How Long Do I Have to File a Claim for Unpaid Wages?
Quick answer
You have three years to file a claim for unpaid wages or other money owed by your employer. The three years run from the time each claim accrued, which for wages is usually when the unpaid amount fell due. After three years, that part of the claim is barred for good. If underpayment went on for longer, you can usually recover only the amounts that fell due in the three years before you filed.
What does the law say?
In *Auto Bus Transport Systems v. Bautista* (2005), the Supreme Court stated the rule this way: "Article 291 of the Labor Code states that all money claims arising from employer-employee relationship shall be filed within three (3) years from the time the cause of action accrued; otherwise, they shall be forever barred."
Article 291 is the number the provision had before DOLE renumbered the Labor Code in 2015. In the renumbered Labor Code (DOLE 2022 edition), the same provision is now [Article 306 [291]](/law/labor-code/article-306). The *Auto Bus* decision came before the 2015 renumbering, so it uses the old number.
The deadlines of the main labor claims are listed side by side in the labor claim deadlines table.
What counts as a money claim?
Any claim for money "arising from employer-employee relationship." Common examples:
- unpaid or underpaid wages;
- overtime, holiday pay and premium pay;
- 13th month pay;
- service incentive leave pay;
- unpaid final pay.
For how these amounts are computed, see the final pay calculator and the final pay and separation pay guide.
When does the three-year period start?
When the cause of action accrued, meaning when the employer committed the act that violated your right to the benefit. In *Auto Bus*, the Court explained that you must find the time when the violation happened. For wages and most benefits, that is when each amount should have been paid.
This is why long underpayment is only partly recoverable. The Court said that if benefits were withheld for a period longer than three years, "the amount pertaining to the period beyond the three-year prescriptive period is therefore barred by prescription." Only the benefits withheld within three years before the complaint was filed can be demanded.
Is service incentive leave different?
Yes. *Auto Bus* set a special rule for service incentive leave (SIL). Because an employee may choose to accumulate SIL and cash it in later, the three years start "from the time when the employer refuses to pay its monetary equivalent after demand of commutation or upon termination of the employee's services, as the case may be."
In that case, a bus driver-conductor had never used or cashed his SIL. He filed his claim one month after his dismissal, so his claim for all his accumulated SIL was on time. See service incentive leave.
Who has to prove payment?
The employer. In Agabon v. NLRC (2004), the Supreme Court said that even when the worker alleges non-payment, the burden rests on the employer to prove payment. Payrolls, remittances and other records are in the employer's custody. The employer there could not show proof of holiday pay and SIL pay, so it was ordered to pay them.
Workers' own records, such as payslips and the contract, can still help.
Does this deadline apply to every labor case?
This page covers money claims only. A case asking to be reinstated after a dismissal raises a different question, and this page does not give its deadline. Kasambahay disputes are brought to the DOLE Regional Office over the workplace (Republic Act No. 10361, Section 37). Ask a lawyer or the Public Attorney's Office (PAO) about the deadline for your type of case. The table of prescription periods for civil actions covers deadlines under the Civil Code, which are different from this labor rule.
How does this work in real life?
These are made-up examples to show how the rules work. They are not advice for any real case.
Nora. Nora was paid below the minimum wage for five years, then resigned. She files a money claim right after resigning. She can usually recover the underpayments for the last three years before her filing. The earlier two years are barred.
Ben. Ben, a driver paid by commission, never used his five days of SIL in eight years. He is dismissed and files a claim two months later. Following *Auto Bus*, his claim for the accumulated SIL accrued when his employer failed to pay it at his dismissal, so the claim is on time.
Carlo. Carlo's 13th month pay for a year was never paid, and he waits more than three years after it fell due before filing. That claim is likely barred. A later unpaid 13th month pay within the three years can still be claimed.
Where are money claims filed?
Most labor claims start with a request for assistance at DOLE through the Single Entry Approach, a mandatory conciliation-mediation step. See how to file a labor complaint. Kasambahay can also read ending kasambahay employment.
When do you need a lawyer?
Talk to a lawyer, your union or the Public Attorney's Office (PAO) if your claim covers many years, if you are close to the three-year limit, or if your claim is part of a dismissal case. A lawyer can compute what is still recoverable and check which deadline applies.
If you cannot afford a lawyer, see Free legal help in the Philippines.
Which provisions does this answer rest on?
Which Supreme Court rulings are relevant?
Frequently asked questions
How many years do I have to file a labor case for unpaid wages?
Three years from the time the cause of action accrued. The rule is in Article 306 [291] of the Labor Code; the Supreme Court applied it under its old number, Article 291, in Auto Bus Transport Systems v. Bautista (2005). After that, the claim is forever barred.
If my employer underpaid me for five years, can I recover all of it?
Usually only part. In Auto Bus the Court said that when benefits were withheld for longer than three years, the amount beyond the three-year period is barred. Only the benefits withheld within three years before filing can be recovered.
When does the three years start for unused service incentive leave?
When the employer refuses to pay its cash value after you ask for it, or when your employment ends and it is not paid, as the case may be (Auto Bus).
Does the three-year rule apply to 13th month pay and holiday pay?
The rule covers all money claims arising from the employer-employee relationship, which includes unpaid wages and benefits. Each unpaid amount is usually counted from the time it should have been paid.
Who has to prove that I was paid?
The employer. In Agabon v. NLRC (2004) the Supreme Court said the burden rests on the employer to prove payment, because payrolls and records are in its custody.
General information, not legal advice. For your case, ask a lawyer, the Public Attorney's Office (PAO) or the agency.
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