Guidelines for Payment of Wages for the Upcoming Holidays
Advisories were issued by the Department of Labor and Employment (DOLE) regarding the payment of the Thirteenth month pay and wages for a Special Non-Working Day (November 1, 2021), Special (Working) Day on November 2, and a Regular Holiday (November 30, 2021) (Labor Advisory No. 19-21).
Labor Advisory No. 18-21 was issued by the DOLE providing for the guidelines on the payment of the Thirteenth month pay of employees. The advisory provides that rank-and-file employees in the private sector shall be entitled to 13th month pay provided they have worked for at least one (1) month during the calendar year. Such amount of the 13th month pay shall not be less than one-twelfth (1/12) of the total basic salary earned by an employee within a calendar year. Payment for such 13th month shall be made on or before December 24, 2021 and no request or application for exemption or deferment from payment of the same shall be accepted. A report of compliance with the payment of the 13th month pay must be made through the DOLE Establishment Report System no later than January 15 of the following year.
For further reading of the advisory, a copy of the same may be read here.
Labor Advisory No. 19-21 was issued by the DOLE providing for the guidelines on the payment of wages for the Special (Non-Working) Day on November 1, Special (Working) Day on November 2, and Regular Holiday on November 30, 2021. Guidelines for the payment of wages for the various days are as follows:
For the Special (Non-Working) Day on November 1, 2021:
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 the payment on a special day. However, the required additional payments shall be given to the employee should they render work during the special day.
For the Special (Working) Day on November 2, 2021:
For work performed on a declared Special Working Day, an employee is entitled only to his/her daily wage. No premium pay is required since work performed on said day is considered work on an ordinary working day.
For the Regular Holiday on November 30, 2021:
If the employee did not work, they shall be paid 100% of his/her wage for that day. If the employee renders work during the regular holiday, the employee shall be paid a total of 200% of their wage for that day for the first eight hours.
Further guidelines on computation for the various days may be seen here.