DOLE sets pay rules for 2020 holidays

CEBU, Philippines — The Department of Labor and Employment has issued Labor Advisory No. 13, series of 2019, prescribing the appropriate determination of holiday pay rules for 2020.

DOLE said that pursuant to Proclamation No. 845 issued by President Rodrigo Duterte on November 15, the following rules for pay on regular holidays and special days for 2020 shall apply:

The list of regular holidays are January 1, April 9, April 10, May 1, June 12, August 31, November 30, December 25, December 30, Eidul Fitr (to be proclaimed) and Eidul Adha (to be proclaimed).

The pay rules are as follows:

If the employee did not work during these days, he/she shall still be paid 100 percent of his/her wage for that day, or [(Basic wage + COLA) x 100%];

For work done during these days shall be paid 200 percent of an employee’s wage for the first eight hours or, [(Basic wage + COLA) x 200 percent];

For work done in excess of eight hours (overtime), an additional 30 percent of the employee’s hourly rate, or [(Hourly rate of the basic wage x 200% x 130% x number of hours worked)];

For work done during these days that also fall on employee’s rest day shall be paid an additional 30 percent of his/her basic wage of 200 percent, or [(Basic wage + COLA) x 200%] + [30% (Basic wage x 200%)];

While for work done in excess of eight hours (overtime) that also falls on his/her rest day, he or she an employee shall be paid an additional 30 percent of his/her hourly rate, or [(Hourly Rate of the basic wage x 200% x 130% x 130% x number of hours worked)].

The special (non-working days), on the other hand, are January 5, February 25, April 11, August 21, November 1, November 2, December 8, December 24 and December 31.

The pay rules for these holidays are the following:

If the employee does not report for 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;

For work done on these days, an employee shall be paid an additional 30 percent of his/her basic wage on the first eight hours, or [(Basic Wage x 130%) + COLA];

For work done in excess of eight hours (overtime), employee shall be paid an additional 30 percent of his/her hourly rate, or [(Hourly Rate of the basic wage x 130% x 130% x number of hours worked)];

For work done during these days that also fall on employee’s rest day, he/she shall be paid an additional 50 percent of his/her basic wage on the first eight hours, or [(Basic wage x 150%) + COLA];

While for work done in excess of eight hours (overtime), an employee shall be paid an additional 30percent of his/her hourly rate, or [(Hourly Rate of the basic wage x 150% x 130% x number of hours worked)]. KQD (FREEMAN)