DOLE reminds private sector employers on proper pay rules on Independence Day

On the occasion of the 115th celebration of Philippine Independence, Labor and Employment Secretary Rosalinda Dimapilis-Baldoz yesterday reminded private sector employers on the applicable pay rules for workers on Wednesday, 12 June, a regular holiday.

“Proper observance of the applicable pay rules for workers everyday–especially on Independence Day–is good corporate citizenship. It contributes to nation-building,” said Baldoz, as she reiterated the proper holiday pay rules for 12 June.

The labor advisory in compliance with Sec. 3 of Proclamation 459, issued on 12 August 12, 2012 by President Benigno S. Aquino III has declared the regular holidays, special (non-working) days and special holiday (for all schools) for the year 2013, in accordance with existing laws.

“I urged all private sector employers to observe voluntary compliance with labor standards, particularly with the payment of correct wages/salaries of employees who will report for work on Independence Day,” Baldoz said.

The following pay rules apply:

• If the employee did not work, he shall be paid 100 percent of his salary for that day (Sample computation: [Daily Rate + Cost of Living Allowance, or COLA] x 100%);

• For work done during the regular holiday, the employee shall be paid 200 percent of his/her regular salary for that day for the first eight hours [Daily Rate + COLA] x 200 percent;

• For work done in excess of eight hours (overtime work), the employee shall be paid an additional 30 percent of his hourly rate on said day [Hourly Rate of Basic Daily Wage x 200 percent x 130 percent x Number of Hours Worked];

• For work done during the regular holiday that also falls on the employee’s rest day, he shall be paid an additional 30 percent of his daily rate of 200 percent [{Daily Rate + COLA] x 200 percent] + 30 percent (Daily Rate x 200 percent)]; and

• For work done in excess of eight hours (overtime work) during the regular holiday that also falls on employee’s rest day, he shall be paid an additional 30 percent of his 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).

Any question about this release? Please get in touch with the DOLE Call Center at tel. no. (02) 527-8000, or call the nearest DOLE regional office in your area (tel. no. (082) 227-8772, 227-7165, 226-2481 for the DOLE-Davao Region); or the Bureau of Working Conditions at trunk line 527-3000, local 302.

END/ Stella P. Bañares