The Department of Labor and Employment (DOLE) has released the following advisory:

Labor Advisory No. 13, Series of 2021

Payment of Wages for the Regular Holiday on July 20, 2021 in Observance of Eid’l Adha (Feast of Sacrifice)

Pursuant to Proclamation No. 1189 issued by President Rodrigo Roa Duterte on July 15, 2021, the following rules for pay on regular holidays shall apply on July 20, 2021:

  1. If the employee did not work, he/she shall be paid 100% of his/her wage for that day, subject to certain requirements under the implementing rules and regulations of the Labor Code, as amended [(Basic wage + COLA) x 100%];
  2. For work done during the regular holiday, the employee shall be paid a total of 200% of his/her wage for that day for the first eight hours [(Basic wage + COLA) x 200%];
  3. For work done in excess of eight hours (overtime work), he/she shall be paid an additional 30% of his/her hourly rate on said day [Hourly rate of the basic wage x 200% x 130% x number of hours worked];
  4. For work done during a regular holiday that also falls on his/her rest day, he/she shall be paid an additional 30% of his/her basic wage of 200% [(Basic wage + COLA) x 200%] + [30% (Basic wage x 200%)]; and
  5. For work done in excess of eight hours (overtime work) during a regular holiday that also falls on his/her rest day, he/she shall be paid an additional 30% of his/her hourly rate on said day (Hourly rate of the basic wage x 200% x 130% x 130% x number of hours worked).

However, in view of the existence of a national emergency arising from the Coronavirus Disease 2019 (COVID-19) situation, establishments that have totally closed or ceased operation during the community quarantine period are exempted from the payment of the holiday pay on July 20, 2021 under this Advisory.

Be guided accordingly.

Signed:

Silvestre H. Belo III

DOLE Secretary

Date: July 19, 2021

If you are still calculating for your company’s payroll manually, consider using Everything at Work, a complete HRIS and Payroll System where calculating overtime pay, restday pay, regular holiday pay and special holiday pay will be handled seamlessly and accurately for you.

For more information on how to compute for Holiday Pay, please refer to this article.