Press Releases
Double pay on Independence Day

As the country commemorates the 122nd Philippine Independence day, workers who will render duties on the regular holiday should get paid twice their regular daily wages, the labor department reminded employers.

The double pay scheme is prescribed in Labor Advisory No. 22, series of 2020 issued by Labor Secretary Silvestre Bello III.

In line with this, employers are required to observe the following pay rules for a regular holiday:

If the employee did not work, he/she shall be paid 100% of his/her salary for days indicated [(basic wage + cost of living allowance) x 100%], while for work done during the regular holiday, the employee shall be paid 200% of his/her regular salary for the first eight hours [(basic wage + COLA) x 200%].

For overtime work (work done in excess of eight hours), he/she shall be paid an additional 30% of his/her hourly rate [Hourly rate of the basic wage x 200% x 130% x number of hours worked].

If an employee works on a regular holiday that also falls on his/her rest day, he/she shall be paid an additional 30% of his/her basic wage of 200% [(basic wage + COLA) x 200%] + [30% (basic wage x 200%)].

For overtime work on a regular holiday that also falls on his/her rest day, he/she shall be paid an additional 30% of his/her hourly rate on the said day [Hourly rate of the basic wage x 200% x 130% x 130% x number of hours worked].

In addition, the same advisory, however, allows some companies to defer the payment of the holiday pay until such time that the national health emergency is abated and normal business operations are resumed.

Those establishments that have totally closed or ceased operations during the community quarantine period are exempted from the payment of the holiday pay under the Labor Advisory No. 20, series of 2020.

END/DOLE-IPS

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2020-06-11
Dir.Exequiel Guzman
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