The Department of Labor and Employment (DOLE) issued an advisory on Friday to guide employers and employees on the proper computation of compensation for the August 21 and 26 holidays.
Labor secretary Bienvenido Laguesma said August 21 or Ninoy Aquino Day, is a non-working holiday with the following payment computation:
If the employee does not 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 particular day;
For work done during the special day, the employer shall pay the employee an additional 30% of the basic wage on the first eight hours of work.
For work done over eight hours, the employer shall pay the employee an additional 30% of the hourly rate on said day.
For work done during the special day that also falls on the employee's rest day, the employer shall pay the employee an additional 50% of the basic wage on the first eight hours.
For work done more than eight hours during the special day that also falls on the employee's rest day, the employer shall pay the employee an additional 30% of the hourly rate.
Meanwhile, August 21, or National Heroes Day, is a regular holiday, thus entitling employees who will report for work to get double pay compensation. The computations are as follows:
If the employee does not work, the employer shall pay 100% of the employee's wage for that day, provided that the employee reports to work or is on leave of absence with pay on the day immediately preceding the regular holiday. Where the day immediately preceding the regular holiday is a non-working day in the establishment or the scheduled rest day of the employee, he or she shall be entitled to holiday pay if the employee reports to work or is on leave of absence with pay on the day immediately preceding the non-working day or rest day.
For work done during the regular holiday, the employer shall pay 200% of the employee's wage for that day for the first eight hours.
For work done over eight hours, the employer shall pay the employee an additional 30% of the hourly rate on said day.
For work done during a regular holiday that also falls on the employee's rest day, the employer shall pay the employee an additional 30% on top of the basic wage of 200%
For work done more than eight hours during a regular holiday that also falls on the employee's rest day, the employer shall pay the employee an additional 30% of the hourly rate.
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