DOLE releases pay rules for Independence Day

CEBU, Philippines — The Department of Labor and Employment (DOLE) has issued Labor Advisory No. 11, Series of 2026, outlining the rules on payment of wages for employees who will work or not work during the regular holiday on June 12, 2026, in observance of Independence Day.

In accordance with Proclamation No. 1006, Series of 2025, the advisory reiterates the standard computation of holiday pay for private sector workers, depending on whether the employee works, does not report for duty, or works beyond the standard eight-hour period.

For employees who do not work on the regular holiday, employers are required to pay 100 percent of the employee’s daily wage, provided the employee was present or on paid leave on the day immediately preceding the holiday.

The same rule applies when the immediately preceding day is a rest day or non-working day, subject to qualifying conditions under existing labor standards.

For work rendered during the regular holiday, employees are entitled to 200 percent of their daily wage for the first eight hours of work.

For overtime work on a regular holiday, the advisory states that employees must receive an additional 30 percent of their hourly rate for every hour worked beyond eight hours.

If the regular holiday coincides with the employee’s rest day and the employee reports for work, the pay rate is 200 percent of the basic wage for the first eight hours, plus an additional 30 percent premium, effectively increasing compensation for rest day holiday work.

For overtime work on a regular holiday that also falls on a rest day, employees are entitled to additional compensation computed with successive 30 percent increases on the hourly rate.

The labor department emphasized that employers are required to comply strictly with the prescribed wage rules to ensure proper compensation for workers during holidays.

The advisory, signed by Labor Secretary Francis N. Tolentino on June 5, 2026, serves as a guide for both employers and employees in the private sector nationwide.

The DOLE urged all establishments to observe the correct computation of holiday pay in line with existing labor standards and ensure workers are properly compensated for holiday work. — (FREEMAN)