may vary when the facts are changed or further elaborated. We hope that we were able to enlighten you on the matter. 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" - https://www.affordablecebu.com/
 

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"Wages of managerial employees" was written by Mary under the Legal Advice category. It has been read 479 times and generated 1 comments. The article was created on and updated on 15 September 2021.
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