Holidays are closely watched out for in the Philippines, especially for long weekends where families and friends can plan ahead for their long-awaited vacations and rendezvous. While such non-working days and holidays are announced ahead of time, usually in a proclamation issued by the Office of the President at the start of the year, there are special non-working days announced on shorter notice.
One example is the recent Proclamation No. 167 issued by the Office of the President on 23 February where the celebration of the EDSA People Power Revolution anniversary was moved from 25 February, a Saturday, to 24 February, a Friday, “to enable our countrymen to avail of the benefits of a longer weekend pursuant to the principle of holiday economics,” provided that the historical significance of the EDSA People Power Revolution anniversary is maintained.
The Labor Code provides the right to holiday pay of rank and file employees. Under Art. 94, a worker shall be paid his or her regular daily wage on regular holidays, except in retail and service establishments regularly employing less than 10 workers. The employer may require an employee to work on a holiday but such employee shall be paid a compensation equivalent to twice the regular rate.
An employee who works on a special working holiday is entitled only to his or her basic rate. No premium pay is required since work performed on said days is considered work on ordinary working days.
For instance, for the recent special non-working day declared for 24 February 2023, the rule is “no work, no pay.” Under Labor Advisory No. 02, Series of 2023, if the employee does not work, the no work, no pay principle applies unless there is a favorable company policy, practice, or collective bargaining agreement.
For work done on a special day, the employer shall pay the employee an additional 30 percent of the basic wage for the first eight hours of work. For work done in excess of eight hours, an additional 30 percent of the hourly rate on the said day shall be paid.
If the special day also falls on the employee’s rest day and work is rendered, the employee shall be paid an additional 50 percent of the basic wage for the first eight hours, and work in excess of that shall be compensated an additional 30 percent of the hourly rate on said date.
Note that the terms “legal or regular holiday” and “special holiday,” as used in laws, orders, rules and regulations or other issuances, shall now be referred to as “regular holiday” and “special day,” respectively. Such “holidays” include New Year’s Day, Maundy Thursday and Good Friday, among others.
On the other hand, not every worker is entitled to premium pay on holidays and special working days.
Under Art. 82 of the Labor Code, the provisions thereof on certain benefits, including holiday pay, apply to employees of all establishments and undertakings whether for profit or not, but not to government employees, managerial employees, field personnel, members of the family of the employer who are dependent on him for support, domestic helpers, persons in the personal service of another, and workers who are paid by results as determined by the Secretary of Labor in appropriate regulations.
Managerial employees refer to those whose primary duty consists of the management of the establishment in which they are employed or of a department or subdivision thereof, and to other officers or members of the managerial staff.
Field employees are non-agricultural employees who regularly perform their duties away from the principal place of business or branch office of the employer and whose actual hours of work in the field cannot be determined with reasonable certainty. An inquiry must be made as to whether or not the employee’s time and performance are constantly supervised by the employer to determine whether he or she is a field employee.
The Daily Tribune
