Philippine Labor and Employment Office Adjures Employers To Implement Holiday Pay

DOLE STRICT  LABOR IMPLEMENTATION ON HOLIDAY WAGES

By: Ver Garcia Blogs

The labor department reminded employers to observe proper payment of wages of workers and employees who will report for work on June 12 being a holiday and calendared as our Independence Day and to iclude Eid'l Fitr on Friday  both were regular holidays.

As per Proclamation No. 269 and 514 issued by the President Rodrigo Duterte on July 17, 2017 and on June 6, 2018 respectively and on the basis of this issuance..  Acting Labor Secretary Ciriaco A. Lagunzad III released Labor Advisory No. 09 remanded employers to observe pay rules for said holidays. Employers are bound by the following guidelines for the proper computation of wages on holidays.

If the employee did not work, he or she shall be paid 100 percent of his or her salary for that day. Formula equals (Daily Rate + COLA x 100 percent); however, if the employee worked on the said holiday, he or she shall be paid 200 percent of his or her regular salary for that day for the first eight (8) hours (Daily Rate + COLA x 200 percent). 

In addition, if the employee worked in excess of 8 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 percent x 130 percent x number of hours worked). 

If the employee worked 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 or her daily rate of 200 percent (daily rate + COLA) x 200 percent + 30 percent (daily rate x 200 percent).

Furthermore, if the employee worked in excess of 8 hours (overtime work) 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 or her hourly rate on said day (hourly rate of the basic daily wage x 200 percent x 130 percent x 130 percent x number of hours worked). (Paul Ang)