MANILA, Philippines — The Department of Labor and Employment (DOLE) has issued a reminder to employers regarding the proper payment of wages for employees working on regular holidays, special non-working days, and special working days in 2025.
The guidelines were outlined in Labor Advisory No. 16, series of 2024, which was signed by DOLE Secretary Bienvenido Laguasma. This advisory follows Proclamation No. 727, Series of 2024, which sets the official list of regular holidays and special days for the year.
Regular Holiday Pay Rules
- When the employee does not work:
Workers are entitled to receive 100% of their daily wage if they report to work or are on paid leave on the day before the regular holiday. If the day before the holiday is a non-working day or the employee’s rest day, the worker is still entitled to full pay if they worked or were on paid leave on the last working day. - When the employee works on a regular holiday:
- The employee is entitled to 200% of their basic wage for hours worked on the regular holiday (basic wage x 200%).
- For overtime work, an additional 30% of the hourly rate will be paid (hourly rate x 200% x 130%).
- If the regular holiday falls on the employee’s rest day, an extra 30% will be added to the 200% pay (basic wage x 200% x 130%).
- Overtime work on a rest day that coincides with a regular holiday earns another 30% of the hourly rate (hourly rate x 200% x 130% x 130%).
Special Non-Working Day Pay Rules
- When the employee does not work:
The “no work, no pay” principle applies, unless there is a company policy, practice, or collective bargaining agreement (CBA) that grants compensation for special non-working days. - When the employee works on a special non-working day:
- The employer must pay an additional 30% of the basic wage for the first eight hours worked (basic wage x 130%).
- For overtime, the employee will receive an additional 30% of the hourly rate (hourly rate x 130% x 130%).
- If the special non-working day is also the employee’s rest day, the employee is entitled to an extra 50% for the first eight hours (basic wage x 150%).
- Overtime on such days will be paid with an additional 30% of the hourly rate (hourly rate x 150% x 130%).
Special Working Day Pay Rules
Special working days are treated as regular working days for wage purposes.
- When the employee does not work:
The “no work, no pay” rule applies unless there is an agreement that grants compensation. - When the employee works on a special working day:
- For the first eight hours, the employee will receive 100% of their basic wage (basic wage x 100%).
- For overtime, the employee will receive an additional 25% of the hourly rate (hourly rate x 125%).
Compliance and Reminder to Employers
DOLE emphasized the importance of following these wage rules to ensure fair treatment and avoid disputes. Employers are encouraged to review these guidelines and apply them correctly for all holidays and special days throughout 2025.
