Computation of Holiday Pay of employees in the Philippines
Did not work on Regular Holiday = Daily rate + COLA *COLA = Cost of living allowance
Did not work on Special Holiday = “No Work, No Pay” **unless there is a favorable company policy, practice, or collective bargaining agreement (CBA) granting payment of wages on special days even if unworked.
Worked on Regular Holiday = (Daily rate + COLA) x 2
Worked on Special Holiday = Daily rate x 1.3
Worked on Regular Holiday and at the same time Rest Day = [(Daily rate + COLA) x 2] + [(Daily rate x2] x .30]
Worked on Special Holiday and at the same time Rest Day = Daily rate x 1.5
Worked overtime on Regular Holiday = [(Daily rate + COLA) x 2] + (Hourly rate x No. of Excess Hours x 2.6)
Worked overtime on Special Holiday = (Daily Rate x 1.3) + (Hourly rate x No. of Excess Hours x 1.69)
Worked overtime on Regular Holiday at the same time rest day = [(Daily rate + COLA) x 2] + [(Daily rate x .30) x 2] + (Hourly rate x No. of Excess Hours x 2.6)
Worked overtime on Special Holiday at the same time rest day = (Daily rate x 1.5) + (Hourly rate x No. of Excess Hours x 1.95)
who is entitled for the holiday pay? is it only the regular employee?
Hi Mary,
Thank you for stopping by! Holiday pay does not only apply to regular employees but to give you an idea, here is the list of where this kind of benefit does not apply to:
1. Government employees
2. Those of retail and service establishments regularly employing less than ten (10) workers;
3. Househelpers and persons in the personal service of another;
4. Managerial employees provided they meet the conditions under the Labor Code
5. Officers or members of a managerial staff provided they meet the conditions under the Labor Code
6. Field personnel and other employees whose time and performance are 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.
Hi!
What if regular holiday falls on sunday like january 1 and april 9 is monthly paid employee will entitled on additional payment
Hi Honey,
If the employee does not report for work on those given days, he/she is considered paid. If he/she reports for work on those days, he/she will be receiving premium payment.
WHAT IS THE COMPUTATION OF SALARY IF REGULAR HOLIDAY FALLS ON SUNDAY AND REST DAY? THANK YOU.
You may refer on Art. 93 Compensation for rest day, Sunday or holiday work.
1. Where an employee is made or permitted to work on his scheduled rest day, he shall be paid an additional compensation of at least thirty percent (30%) of his regular wage. An employee shall be entitled to such additional compensation for work performed on Sunday only when it is his established rest day.
2. When the nature of the work of the employee is such that he has no regular workdays and no regular rest days can be scheduled, he shall be paid an additional compensation of at least thirty percent (30%) of his regular wage for work performed on Sundays and holidays.
3. Work performed on any special holiday shall be paid an additional compensation of at least thirty percent (30%) of the regular wage of the employee. Where such holiday work falls on the employee’s scheduled rest day, he shall be entitled to an additional compensation of at least fifty per cent (50%) of his regular wage.
4. Where the collective bargaining agreement or other applicable employment contract stipulates the payment of a higher premium pay than that prescribed under this Article, the employer shall pay such higher rate.
MWE employee was asked to report for halfday work on a legal holiday. what should be his take home pay for the day given his 491/day rate.
Hi Jane,
hourly rate x number of hours work x 200%
Meaning the take home payment of MWE who is required to report for halfday work on a legal holiday is P491only (P61.375*4hrs*200% )?If No, Please illustrate the computation for the scenario above.Thank you.
Hi Jo,
The formula that you used for computation is correct.
Your website has been very useful. Kudos!
Hi, just want to ask like tomorrow is holiday. How to compute the holiday pay? Thanks.
Hi Jennifer,
You may refer to these computations:
Did not work on Regular Holiday = Daily rate + COLA *COLA = Cost of living allowance
If worked on Regular Holiday = (Daily rate + COLA) x 2
Awesome Site. Really enjoyed reading.