Friday, December 20, 2013
How much will you be paid for working on holidays?
MANILA, Philippines – The Department of Labor and Employment (DOLE) has urged all private employers to pay their employers correctly during the Christmas and New Year holidays.
Labor Secretary Rosalinda Dimapilis-Baldoz reminded the employers to observe the pay rules and other core labor standards.
"It's Christmas. Our employers should share the blessing and joy of the season and, in the interest of our workers' welfare and protection, pay them correctly during the holidays," Baldoz said.
Christmas Day (Wednesday), Rizal Day (Monday) and New Year’s Day (Wednesday) have been declared as regular holidays.
For regular holidays, the proper pay rules should be observed under Labor Advisory No. 6:
If the employee did not work, he shall be paid 100 percent of his salary for that day. Computation: (Daily rate + Cost of Living Allowance) x 100 percent. The COLA is included in the computation of holiday pay.
If the employee worked, he shall be paid 200 percent of his regular salary for that day for the first eight hours. Computation: (Daily rate + COLA) x 200 percent. The COLA is also included in computation of holiday pay.
If the employee worked in excess of eight hours (overtime work), he shall be paid an additional 30 percent of his hourly rate on said day. Computation: Hourly rate of the basic daily wage x 200 percent x 130 percent x number of hours worked.
If the employee worked during a regular holiday that also falls on his rest day, he shall be paid an additional 30 percent of his daily rate of 200 percent. Computation: (Daily rate + COLA) x 200 percent] + (30 percent [Daily rate x 200 percent)].
If the employee worked in excess of eight hours (overtime work) during a regular holiday that also falls on his rest day, he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 200 percent x 130 percent x 130 percent x number of hours worked);
December 31 (Tuesday) is a special non-working day, while December 24 (Tuesday) is an additional special non-working day.
For special non-working days, the following pay rules apply:
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 a special day.
If the employee worked, he shall be paid an additional 30 percent of his daily rate on the first eight hours of work. Computation: [(Daily rate x 130 percent) + COLA).
If the employee worked in excess of eight hours (overtime work), he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 130 percent x 130 percent x number of hours worked).
If the employee worked during a special day that also falls on his rest day, he shall be paid an additional 50 percent of his daily rate on the first eight hours of work. Computation: [(Daily rate x 150 percent) + COLA].
If the employee worked in excess of eight hours (overtime work) during a special day that also falls on his rest day, he shall be paid an additional 30 percent of his hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 150 percent x 130 percent x number of hours worked).
Baldoz stressed that following pay rules on regular holidays and special non-working holidays “is a decent work standard that encourages productive and proficient workers.”
"Voluntary compliance with labor laws, including correct wage payment during holidays, denotes workplace excellence and redounds to the competitiveness of business and the country's industries," she added.
source: www.abs-cbnnews.com
