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Philippine General Labor Standards

Philippine General Labor Standards

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Published by deckm10
Philippine General Labor Standards
Philippine General Labor Standards

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Categories:Types, Letters
Published by: deckm10 on Apr 08, 2010
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General Labor Standards2009-12-03+ Larger Font|- Smaller Font
What You Need To Know
For more information on the minimum wage rate per Region, please visitNational Wages and Productivity Commissionwebsite to view wage orders per region.
Minimum Wage
The current daily minimum wage for employees in the National Capital Region(NCR) is PhP382.00, per Wage Order No. NCR-14 granting a wage increase of PhP20.00 per day effective 28 August 2008.
Premium Pay
Premium Pay refers to the additional compensation required by law for workperformed within eight (8) hours on non-working days, such as rest days andspecial days.
Special Days (e.g. Special (Non-Working) Holiday)
Special DaysDuring special days, the principle of "no work, no pay" applies and on such other special days as may be proclaimed by the President or by the Congress.Workers who were not required or permitted to work on those days are not bylaw entitled to any compensation. This, however, is without prejudice to anyvoluntary practice or provision in the Collective Bargaining Agreement (CBA)providing for payment of wages and other benefits for days declared as specialdays even if unworked.Executive Order No. 203 as amended by Republic Act No. 9492 lists downthree (3) special days that shall be observed in the country:
Ninoy Aquino Day Monday Nearest Aug. 21
All Saint's Day November 1
Last day of the year December 31
Holiday Pay
Holiday Pay refers to the payment of the regular daily wage for any unworkedregular holidays.Regular HolidaysEvery employee covered by the holiday pay rule is entitled to his daily basicwage for any unworked regular holiday. This means that the employee is entitledto at least 100% of his basic wage even if he did not report for work, provided heis present or is on leave of absence with pay on the work day immediatelypreceding the holiday.Under Executive Order No. 203, as amended by RA 9492, there are eleven(11) regular holidays, namely:
New Year's Day January 1
Maunday Thursday Movable dates
Good Friday Movable dates
Araw ng Kagitingan April 9
Labor Day May 1
Bonifacio Day November 30
Independence Day June 12
National Heroes Day last Sunday of August
Christmas Day December 25
Rizal Day December 30
E'dl Fi'tr Movable dates
Overtime Pay
Overtime Pay refers to the additional for work performed beyond eight (8) hoursa day.
Night Shift Differential
Night Shift Differential refers to the additional compensation of ten percent (10%)of an employee's regular wage for each hour of work performed between10:00PM and 6:00AM.
Computation of Wages
Computation of wages is governed by the following rules:Computing Overtime:On Ordinary DaysPlus 25% of the hourly rate multiplied by the number of hours.On a rest day, special day or regular holidayPlus 30% of the hourly rate on said days multiplied by the number of hours.Computing pay for work done on:A special day (130% x basic pay)A special day, which is also a scheduled rest day (150% x basic pay)A regular holiday (200% x basic pay)A regular holiday, which is also a scheduled rest day (260% x basic pay)Computing Night Shift Premium Where Night Shift is a Regular Work:On Ordinary day (110% x basic hourly rate)On a rest day, special day, regular holiday (110% of regular hourly rate for arest day, special day, regular holiday)Computing Overtime on Night Shift:On ordinary day (110% x overtime hourly rate)On rest day, special day or regular holiday (110% x overtime hourly rate for rest days, special days, regular holidays)Computing 13th Month Pay:Total basic salary earned for the year exclusive of allowances, overtime,holiday, and night shift differential pay divided by 12 months = 13th month pay.
Service Incentive Leave
Every employee who has rendered at least one (1) year of service is entitled to ayearly service incentive leave of five (5) days with pay.This benefit does not apply to the following:* government employees* domestic helpers and persons in the personal service of another * managerial employees* field personnel and those whose time and performance is unsupervised bythe employer * those already enjoying this benefits* those enjoying vacation leave with pay of at least five (5) days* those employed in establishments regularly employing less than ten (10)employees

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