RESOLUTIONNO. 991305 ¢ Samuel T. Ramel, Foreign Service Institute (FSI, Department of Foreign ‘say City, requests clarification on the actual basis of computation of daily rate for serices without pay. letter dated March 10, 1999, she represented that: {FSI had been wing the-calendar days as the divisor in computing the rate for purposes of determining the amount dediectible fram salaries due to ees without pay. The computation axed was due io the premise that hich employees are paid on Saturday, Sunday and holidays, although they brequired (0 work on these days, except on cases of continuous absences, "This premise was based on the issuance of CSC MC 16 amd 16d, 5. 1991 ise an employee has nia more leave credits, teave of absence red at the start or at the enc of the week is computed as follows: (a) if ipuaus and uninterrupied includes Saturday, Sunday and holidays; (b) if -mittent, excleides Saturday, Suneay or holidays, "However, in 1998, the COA Auditor assigned to FSI disallowed the of salaries and allowances due to alleged error in the computattan of Pe without pay. The Auditor alleges shat the computation should be based on rhing days 10 be consistent with Buelget Circlar No. 10 dated 20 March Which prescribes the computation af overtime services with pay, anid CSC ENG, 32, 5, 1991 which prescribes the computation of monetization of leave bout by the disallowance by the Commission }OA) State Auditor IV, Lota B. Latido, assigned at FSI, in the payment of salaries ees due to alleged error in the computation of leave without pay. A request for defation was made and the same was denied by Auditor Latido in 9 letter dated January aa SALES PRON AC ee hol gett i Bang Penta Capa Daa 3500 Sy"The disallowances were made on the ground that undertime and ences incurred hy FSF employees were computed based on calendar days fisiend of over 22 working days as prescribed under Budget Circular Na, 10 ted March 29, 1996, a circutar issued prescribing the computation of the Diiurly rave for overtime and Civil Service Memorandum Circular No. 31 dated fr23, 1994 prescribing the computation of the monetization of leaves “As per justification for the herein request referring to CSC Meme Cir Wo, 16 ancl [6A x 1991. feaves of absence if continuous ane uninterrupted Deloces Saturdays, Sunday’ and Hotidas and if braken and intermittent excludes jurdays, Stncays and Floticiays, chus, using the calendar days computation, “There iv no question when leave of absence ix incurred on a continuous fed uninterrupted manner because se difference is minimal, But if broken and Mmitfent there would be a great difference. “The CSC Memorandum Circular 16 and 16-A refers only ont how the Wve of absence are 40 be dectucted bul not on the equivatent money value of such i is fo be computed and dedected from she salary of emplayee concerned case as cited specifically speaks of those prior ta the issuance of CSC Memo No. 3? dated July 23, 199%. CSC Mema Cir, No, 16 and 16-A were dated 26, 1991 and July 11, 190, respectively, "As provided under Budget Circelar No. 10 dated March 29, 1996 the lp rate of an emplovee for the purpose of computing overtime ix ax follows Actual Hourly Rare = Actual Salary per month 2248 "The same is ue with CSC Memorandum Circular No, 31 dated July 23 1991 prescribing the monetization of leaves. Monthiy Salary = Daily Rate 22 working days "Basie accounting principle specifically on the eompntasion of daly salary should be consistent, be it on overtime or an undertime. An employee should Wejionly one basis on the computation of his daily’ rate. It would be jadvantogeaus 10 the government to he paying overttme based! on 22 working Gis and if an employee goes on leave will be without pay fased on calendar 'Gince the Department af Budget and Management and the Civil Service Thad both prescribed the same computation of the daily rate then it would be c p tp Konsistear that we apply the same principle to both wndertime and overtime.ste noted that Section 60, Book V of the Administrative Code of 1987 (E.O. No. Bhat "(oyficers and employees in the Civil Service shall he entiled to leave of iol pay, ax may be provided by law and the rules and regulations of the viission in the interest of the service”. ued Rules on Leave of Absences (see Rule dbus Rules Implementing Book V of EO 292) which fad undergone several latest of which is Memon # No, I, serics of 1998, "Section 1. Endidlement ro Leave Privileges ~ in general, appointive als-and emplovees of the government whether permanent, temporary, or Bil, who render work during the prescribed office hours, shall be entitled to Belin vacation and 15 days sick teawe anvaually with fll pay exclusive of fires. Sundays, Public Holidavs. without limitation as to the number of days ation and sick leave that shey may accumulate”. (Underseoring supplied) be deduced from the aforequoted provision of the Rules, the grant of vacation Eve with pay does not include Saturdays, Sundays ant Public Holidays. In fine with ‘the computation of daily rate for purposes of monetization of leave credits and Rot the money value of terminal leave is based on twenty-two (22) days per month, jhumber of working days in a month and not thirty (30) days, the average number of iV monthly. Televant provisions on leave of absence without pay are Sections 33, 56, 57 and 58 ‘As to the issue at hand, Sections 33 andl 56 provide, to. wit “Section 33, Leave of Absence without pay om a day immectiately ding or succeeding Saturday, Sunday or holiday. - When an employee fess of whether he has leave credits or not is abseng on a day immettiately eoeding or succeeding a Saturday, Sunday or holiday, he shall mot be Uisidered absent on said days. However, the same proviston is applicable aaty He Intermittent ar broken absence incurred by an employee but no! 10 continuons Br ininlerrupted absences without pay exceeding a period of xeven (7) calendar xx "Section $6. Leave withaut pay, - Alt absences of an official or employee excess of his accumulated vacation or sick leave credits earned shall be Hithiowt payersy of the provision of Seetion 33 feveals that the same pertains to the ofthe numberof days of leave of absence without pay. On this pot, in the case s. Civil Service Commission, 212 SCRA 425, the Supreme Court riled as fallows: J "Phus, the law speaks of the granting of a right and the law does not Bode for « distinction between those wha have accemulated leave credits and Be ilo have exhausted their leave credits in order to enjoy such right. Ubi Wi distinguist nec nos distinguere debemus, The fact remains that goverament Iplovees, whether or nol they have aecemulated leave eredits, are not required [aw 10 work on Saturdays, Sundays and Holidays and thus they cannot be red absent on such non-working day's. They cannot be or are not considered ten! on non-working days; they cannot and should not be deprived of their i) Correspanding to said non-working dev’ just because dey were absent ott pay on the day immectiately prior to, or after satd non-working days." regard, however, to the computation of the equivalent amount of his leave without i) is deductible from the salaries of the concemed employee, the Omnibus Rules on Esilent. Hence, for the purpose of uniformity in application, the Commission clarifies Bily rate is to be computed, based on the provisions an monetization of leave exedits, Thus, by analogy, the deductible leave without pay fiom the salary of the concemed should be computed in this wise DA=DR XN DA- tible amount DR~ Daily Rate (as determines! above) N = number of working days the employee is on leave without pay9 without pay is equivalent to the proctuct ary rate and the number of absences. The daily salary rate is the result of dividing [pay by twenty two (22) working days and the quotient or result thereof the number of working days covered by his leave without pay, exclusive of Chairman DID NOT PAQTICIPATE JOSE F. BRESTAIN, JR. Commissioner Attested by: ARIE G, RONQUILLO, Director 11