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Pay rule for 2019 holidays

THE Department of Labor and Employment released the pay rule guidelines for 2019 holidays to guide the employers in the private sector on how wages would be computed if their workers reported for work during declared nationwide holidays next year.

In the list of regular holidays are New Year’s Day (Jan. 1), Araw ng Kagitingan (April 9), Maundy Thursday (April 18), Good Friday (April 19), Labor Day (May 1), Independence Day (June 12), National Heroes Day (Aug. 26), Bonifacio Day (Nov. 30), Christmas Day (Dec. 25), and Rizal Day (Dec. 30).

Also included are the observance of Muslim holidays such as Eidul Fitr or celebration of the end of Ramadhan and Eidul Adha or commemoration of the ‘Feast of Sacrifice, the proclamations of which will be issued after the approximate dates of the Islamic holidays have been determined in accordance with the Islamic calendar (Hijra) or the lunar calendar, or upon Islamic astronomical calculations.

For these holidays, the pay rules state that 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]; while 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 percent x 130 percent x number of hours worked)] shall be paid.

Meanwhile, 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 percent] + [30 percent (Basic wage x 200 percent percent)]; while for work done in excess of eight hours (overtime), an employee shall be paid an additional 30 percent of his/her hourly rate, or [(Hourly Rate of the basic wage x 200 percent x 130 percent x 130 percent x number of hours worked)].

If the employee, however, does not report for 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 percent].

As for the special (non-working days), included in the list are Chinese New Year (February 5), EDSA People Power Revolution (February 25), Black Saturday (April 20), Ninoy Aquino Day (August 21), All Saints’ Day (November 1), Feast of the Immaculate Conception of Mary (December 8), and Last Day of the Year (December 31).

Added as special (non-working days) are November 2 and December 24, which according to the Malacañang Proclamation, are made to strengthen family ties by providing more time to observe their most cherished traditions, All Saints’ Day, All Souls’ Day; and Christmas commemorative activities; as well as to promote domestic tourism.

The pay rules for these holidays provide that 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 percent) + COLA]; while 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 percent x 130 percent 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 percent) + COLA]; while for work done in excess of eight hours (overtime), an employee shall be paid an additional 30 percent of his/her hourly rate, or [(Hourly Rate of the basic wage x 150 percent x 130 percent x number of hours worked)].

But 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.

Topics: Department of Labor and Employment , pay rule guidelines , 2019 holidays
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