Sep 19, 2020

Employers told to observe pay rules on ‘Ninoy Aquino Day’

The advisory also stated that if a company has existing policies that exempts its workers from this scheme, they must observe the said advisory.

The Department of Labor and Employment (DOLE) is urging employers to observe pay rules for Ninoy Aquino Day on August 21.

According to DOLE Labor Advisory No. 27 series of 2020 issued August 19, a “no work, no pay” scheme will be applied if the employee will not report for work on August 21, a special non-working holiday.

The advisory also stated that if a company has existing policies that exempts its workers from this scheme, they must observe the said advisory.

“If the employee did 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 special day,” the advisory stated.

A worker who reports for work on a special non-working holiday shall be paid an additional 30 percent of the basic wage on the first eight hours of work, or computed as [(Basic wage x 130%) + Cost of Living Allowance or COLA].

If the work exceeds eight hours or results in overtime work, the employee shall be paid an additional 30 percent of their hourly rate on the said day or computed as (Hourly rate of the basic wage x 130% x 130% number of hours worked).

“For work done during a special holiday that also falls on his/her rest day, he/she shall be paid an additional 50 % of his/her basic wage on the first eight hours of the work [( Basic wage x 150%) + COLA],” the advisory stated.

For work hours exceeding eight hours, or overtime work, during a special day that also falls on the employee’s rest day, an additional 30 percent of the hourly rate shall be paid. It will be computed as (Hourly rate of the basic wage x 150 % x 130% number of hours worked).

August 21 is a special non-working holiday by virtue of Proclamation No. 845, signed on November 15, 2019, by President Rodrigo Duterte.

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