OVERTIME PAY
 is the additional pay rate paid for working
more than a specific number of hours
OTP = hourly rate x OT hours
ORDINARY WORKDAY
 The hourly rate for those who will be asked
to work on an ordinary workday is increased
by 25%
OW = hourly rate x 1.25 x OT hours
1. Ellena works for her aunt 8 hours a day for
P57.00 / hour. She was asked by her aunt to
stay for 4 hours more for they need
manpower. How much overtime pay (OTP)
shall be added to her regular pay? How
much did she earn that day?
2. Joey works as an electrician in an airline
company. He is a regular employee who is
paid everyday at a rate of P70 per hour. He
was asked to render overtime work for 5
hours on an ordinary workday. How much is
his overtime pay OTP?
HOLIDAY PAY
 is the payment of the regular daily wage for
any unworked holiday.
2 Different kinds of HOLIDAY
Note: The hourly rate for those who will be asked to
work on their rest day is increased by 30%.
1.Regular Holiday
 Holiday with fixed date such as New Year’s
Day, Independence Day and Christmas Day.
The only exceptions are National Heroes
Day and the religious holidays of Maundy
Thursday and Good Friday.
OTP = hourly rate x 1.3 x OT hours
Holiday Pay for Employees Who Didn’t Work
 If you didn’t report for work on a regular
holiday, you’ll still receive your full salary
for that day. You shouldn’t be deducted for
work that isn’t performed on a holiday.
Holiday Pay for Employees Who Worked for 8
Hours
 If you reported for work on a regular
holiday, you should be paid double your
salary for the first eight hours worked.
3. Compute the holiday pay of an employee
who has a daily rate of PHP 5000.
Regular holiday pay with overtime work
 If an employee works on a regular holiday
with overtime work, his/her wage will be
doubled and will have an additional of 30%
of his/her hourly rate.
 OTP = hourly rate x 1.3 x 2 x OT hours
 4. A father’s daily wage PHP 560. He was asked
on Independence Day and extend f0r 5
hours more. How much is his overtime pay?
6. Christian is a businessman. He has a daily
wage of PHP1,500. Due to high customer
demand, he has to sell on a regular holiday,
which also happens to be his rest day. It has
been 8 hours and customers are still
coming, so he decided to extend his
operating hours for 3 more hours. How
much is his overtime pay?

Holiday Pay for Employees Who Worked for 8

Hours During Their Rest Day

 If you worked during a regular holiday that

also falls on your rest day, you must receive
30% of your 200% salary in addition to
200% of your salary.
 OTP = 200% daily rate x 1.3

5. Compute the holiday rest pay of an

employee who has a daily rate of PHP 1000.

2. Special Holidays / Special Non-Working Holiday

 have more flexible days. Congress can enact
them or declared by the president.
\
Computation of holiday pay on Regular and
Special Days.
OTP = hourly rate x 1.3 x OT hours

Holiday Pay for Employees Who Didn’t Work

Holiday Pay for Employees Who Worked
Overtime During Their Rest Day
 If you worked for more than eight hours on
a regular holiday (which is also your rest
day), you’ll get paid an additional 30% of
your hourly rate.
 OTP = hourly rate x 1.3 x 1.3 x 2 x OT
hours
 The no work, no pay rule applies when you
don’t report for work on a special non-
working day, unless your employer has a
policy or collective bargaining agreement
(CBA) that requires payment on such a
holiday.
Holiday Pay for Employees Who Worked for 8
Hours
 If you work during a special non-working
day, you must receive an additional 30% of
your basic wage on the first eight hours
worked.
 OTP = daily rate + 1.3
7. Today is a Chinese New Year, however Pam
has to work. Her overtime pay is PHP 254,
how much is her hourly rate?
Pay for work performed on a special non-
working day with overtime
 OTP = daily rate x 1.3 x 1.3 x OT hours
8. Pam decided to work for 2 hours more to
finish all her tasks. How much is her
overtime pay?
Holiday Pay for Employees Who Worked for 8
Hours on Their Rest Day
 If you worked on a special non-working day
that also falls on your rest day, you’ll get an
additional 50% of your basic wage for the
first eight hours.
 OTP = daily rate x 1.5
Computation of Holiday Pay for Employees Who
Worked Overtime on Their Rest Day
 If you worked overtime on a special non-
working day (which is also your rest day),
you’ll get paid an additional 30% of your
hourly rate.
 OTP = daily rate x 1.5 x 1.3 x OT hours
9. Mr. Salazar is the CEO of the fast-rising
company in the country. His overtime pay if
he works 15 hours on a special non-working
holiday which is also his rest day is P135,990.
How much is his daily rate?
10. Mang Edu chooses to work during his

OT rate
Ordinary Workday 25%

Special Holiday 30%

Rest Day 30%
Regular Holiday 100%