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Saturday, October 30, 2010

DOLE: ‘No work, no pay’ on Nov. 1

The “no work, no pay" principle applies to workers on Nov. 1, All Saints’ Day or Undas, as it is a special non-working holiday, the Labor department said Friday. In a release posted on the department’s website, Labor Secretary Rosalinda Baldoz said that following Philippine labor laws, employees who will not work on Monday will not be entitled to compensation. “During this special (non-working) holiday, the principle of ‘no work, no pay’ applies, and premised on this principle and on the law, workers who are not required or permitted to work on this day are not entitled to any compensation," Baldoz said in the release. The labor chief, however, reminded employers to apply core labor standards applicable to special non-working holidays that are “consistent with ensuring the welfare and protection of the country’s workforce." Baldoz said the following pay rules apply on November 1: If an employee does not work on that day, the “no work, no pay" principle will apply, unless there is a favorable company policy, practice or collective bargaining agreement (CBA) granting payment on a special day even if it is “unworked."
If an employee works on that day, he or she should be paid 130 percent of his or her daily rate for working the first eight hours of a shift. If the employee works beyond eight hours, he or she should be paid 130 percent of the hourly rate.
If the day falls on the employees’ rest day, but an employee decides to work, he or she would be paid 150 percent for the first eight hours of work. In excess of eight hours, the employee would be paid 130 percent of the hourly rate. By law, the special non-working day on Nov. 1 is one of the three permanent special holidays observed each year in the country. The other two are the Ninoy Aquino Day marked on Aug. 21, and the last day of the year, Dec. 31.
Pay rules are pursuant to the Labor Code and Republic Act No. 9849, issued on December 11, 2009.