How much should employees get for the February 25 special non-working holiday? Here are the guidelines and computations.
What is the holiday on February 25?
February 25 is the EDSA People Power Revolution anniversary in the Philippines and is one of its special non-working holidays. It commemorates the mass demonstrations that took place in 1986 to oust former President Ferdinand Marcos. The said day restored economic reforms and democracy in the country, making it one of the most important special non-working days in the Philippines.
How does it differ from national holidays and regular holidays?
Since February 25 is a special non-working holiday, it has different pay rules. First, an employee who does not work on this day (should it fall on an ordinary working day) shall be subject to the “no work, no pay” policy. Furthermore, Labor Secretary Silvestre Bello affirms this general rule in Labor Advisory No. 3 in 2022.
However, this is not absolute, as there may be internal company practice, a more favorable company policy, or a collective bargaining agreement (CBA) that requires the company to pay employees on special non-working holidays.
How to compute pay for February 25 special non-working holiday?
As part of Presidential Proclamation No. 90, February 25 is officially declared a special holiday. This year, it falls on a Saturday. For employers with workers coming in on this day, the formula to compute the pay for the first eight hours of their work is as follows:
Daily rate + 30% of the daily rate + cost of living allowance (COLA), or simply:
(Basic Wage x 130%) + COLA
Work in excess of eight hours during a special holiday gets an additional 30% of the hourly rate. This is on top of the additional 30% for working on a special holiday. The formula is as follows:
(Hourly Rate x130% x130%)
However, these days do not always fall on a regular working day. Should the holiday fall on an employee’s rest day, the employee shall be paid an additional 50% of their daily rate for the first eight hours of work.
The formula for the computation is as follows:
Daily rate + 50% of the daily rate + cost of living allowance (COLA), or simply,
(Basic Wage x 150%) + COLA
Overtime pay and rest day
There are cases where an employee may need to work beyond eight hours on their supposed rest day. During a special holiday, the employees should receive an additional 50% on their hourly rate for the first eight hours of work. Beyond that, the employee should get an additional 30% for every hour worked.
The formula is as follows:
(Hourly Rate x 150% x 130%)
Check out this article for a more comprehensive guide to the government-mandated benefits in the Philippines.
Automate your holiday pay computations.
Discover how eezi can make your payroll more accurate and faster just in time for the holiday.