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Double pay for workers working on Independence Day

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Labor Secretary Rosalinda Baldoz

On the occasion of the 118th celebration of Philippine Independence, Labor Secretary Rosalinda Dimapilis-Baldoz has reminded private sector employers on the applicable pay rules for workers on 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.

 

Baldoz issued Labor Advisory No. 06, Series of 2016 to guide employers on the proper pay rules for 12 June.

 

The labor advisory in compliance with Sec. 3 of Proclamation 1105, Series of 2015 signed by President Benigno S. Aquino III  on 20 August 2015 which declared the regular holidays, special (non-working) days and special holiday (for all schools) for the year 2015, in accordance with existing laws.

 

“I urge all private sector employers to observe voluntary compliance with general 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: [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). (JCA)

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