i HOLIDAY PAY (Article 94)

Coverage:

This benefit shall apply to all employees, except: a) Those of the government and any of the political subdivisions, including government-owned and controlled corporations. b) Those of retail and service establishments regularly employing less than ten (10) workers c) Domestic helpers and person in the personal service of another d) Managerial employees; and e) Field personnel and other employees whose time and performance in unsupervised by the employer including those who are engaged on task or contract basis, purely commission basis or those who are paid a fixed amount for performing work irrespective of the time consumed in the performance thereof.

REGULAR HOLIDAYS Every employee covered by the Holiday Pay Rule is entitled to his daily basic wage for any unworked regular holiday. This means that the employee is entitled to at least 100% of his basic wage even if he did not report for work, provided he is present or is on leave of absence with pay on the work day immediately preceding the holiday. Work performed on that day merits at least twice (200%) the basic wage of the employee. Where the holiday falls o the scheduled rest day of the employee, work performed on said day merits at least an additional 30% of the employees regular holiday rate of 200% or a total of, at least, 260%. ILLUSTRATION: Using the NCR minimum wage rate of Php223.50 per day for the non-agricultural sector effective October 31, 1999. For work within 8 hours: Plus 100% of the daily basic rate of 100% or a total of 200% Php223.50 + 100% thereof = Php223.50 + Php223.50 = Php447.00

ii or 200% of Php223.50 = 2.00 x Php223.50 = Php447.00 Where the holiday falls on the scheduled rest day of the employee, work performed on said day merits at least an additional 30% of the employees regular holiday rate of 200% or at least 260%. R.A . No. 9177 November 13, 2002 lists of eleven (11) regular holidays and two (2) special days: REGULAR HOLIDAYS
New Year's Day Maundy Thursday Good Friday Eidul Fitr Araw ng Kagitingan (Bataan and Corregidor Day) Labor Day Independence Day National Heroes Day Bonifacio Day Christmas Day Rizal Day January 1 Movable Date Movable Date Movable Date April 9 May 1 June 12 Last Sunday of August November 30 December 25 December 30

NATIONWIDE SPECIAL HOLIDAYS All Saints Day - November 1 Last Day of the Year - December 31 [NOTE: Eidul Fitr is the first day marking the end of the thirty (30)-day fasting period of Ramadhan] During special days, the principle of NO WORK, NO PAY applies, and on such other special days as may be proclaimed as such by the President or Congress. Workers who were not required or permitted to work on those days are not by law entitled to any compensation. This however, is without prejudice to any voluntary practice or provision in the Collective Bargaining Agreement (CBA) providing for payment of wages and other benefits for days declared as special days even if unworked. Upon the other hand, work performed on special days merits additional compensation of not less than 30% on top of the basic pay, or a total of 130% and at least 50% over and above the basic pay or a total of 150% if the worker is permitted or suffered to work on said day which may be his scheduled rest day.

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ABSENCES a) All covered employees shall be entitled to holiday pay when they are on leave of absence with pay. Employees who are on leave of absence without pay on the day immediately preceding a regular holiday may not be paid the required holiday pay if they have not worked on such regular holiday. Employers shall grant the same percentage of the holiday pay as the benefit granted by competent authority in the form of employees compensation or social security payment whichever is higher, if they are not reporting for work while on such benefits. Where the day immediately preceding the holiday is a non-working day in the establishment or the scheduled rest day of the employee, he shall not be deemed to be on leave of absence on that day, in which case he shall be entitled to the holiday pay if he worked on the day immediately preceding the non-working day or rest day.

b)

c)

TEMPORARY OR PERIODIC SHUTDOWN/CESSATION OF WORK In cases of temporary or periodic shutdown and temporary cessation of work of an establishment, as when a yearly inventory or when the repair or cleaning of machineries and equipment is undertaken, the regular holidays falling within the period shall be compensated in accordance with the Rules Implementing the Labor Code. HOLIDAY PAY OF CERTAIN EMPLOYEES a) Where the covered employee is paid on piece rate basis, his holiday pay shall not be less than his average daily earnings for the last seven (7) actual working days preceding the regular holiday; Provided, however, that in no case shall the holiday pay be less than the applicable statutory minimum wage rate. Seasonal workers may not be paid the required holiday pay during offseason when they are not at work. Workers who do not have regular working days, such as stevedores, shall be entitled to this benefit.

b) c)