Employers urged to share blessings, pay employees correctly

 

MANILA, Philippines – It’s the season of giving after all.

Labor Secretary Rosalinda Baldoz on Tuesday, December 22, reminded all employers to make sure they pay their employees correctly as the holiday season kicks in.

“I urge you to share your blessings and joy of the season and, in the interest of our workers’ welfare and protection, pay them correctly during the holidays,” Baldoz said in a statement.

“Voluntary compliance with labor laws by observing the pay rules and other core labor and occupational safety and health standards during the holidays is good for business,” the labor chief added.

President Benigno Aquino III earlier declared that December 25 and 30 this year, and January 1, 2016, are regular holidays, while December 24 and December 31 are special non-working days.

What are the pay rules for regular holidays and special non-working days?

December 25, 30, 2015; January 1, 2016

If the employee did not work:

He or she should get 100% of his or her salary for that day ([Daily Rate + COLA] x 100%)

If the employee worked:

He or she should get 200% of his or her regular salary for that day for the first 8 hours ([Daily Rate + COLA] x 200%)

If the employee worked overtime (in excess of 8 hours):

He or she should get an additional 30% 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)

If the employee worked on a rest day:

He or she should get an additional 30% of his or her daily rate of 200% [(daily rate + COLA) x 200% + [30% (daily rate x 200%)]

If the employee worked overtime on a rest day:

He or she should get an additional 30% 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).

 

December 24 and 31, 2015

If the employee did not work:

“No-work, no-pay” principle applies, unless a favorable company policy, practice, or collective bargaining agreement (CBA) grants payment on these special days.

If the employee worked:

He or she should get an additional 30% of his or her daily rate on the first 8 hours of work [(daily rate x 130%) + COLA]

If the employee worked overtime on a rest day:

He or she should get an additional 30% 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)

– Rappler.com