Baldoz To Employers: Follow Pay Rules For Chinese New Year, Special Non-Working Holiday

Labor and Employment Secretary Rosalinda Dimapilis-Baldoz has urged employers in the private sector to follow the pay rules for 8 February, the Chinese New Year, which Malacañang had declared as a special non-working holiday.

On 20 August 2015, President Benigno S. Aquino III declared 8 February, Chinese New Year, as a special non-working holiday Under Proclamation No. 1105, Series of 2015, “Declaring the Regular Holidays, Special Non-Working Days for the Year 2016”.

“As we join the Filipino-Chinese community in celebrating the Spring Festival, popularly known as Chinese New Year, we must also observe the proper pay rules on this day for our workers in the private sector,” Secretary Baldoz said.

“Promoting workers’ welfare and protection by observing the proper pay rules and other core labor standards will encourage productive and efficient workers. Compliance is good for business. It is good for the workers. It is good for all,” she added.

The proper pay rules to be observed for the special non-working holiday are as follows:

— 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 this special non-working day. If the employee worked, he/she shall be paid an additional 30 percent of his/her daily rate on the first eight hours of work. Computation: [(Daily rate x 130%) + COLA).

— If the employee worked in excess of eight hours (overtime work), he/she shall be paid an additional 30 percent of his/her hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 130% x 130% x number of hours worked).

— If the employee worked during a special day that also falls on his/her rest day, he/she shall be paid an additional fifty percent of his/her daily rate on the first eight hours of work. Computation: [(Daily rate x 150%) + COLA].

— If the employee worked in excess of eight hours (overtime work) during a special day that also falls on his/her rest day, he/she shall be paid an additional 30 percent of his/her hourly rate on said day. Computation: (Hourly rate of the basic daily wage x 150% x 130% x number of hours worked). (PNA) FPV/DOLE/SSC