DOLE Reminds Employers To Observe Higher Holiday Pay This Chinese New Year

DOLE Reminds Employers To Observe Higher Holiday Pay This Chinese New Year

Chinese New Year will be on January 25 this year which falls on a Saturday, and the Department of Labor and Employment (DOLE) is reminding employers to observe appropriate holiday pay to their workers.

Secretary Silvestre Bello released an advisory on Monday that states:

If the employee did not work, the ‘no work, no pay’ principle shall apply unless there is favorable company policy, practice or collective bargaining agreement (CBA) granting payment on a special day.

Employees who have a regular shift on that day will get full pa, their cost-of-living adjustment or allowance (COLA), and an additional 30% of their basic pay. Overtime hours will add another 30% of the basic pay 

Meanwhile, for employees whose rest day falls on Chinese New Year but reports to work, they will get 50% additional pay, plus COLA. Meanwhile, overtime pay rate remains at 30% of the basic pay. 

The Chinese New Year this year will be the first special non-working holiday for 2020, based on the Proclamation 845 issued by President Rodrigo Duterte in November 2019. In a nutshell, here’s a quick rundown of how your salary for that day will be computed:

Special non-working holiday rate for the first eight hours:

  • [(Basic wage x 130%) + COLA]

Special non-working holiday rate for an excess of eight hours:

  • (Hourly rate of the basic wage x 130% x 130% x number of hours worked)

Rest day AND special non-working holiday rate for the first eight hours:

  • [(Basic wage x 150%) + COLA]

Rest day AND special non-working holiday rate for an excess of eight hours:

  • (Hourly rate of the basic wage x 150% x 130% x number of hours worked)

 

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