HANDBOOK ONWORKER'S STATUTORY

MONETARY BENEFITS

BUREAU OF WORKING CONDITIONSOEPARTMENT OF LABOR AND EMPLOYMENT

INTRAMUROS, MANILA2012

Ieom

Rosalinda 0 ima p ilis.Ba tdozSecre fary

Lourdes M. TrasmonleUndersecretary

Brenda L. Villa fue rteDirector lV - BWC

Nicanor V. BonChief- LEO

Emila T. de GuzmanSupervising LE0

All Rights Reserved

This Handbook, or any psrt thereof, Dtay not be reproduced lorcommer.ial purpose! without th€ written pernrission of the Bureau ofWorking Conditions, 0epartrnent of Labor and Employment.

This Handbook is publi5hed by theEureau ol Working Conditions (BWc)

Department of [abor and Employm€nt (DOLE]

3rd Floor, DOt€ gldg,, Intramuros, ManilaTel. No.527300 locals 301,308; Tetefax No. SjG-8975;

email: dole.b,,vc@gmail.com; website: www,bwc.dole.gov.ph- t{oT fo8 sAtg -

Cover Art: tdward M. tchrvez and G€rald S. Xhu

Republic of rhe PhitippinesDEPARTMENT OF LABOR AND EMPLOYMENT

Intremu(os. Minila

F0REliv0R0

I am pleased that the Eureau of Worktng Conditions has come up with this 2012edition of its llandbook on Workers' Statitory Monetary Benenb. This is a valuableaddition to the Department oF-Labor and Erirploymentis arsenal of curr€nt, urefuland.relevant.knowledge and information which it continlally builds up and updater0r tne benetrt 0f our tllents, m0st notably our workets.

Promoting better observance of lab0r stnndards towards the protection 0l workers isa key strategic response under the Rights at Work pillar of the tabo, andEmployment Plan 2011-20t6 and ir centraato meeting the objective 0f decent workin the countrv,

En surin g, compliance with the payment 0f minlmum wage, overtime pay, night shift0rrrerent|ar. pay, 5ervlce incentive pay, holiday pay, maternity and paternity leavepay, pdrental,leave.p6y for solo parents, leave pay for yictims 0f violence agalnstwomen and.lheir children, thirteenth-month pay, separa on pay, retirement pay,and other labor standards, such as the payrnent of SSS and lliitteatttr premiums, jiprovided under the Labor Code and other relevant laws can be acliieved if ourworkers are vigilant about their Constitutionally-protected and guaranteed rightsand if our employers are fully inforned about thei. obligationg.

Thus, the publication of Ihis Handbook on Workers,statutory Monetary Benefits will,I am sure, benefit many.

In its better formal, the Handbo0k remains comprehensive in layino down theessential statutes embracing general labor standards, as well as benefi[s under theEmployees C0rnpensati0n Program, and philHealth and Social Security benefits.What is new is thdt the Handbook now provides user-friendly tools for computingspecific monetary benefits and has a back.paqe directorv and dioitized e-liirks t6DOLE, lts -fegronal and field offices, and of tourse, thd BWC, f;r Inquiries 6ndreeobaIks tr0m wofkers, employers, and the public.

Another significant addition to this updated edition is the statutory Drovision ofRepublic Act No. 9710 or the Magna Cartd of Wonen that spelts'o;t the non-discriminatory benefits for women w0rkers.

It is, therefore, rny sin(ere hope that this Handbook will find its place within thereading confines of our workers and employers for this will rea y ehpower them tobecome bettet informed.

I commend the BWC for the etfo(ts it invesied in updating thls Handbolk onWorkers' 5 ta tu tory Mo neta ry Eenefits.

Projecl

lll),-.]rtr\,ROSAUNo'A OtilAf tUf, EAIDOI

Secrelary

fn,-UNTENTS

COMPLIANCE GUIDE

1. IIINIMUM WAGEA. CoverageB. Minimum Wage RatesC. Basis

. D. Monlhly-Paid and Daily-Paid EmptoyeesE. Minimum Wage oi Househelpers (RA i655)

. F. Effect of Reduction ol Workdays on WagesG. Penalty and Double lndemnlty for Vjolalion of lhe

Prescribed Increases or AdiuslmBnts in th€ Wage Rates(RA 8188)

H. Barangay Micro Business Enterprises {BMBEs) RA 9178L Minimum Wage ot Workers Paid by ResullsJ. Minimum Wage ofApprentices, Learners, and

Disabled Workers

2. HOLIDAY PAY (Artiole 94)' A. DefinitionB. CoverageC. Regular Holidays0. Muslim HolidaysE. AbsencesF. Successive Regular HolidaysG. Temporary or Periodic Shutdowo/Cessation 0f WorkH. Holiday Pay of Cerlain Employees

3. PREMIUiI PAY (Articl€s 91.S3)A. DefinitionB, CoverageC. Special DaysD. Premium Pay Ral€s

4. OVERT$IIE PAY {Arricte 87)A. DefinitionB. CoverageC. Overlime Pay RalesD, Slipulateq Overtime Rates

5. t'llcHT SHIFT DIFFERENTTAL (Arttcte 86)A. DefinitionB. CoveragoC. Computation of Night Shift Differential

D.

t.

11.

12.

SERVICE CHARGES (Article 96|A. SharingB. PaymentsC. Tips

SERVICE INCENTIVE LEAVE (Article 95)A. CoverageB. Meafling of'ofie year of service'C. Usage/Co n ve rs ion to Cash

L i'ATERNITY LEAVE (RA 1t61, as amended by RA 8282)A. Coverage 24B. Entitlement 24

9. PATERNITY LEAVE (RA S187)A. Coverage ZsB. The Palernjly Leave Benefit 25C. Conditions for Entitlement 25D. Application for Paternily Leave 26E. Nonconversion to Cash 26F. Crediting of Existing Benefils 26

,IO. PARENTAL LEAVE FOR SOLO PARENTS (RA 8972)A. Coverageb. uettnltton ot tBrmsC. The Parental Leave BenefitD. Condilions for EntitlementE. Nonconversion to CashF. Crediling of Existing LeaveG. Termination of the BenefitH, Protection Against Work Discrimination

LEAVE FOR VICTIMS OF VIOLENCE AGAINST WOMENAND THEIR CHILDREN (RA 9262}

A.0efinitionB. Coverage and PurposeC. Requiremenl for EntitlomenlD, The BenefilE. Usage of lhe Eenefil

SPECIAL TEAVE FOR WOMEN (RA e7t0)A. Coverage6. Dellnrtr0n 0l IermC. Conditions for Entitlement

2121

222323

23355

6

667

7

2721282828282929

IB

I10't1

1212

IJ13

14

to1616

30303031

31

32323218

't8

19

D. The Special Leave BenefitE. UsageF. Nonconversion to Cash

13. THIRTEENTH-MONTH PAY {PD 851)A. Coverage8. oefinilion of Rank-and-Fite EmptoyeesC. Minimum AmountD. Exempted EmployersE. lime of Payment of Thirteenlh-Month payF.. Th irtee nth- Mo nth Pay for Cerlain Types ol EmployeesG. lh irteen th- Monlh Pay of Resigned

or Separaled EmployeeH. Non-inclusion in Regular Wage

14. SEPARATION PAy (Arrictes 283-841A. one-Half Monlh Pay pet yeat of ServlceB. One-Month Pay per Year ot ServiceG. Notice of TerrninationH. Basis of Separalion payl. Inclusion of Regular Allowance in the Computation

15. RETIREMENJ PAY (Artlcte 2A7, as amended by RA 1641)A. Coverage 40B. Amounl of Retiremenl pay 40C. Retirement Benefits under a Collective Bargaining Agreemenl

Applicable Conlracl aI0. Retkemenl Benefils of Workers who arc patc 0y Results 4tE. Retirement Benelil of Parl-lime Workers 41F. Relirement Benefit of Undsrground Mine Employees

under Republic Act 85SB 42c. Other Bendfits upon Retirement 42

16. EENEFITS UNDER THE EMPLOYEES' COMPENSATIONPROcRAM (PD 626)

18. SoCIAL SECUR|TY BENEFTTS (RA .t161, as amend€d byRA 8282)A. The Social Security programb. uoveraqeC. The Benefits

APPENDIX Directory of DOLE.Regionat Olficesoirectory of DOLE-NCR Field OfficesThe Bureau of Working Conditions

51

5l51

545556

323333

343434353536

3637

3839393939

A. The Employees'Compensation programB. CoverageC. The BenefilsD. Kinds of DisabitilyE. Filing ol ClaimsF. O b ligalions/R os po nsibilities of Emptoyers

PHILHEALTII BENEFITS (RA IS75, as amended by RA 9241)A. The Nallonal Heallh Insurance program 46

434343444445

17.

B. CoverageC. The Ben6lits

4647

COMPLIANCE GUIDE

Applicable LabolStanda rds

RetailEsla bl

i Serviceshments Non-

Ag rlcu ltu reReference(Page no.)Employ Ing

1lo5 Employing Ito 9 worksrs

Minimum WaoeHoliday pay N/A N/A IPremium pay 13

919!''!_ser-l 16Nighl shilt pay N/A 18

Servico charoeService incenlivtlea vs N/A N/A 22

Malernily l€avB 24Paternity leave 25Parental leave 27Leave for VAWC 30Special leave fowomen 32'13"' month pay I 34Separalion pay 38Retiremenl pay N/A N/A 40ECC benefits' 43PhilHeallh benefils 46SSS benetits' 51

Mtruruurrl WRcr

Republic Act No. 6727 (also known as the "Wage Rati0nalizati0nAct") mandates the fixing of the minimum wages applicable todifferent induslrial sectors, namely, non-agricullure, agricultureplantalion, and nonplantation, c0ttage/handicraft, and retail/service,depending on the number of workers or capitalizaiion or annualgross sales jn some sectors.

The Rules lmplementing RA 6727 define the induslrial sectors asfollows:

''Agriculture refefs to farming in all its branches and, amongothers, includes lhe cullivation and tillage ol the soil,produclion, cultivalion, growing and harvesling of anyagricultural or horticultural commodilies, dairying, raising oflivestock 0r poultry, the culture of fish and other aquaticproducls in farms or ponds, and any activities performed by afarmer or on a farm as an incident t0 or in conjunclion withsuch farming operations, but does not include themanufacturing and/or processing of sugar, coconut, dbaca,tobacco, pineapple, aquatic or other farm products.

"Retail Establishment" is one principally engaged in the sale ofg0ods lo end-users f0r personal or household use. A retailestablishmenl lhat (egula.ly engages in wholesale aclivitiesloses its relail character.

''Service Establishment" is one principalty en'gaged in the saleof service to individuals for lheir own 0r household use and isgenerally recognized as such.

ll is regularly employing not more than ten (10) workersregardless of stalus, except the owner/s, for at least six (6)months in any calendar yBar

The said law rationalized wage detefminalion by establishing themechanism and proper standards through the creation of RegionalTriparlile Wages and Productivity Boards (RTWpBs) aulhorized todetermine the daily minlmum wage rales in the following differentregions based on established criteria:

'will be paid by lhe Government

Subsidized Moals dnd Snacks

The employer nlay provide subsidized meals and snacks to his employeesprovided thal the sfubsidy shall not be less than 30% of the fair and reasonaorevalue of such facili(ies. In such case, the employer may doduct ftom the wages oflhe employees nol fiore than 70ol" ol lhe value ol lhe meals and snacks enjoyed bylhe employees, pro\,lided further thal such deduclion is with the written autho.izationof th€ employees cqncerned. (Sec. 4 Rule Vll-A, Book lll of the Rules lmptementinglhe Labor Code). Fdr lhe compulation ol the fair and reasonable value of lhe mearsgiven, lhe employel may seek assislance from concerned DOLE Regional/FieldOflice.

SalaJy of Househelbor who lvorks aB salescl€rk

Househelper whq works as salesclerk should receive salarythe prescrib€d mirlimum wage which is applicable in theestablishmenls, under existing Wage Orders.

in accordance wilhfelaal and se.vice

National Capital Region (NCR) or t\,,tetro l\.,tanilaCordillera Administrative Region (CAR)Regibn 1 , Northern Luzon or ocosRegion2 -CagayanValleyRegion3 -Central LuzonRegion 4-A - CALABARZON (Cavite, Laguna, Batangas,

Rizal, Quezon)Region 4-B - l\,IIMAROPA (Mindoro, Marinduque, Rombton,

Palawan)- Bicol- Weslern Visayas- Central Visayas- Easlern Visayas- Western Mindanao or Zamboanga Peninsula- Norlhern Minda nao- Southern Mindanao or Davao- Central Mindanao or SOCCSKSARGEN (South

Cotabato, .North Cotabato, Sultan Kudaral-Sarangani, General Santos)

3

2 !9!!"Jr of registered Barangay Micro Business Enterprises(BMBES) with Certificates of Authority issued by the Ofiice ofthe Municipal or Clty Treasurer.

A.2 Upon application with and as determined by an RTWpB,based on documenlation and other requirements in accordance withapplicable rules and regulations issued by the National Wages andProductivity Commission (NWpC), a compiny/eslablishmenthay beexempted from compliance with a Wage Order for a period not toexceed one (1) year.

B. Mlnimum Wage Rates

Region 5Region 6Region 7Kegr0n u

Region IRegion 10Region 11

Region 12

Region 13 - CaragaAulonomous Region in Muslim Mindanao (ARMM).

The Regjonal Wage Orders prescribe the daily minimum wagerates per induslry per locality within the region and in someinslances depending on the number of workers and lhecapitalizalion of enterprises. The Wage Orders likewise provide thebasis and procedure for application for exemption from compliancelherefrom. Some Wage orders granl allowances instead of wageIncreases.

A. CoveJags

A.1 The wage increases prescribed under Wage Orders apply toall private sector workers and employees receiving the dailyminimum wage rates or those receiving Up to a cerlain daily wageceiling, where applicable, regardless of their position, designalion,or stalus, and irrespective of the melhod by which their wages arepaid, except lhe following:

1. Househelpers, including family drivers and ,,/vorkers in thepersonal service of another whose conditions of work areprescribed in RepublicAcl No. 7655.

C. Basis

The basis ot thelhe normal working

minimum wage rates prescribedhours of eighl (8) hours a day.

by law shall be

' Effeclivity dale is on 2E August 2008" Elleclivily dale is on July t, 2010 (addilionat pZZ 00)' Elfecitivity dare is on May 26, 201i

DAILY MINIMUM WAGE (MWIt{ational Capital

Las Pinas. Makali Malabon,1, Manita, Mati/rjna,Navolas, Paranaque,

Pasig, Ouezon San Juan,

SUMMARY OF CURRENT REGIONAI. OAILY MINIMUM WAGE RATES

5

0. Monthly-Paid Emptoyees and Daily-paid Employees

Monthly-paid employees are lhose who are paid everyday of themonth, including unworked rest days, special days, and regularholidays. Factor 365 days in a year is used in determining lheequivalenl monthly salary of monthly-paid employees.

Daily-paid employees are those who are paid on the days lheyactually worked and on unworked regular holiday$. Faclor 313 (6-day work per week) 0r 261 (5-day work per weei) may be used incomputing the equivalent monthly salary of daily-paid employees.

To compute their equivalent monthly rate, the procedure is asfollows:

A00licable Daily Rate (ADR) x factor. = Estimated Equivatent12 months Monthty Satary (EEMR)

Withoul preiudice to existing company policies, practicesand/or agreemenls, lhe above formula are merely suggeslions dndmay be used as guides in delermining the equivalent monlhlymrntmurn wage rates.

E. Minlmum Wage of Hourehelpers (RA 7655)

The minimum compensalion of eight hundred pesos (p800.00) amonth is required for househelpers in lhe 6ities of Caloocan, LasPinas, Makali, Malabon, Mandaluyong, Manila, Marikina,Munlinlupa, Navotas, Paranaque, Pasay, pasig, Ouezon, San Juan,Taguig, Valenzuela, and in the municipality of pateros.

Meanwhile, a compensation of six hundred fifty pesos (p650.00)a month is required for househelpers in other charter€d cities-ciliesother lhan Manila, Pasay, Quezon, and Caloocan-highly urbanizedcities, and lirst-class municiDalities.

On lhe other hand, a compensation of five hundred fifty pesos(P550.00) a month is required for househelpers in othermunicipalities.

Househ6lpers who are receiving al least one thousand pesos(81,000.00) a month shall be covered by the Social Security Systemand shall bs entitled to all the beflsfiis Drovided therein.

'Faclors 310 or 258 may be used inst€ad ol 313 or 261, re6Declively, il theIhree (3) national special days are not considered paid.

Non-Agriculture, Ag,lcultureAs of Januafy 2012

(ln pesos)

P 389.00

90.00 - I99

v! i/ 245 00

- 287

ARMM

e/ ProvidsP 22 00 COLAb/ Gr:nred P Pr2 00 coLAc/ Granled P 5.00 o.8 00 wage incr€as€ and inte!.ated rhe Pl0 COtA uode' W.O l3 inro lhe

d/ Gr/nrdd P l0 00 *a9.Increase./ Gr..l€d addirional P14COLA, lh6P1 undorW.O 15 wittbE inreg.arsd i.lo rh€ brsic w.q€ on

r/ Oranred P rt 0o wage incr.as6g/ Gt.nl€d P r2 w.qe inq..reh/ G,a.led P 0 wage incr.ase and inleg.ared rhe 7 COLA into lhe basic waOer/ 6ranl6d PI? 00 ECOIA tor three ronrfisi/ Granred P20 00 wage h sdeet/ Gr.rr€d Pl5COLA ro b€ 0rven ii 2 rrsn.hss: Ft0on Jun 1 E p5 on s€pt. t. 201t: itrleoratedi.lo th€ blsic p.t th. P3 COIA ondo, W O t4l/ eranted P 12 wrOe incr6asemi Inls!'3led lhE F1? GOLA €llocnee toi 6 nonths; lo b. inleg.ar6d into th€ basic weqs rharesfior.n/ G.8.led P15 cot^: P5 6ftectiv€ J.n 1,20i?.nd P10 efl.ctivs Mat 1,20t2o/ 6rdnl6d Pl5coLA {P10 upoi Ettecrieily I p5onApf. | 20ll)aidinteg.:redlhsp2tCOLAlrofl pr€vious WO3 inlo the b.sic pryp/ Granl€d Pll waOe incre.so and P1 C0lAq/ Graored P10 00 CoLA

S.urce: Nalional Wegse ,nd P'odudrivity CommissionLJpdated: t0 January 2 012

l

iv!!g: lxy, Xrd

i I! n/

r lll oi

Ol6/Sepl 22, 2011

i 67tn;.i, ?oi iWO 17i Nov. 25, 2011

i;a ia,,..'.. ;, ;;, ,rrv ,u,Ju't .{i 4v r r

WO 16/Jan.'1,

WO 16/0c1.31,2010

228 00-234.00

?9!S. I .?1800 .

232.00 i z:r oo

l llNovembe. 11, 2011

i:tSefiemoeii,2oti

Employers shall review the employment contracts ot lheirhousehelpers every three (3) years with the end in view of improvinglhe lerms and conditions thereol.

F. Etfict ol Reduclion of Workdays on Wages

In siluations where lhe employer has to reduce the number ofregular working days to prevent serious losses, such as when therers a substanlial slump in lhe demand for his/her goods or services or,,!hen lhere is lack of raw materjals, the emplo-yer may deducl tflewages corresponding to the days laken olf from the workweek,consislenl wilh lhe principle of ,,no work, no pay." This is withouiprejudice to an agreement or company polici which providesotherwise.

G. Penalty and Double Indemnity for Violation of the prescribedIncreasss or Adiustmenls in the Wago Rrtes (RA gl88)'

.Any person, corporation, trusl. firm, partnership, association or

entity which refuses or fails lo pay any of the prescribed increasesor adiuslmenls in the wage rales rnade in accordance with RA 6727,shall be-punished by a fine ol not less Ihan Twenty_live ThousanjPesos (F25,000.00) nor more than One Hundred ihousand pesos(P100,000.00) or imprisonment of not less lhan lwo (2) y"ur" noimore lhan four (4) years, or both such fine and imprisonment at thediscretion of the courtt provided, fhal any person convicted hereofshall not be entitled to the benefits providid for under the probationLaw.

The employer concerned shall be ordered to pay an ,mountequivalenl_lo double lhe !npaid benefits owing to the employees:rtovtoe1, tnal paymenl ot indemnrty shatl not absolve the employerfrom the criminal liability imposable hereof.

lf lhe violation is committed by a corporation, trust, fjrm.partnership, associalion or any olher entity, Ihe penally ofrmrns0nmenl shall be imposed upon the entity's responsibleoJficers, including, bul not limited lo, the presidenl, vice-piesident,chief execulive officer, general manager, managing director orparlner.

H. Barangay Micro Buslness Enterprises (BMBEs)

BMBEs or business Bnterprises engaged in the production,processing or manufacturing of products or commodities includjnoagro-processing, tradtng and servrces whose t0lal assets, excludini

the.land 0n which the particular business entity,s office, plant andequipmenl are sjluated. are nol more than three mittion if.OOO OOOtshall be exempt from lhe coverage of tfre Ulnimum ,)v;;;;;1Provided, .thar a employees sha sti be

""riti.a j" f-fr"ri."."

l:l:llr 9'y." ro regular emptoyees such as sociat securiry andneaIncare benefits

To avail ol the benefits, the BMBE should register with lhe citv ormunicipality,having jurisdiclion over the same-and musf secu,'e aLenfltcate ot Aulhority aulhorizing them lo operate as such.

The BMBE workers and owners shall agree on the acceotablewage rales based on the wage advisories issued bV the RTWpAs.

l. Minimum Wage of Workers paid by Results

All workers paid by results, including homeworkers and those whoare paid on piece rale, takay, pakyaw or lask basis, snall receive noiress than the preScribed minimum wage rates under the RegionalWage 0rders for normal working hours which shall not exceed eioht{dJ noufs a day, or a proportion lhereof .-

The wage rates of workers who are paid by resulls mav bedetermined lhrough lime and molion studies or consultafion'wiftrrepresenlalives of employers and workers organizations in arflpar| e ca ed by lhe DOLE SecrFtaty.

J, .Jtrinimum Wage of Apprentices, Learners, .and 0isabledWo rke rs

Wage of apprentices and learners shall in no case be less lhanseventy-fjve (75%) percenl of the applicable minimum wage raies.

Apprenlices and learners are lhose who are covered byapprenliceship and learnership agreemenls duly approved by therecnnrcat bducation and Skills Development Authority (TESDA).

A qualifisd disabled employee shall be subject to lhe same termsand., condilions_ of

_ employment and the same compensalion,

pflvrteges, benBfits, fringe benelits or allowances as a qualified ablebodied person (Sec, 5 of RA 7277 or the Magna Carta'tor OisaiGJPe rson )

,)./z

HoLIDAY PAY(Artlcl€ 94)

A. Defin ltlon

Holiday pay refers to lhe payment of the regular daily wage forany unworked regular holiday.

B. Coverage

This benefit applles to all employees excepl:

1. Government employees, whether employed by lhe NationalGovernment or any o[ its polilical subdivisions, including lhoseemployed in govern me nt -own ed and/or conlrolled corporationswith original charlers or crealed under special laws;

2. Those of retail and service establishments regularly employingless than ten (10) workers;

3. Househelpers and persons in the personal service of another;4. Managerial employees, if they meet all of the following

conditions:4.1 Theif primary duty is to manage the establishmenl in

which they are employed or of a depattment orsubdivision lhereof;

4.2 lhey customarily and regularly direcl lhe work of two ormore employees thereir,,

4.3. They have lhe authority to hire or fir8 other employeesof lower rank; or their suggestions andrecommendations as lo hiring, firing, and promotion, orany other change of status of olher employees aregiven particular weight.

5. Officers or members 0f a managerial slaff, if lhey perform ihefollowlng duties and responsibilities;

5.1 Primarily perform work directly related lo managementpolicies of their employeri

5.2 Cuslomarily and regularly exercise digcrelion andindependenl judgment;

5.3 (a) Regularty and directly assist a proprietor otmanagerial employee in lhe managemenl of theestablishment or subdivision thereof in which he or sheis employed, or (b) execute, under general supervision,rvork al0ng specialized or technical lines requiring

c

special Iraining, sxperience, or knowledge; or (c)execule, under g€neral supervision, specialassignments and tasks; and

5.4 Do not devote more than twenty percent (20yo) of theirhours worked in a workweek to activities which are notdlreclly and closely related lo lhe performance of lhework described in paragraphs S.1, S.2, and 5.3 above,

6. Field personnel and other employees whose time andperformance is unsupervjsed by the employer, includingthose who are engaged on lask or contract basis, purelicommission basis or lhose who are paid a tixed amount forperforming work irrespective of lhe lime consumed in lheperlormance lhereol.

C. Regular llolldays

.. Every employee covered by the Holiday pay Rule is enti ed tolne.mrnrmum wage rate (daily basic wage and C0LA). This meanslhat lhe employee is entifled lo at leasl 1007o of his/her minimumwage rale even jf he/she did not report for work, Frovided he/she ispresenl or is on leave of absence with pay on the work dayimmediately pf eceding the holiday,

Work performed on ihat day merits al least twice (200y0) thewage rale of the employee.

lllustrction: Using the NCR minlmum wage rate (daily basic wageand COLA) 0l F404.00 + P22.00 per day for the non-agriculluialseclor, effective May 26,2011 under Wage Order No. NCR_16.

For work wilhin eight (B) hours;

Plus 100% of the minimum wage rate of 100% or a tolal of 2OOo/"

Where lhe holiday falls on the scheduled rest day of theemployee, work perlormed on said day merits at leasl an additional30% ol lhe employee's regutar holiday tate ot ZOO% or a total of atleasl 260% (Please see 3. Premlum pav).

Ssctor/lndustry Rata Amo$ntNon-agriculture P426.00 P426 x200% = P852.00Relail/Service Eslablishmeniemploying less than 10 workers P367.00

Not covered orexempted

10

When a regular holiday falts on a Sunday, the following Mondayshall not be a holiday, unless a proclamation is issued declaring it aspscial day,

Unless otherwise modified by law, order, or proclamation, thefollowing are lhe (welve (12) regular holidays in a year underExecutive Order No. 292, as amended by Republic Act 9849:

New Year's Day January 1

Maundy Thursday Movabl€ OateGood Ftiday Movable Dale

and Zamboanga del Sur and in the cities of Cotabato, igan,Marawi, Pagadian, and Zamboanga, and in such other Muslimprov,nces and c,ties as may be crealed by law. Upon proclamationby the President of the Philippines, Muslim holidays may also beofficially observed in other provinces and cities. I

The dates of Muslim hoiidays shall be determined by the Office oflhe President of the Philippines in accordance with th8 Muslim LunarCalendar (Hilra).

Presidenlial Proclamation No. 1198 (26 October 1973) provides:

"All private corporations, offices, agencies and entilies 0restablishments operating within the provinces and citiesenumerated herein shall observe the legal holidayb asproclaimed, provided, however, that all Muslim employeesworking outside of the Muslim provinces and cities shail beexcused ffom work during the observance of the Muslimholidays as recognized by la,,v without diminu on or loss ofwages during the said period xxx.'

Considering that all private corporations, offic€s, agencies, andentilies or eslablishments operaling within lhe designated. Mustimprovinces and ciliss are required to observe Muslim holidays, bothMuslims and Christians working within the Muslim areas may nolreport for work on the days designated by law as Muslim holidays.

E. Absencog

1. All covered employees shall be enti|ed to holiday pay whenthey are on leave of absence wilh pay on the workdayimmediately preceding the regular holiday. Employsss who ar€on leave of absence withoul pay on the day )mme'ialelyprecBdirg a rogular holiday may not be paid the requiredholiday pay if they do not w0rk on such regular holiday.

2. Employerc shalt grant the same percefltage of the holiday payas lhe benefit granted by competent authority in the form of€mphyee's c0mpensation or social securily payment,whichever is higher, if the employees are not reporting forwork while on such leave benefils.

3. Where the day immedialely preceding lhe holiday is a non-work day in the establishment or lhe scheduled rest daV of theemployee, he/she shall not be deemed to be on leave ofabsence on that day, in which case he/she shall be enti ed to

Araw ng KagitinganLabor DayIndependence DayNalional Heroes' 0ayEidl FilrEidl AdhaBonifacio DayChrislmas DayRizal Day

Monday nsarost April IMonday nearest May 1

Monday nearest June 12Last Monday of AugustMovable DateMovable DateMonday nearest November 30December 25Monday nearest December 30

. When Arary n9 Kagitingan falls on the same day as MaundyThursday or Good Friday, a covered employee is enti ed t0 at leastlwo hundred percent (2000/o) of his/her basic wage even if said dayis unv{orkod, Where the employee is required to work on thal daylhelshe is ontillsd to an addilional 100ok ot tha basic waoe,

D. Musllm Holldays

Presidential 0ecree No. 1083 (Code of Muslim personal Laws ofthe Philippines), as amended, recognizas lhe four (4) Muslimholidays, namely:

1.'Anun Jadid (New Year), which fa s on the first dav ot lhelunar month ol Muharrum,

2. Maulid-un-Nabi (Eirthday of (he prophet Muhammad), whichfalls on the lwelfth day of the third lunar month ot Rabi-u!-Awwali

3. Lailatul lsre Wal Mil6j (Noclurnal Journey and Ascension oflhe Prophet Muhammad), which falls on lhe lwenty-sevenlh dayol the seventh Iunar month of Ralab;

Thes6 official holidays shall be observed in the provinces of.Basilan, Lanao del Norle. Lanao del Sur. Maguindanao, NorthCotabato, Sultan KUdarat, Sulu, Tawi-Tawi, Zamboanga del Norte

-t

lhe holiday pay jf he/she worked on lhe day immediatelvpreceding lhe nonwork day or rest day.

F. Successive Reg ula r Holidays

Where there are two (2) successive regular holidays, like MaundyThursday and Good Friday, an employee may not be paid for bolhholidays i{ he/she absents himself/herself from work on the davirnmediately preceding the first holiday, untess he/she works on thefirsl holiday, i11 which case heishe is enlilled lo his/her holiday payon the second holiday.

G. Tomporary or Psriodic Shutdown/Cessation of ltork

In cases of temporary or periodic shutdown and lemDorarvcessalion of work of an establishment, a6 when a yearly inveniory oiwhen lhe repair or cleaning of machineries and equipment isundertaken, the regular holidays falling within lhB period shall becompensated in accordance witb the RulBs lmptementing lhe LaborCode, as amend€d.

H. Hollday Pay of Certain Emptoyees

1. Where lhe covered employee is paid on piece-rale basis, his/her holiday pay shall not be tess than his/her average dailyearnings for lhe lasl seven (7) actual work days preceding lh€regular holiday; provided, however, lhat in no case shall theholiday pay be less than the applicable stalutory minimum,,vage rate.

2. Seasonal workers may not be paid the required holiday payduring off-season when they are not at work.

3. Workers who do not have regular u/orking days, such asstevedores, shall be entilled to this benefit,

nJ

Pnrrrltuu pny(Ar ctss 91.93).

A. Defln ltion

Premium pay refers to the additional compensalion for workperformod wilhin eight (8) hours on nonwork days, such as r€st daysand special days.

B. Coverage

This benefil applies to all employe€s excepl;

1. Government employees, whether employed by the Nationalcovernment or any of ils polilical subdivisions, includinglh0se employed in gove rn men t-own ed and/or conlrolledcorporatjons with ori0inal charters or created under speciallaws:

2. Managerial emptoyees, if lh€y meet a of the fo owingcon d ition s:

2.1 Their primary duly is lo manags the €stablishment inwhich lhey are employed or of a department orsubdivision thereof;

2.2 They customarily and regularly direct the work of twoor more employees therein;

2.3 Tiey have the authority to hire or fire other employeesol lower rankt or their suggestions andrecommendallons as lo hiring, firing, and promolion, orany other change of status of olher employess aregrven particular weight.

3. officers or members of a managerial staff, if lhey perform thefollowing dulies and responsibilities:

3.1 Primarity perform v/ork direc y relatedpolicies of lheir 6mployer;

3.2 Customarily and regularly exerciseindependent judgment;

13

to managemenl

discretion and

3.3 (a) Regularly and direc y assist a proptietor o,managerial employee in the manaaemenl . of lheeslablishment or subdivision thsreof in which he or sheis enployed; or {b) execute, under general supervisjon,work along speciallzed or technical lines requirinospecial training, experience, or knowledge; or (c)

execute, under general supervision, specialassignmenls and tasks; and

. 3.4 Do not devote more than twenly percent {20%) of theirhours worked in a workweek to activities which are not

, direclly and closely related to the performance ol lhework described in paragraphs 3.1,3.2, and 3.3 above.

4. Househelpers and persons in lhe personal service of anolher:5. Workers who are paid by resulls, including those wh0 are paid

on piece rate, lakay, pakyaw, or task basis, and other noniimework, if their oulput rates are in accordance with the standardsprescribed in lhe regulations, or where such rates hav€ beenfixed by lhe Secrelaty ot Labot and Employmenl;

6. Field personnel, if they regularly perform their duties awavlrom the principal or branch office or place of business of th;employer and whose actual hours of work in the lield cannotbe delermined wilh reasonable certaintv.

C. Special Days

1, Special Days

Unfess olherwise modified by iaw, order, or proclamalion, ihefollowing are llre three (3) special days in a year under ExecutiveOrder No. 292, as amended by Repubtic Aci 9849 that shall beobserved in lhe Philippines:

Ninoy Aquino Day Monday nearest August 21All Saints Day NovemDer lLast Day of lhe Year December 31

The "no work, no pay" principle applies during special days andon such olher special days as may be proctaimed by the presidentor bv Conoress.

Wort ars *no are not required or permi ed to work on sDecialdays are nol enlit,ed lo any compensalion This. holveve., is wllhoulplejudice to any voluntary practice or provision in the CollectiveBargaining Agreement (CBA) providing for payment of wages andolher benefils for days declared as specjal days even if unworked.

. On the other hand, work performed on special days merits

addilional compensalion of at least thirly percent (30%) 0f lhe basicpay or a total of one hundred thirty percent (.130%). Where theemployee works on a specral day fa ing on his rest day, he/she shallbe entitled to an addili0nal compensalion of at leasi fiftv percent

. 15

(50o/o) of hisiher basic wago or a total of one hundred filty percent(1 50 o/o

).

2. Special Work Days

For work performed on a deilared Special Work Dal, anemployee is entitled only to his/her dajly wage tale. No premium payis required since work p€rformed on said day is considered work onan ordinary workday.

D. Premium Pay Rates

The COLA shall nol be included in the computation of premiumpay. The minimum statutory premium pay rates are as follows:

1. For work perlormed on resl days or on special days:Pfu6 30% of the dai/y basic ftte of 100o/o or a totai of 130%.

2. For work performed 0n a resl day which is also a special dav:Plus 50% of the daily basic fale ol 100% or a total of 150%.

3. F0r work performed on a regular holiday which is also theemployee's rssl day (not appllcabfe to employees who drenot covered by the holiday-pay rul€).Plus 30% of the regular holiday rate of 200% based on his/herdaily basic wage rate or a lolal of A60%.

Seclor/lndustry Rate AmountNon-agriculluro P4 04.00 P404x130%=P525.20Relail/Service Establishment P 367.00 P367x130%=P471.10

ndustry Ra te AmounlNon-agriculture P4 04.00 P404x150%=P606.00Relail/Se.vice Establishmenl P36 7.0 0 P367x150%=P550.50

Seclor/lndustry Rate AmountNon-agricullure P404.00 P404 x 260% = Pl,050.40Relail/Service Establishmentemployiog less lhan 10 workers P367.0 0

Not covered by holidaypay rule

A.?

, OvERrrur PRy(Artlclo 87)

A. Datin ltlon

OvBrlime pay refers to the additional compensalion for workperformed beyond eight (8) hours a day.

B. Coverago

. Same as those covered under 3, premlum pay.

C. Overtimo Pay Rates

The COLA shall not be included in the computation of overtimepey.

..The mi m:lm ovettime pay rates vary accoding lo lhe day th€overtime work is performed, as follo$/s:

1. For work in excess of eight (8) hours performed on ordinaryr,vorking days: Plus 25% of the hourly rate,

17

3. For work in excess of eight {8) hours perflrmed on a rcgutarhollday: Plus 30% of the hourly rate on said days.

4. For work in excess of eight (8) hours performed on a regularholiday vyhlch falls on a schoduled rest dav: plus 307o of thehourly rate on said days.

D. Stlpuleted Ovortime Rates

Generally, the premium pay for work performed on resl days,special days, or regular holidays is included as paft of the regularrate of lhe employee in the computation ol overtime pay for overtime'.vork r€ndsred on said days, especially if the employer pays only theminimum overtim€ rales prsscribed by law.

The employees and employer, however, may stipulale in theircollective agr€ement lhe payment for overtime work at rales higherlhan lhose Drovided bv law.

16

2. For work in excess of eightsch€dulsd rest day or a specialra(e on said days.

(8) hours performed on aday; Plus 30% of the hourly

Soctolllndustry Ralo Amounl

Non-sgricullure P404.00P404/8 r 200% r 130% = P50.50 x200% x ,|30l( r numbaa of hourEOT nork

R6lail/Servlcs Eslablishmentemployin0 l6st lhan 10 worfters P367.00 Nol coyered by lhe rllo on holiday

Day

S6clo../lndt,stry Rala Amounl

Noo-agricullure P104.00P404/8 x 260% r 130%: P!0.50 x260% r ,|30* x numb6. ol hour.Ol work

Rstail/Service Esleblishmenlemployinq less than 10 workers P367.00

Nol cov6fed by th€ r!lg on holldayDav

Soctorllndustrv Rate AmounlNon-agriculturs P404.00 P104/8 x 12570 = P50.50 r 125* x

numbof ot hou.! OT worlRstail/Sorvic€ Establishment P367.00 P367/8 x 125%. P15.88 r 125% x

numbar ol hour3 OT rvoik

Soclorllnduslry Ralo Amount

Non-6g.icullure P104.00P401i8 x 130% x 130% = P!0.50 r130% r ,|30% x nurnbor of hou13OI worl

R€lail/S€rvlce Estsb/ishment P367.00P367i8 r 130% x 130% = pl5,Eg ,130% x 130% x numb.r of hour.OT wo.k

18

)

Ntcur SHtrr DrrrtRrrurrRl(Articte 861

A. Defin ition

Nighl .Shift Differentiat (NSO) reters to the additionalcompensatron ol len perceot (100/.) of an employee.s regular wEgefor each hour of work performed beiween t 0 p.m. and 6 a.-m.

B. Coverage

This benefit applies to all employees except:

1. covernmenl employees, whether employed by lhe Na onalGovernmenl or any of its p0lilical subdivi;ion, i".l"Ai"" if,"..€mproyed In gov ern me nl_owned and/or conlrolled corpoiationswilh original charlers or created under special lawsi

2. Those of relail and service establishments regrl"riy emptoyingnot more than Five (5) workers;

3. Househelp€rs and persons in the personal service of another;4. Managerial employees, lf they meet uff of fn. fotfo*ing

co nd ition s:4.1 Their primary duty is lo manage lhe establishment in*1i..|| tl'uy are emptoyed oi of a departmenl or

subdrvision thereol;4.2 They cuslomarily and regularly direct lhe work of two or

more employees lherein;4.3 They have the authority to hire or fire olher emploveesol lower rank; or their suggestions and

recommendations as to hiring, firing, and promolion, orany other. change of status of oiher employees aregtven parlicular weiohl.

5. Officers or members of a rianagerial staff, if they perform thefollowing duties and responsibilittes:

5.1. Primarily perform work direc y related to managementpolicies of lheir employer;5.2 Customarily and regularly exercise djscrelion andInoependent ludgment,5.3 (a) Regularly and direc y assisl a proprietor 0r

managerial employee in the management of theestablishment or subdivision thereof in which he or shels employed; or (b) execule, under general supervision.

19

work along specialized or technical lines requiringspecial training, experience, or knowledge; or (clexecute, under gensral supervision, specialassignments and lasks; and

5.4 Do not devole more than twenty percent (20%) of theirhours worked in a workweek to activities which are notdirectly and closely relaled lo the performance ol the

^ ,. .. *ork described in paragraphs S.1, S.2, and 5.3 aboveio. rrer0 pers0nnet and lhose whose time and perf0rmance are

unsuporvised by the emplo yer.

C. Computation of Night Shift Dilfsren al

The COLA shall not be inctuded in the computation of night shiftpay. The lable below may be used to guide computations:

Work or: Par eouals

Ordinary day 100% ot 1Sonday or r€sl day 130% of 1.3Special day j30% or 1.3Special day lailing on rest day t50% or t.5Regular Holjday 200o/o ot 2Regular Holiday talltng on resl day 260% ot Z 6uouote no day 300% or 3Double holiday falting on rest day 390yo or 3.g

ordinary day, nighl shift 1 x 1.1 = 1.1 or il00/oResl day, night shift 1 3 x 1.j = t.a3 or ta3y"Special day, night shift 1 .3 x 1.1 = t .qe or UiiiSpecial day, rest day. night shrft 1 5 x 1 1 : f.Ot o, idiilHegurar Hoflday, night shilt 2 x 1.1 = 2.2 or 220%Regular Holiday, rest day, night shitt2.6 x | 1 = 2.86 or 286%uoubre hotiday. night shift 3 r 1.1 = 3.3 or 330%Double holiday, rest day,night shift 3.9 x 1.1 = t.2g or 42iiiordinary day, overlime {oT) 1 x 1.25 = 1 .25 ot 125%t{esl dey. over{ime 1 3 x 1 3 = t.6g or 169%Special day, overtime i 3 x 1.3 = f .OS or tiii"Special day, rest day, overlime 1.S x 1.3 = 1.9b or l93%Regular Holiday, overtime 2 x j.3 = 2.6 ot 260%Regular. Holiday, rest day. overtime 2 6 x 1.3: 3.3g or 33Sduouble holrday, overlim€ 3r13 =3.9 or3g0%Double holiday, rest day, overtime 3.9 x 1.3 = 5.07 o, t0ii;Ordinary day, nighl shifl, overtime 1 x 1.1 x 1 .2S = 1 .375 ot 131-S%Residay, night shifl, ove(ime 1.3 x 1.j x r.l = r.OSS or fSi.gilSpecial day, night shifl, overrjme 1.3 x 1.1 x r.3 = 1.8Si ;, t8;.dspeciarday,restday,njghrshjtt,oT 1.5 x 1 I x 13=liia ;,ii;.;E"

20

R€gular Holiday, night shift, OT 2 x 1.1 x 1.3 = 2.86 or tB6%Reg. Holiday, resl day, nightshifr, OT 2.6 x 1.1 x 1.3 = 3.718 or 371.8%Double holaday, night shift, OT 3x1.1 x1.3 = 4.29 ot 129%Double holiday, restday, nightshift, OT 39x 11x 1.3 = 5.577 0r557.7%

Thb minimum night shift pay rates vary according to the day thenighl shift work is psrformed.

'This value may be sub6tltuted bared on the above rstes dependlngon th. day th€ nlght 3hlft tvork i! psrlorrnsd.

21

6

CHnncrs(Article 96)

A. Sharing

All rank-and"file employees of employers collecting servicecharges are entitled lo an equal share in the eighty-five percent(857o) of lhe total of such charges. The remaining fifteen percent(15%) of the charges may be retainod by management to answer forlosses and breakages and for disl(ibulion to manageial employees,at the discretion of the management in thB latter case. Servicecharges are collected by most holels and some reslauranls,nighlclubs, cocktail lounges, among olhers.

B. Payments

The shares of the employees in lho service charges shall bedistributed to lhem once every lwo (2) weeks or twice a monlh atintervals nol exceeding sixteen (16) days.

Where the company stopped collecling servjce charges, lheaverage share previousfy enioysd by lhe employees lor the pasttwelve (12) months immedialely preceding such stoppage shall beinlegrated into their basic wages.

C. Tlps

Where a restauranl or similar eslablishm€nt does not. collectservice charges but has a praclice or policy of monitoring andpooling tips given voluntarily by its customers to its employees, thepooled tips should be monitored, accounted, and dislribut;d in thesame nanner as the service charoes.

Srnvrcr

Sector/lndu strv Rate Amount

Non-agricullure P404.00 P404/8 r r110% : P50.50 x.t.t0% xnumbar of houts work

Retail/S6rvice Establishmefl Ismploying less lhao 10 workers P367 00

P367/8 x r11oyo = P45.88 r t 10% r

numb.r ol hours work

22

3.4 Do not devote more than twenty percent (20%) of theirhours worked in a workweek to activities which are notdirectly and closely r€lated lo the performance of thework described in paragraphs 3.1, 3.2, and 3.3 above;

4. Field personnel and those whose time and performance isunsupervised by lhe employet'

5. Those already snjoying this benefit;6. Those enjoying vacation leave with pay of at least fiva (5)

days; and7. Those employed in establishmenls regularly employing less

than ten (10) smployees.

B. Meaning of "o|le year of seryice"

The phrase'one year of service'of the employee means servicer,^,ithin twelve (12) months, whether continuous or broken, reckoriedfrom the date the employee slarled working. The period includesaulhorized absences, unworked weekly resl days, and paid regularholidays. lf through individual or collective agreement, c0mpanypractice or policy, the period of the working days is less than twelve(12) months, said period shall be considered as one year for thepurpose of determining the entitlemenl to the sorvice Incenliveleav e.

C. Usage/Conversion to Cash

The service incentive leave may be used for sick and vacationleave purposes. The unused service incentive leave is commutableto its money equivalent at the end of lhe year. In computing, thebasis shall be Ihe salary rate at the date of conve16ion.

The use and conversion of lhis benefit may be on a pto talaba sis. d

lltuskalion: An employee was hired on 1 January 2000 andresigned on l March 2001. Assuming that he/she has not used oIcommuted any ol his/her accrued SlL, he/she is entitled to theconversion of hisiher accrued SlL, upon his/het resignation, as

follows:

SIL earned as of 31 December 2000Proportionale $lL for January and February 2001

(2/12) x 5 daysTotal accrued SIL as of 1 March 2001

5 days

0.833 dav5.833 days

7

lrucrrutrvr Lenvt(Article 95)

A. Cov6rag€

Every employee who has rendered al leasl one (1) year ofservice is enlitled to Service lrtcenlive Leave (SlL) ol five (5) days.wilh pay.

' This benefit applies to all employess except:

1. Governmenl employees, whelhsr €mployed by lhe Nalionalcovernment or any of ils political subdivisions, includino thosegmployed in governmenl-owned and/or conlrolled corpo-ralionswith original chartsrs or crea{ed under sp€cial laws:

2. H0usehelpers and persons in lhe personal servlce 0f another:3. Managerial employees, if they meet all of the following

cond ilion s:3.1 Their primary duty is lo manage lhe esiablishment in

which they are employed or 0f a department orgubdivision thereof:

2.? They customarily and regularly djrecl lhe work of two ormore employees lherein;

2.3 They have the authority to hire or fire oth€r employeesof lo',ver rank; or their suggeslions andrecommendations as to hiring, firing, and promotion, orany other change of status of olher employees aregrven parlicular weighl.

3. Officefs or members of a managerial staft, if lhey perform thefollowing duties and responsibilities:

3.1 Primarily perform work directly related lo managemenlpolicies of lheir smployer;

3.2 Customarily and regularly exercise discretion andindependent judgmenti

3.3 (a) R€gularly and direclly assist a proprietor ormanagerial employee in the management of lheestabfishment o( subdivision lhereof in which he or sheis employed; or (b) execule, under general supsrvision,

',vork along specialized or technical lines requiringspecial training, experience, or knowledge; or (c)execule, under general supervision, specialassignments and tasks; and

SrRvrcr

dBased on ths opinion of DOLE Legal Servic€.

24 ')^

8

MRrrRrurry Lrnvg{RA 1161, a$ amended by RA OZ82}

9

PRrrRrurry Lrave(RA 8187)

A. Coverage

,Paternity Leave is granted lo all married male employees in theprivate seclor, regardless of their employment stitus (e.g.,probEtionary, reguiar, contraclual, project basis). The purpose ofthis benefit is to allow lhe husband to lend support l0 his wife durinoher period oI recovery and/or in nursing her newborn child.

. Governmenl employees are also entiued to the paternity leavebenefit. They shsll be governed by the Civil Service rules.

B. Th€ Paternity Leave Bonefit

. Paternity leave benefit shall apply to lhe first four (4) deliveriesol lhe employee s lawful wife with whom he is cohabiting. For !hispurpose, cohabiting' means the obligation of lhe husband and wifelo live togelher.

lf lhe spouses are not physically living togelher because of theworkstation or occupation, lhe male employee is still enti ed to thepaternity leave benefit.

fhe palornily ieave shall be for seven (i) calendar days, wilh fuilpay,^consisting of basjc sslary and mandatory allowancis fixed bythe Regional Wage Board, if any, provided that nis p"y sha not b;less lhan the mandat€d minimum wage.

Usage of the palernity leave shall be after the deliverv. witiroulprejudice to-an Bmployer's poticy of allowing the employel to availol the benelit before or during the delivery, provided that the lotalnumber of days shall not be more than seven {7) calendar days foreach covered delivery,

C. Condltions foj Entitloment

, A,married male employee shall be enti ed to paternity leavebene|itpfoVidedtha|hehasmetthefol|owingcondilions:

'1. He is an employee at the time of lhe delivery of his child:

I

I

A. Coverage

This benefil appljes to all female employees, whether married orunmarried.

B. Entitlement

tvery pregnant employee in the private seclor, whether maffiedor unmar|ied, is enti ed to maternily leave beneFit of sixfv (6Ot divsin case ol normal delivery or miscarriage, o, ,eu"nlvleioti ti'gloays, rn case of Caesarian seclion delivery, with benefiti eq-uluuiunfto one hundred percent (100%) of the aveiage daity salary creOit oitne emptoyee as defined under the raw.

. To be entitled lo the maternity leave benefit, a fenale emDloveeshould be an SSS member employed at the tjme of her deliverv oimrscaffragei she must have given the required notification to theD5s Inrough ner employet; and her employer must have paid atleasl lhree monthly conlributions to the SSS *lthin the t*elve'-moninperiod immediately before the dale of the contingency 1i.e.,'childbirth or miscarriage).

- The {aternity^leave benefit, like other benefils granted by theSocial Security.System (SSS). is granted to employees in lieu of

il_9ll .lnrr, rhrs may not be inctuded in compuring the employee.srnrrreenlh-month pay lor lhe calendar vear

26

2. He is cohabiling wilh his spouse at the time that she givesbirlh or suffers a miscarriage

3. He has applied for paternity leave with hls employer v,/ithin afeasonable period of time from the expected date of deliveryby his pfegnant spouse, or within such perlod as may beprovlded by company rules and regulatlons, or by colleclivebargaining agreement; and

4. His wife has given birth or suffered a miscarriage.

D. Appllcallon for Palernity Leeve

The married male employee shall apply for paternity leave withhis employer within a reasonable period of time from the expecteddale of delivery by his pregnant spouse, or within such period asmay be provided by company rules and regulations, or by collectivebargaining agreement. In case of a miscarriage, prior applicationfor palernily leave shall not be r€quired.

E. Nonconversion lo Cash

In the evenl thal the palernity leave is nol availed ol. it shall notbe converlible to cash and shall not be cumulative.

F. Credlting ol Existing Ecns{lts

1. lf the exisling palernity leave benefil under the collec vebargaining. agreement, con(ract, or Company policy is grBaterthan seven (7) calendar days as provided for in RA 8197, lhegrealer benefit shall prevail.

2. lf the exisling paternity teav€ benefit is less than thal providedin RA 8187, the employer shall adlust lhe existing benelil tocover the difference.

Where a company policy, contracl, or collective bargainingagleemenl provides for an emergency of contingency leavewilhout specific provisions on palernity leave, the employershall granl to the employee seven (7) calendar days ofpaternity l6ave.

l0PRnrrurRt LEAVE FoR SoLo PRRrrurs

(RA 8er2)

A. Coverag6

Parental leave for solo parents is granled to any solo parent orindividual who is left alone with lhe responsibility of par€nthood dueto:

1. Giving birth as a resull of rape or, as used by the taw, othercrirnes against chastityi

2. Death of spous6;3. Spouse is delained or is serving senlence for a criminal

conviclion for al least one (1) y6ar;4. Physical and/or menlal incapacily of spouse as certified by a

public medical practilioner;5. Legal separation or de facto separalion from spouss for at

least one (1) year: Provided Ihat he/she is eirtrusted with thecustody of the children;

6. Declaralion of nullity or 8nnulmenl of marriage as decresd bya court or by a church: Provided, that he/she is 6ntrusted withlhe cuslody ol lhe children;

7. Abandonment of spouse for at least one (1) year;8, Unmarried father/mothsr v,,ho has preforred to keep and. rear

his/her child/childfen, instead of having olhers cars for them0r grve lhem up to a welfare inslilution;

9. Any olher person who solely provides parental care andsupport to a child or cliildren: Provided. that he/she ia dutvlicensed as a fosler par€nt by th€ Department ot SocijtWellare and Developm€nt {DSWD) or duty appointed tegalguardian by the courl: €nd

10. Any family member who assumes the respbnsibility of hoad offamily as a rosull ot thB death, abandonmenl, disappearance,or prolonged absence of lhe parents or solo parenl: Provided,that such aband0nment, disappearance, or prolonged absencelssts for at least one (1) year.

B. Definltlon of Torm8

'Parental leave'shall msan leav6 benefits granted lo a soloparent to €nable him/her to perform par€nlal duties andresponsibilities where physical prssence is required.

27

28

'Child'refers lo a person living with and dependent on lhe soloparent lor support. He/she is unmarried, unemployed, and beloweighteen (18) years ol age, or even eighteen (19) years old andabove but is incapable of sel(-support because he/she is mentally_and/or physically-challenged.

G. The Par€nlal Lseve Beneflt

The parenlal leave, in addilion to leave privileges under existinglai,vs, shall be lor seven (7) work days every year, with full pay:c0nsisting of basic salary and mandatory allowances fixed by thiRegional Wage Board, if any, provided that hisiher pay shall not beless than lhe mandated minirnum waoe.

D. Condillons tor Entittem€nt

A qolo parent employe€ shall be entitled to the parenlal leave.provided that:

1. He/she has rendered at least one (i) year of service, whelherconlinuous or brokenl

2. He/she has notified his/her employer that he/she will availhimself/herself of it, within a reasonabte period of Iime; and

. 3. He/she has presented to his/her employer a Solo parentldentification Card, which may bs obtained from the DSWDoffice of lhe city or municipality where he/she resides.

E. Ilonconversion lo Cash

In lhe evenl that the parental leave it not availed 01, it shall notbe convertible lo cash, unless specifically agreed on previouslV.

F. Credillng of Existing Leavs

lf lhere is an existing or similar benefit under a company policy ora collective bargaining agreemenl, the same shall be ciedited'assu_ch. lJ the same is greater than the seven (7) days provided for inRA 8972, the greater benefit shall prevart.

.Emergency.. or contingency Ieave provided under a companypolrcy or a colleclive bargaining agreemenl shall not be credited aicompliance wilh the parental leave provided for under RA g922.

29

G. Termination of the Eenetit

A change in Ihe slatus o. circumslance of the parent claiming lhebenefit under the la\/, such that he/she is no longer left alone wilhlhe responsibility of parenthood, shall terminate his/her eligibility forlhis benefit.

H. Protection Against Work Discrimlnation

No employer shall discriminate against any s0lo parenl employ€e$]ilh respect 10 terms and conditions of employmenl on account ofhis/her being a solo parent.

3031

11

Lmvr ron Vrcrrvs or Vrolrruce

AGATNST Wourru

Rllo THtrn CHrloReru(RA 9262)

A. Dsfinilion

"Violence against women and I

l:t ?262, (rhe."Anri,viorun"" Ae,;l;i';il'#ff il#t;,,1,"J""^'li

ur 4uu4 ,, rerers l0 any acl or a serjes oi acls commjlled by anvperson against a woman who is his wife, former wiFe, or'rg"inJ i

ljii"x.il ;i JT,?. f,'" JT.i"lX' ":L i:l ; ::y:#'3l ,l:lchild wh€ther legitimate or iltegitimate, wittrin or wiinoutitre iamiivabode, which wi resutt in or ii lt<ety i" ,.rrffi. p'n1,J..i,i"rr.i

psychological harm or sufferino

lit*' ;:' it ol o ililiii' I ;

""1' :

"T'T";''

l:: :' #.,*i :?

8.. Coverage and purpose

_. Pjiu^1t...gglo, women emptoyees who are victims as defined in

;flilXili:li":*Lli';tri:.il: o"'o reave benerit under such terms

. The leave benefil shall covef the days that lhe woman employeehas lo atlend lo medjca, and logal aoncerns.

C. Req u lrement for Entillement

. Tr be entitled to the leave benefjl, lhe onJy requjremenl js for lheI'_"]lTl:rp|".y"." to present ro her emptoyer a cerrificalion trom the

ii'i:i;:r ;:;:: #;"1''1;3:3,,3t;?ifl :,1 .il "?t:tfl::. i;:"."j,,1may be, that an action relative lo the matter is pending.

D. Thc Benefit

In addilion to other paid leaves under existing labor laws,company policies, and/or collective bargaining agreements, lhequ-alified victim-employee $hall be enti ed lo a-teaie of up to .ten(10) days with full pay, consistrflg of basic salary and mandaloryallowances lixed by the Regional Wage Board. if any.

The said leave shall be exlended whe'n the need arises,specitied ;n Ihe proleclion order jssued by the barangay orcourl.

E. Usage of tho Benefit

The usage of the ten-day leave shall be at the oDtion of thewoman employee. ln the event that the leave beneltt is nol availedof, it shall not be convertible into cash and shall not be cumulative

aslhe

32 33

T2

SPECIAL LEAVE FOR WOMEN(RA e7r 0l

A. Covsrrg.

Any female employee regardless ol age and civil status shall beenlitlsd to a special leave bdnefit under such te(ms and conditionsprovided hsrein.

8. Oeflnillon of Term

'Gynacological disorders, refers lo disordors thal would requiresurgical proc€dures such as, but not limiled to ditalation andcurellage and lhose involving female reproductive organs such airne vagtna, cervtx, uterus, fallopian Iubes, ovaries, breast, adnexaand pelvic lloor, as cerltfied by a comp€tent physician. lt shall alsoInclude nysler€clomy, oyarieclomy and masleclomv.

C. Condltloni (or Enlitlernont

1. She has rendored at least six (6) morths conlinuous' aggregale employflenl service for the last lwelve 112)months prior lo surgery;

2. She has liled an application lor special loave with heremployer vrithin a reasonable period of time lrom theexpecl€d date of surgery or within such period as may beproyided by company rules and regulations or colleitivebargaining agfeement; and

3. She has undergone surgery due to gynecol0gical disordersas certified by a compelent physician.

D. The Spocial Leaye Banetit

Ihe ernploy€e is enlilled to special l€ave benefit of two (2)monlhs with full pay based on her gross monlhly compensation.

Gross monthly compensalion refers to the monlhly basic pay plusmandetory allowances lixed by the reoional wage boards.

E. Usage

. The special leave shatt be granted to the qualilied employee alter.she has underg0ne surgery without p(eiudice to an employeiallowing an employee lo receive her pay before or during ihesurgory.

F. Nonconverslon to Cesh

The special leave shall be non-cumulative and non-convertible tocash unls6s olherwise provided by a collective bargainingagreement (CBA).

34

A. Coverage

,''ii'":il|i"#"; ;;;':"1T;i"j: :11,''j";:,l,::*.;',i#"";T,'J;;:.,:an0 trrespeclive of the methods by which their ""0", ir"'o"idprovided they worked for al teast one {1) monih Orriig "i.fu;i,year. The thirteenth-month pay should bi given to itri;;;;y;;not later than Dec€mber 24 ol every year.

B. oeflnlttor of Rank.and.Fits Emproyees

The Labor Code, as amended, distinguishes a rank-and_file

:T:|:IT f-r".* a manageriat ernployee. n,*rgrif "rpr";"" i.one wno is vested with powers o, prerogatives to lay down andexecule management policies and/or to

-t,lr", transter, srsp"nOi

ft-!{!if J,rffi""x";n,"J"n".;:n*nJ;"1:...,i*:tlrtl*ii":;,.rfalling within lhis definition are coniidered rrrt_unJ_fil" Jrfifo},"u.l'

. Th€ above dislinction shall be used as guide for the 0uroose oldetermining who are rank_and_fite empioyees .rriif.J i"-ifi"th irtee nlh -month pay.

C. Minlmum Amount

. The thirteenth-month pay shall not be less than one_twelfth (ti 12tof lhe lotat basic satary earned by an emproyeein a iar.rl'ji'v|",.''

.. The "basic salary' of an employee for lhe purpose of computingthe.thirteenth.month pay shall lncluoe arr remuneraltons 0r earninosparo Dy hrs or her employer for services rendered. lt does n"oirncruce a owances and monetary beneftts which are nol consideredor rnregrated.as part ol the regular or basic salary, such as the cashequlValenl Ol UnUsed vacalion and Sick leave credils. overtimepremium, night shitt ditferentiat and hotiday pay, and cost ol ti;;n;allowance {C0LA). H0r,vever. these salary_related benefits shouliDe Incruded as parl of Ute basic salary rn the computalion ol thethirleenth-month pay if these are lrealed as part of fie fasic sataiv

13

TnIRrreltrH-MoNTH PAY(PD 851)

35

of the employees, through individual or colleclive agreement,company practice or policy.

D. Erempled Employ€rs

The following employers are nol covered by pD B5.l:

1. The government and any of its political subdivisions, includinggove rnm e nt-owned and conlrolled corporalions, excepl lhosecorporations opetating essentially as private subsidiaries oftne governmenl;

2. Employers who are already paying their employees Ihirteenth-monlh pay or more in a calendar year or its equivalent at thelime of lhe issuance of PD 8S1;

3. Employers of househelpers and persons in the oersonalservice of another in relalion lo such workers; and

4. Employers of lhose who are paid on purely commission,boundary or lask basis, and lhose wh0 are paid a fixed amountfor performing specific work, jrrespeclive ol lhe time consumedin lhe performance thereot (excepl lhose workers who are 0aidon ptece-rale basis, in which case lheir employer shall grantthem thirte enth- month pay).

As used herein, "workers paid on pisce-rate basis" shall refer tolhose who are paid a standard amount fol every piece or unit ofw0rk pr0duced lhal is more or less regularly replicated, withoutregard t0 the time spent in producing the same.

The lefm "ils eqoivalenl" as used in ltem D.2 ab0ve shall includeChrislmas bonus, midyear bonus, cash bonuses, and olherpayments am0unting to not less than one-twelfth (11.12) ol the basicsalary but shall nol include cash and stock dividends, cost of llvinoallowance, and all olher allowances regularly enjoyed by thJemployee, as well as nonmonelary benetits.

E. Time of Payment ot Thirteenth.Month pay

The lhirleenth'rnonlh pay shall b€ paid nol laler than December24 of every year. An employer, however, may give lo his or heremployees one-hall (1/2) of the thirteenth-month pay befo(e theopening of the regular school year and lhe remaining half on orbefore oecember 24 of every year. The trequency of paymenl oflhis monelary benefit may be lhe subi.ct of an agreement between

36

ff i#::"r|t'and the recogni'edlcolleclive bargaining agent or the

F. Thlrtoenth.Month pay for Co.tatn Types of Employees

1 Employees who are paid on piecework basis are €nli ed toIne thtrleenlh,monlh pay.

2. Employaes who ar6 paid a fixed or guaranleed waoe oluscommission are als0 enli ed to tne -ttr

irfee n fn - monitr Ial:l:""L:,1 ,rheir

earnings.during the carendar year (i.e., o,noorn rnerr ttxed or guaranteed wage and commisiion|.

In lhe consolidated cas€s of goie Takeda Chemicals. tnc.vs..Dio.nisio de ta Se"aa, G.R. No. S2174 O"."rOu, iO,lS9i.and phitippine Fuji Xercx Cotporcton ,s Crii"niilno-i'frajano md phitippine Fuji Xercx trptoy"u," t;;;;:';.i. N;.rudDDl uecember '|0, .1993, the Supreme Court ruled thatcommissions, while inctuded in the generic i;; ";;;. ;;;not part of "basic salary/wage" and therefore strouta-not lerncruoed In c0mpUtirg the ihirteenth,month pay. Thus:

In remunerative schemes consisling of a lixed orguaranleed wage plus commission. lhe liied or quaranteed. wage ts paten y the "basic salary" for this ij what th€employee rgceives for a standard work Deriod.. Commissions are given for extra efiorls errriJ "i"consummatinq sates or olhe, relaled transactions. The;are, as such, addjtionat pay, which this Court has maJic,ea. do not form part of the ,basic salafy, (rrd Sa-RA 3;;l1e e3j).

3. Employees wilh multiple emploVers

.Government employe€s working parllime in a pfivaleenrerprise, including private educaaional inslitutions, as weii1::rnployees working in lwo or rnore private tirms, wnettreion rult_rrme or parl-iime basis. are en ed to the thirteenlh-J.nolth

pay from a their privale empt0yers, ,"griJfL.;';ftheir lotal earnings from each of their empioyers.

G. Thirteenth -fil onlh pay ol Resigned or Ssparaled Employee

. An employee who has resign€d or wnose servlce8 are Ierminaledl::t,lT:_*1:,. the.rime o-r p.ay$enr of rh" rh;i;.;i; ;;;;;i;';;;rs enuUed,to this monelary benefit in proporlion to lhe lenolh of tim;he or she has worked during the year, reckoned from the;im; h; o;

she has slarted working during the calendar y€ar up to the time ofhis or her resignallon or lerminati0n from the service. Thus, jf he orshe worked only from January lo Seplember, hib or herp.oportionate thirteenth-monlh pay should be equat to one-twelfth(1112) ol his or her tolal basic salary earned during lhat p€riod.

H. Non-inclusion in Regular Wage I

The mandated lhirtsenlh-month pay need nol be credited as partol lhe regular wage of employeos for purposes of detFrminingovortime and premium payments, fringe benefits, as well ascontributions lo the State lnsurance Fund. Social Securily Syslem,National Health Insurance Program, and private retirement plans.

38

t4SrpnRarroru pRy

(Artictes 2B3.8itl

..99p.r?l]9n pay is given to ernployees in instances covered bvArlicles 2d3 and 284 ot lhe Labor Code of the plifippi*.. ii,employe_e's snliUement lo separalion pay depends on ff,Jiur.o"

",ground tor Ihe lerminalion of his or her services. An emplovee mavbe lerminated for just cause (i.e., gross and habrtuat r|".f!.i"iOri"lrrau0, or c0mmission of a crime), and other similai causes atonumeraled under Article 282 of lhe Labor Code ,nO, q"nuri u. rnrJnot be.entitled to separarion pay.€ On the other laiJ.;;;;; i;;terminalion is lor authoriz€d causes, separation pay is Oue.

- - ' -

A. One.Halt (1/21 Month pay per year of Service

An employe€ is enti ed lo r€ceive a separation pay equjvalent loone-half (t/2) month pay for every year of service, j frj"fr" oi uf.reasl stx (tj) monlhs being considered as one (1) whole vear ifnrs/ner separation ffom lhe service is due to any ot tne toitowinjaulhorized causes:

'1. R-elrenchmont to prevent losses (i.e., reduction of p€rsonneleffected by management lo prevent losses):

2. Closure or cessation of 0peration of an establishment not dueIo se ous losses or linancial reverses: and

3 rylln lhe employee is suffering from a disease nol curablewithin a period of six (6) months and nislnei lonfinuelemproyment is prejudicial to his/her heatth or to lhe health ofhis/her co-employees.

In no case will an employee gel less than one (1) monlhseparatr0n pay it the separation is due to lhe above slated'causes.an0 ne/she has served for at least six (6) months.

Thus, if an employee had been in the service for at least slx f6)monlhs but tess than a year, heishe is enri eJ t. .*'fii'frji

39

m0nth's pay as his/her separalion pay if his/her separation is due toany of lhe causes enumeraled above.

B. One.Month Pay per year of Ssrvlce

An employee is entiUed to separation pay equivalent to his/herone"month pay for every year of s6rvice, a fraction of at least six {6)months being considered as one whole year, if his/her separationfrom service is due to any of the following:

1. fnstallation by enployer of labor-sav,ng devjces;2. Redundancy, as when lhs position oflhe employee has been

found to be excessiv€ or unnecessary in the operation of lheenterprise; and

3. lmpossible reinstalement of lhe smployee to his or her formerposltion or to a substantially equivalent posi on for tsasonsnot attribulable to the faull of the employer, as when lhereinstatement ordered by a competent aulhority cannot beimplemented due to closure or cessalion of opera ons of thde sta blishmen Uem ploye r. or lhe position lo which h6 or she islo be reinstaled no longer exists and there is no substantiallvequivalenl position in the establishment to which he or she canbe assigned.'

G. Notlce of Terminallon

The employer may lerminate the employmenl of any employeedue to lhe above-menlioned aulhorized causes by serving a wriitennotico on the employee and the Department ot Labor andEmployment lhrough its regional office heving jurisdiction over theplace of business al least one (1) month before lhe inlended datethefeof.

H. Basls of Separation pay

The compulation of separation pay of an employee shall be basedon his/her latest salary rate.

l. IncluElon ol Rsgular Allowancs in the Computstion

In the computation of separation pay, it would be error not tointegrate the allowance with the basic salary. The salary baseproperly used in compuling lhe separation pay should Include notjust lhe basic salary but also lh6 regular allowances that anemployee has been receiving.e

rGaco vs NLRC, et at., G.R No. t04690. February ZJ, 1994.'Plantsrs'Producls, Inc. vs. NLRC, G.R. No. IBS24, Januatv 20. 1909

Tho.Suprem€ Courl has ruled in cerlain cases rhal soparalion pay Bhall beg,snled lh€ workers.

40 41

0ther benefits may be included in the cornputation of thereliremenl pay upon agreement of the employer and ihe employee orif provided in the Collective Eargaining Agreement (CBA).

C. Rstlremont Bonetits under a Co,lectlve Bargaining Agreementor Applicabls Con(ract

Any employee may relire or be relirsd by hls or her employerupon reaching the fetir€ment age established in lhe c0llectivebargaining agreement {CBA) or other applicable agreement/contracland shall receive the retirement benefits granted therein; provided,however, lhal such retirement benefits shall not be less than theretirement pay required under RA 7641, and provided further that ifsuch r€lirement benefits under the agreement are lBss, the employershall pay the diff€rence.

Where bolh the employer and lhe employee contribute to aretirement fund pursuant lo the applicable agreement. theemployer's tolal conlribulions and ths accrued iDt6rest thereofshould not be less than the lotal retirernent ben€fits to which theemployee would have been enlitled had lhere been n0 suchrelirement benefits'fund. lf such tolal porlion from the employer isless, lhe employe{ shall pay lhe deficiancy

D. Retifement Beiefits of Workers who are Paid by Results

For covered workers who are paid by resulls and do not hsve afixed monthly salary rate, the basis for lhe delermination ol thesalary fot fifleen {15) days shall be lheir avefage daily salary (ADS).The ADS is derived by dividing the tolal salary or earnings lor thelast twelve months reckoned from the date of retiremenl by thenumber o{ actual w0rhing days in lhal particular period, providedlhat Ihe determination o{ rales of paymenl by resulls are inaccordance wilh lhe established regulalions.

E. Retirement Benefit of Patt.time Workers

Part-time workers are also entitled to retirement pay 0f "one-month salary" for every year of service under RA 7641 aftersatislying lhe following condilions precedent for optional reliremenl:(a) there is n0 relirement plan belween the employer and theemployee and (b) {he employee should have reached lhe age ofsixly (60) y6ars, and should hav€ rendered at least five {5) years ofservice wilh the emDlover.

l5RTTIREMENT PAY

(Article ?87, as amended by RA 2641,

A, Coyefage

1. Employees sha be retired upon reaching the age of srxly i60,years or m0re but 0( beyond sixty_fiv€ {6b) years old [andhave served the establishment for st leasl five (S) yearsl.

2. This benetit applies to all employees except:

r) government employees,,2) employses ol retail, servicg and agricultural

establishments/operations regularly employing-nol moreihan ten {10) employees.

B. Amount of Retirement pay

The minimum retirement pay shall be equivalent lo one-half (1/21month salary for every year 0f service, a fraction oF at teast sii f6jmonlhs b6ing considered as one {1)whole year.

.For Ihe purpose 0f computing reliremenl pay,,'one_half monthsarary shalt inctude all of the fo owing:

1. Fift€er (15)days salary based on the taiest satary rate;2 Cash equivalent oi five (5) days of service incenlive leave;3. One-lwelfth (!/12) of lhe thirteenth-month pay.. {'tt12 x 365/12 : .083 x 30.41 = ?.S)

,^, Thus, "one-hall monlh satary' is equivalenl to 2A.S days (Capitoi

wrreress, Inc vs. Honorable Secretary Ma Nieves R. Confesor, G.R. No. 117174, Novenber 13, 1S96).

The COtA shall not be inctuded in the computalion oI fetirementpay.

lllustrarlon:

Minimum Reliroment pay = g"i1t Rale x 22.5 days x number ofyears in service

42

retiremenlet least in

s nder

43

. Agllyils the foregoing pnnciple, the components of::l_.lll,"l parl\lifle. workers rnay tikewise be compuredptoportron lo the salary and rela(ed benefits due them.

E I-"-,!r:T.i, Benefit ot Underground Mine EmployeesKepubtic Act 8558

t6Brrurnts UruorR rHe EMptoyres'

Corrl prrusnrroru Pnoc RRn,t(PD 626)

A. The Employees' Conpensalion program

Tha Employees' Compensation Program (ECp) is a governmentprog(am designed io provide a cornpensalion package to public andprivate sector employees or thsir dependents ia ths ev€nt of work-related gickness, injury, disability, or deaih.h

B. Coverage

The ECP covers all workers in (he formal sector.

Coverage in lhe ECP starts on the fjrst day of emptoymenl_

Employee$ in Ihe private sector who are registered members oflhe. Social Security System {SSS), except self-employed workersand voluntary members ol the SSS.

C. The Benotits

Loss of incone benefit or I cash benefit given to a worker locompensale for losl income due to his or her inability to work.

M€dlcal benefits which include the reimbursemenl of the cost ofmedicine for the illness or iniury, paym€nts to providers of medicalcare, hospilal care, surgical expenses, and lhe c0sts of appliancesand supplies where Recessary. The medicat service$ ar€ iimiled toward $ervices of an accredited h0spital.

Rehabilitation services which inctude physical therapy,vocalional training, and special agsistance provided to employees

hFor more inlormalion, please writ€ or call lhe Employ€es, ColnponsatlonComnlssion (ECC), lnlormation and publtc Assistaoce Oi;i$ion. locaied at 355Sen. Gil Puyal Ave0ue, l\4akati City. Tetephone Nos. Egg-4251 lo 52 locals 227and 22U Fat: 897-7597 Public Assisteflce Coflter ipAC) Telephone No 899-4251. Enail: ecc_mail@yahoo,com. W€bsile: wwu.ecc.gov.ph

:d:q{!i:T[r'i:.:l :?:.'?:",, lf ,.ii,f , jsi,".'.""".,

Ji,1l, iiil+ii: il!i:J"?,'"",,iil":i"'l{,fi i,:1":*1[I:." J"-i;i,.xl J,flxi,iXl,'i;,.iiiii;,lil"il'i. o,iliu;,illlif 'iil l,li?i" ru,*n:purpose of seafching For and extracting mineral deDosils.

g:",x.','r'Si:TJ.l";[;l'"#il';::,"Jl"J#fl fi :'ff PJ;:Si

iilfi il?ryili::;":i#''""J',:,,1i[ol"'i!?,Jy,1,"",""111,,[ltetne.n,ent €t the age of fifly (50) years, provided he/she has ierved

:", :ir','"",'"', T ; jtl, fi :':, "-', uul,. *lTs r o u n d m I ne .' p r o v u' o i l'

G. Othef Benefits upon Retireme t

Ihe retiremenl benefils under Rtand disrinct rrom rhose sranred by,iJif;,lliffl;3i;;;0",,'

^_!,19.:l tlr,law, upon optional 0f computsory retirement, the

i#ifJ"""",:"::': ;:i' :'"oo'il'ln""o:::;':;liJ: Jl li';i:'j.fi ::'i-:i:benefils.

44

llij::lri! a.disabilily as a resutr of sickness or iniury arising ouror emptoymenl. The objective is to develop the wbrkers, me-nlalvocational, and social potential and to help them ,ar"in '".

productive members of socielV.

Carer's allowan6e which is provided lo an employee who suffers: p_.-T.,null t0rat disabitity (pTD) arisjng our of emptoyment rheexlent ol which is such thal he or she could nol on his oi her ownattend to his or her basic personal needs.

Death beneflts which are granted to beneficiaries of anemployee who dies as a fesull of sickness or tniurv arisino out oiemployment. When a worker on pTD slatus Oies, tris or n"r'p,im",yb€neficiaries shall receive eighty percent (80%) ot his or hei1?,1,TI.

il::T. benefit prus ren percent { l0%) for every dependenrcn o out not exceeding five (S)

D. Kinds of Disablltty

There are lhree (3) types of loss of incom€ beoetits:

_,-T,"rlorrr,t Totat Disabitity (TTD) benefit which is given to anemproyee who is unable lo work for a continuous period noiexceeding '120 days.

Permanent Partial Disability (ppO) benefit which is given to aworker wh0 loses a body part and consequenlly the loss of the us"of lhat body part.

__l:lT.lrl, Torat Disabitity (pTD) benefil whictr is given if rheemptoyees inabilily to work lasts for more lhan 240-days. pTDbenefit can be claimed in the followi g cases:

1. completB loss of sight of both eyes:2. loss of two limbs at or above the ankles or wrisls;3. permanent and complele paralysis of two limbs;4. brain iojury resulting in incurable imbecilily or insanity, and5. such cases as d€termined and approved by SSS.

E. Filing of Ctaims

^_ llOloVees can claim only for work-connecled sickness, injuries,or oealn

45

Who may flle: The claimant or hislher representalive may fils anappropriale claim with the cSlS, in case of public sectorclaimant, or with lhe SSS, in case of private sector claimant.

When: A claim must be filed within one (1) year from the last dayof confinement from the hospital. For homo confinement, il muslbe liled within one (1) year frorn the slart ol illness,

Ho$/: Fill jn lhe prescribed forms supptied by the GSIS 0r SSSand attach the supporting documenls required for everycontrngen6y.

Where: A claim may be ftled at any GSIS branch oflice, torgovernmenl employees, or at any SSS branch office, foremployees in the private seclor.

Period of Appeal. The claimant shatl file wrth lhe GSIS or the SSS,as the case may be, a notice of appeal wjthin thirty (30) calendardays from receipt ol lhe decjsion.

F. Obligatlons/Responsibtlilies otEmployers,

1. Contribution to the State Insurance Fund (SlF). - Theemployer shall contribule in behalf of his or her employ€es tothe SlF, from which payments for benefits are drawn.

2. R€gistration. - Every employer (and every employee as well)shall be registered with the cSlS or SSS by accomplishing theprescribed forms.

3. Safely Devices. - The employer shall comply with heallh andsafety laws and shall take the necessary precautions for theprevention of work-related disability o( death.

4. Employer's Logbook. - The employer is required to maintaina logbook to contain his or her employess' sickness, inluries,disabililies, and deaths. Notification of such 0ontinoencies lolhe GSIS or SSS shatt be made within tive (S) day; from thedate of contingency

5. D€privations Clause. - No conlract, regulatton, or devicewhatsoever shall operate to depriye the employee or his/herdependenls of any part of lhe ECp compensatjon package.

46

1',7It

PHIIHcALTH BENEFITs(RA 7875, as amended by RA 9241)

A. Ihe National Health Insurance program

The National Health lnsurance program (NHlp), forrnerly knownas Medicare, is a health insurdnce program for SSS members andlheir dependents whereby the healthy aubsidize the sick who mayfind Ihemselves in need ot financial assistance when they gethospitalized.

The Philippine Heallh Insurance Corporation or philHealth is themandaled administralor of the Medicare program (now known asryHlll yqer the Nationat Heatth tnsurance elt of tggS {RepubticAct 7875).'

B. Covsrage

The program covers the lo owino

'1. Employdd Members - all those employed in the governmenland pnvate sector.

2. lndividually Payjng Members _ self-employed, overseasFilipino workers, professionals in private pra;tice (doclors,lawyers, dentists, elc. )

5. Non-paying Members - lhe {ollowing are enti ed to liletimec0verage:

' Retirees and pensi0ners of the GSIS and SSS(including permanent lotal disability and survjvorshippensioners of lhe SSS) prior lo the effeclivity ot RA7875 on March 4, 1995

'For inquirjes oI NH]p cove16g6, ben€lit$ and procedures for SSS members,you may vrsit th€ Phlllppine Health Insurance Corporation {pnrlH€altht al lh;Ll,lyslale {-enlre Bldg 709 Shaw Blvd Barangay Oranbo pasig Crty or Lat,lelepnone number 637-9999 you may atso vrsit rhe phitHeelah rx;bs,te atnrrp //www.ph ieatth.gov,ph.

47

. Members who have reached the relirement age andhave paid at least 120 monthly contributions.Optional Retirees (under RA1616, PD 1146 or PD1184) are not yet entitled to lifetime coverage unlillhey reach lhe age of retiremenl (60 years old).

4. lndigent Members - under the indigent component of theNHIP.

C. The Beneflts

A unified benefit package for atl PhilHeallh members is beingimplsmented which includes Ihe following categories of personalhealth services:

1. Inpatient hospltal car€;

. Room and boafd;

. Services of heallh care protessionals;

. Diagnoslic, laboralory, and other medical examinationservices:

. Use of surgical or medical equipment and facilitiss;

. Prescripiion drugs and biologlcals, subjecl to lhelimitations slated in Seclion 37 of RA 7875; and

. Inpatient education packages.

2. Oulpatient care:

Services of health care professionals;Diagnostic, laboralory, and olher medical examinalionservices,Personal prevenljve services;Prescription drugs and biologicals, subiect lo lhelimitations described In Section 37 of RA 7875; andEmergency and transfer services.

4849

The Hew PhitHeatth lnpaflent Aen€fit-;heduG.=--Effective ADril S. 2009

HOS PITAL CATEG ltE sLevols I Hosoitals ernatv

aenefit llem Q39e TypeD

Room and Boa rd F500/day I l500/dt F800/day P1,100/dayDrugs and Medicines P1,200 I P1{,000 B ?8,000 c 40,000X.ray. Lab. and Olhers B3 2oo l B io.soo F2r,000 E 30,000

Oparating Room

For procedures wilh RVU 301 letow = +fZOO

F6lproceourEv;n avU lr ro S0;Fi-00 -I p=roceor:res wiirr nvu et ro ooo: nw x ect zo

(Mininum = P3,500)

Paolessional Fees

;:mittn,rs-Eone'atEecririoner lCroa;l,l, t? 6]-

-Prro"t---f ru00--T -p400 -f-F400 f 8600-tltl'Maram!m per conlinemenl P1,200 F2,400

Im.oort-rPerr.lsr Itrf00P5 lr J! rnd 1,

Psr Day i "ir Frrr, _ruto, [psoo

Ma!,nurn p3f con tement I

P2,000 I P3.600 p5 600 p€,000

b. Surgerytol and

Surgeo nI

GeneralPraclilionerfirs{ lier(Group 1l

RVu x PCF 40

Max ol F3,200

40% olsurge0n s t0e(PF1)Max ol

P1,280

IIVU X PUI 4U

Max ol 83,200

40% oisutge0n s lee(PF1) Max ol

9t )Atl

Second ller(G(auos 5 a

RVU x Pc

= PF248% ol

sutgeon s (e6

{PF1I

I f(-;l. PF?

48% ofsur9eDn s lee

(Gtoups 2, 3, and 4l

56% olsurgeon's t€€

(PF1)

x PCF 80 40% otsurge0n s ree

(PF4)

Benefil ltem

RVU x PCf l5

lhitd liel(Groups 2,3, and 4l

'Maximum of 45 days per yea."per single period of conlinenrenl

The lollowlng are also incloded in yourPhilHeallh benetils:.0ulp.liont *sl.ri! Packag€ startinq 01Decemb€r 2008

' llomzl Spoat.n.ola Dollvrry lp tolourth chlldbkth stsning 0t Jaiijary 2009. Volunlar! Surglcal CoIk.capllonP.oaaduraa slarling 0l October 2008

'Cal,rrcl Packrg. slertin0 0l May 2009.A(|lllltl Pack!ge starting 0t May 2009

AddlllonrlUpdale.In compliance Io PhilHealth Ciacul,r Nos.22, s. 2007 ard 11, s 2008, the hospitatsSlalem6nl ol Account (SAj or Bjltin{Stalern6nl (BSi should be aftached to a ctai;appllcalion.. No need lo etlach an SA or BS lo claimappllcatroni lor packa0es ltk6 Xal€rnllyC.rE p.clrga, 3AnS, P.ritoflerl 0l.lyth,and AYlrI flu.

50 51

t.|l6Soctnt SrcuRrrv Brnrrrrs

{RA 1161, as amended by RA 8282)

A. Th€ Social Security Program

The Social Security Program provides a package of benefits inthe event of death, disabilily, sickness, maternity, and old age.Basically, the Social Security Syslern (SSS) provides for areplacemen! of income losl on accounl of lhe aforemenlionedcontingencies.r

B. Coverage

. A private employee, whether permanent, lemporary orprovisional;

. A household helper earning at least P'1,000 a month issubi€ct lo compulsory coverage starting September 1, 1993.

C. The Benefits

C.1 Sickness

The sickness benefil is a daily cash allowance paid for thenumber of days a member is unable lo work due to sickness orinjury.

A member is qualified to avail himself/herself of lhis benetil if:1. he/she is unable io work due to sickness or injury and is

lhus confined either in the hospital or at home for.atleasl lour days;

2. he/she has paid at least three monthly conlributionswithin th€ 12-month period immediately before thesemester oF sickness;

rFor inquiries on SSS benefits and other relat€d mall€rs. iou may visit lheSocial S€curily Syslem {SSS) at lhe SSS Euilding, Easl Avenue, Diliman,Ouezon City or ils nearesl branch office. You may also cali leleDhone numbets920-6401 (0poralol.assisted), 920-6446 (Member Retations Department), 917-7777 (machine-assisledi pr€s6 your SSS no. and wait lor inslructions) of visllils website €l www.rss.gov.ph or e-mail il al memhor_r,lalions@ss9.gov.ph.

3. he/she has us€d up all current company sick leaves withpay for lhe current year; and

4. he/she has notified hisiher employer.

., _The amounl of an employee's sickness benelit is c0mpuled as:

the dbily sickness allowance times the approved number o'f days.

Effeclive May. 24, 1597, the daily sickness allowanc€ is g0

f"ilull-9f lhe avef6ge daity satary cred {seclion 14 of RepublicAcl 8282).

C-2. Matemity (see Ti e #0. Maternity Leave on page 24)

C.3. Disabi/ily

It is a cash benelit paid lo a member who becomespermanenlly disabled, either partially or totally.

A member \a/ho suffers partial or lotal permanenl disabilitv.with at leasl one (l) contribution paid to tie SSS prior to th'esemesler of conlingency, is qualified.

. ,. The complele and permanenl loss of use of any of thelollowrng parts of the body und6r permaneni partial disability:

one thumb sight ol one eye one big toeone index finget heating ot one eat one handone middle finger hearing of bolh ears one arm

53

ll is a cash benefil paid lo a member who can no longer workdue to old age.

A member is qualifisd lo avail himself of this benefit if:b. He/she is 60 years old and unemployed and has paid

at least 120 monthly contributions prior to thesemester of relirement.

b. heishe is 65 years old, whelher employed or not. lfemployed heishe sh0uld have paid 120 monthlycontributions prior to the semesier of retirement,whelher etnpioyed or nol.

The types of retirement benefils are:a. the monthly pension, andb. the lump sum amount.

The monlhly pension is a lifetime cash benefit paid to a retireewho has paid at feasl 120 monlhly conhjbullons to the SSS prior tolhe semesler of retirement.

The lump sum amount is granled to a reliree who has not paid(he required 120 monthly contribulions.

C.5. Dealh & Funeftl

The death benefit is a cash paid to lhe beneficiaries of adeceased member

The primary beneliciaries are the legitimate dependenl spouseuntil he or she remarries and legitimate, legitimated, legallyadopted or illegiiimate dependeni children of the member, In lheabsence 0f primary beneficiaries, the secondary beneficiaries arethe dependent parenls of lhe member, In their absence, the persond€signated by the member as beneficiary in his/her member,srecord wlll be the recipient.

The types of death benefits are:1. the monthly pension; and2. the lump sum amount.

The monthly pension is granted only lo the primary beneficiaries0f a deceased member who had paid 36 monlhly contribulionsbefore lhe semester of death.

The lump sum is lho amoun( granled lo lhe primarybeneficiaries of a deceased member who had paid less than 36monthly contributions betore the semester of death.

one earbolh ears

The following lall under permanenl total disabililv:1. Complete loss of sight of both eyes;2. Loss of lwo limbs at or Ebove the ank,e or wrislsi3. Permanent complete paralysis of two limbs;4. Brain injury causing insanityi and5. Other cases as de(ermined and approved by lhe SSS.

Types of disability benefits:1. The monlhly pension which is paid to a disabled membor

who has paid at least 36 monthly conlributions to theSSS; and

2. The lump sum amount which is granted lo tho6e whohave not paid the r6quired 36 monthly conlributions.

C.4. Retirement

one ring finger one footone little finger one leg

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dor...r_Pr.n.tng@y.hoo.com5.. n.rt p.ga tor th. Ditaclo.y ol

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56

The BWCThe Eureau of Working Conditions {BWC) is responsible for the

rormuletion and developmenl of labor slandards in lhe areas ofhours of work, occupational safely and heallh, and olher conditionsor emptoyment.

. ln May 198?, the Bureau of Labor Slandards, which was createdrn June 1957 under Reorganization plan No.20-A, was renamed the6ureau of Working Conditions. The BWC performs all functions inrelation to the formulation of policies and enforcement of laborslandards performed by the then Wage Administrative Service andtne Industrial Salety Division of the Bureau of Labor.

vls tonThe Bureau of Working Conditions envisions well_guided

employers and workers commi[ed to a safe, healthfui andproductive work envlronment, adaptive lo industry trends anddevelopmenls, and equitably enjoying the gains of joini ,nOru*,i.

-

tvilsston. To formulate policies and initiate legislations on labor

standards, based on relevant information culled from. moniloring,consultations,networking,andresearches.

i To slandardize the use of enforcement instruments and t0clothe the inspectorate system rxilh s(rong enforcementaulhorlly lo ensure compliance with laws and regulations.

. To develop and suslain the capabillty of enterprises towardself-management 0l safety and health in workplaces, lhus,upholding the principle of shared responsibility betweenworkers and employers.

. To enhance the capability of small enterprises in im0lementinopractical and efficient methods of improving working condilioniand produclivity.

. To inlorm and advise the public on labor standards, includinooccupalional safety and health, and on innovstive woripraclices or arrang6menls.

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