DOLE reminds employers about Labor Day pay rules

An April 27, 2013, press release from the Department of Labor and Employment

As the nation prepares to commemorate Labor Day on May 1, Secretary of Labor and Employment Rosalinda Dimapilis-Baldoz reminded yesterday all employers in the private sector to bear at heart the welfare and protection of Filipino workers not only on May 1, but every day, by paying them the correct wages and benefits.

“The law mandates May 1 as a regular holiday in honor of all Filipino workers. It is but right to observe the pay rules and other general labor standards on this day,” Secretary Baldoz said.

May 1, 2013, Wednesday, was affirmed by President Benigno S. Aquino III as a regular holiday all over the country by virtue of Proclamation No. 459, issued on August 16, 2012, “Declaring the Regular Holidays, Special (Non-Working Days), and Special Holiday (for all Schools) for the year 2013″.

Baldoz said this year’s Labor Day celebration is the 111th in Philippine history and is commemorated in honor of all Filipino workers on the theme,Manggagawang Pilipino: Handa sa Hamon ng Makabagong Panahon.”

Earlier, the labor and employment chief had issued Labor Advisory No. 06, series of 2012, promulgating the implementing guidelines, specifically on the pay rules, that shall apply as mandated by Proclamation No. 459 on the Payment of Wages for the Regular Holidays, Special (Non-working) Days, and Special Holiday (for all schools) for the Year 2013.

The correct pay rules to observe are as follows:

• If the holiday falls on an employee’s regular workday

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

• If the day is the employee’s rest day

If the day is the employee’s rest day and the day is worked, he is entitled to 260 percent of his daily rate on the first eight (8) hours, plus 30 percent for work in excess of eight hours on the said day. If un-worked, the employee is entitled to only 100 percent of his regular rate, provided he was present, or was on leave with pay, on the workday immediately preceding the holiday.

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

Any question on this release? Get in touch with the DOLE Call Center at tel. no. 527-8000; You may also call the nearest DOLE regional office in your region (tel. no. 400-62-42 for the DOLE-National Capital Region), or the Bureau of Working Conditions at trunk line 527-3000, local 302.

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Infographic: The difference between regular holidays and special non-working days

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dole.gov.ph