Labor CodeFAQ

How much is the minimum wage in Metro Manila?

0P466 (Basic Wage P451+COLA P15.00) is the current minimum wage in the National Capital Region (NCR) which took effect on January 1, 2014.

What is the basis for entitlement to COLA?

0A worker who is paid the basic pay, whether he worked or not, is entitled to the COLA

What is the normal hours of work in a day?

0The normal hours of work in a day is 8.

Is there a weekly rest day for an employee?

0There is a rest day of not less than 24 consecutive hours or 1 day for every 6 days of work.

How long is the meal period in a day?

0Meal period is not less than 60 minutes or 1 hour time-off for regular meals of employees which is non compensable. Rest periods or coffee breaks running from 5 to 20 minutes shall be considered compensable working time.

What is holiday pay?

0It refers to payment of the regular daily wage for any unworked regular holiday.

What is the condition so that an employee will be entitled

to holiday pay?

0He/She should be present on the workday immediately preceding the regular holiday, OR, he/she should be on leave of absence WITH PAY on the day immediately preceding the first holiday.

How can an employee be entitled to the two(2)

successive regular holiday?0An employee can be entitled to two(2)

SUCCESSIVE regular holidays, like Holy Thursday and Good Friday if he/she works or is on leave of absence with pay on the day immediately preceding the first holiday.

How much is the holiday pay of an employee?

0Regular Holiday0A. Did not report for work = 100% of

daily rate0B. Reported to work= 200%

What is premium pay?

0Premium pay refers to the additional payment for work within 8 hours on rest days or special days.

How much is the premium pay of an employee?

0Work performed= 130%0Work performed on special day falling

on the employee’s rest day= 150%0Worked performed on a regular holiday

falling on the employee’s rest day= 260%

What is overtime pay?

0Overtime pay refers to the additional pay for work performed in excess of 8 hours a day.

How much is the OT pay of an employee?

0Plus 25% of the hourly rate for work performed in excess of 8 hours on ordinary day.

0Plus 30% of the hourly rate for work performed in excess of 8 hours on rest day, special day or regular holiday.

What is night shift differential?

0NSD refers to the additional compensation for work performed from 10:00 o’clock in the evening to 6:00 o’clock in the morning.

How much is the night shift differential of an employee?

0Plus 10% of the hourly rate for work between 10:00 in the evening and 6:00 o’clock in the morning.

What are the leave benefits that an employee is entitled to

under existing laws?05 days SIL(service incentive leave) with pay for

employee who has rendered at least 1 year of service.0Maternity leave with pay of 60 days for normal

delivery and 78 days for caesarian section.07 days paternity leave with pay for all married male

employees in the private sector.07 days Solo Parent Leave with pay for solo parent.

Continued...What are the leave benefits that an employee is entitled to under existing laws?

010 days leave with pay for (VAWC) Victims of Violence Against Women and Children.

0Special leave for Women of maximum 2 months with full pay (caused by gynecological disorders)0 A woman employee regardless of age and civil status,

can avail of special leave benefits after she has undergone surgery .

What are service charges?

0Service charges refer to the amount collected by hotels, restaurants and

What is the frequency of distribution of SC?

0 It shall be distributed once every 2 weeks or twice a month at intervals not exceeding 16 days.

Who are entitled to 13th month pay?

0All rank and file employees regardless of the nature of their employment and irrespective of the methods by which their wages are paid, provided they worked for at least one (1) month during the calendar year.

How much is the required 13th month pay?

0At least 1/12 of the total basic salary earned for the year but does not include allowances and other monetary benefits.

When should the 13th month pay be given?

0It should be given before December 24 of every year, in full amount.

0Half of it can be given before the school year starts and the remaining amount not later than December 24.

What is retirement pay?

0It is the amount given an employee who has reached the age of 60 years(optional retirement) and 65 years old (compulsory retirement) and who has served the company for at least 5 years in service.

How is the retirement benefits computed?

0Minimum retirement pay= 22.5 days x daily rate x number of years of service.