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ART.

87 OVERTIME
WORK
REPORTER: LEAH ESPEJO
Work may be performed beyond eight (8) hours a
day provided that the employee is paid for the
ART. 87 overtime work, an additional compensation
OVERTIME equivalent to his regular wage plus at least twenty-
WORK five percent (25%) thereof. Work performed
beyond eight hours on a holiday or rest day shall
be paid an additional compensation equivalent to
the rate of the first eight hours on a holiday or rest
day plus at least thirty percent (30%) thereof.
CONDITIONS:

1. ORDINARY DAY
2. REST DAY OR SPECIAL DAY
3. REST DAY FALLING ON SPECIAL DAY
4. REGULAR HOLIDAY
5. REST DAY FALLING ON A REGULAR HOLIDAY
ORDINARY DAY

Overtime rate on an ordinary day is equal to the


regular hourly rate multiplied by 125%

OT Rate=125%*Hourly Rate*No.of overtime hours


worked
ORDINARY DAY

Example:
Michael works 8 hours a day as an office staff. His daily wage is ₱ 537 (Manila Rate). His employer told them that
they can render a maximum of 4 hours a day as an overtime work. On one Monday, Michael decided to work for 11
hours. How much was his wage for that day?
Hourly Rate- P537/8= P67.125
O.P. = 1.25x 67.125 x 3
O.P. = P251.718
P537 + P251.72 = P788. 72
REST DAY OR SPECIAL DAY
(FOR THE FIRST 8 HOURS)

If an employee works on his rest day or on a


special day, the rate will be a regular hourly
rate multiplied by 130%.
Rest Day Rate=Regular Hourly Rate X 130%
O.P. = 130% x Hourly Rate x No. of
overtimes worked
O.P. = 1.30 x 67.125 x 8
O.P. = P698.10
REST DAY OR SPECIAL DAY
(IN EXCESS OF THE FIRST 8 HOURS)
O.P. = 169% x Hourly Rate x No. of Hours Worked
=1.69 x 67.125 x 4
= P453. 77
P453.77
+ P698.10
___________

P1,151.77
Nothing in this world is handed to you.
You have to go out and get it. Nobody
said it would be easy but hardwork
always pays off.
Thank you!

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