Manila, Philippines- The Department of Labor and Employment announced today guidelines or pay rules for all holidays declared this August 2013.
Secretary Rosalinda Dimapilis-Baldoz issued Labor Advisory No. 03, Series of 2013, providing guidelines on the correct payment of wages of private sector workers for work done on Friday, August 9, 2013, as a regular holiday in the country in observance of Eid’l Fitr, or the Feast of Ramadan.
“Proper observance of the pay rules on regular holidays and special non-working days will lead to more productive and competent employees. Voluntary compliance with labor laws, including correct wages, is good for business,” Baldoz said, as she urged private sector employers to comply with the holiday pay rules.
According to the advisory of DOLE, the following pay rules will apply:
Baldoz announced the same guidelines can be applied also on Monday, August 26, 2013, which was declared as a regular holiday in celebration of 'National Heroes' Day'.
The proclamation also declared Wednesday, 21 August 2013, as a special non-working day in commemoration of Ninoy Aquino Day. DOLE said there is different pay rules apply for August 21.
Pay Rules for August 21, 2013
Secretary Rosalinda Dimapilis-Baldoz issued Labor Advisory No. 03, Series of 2013, providing guidelines on the correct payment of wages of private sector workers for work done on Friday, August 9, 2013, as a regular holiday in the country in observance of Eid’l Fitr, or the Feast of Ramadan.
“Proper observance of the pay rules on regular holidays and special non-working days will lead to more productive and competent employees. Voluntary compliance with labor laws, including correct wages, is good for business,” Baldoz said, as she urged private sector employers to comply with the holiday pay rules.
According to the advisory of DOLE, the following pay rules will apply:
- If the employee did not work; he or she shall be paid 100 percent of his or her salary for that day [(Daily Rate + Cost of Living Allowance) x 100%];
- For work done during the regular holiday, the employees shall be paid 200 percent of his or her regular salary for that day for the first eight hours [(Daily Rate + Cost of Living Allowance) x 200%];
- For work done in excess of eight hours (overtime work), he or she shall be paid an additional 30 percent of his or her hourly rate on said day [(Hourly rate of the basic daily wage x 200% x 130% x number of hours worked];
- For work done during a regular holiday that also falls on his or her rest day, he or she shall be paid an additional 30 percent of his her daily rate of 200 percent [(Daily Rate + Cost of Living Allowance) x 200%] + [30% (Daily Rate x 200%)]; and
- For work done in excess of eight hours (overtime work) during a holiday that also falls on his or her rest day, he or she shall be paid an additional 30 percent of his or her hourly rate on said day (Hourly rate of the basic daily wage x 200% x 130% x 130% x number of hours worked).
Baldoz announced the same guidelines can be applied also on Monday, August 26, 2013, which was declared as a regular holiday in celebration of 'National Heroes' Day'.
The proclamation also declared Wednesday, 21 August 2013, as a special non-working day in commemoration of Ninoy Aquino Day. DOLE said there is different pay rules apply for August 21.
Pay Rules for August 21, 2013
- If the employee did not work, the “no work, no pay” principle shall apply, unless there is a favorable company policy, practice or collective bargaining agreement (CBA) granting payment on this special non-working day;
- For work done during this special non-working day, he or she shall be paid an additional 30 percent of his or her daily rate on the first eight hours of work [(Daily Rate x 130%)+ Cost of Living Allowance] ;
- For work done in excess of eight hours (overtime work), he or she shall be paid an additional 30 percent of his or her hourly rate on said day (Hourly rate of the basic daily wage x 130% x 130% x number of hours worked);
- For work done during the special day that also falls on his or her rest day, he or she shall be paid an additional 50 percent of his or her daily rate on the first eight hours of work [(Daily Rate x 150%) + Cost of Living Allowance]; and
- For work done in excess of eight hours (overtime work) during a special day that also falls on his or her rest day, he or she shall be paid an additional 30 percent of his or her hourly rate on said day (hourly rate of the basic daily wage x 150% x 130% x number of hours worked).
