At the DOLE’s 2014 Year-end Press Conference yesterday, one of the important subjects that Labor and Employment Secretary Rosalinda Dimapilis-Baldoz was the issue on holiday pay, December being a month of holiday makers.

“I once again reminded private sector employers to observe the proper pay rules, as well as occupational safety standards, for the Christmas and New Year holidays,” she declared.

“Our employers should share the blessing and joy of the season and, in the interest of our workers’ welfare and protection, pay them correctly during the holidays.  I urge all employers to pursue labor standards-based excellence by observing the pay rules and other core labor and occupational safety and health standards during the holidays,” said Baldoz.

Relative to this, Baldoz had issued Labor Advisory No. 16, Series of 2014, citing Proclamation Nos. 655 and 831 that President Benigno Aquino III signed on 25 September 2013 and 17 July 2014 covering the special non-working days on 24, 26, and 31 December 2014 and 2 January 2015 and regular holidays on December 25 and  30, and 1 January 2015.

Labor Advisory No. 16, issued on 18 November 2014, specify the following pay rules that shall apply for the regular holidays on December 25 and 30 and 1 January 2015:

• If the employee did not work, he or she shall be paid 100 percent of his or her salary for that day ([Daily Rate + COLA] x 100 percent);

• If the employee worked, 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);

• 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)];

• 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).

The advisory also specify the following pay rules that shall apply on 24, 26, and 31 December 2014, and 2 January 2015:

• If the employee did not work, the “no-work, no-pay” principle shall apply, unless there is a favourable company policy, practice, or collective bargaining agreement (CBA) granting payment on a special day;

• If the employee worked, he or she shall be paid an additional 30 percent of his or her daily rate on the first eight hours of work [(daily rate x 130 percent) + COLA];

• If the employee worked in excess of 8 hours (overtime work), he or she shall be paid an additional 30 percent of his

End/letmaring

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