Gov’t Issues Pay Rules for Long Holiday

The government today reiterated the pay rules for the regular holidays on December 25 (Christmas Day), December 30, 2008 (Rizal Day) and January 1, 2009 (New Year’s Day), as well as the special non-working days on December 26, December 29, and December 31, 2008 (Last Day of the Year).

Labor and Employment Secretary Marianito D. Roque said that based on Proclamation No. 1463 issued by President Arroyo on February 18 this year, she declared December 26 (Friday) and 29, 2008 (Monday) additional special (non-working) days throughout the country, “in order to enable our countrymen to have a more meaningful observance of Christmas and New Year, to strengthen their ties with one another.”

At the same time, Roque said that the President, in her Proclamation, maintained that Christmas Day on December 25 (Thursday), and Rizal Day on December 30, 2008 (Tuesday) are regular holidays.

Furthermore, the Labor Chief said, New Year’s Day on January 1, 2009 (a Thursday), by virtue of law, remains a regular holiday nationwide.

Roque, in a Labor Advisory consistent with the President’s directive to the DOLE to promulgate the implementing guidelines for Presidential Proclamation No. 1463, said that pursuant to the provisions of the country’s Labor Code, as amended, the rules for pay on the said regular holidays and special non-working days shall apply as follows:

A. For the regular holidays on December 25 (Christmas Day) and December 30, 2008 (Rizal Day), and January 1, 2009 (New Year’s Day):

1. If it is the employee’s regular workday:

¨ If worked, [the employee] is entitled to 200% of his [or her] basic wage for the first eight (8) hours and, for work in excess of the 8 hours, an additional 30% of his hourly rate on the said day;
¨ If unworked, he is entitled to 100% of his daily rate, provided he was present or was on leave with pay on the workday immediately preceding the holiday.

2. If it is the employee’s rest day:

¨ If worked, he is entitled, for the first 8 hours, to 200% of his daily rate plus 30% and, for work in excess of 8 hours, plus 30% of his hourly rate on the said day;
¨ If unworked, he is entitled to 100% of his daily rate, provided he was present or was on leave with pay on the workday immediately preceding the holiday.

3. Where the day immediately preceding the holiday is a non-work day in the establishment or the scheduled rest day of the employee, he shall not be deemed on leave of absence on that day, in which case he shall be entitled to the holiday pay.

B. For the special (non-working) days on December 26 and 29, and December 31, 2008 (Last Day of the Year):

1. If worked, the employee is entitled to 130% of his [or her] daily rate for the first 8
hours, and to additional 30% of his hourly rate on said day for work performed in
excess of 8 hours;

2. If unworked, he is not entitled to any payment, unless there is a favorable company policy, practice or collective bargaining agreement (CBA) granting payment for special days even if not worked;

3. If worked and falling on the employee’s rest day, the employee is entitled for the first 8 hours to 150% of his regular daily rate, and for work performed in excess of 8 hours, plus 30% of his hourly rate on the said day.

Any clarifications regarding the holiday pay rules may be made with the DOLE’s Bureau of Working Conditions (BWC) at tel. nos. 920-2381 and/or 920-2482.