G.R. No. 92174 December 10, 1993BOIE-TAKEDA CHEMICALS, INC.,Pettoner, vs. HON.

DIONISIO DE LA
SERNA, Actng Secrearyof he Deparmen of Labor and Employmen,FACTS:Presidental Decree No.
851, The hirTeenTh MonTh Pay Law, defnes defnes "BasicSalary" as which shall include all
remuneratons or earnings paid by an employer To anemployee For services rendered buT may noT
include cosT oF living allowances profT sharingpaymenTs, and all allowances and moneTary benefTs
which are noT considered or inTegraTed asparT oF The regular or basic salary oF The employee. While
on The, Revised Guidelines on TheImplemenTaton oF The 13Th MonTh Pay Law promulgaTed by Then
Labor SecreTary ranklinDrilon included The These salary-relaTed benefTs as parT oF The basic salary in
The compuTatonoF The 13Th monTh pay. Pettoners in This case were ordered To pay Their employees
due TounderpaymenT oF 13ThmonTh pay pursuanT To The Revised Guidelines. Pettoners
conTendedhowever under P.D. 851, The 13Th monTh pay is based solely on basic salary. As defned by
Thelaw iTselF and clarifed by The implementng and SupplemenTary Rules as well as by The
SupremeCourT in a long line oF decisions, remuneratons which do noT Form parT oF The basic or
regularsalary oF an employee, such as commissions, should noT be considered in The compuTaton
oFThe 13Th monTh pay. his being The case, The Revised Guidelines on The ImplemenTaton oF The13Th
MonTh Pay Law issued by Then SecreTary Drilon providing For The inclusion oF commissionsin The 13Th
monTh pay, were issued in excess oF The sTaTuTory auThoriTy conFerred by P.D. 851.ISSUE:WheTher or
noT The Revised Guidelines on The ImplemenTaton oF The 13Th MonTh PayLaw issued by Then
SecreTary Drilon providing For The inclusion oF commissions in The 13ThmonTh pay, were issued in
excess oF The sTaTuTory auThoriTy conFerred by P.D. 851DECISION:In including commissions in The
compuTaton oF The 13Th monTh pay, The secondparagraph oF Secton 5(a) oF The Revised Guidelines on
The ImplemenTaton oF The 13Th MonThPay Law unduly expanded The concepT oF "basic salary" as
defned in P.D. 851. IT is aFundamenTal rule ThaT implementng rules cannoT add To or deTracT From The
provisions oF Thelaw iT is designed To implemenT. AdminisTratve regulatons adopTed under legislatve
auThoriTyby a partcular deparTmenT musT be in harmony wiTh The provisions oF The law They are
inTendedTo carry inTo eecT. hey cannoT widen iTs scope. An adminisTratve agency cannoT amend an
acToF Congress.