Private sector workers who will work during the declared holidays this February are set to receive higher pays, Labor Secretary Silvestre H. Bello III said.
This after the labor department issued Labor Advisory No. 2, series of 2021 which prescribes the proper payment of wages for the declared Special (Non-Working) Days on February 12 in line with the celebration of the Chinese New Year and on the 25th which is the commemoration of the anniversary of the EDSA People Power Revolution.
It can be noted that President Rodrigo Duterte has issued Proclamation No. 986 on July 30, 2020, which sets February 12 and 25, 2021 as special non-working holidays.
Bello reminded that employees who will report to work on the said holidays shall be paid an additional 30 percent of their basic wage in the first eight hours. Their basic wage shall be multiplied by 130 percent plus COLA.
However, if employees did not work, the “no work, no pay” principle shall apply unless there is a favorable company policy, practice, or a collective bargaining agreement (CBA) granting payment on a special day.
If the workers had rendered their duty in excess of eight hours, they will be paid an additional 30 percent on their hourly rate.
While for work done during a special day that also falls on the workers’ rest day, they shall be paid an additional 50 percent of their basic wage on the first eight hours of work, and if done in excess of eight hours (overtime work), they shall be paid an additional 30 percent of their hourly rate.
Thus, the computation will be ‘hourly rate of the basic wage x 150 percent x 130 percent x number of hours worked.