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DOLE: Firms may defer payment of Eid’l Fitr holiday pay


The Department of Labor and Employment (DOLE) on Friday reminded private sector employers of pay rules during the Eid’l Fitr national holiday.

The government, however, gave companies the choice to defer the payment of such.

In an advisory, the DOLE said it recognizes the existence of a national health emergency arising from the COVID-19 crisis.

With this, employers are allowed to defer payment of the holiday pay on May 25, 2020, until such time that the national health emergency has been abated and normal business operations are resumed.

“Establishments that have totally closed or ceased operations during the community quarantine periods are exempted from the payment of the holiday pay,” the DOLE said.

The Feast of Ramadhan or Eid’l Fitr on May 25 is declared a regular holiday throughout the country pursuant to Proclamation No. 944, issued by President Rodrigo Duterte on May 19, 2020.

The DOLE said employees in the private sector who will work on May 25 will get 200% of their basic salary, the labor department said in an advisory released this week.

“Those who worked shall be paid 200% of their regular salary for the first eight hours, and if they worked overtime, they shall be paid an additional 30% of their hourly rate,” the Labor advisory said.

Moreover, employees who did not work on the said holiday shall be paid 100% of their salary ([Basic wage + COLA] x 100%)].

Those who worked shall be paid 200% of their regular salary for the first eight hours ([Basic wage + COLA] x 200%).

For work done in excess of eight hours, workers shall be paid an additional 30% of their hourly rate (hourly rate of the basic wage x 200 percent x 130% x number of hours worked).

Moreover, those who worked on a regular holiday that also fell on their rest day shall be paid an additional 30% of their basic wage of 200 percent [(Basic wage + COLA) x 200 percent] + [30% (Basic wage x 200 percent)].

In addition, workers who rendered overtime work on a regular holiday that also fell on their rest day shall be paid an additional 30% of their hourly rate on said day (hourly rate of the basic wage x 200% x 130% x 130 percent x number of hours worked). -NB, GMA News