HANDBOOK ON

WORKERS’ STATUTORY
MONETARY BENEFITS

DEPARTMENT OF LABOR AND EMPLOYMENT

BUREAU OF WORKING CONDITIONS
INTRAMUROS, MANILA
2019
The Project Team

Ma. Teresita S. Cucueco , Nica n or V. Bon, Emila T. de Guzman, Lalai ne M. Fa mil ara, Queen T
herese D. Espin as, and other BW C staff

All Rights Rese rv ed

T his Handbook , or any part thereof, ma y not be repr oduc ed for commercia l
purpos es with out the written per missi on of the Bure au of W ork ing Conditio ns,
Department of Labor and E mp lo yme nt.

T his Handbo ok is publish ed b y the

Bureau of W ork ing Conditi ons ( BW C)
Depart me nt of Labor a nd E mpl o yme nt (DOLE)
3 rd Floor, DOLE Bldg., Intra mur os, Man ila
Tel. No. 52730 0 0 loca ls 30 3, 30 8; Telefax No. 5 27-34 78;
email: ask bwc@g ma il. co m; we b site: bwc. dol e. gov. ph

- NOT FOR SALE –

Cov er Art : Euni z Joh an ne M. Garcia

 Republic of the Philip pines
DEPARTME NT OF L AB OR AND EMPLOYMENT
Intra muros, Ma nila

FOREWORD
T he Departme nt of Labor and E mp lo yme nt is please d to releas e the
2019 E ditio n of Ha ndb ook on W ork ers’ Statutory Mon etar y Be nefits
cov ering u pdates on l ab or sta ndards an d dev elo p me nts on l abor
rules an d reg ulati ons.

W e continue to env ision th is Han dbo ok not onl y as a r el iabl e too l in bri ngi ng
aware ness o n la bor l aws a nd regul atio ns but a lso to serv e as effectiv e guide of
emplo yees, e mp lo yers, as we ll a s students, practition ers an d the genera l pu blic.

T his Handbook forms part of our dyna mic an d further strengthen ed enforce ment
activ ities under the R ev ised R ules in the ad mi nistratio n and enforce me nt of labor
laws purs uant to the v isitorial power of the Secretar y of Labor and E mpl o yment. W e
commit to be steadfast in addr essing v iolati ons of l abor l aws whil e re mai nin g strict
yet eq uita ble. Also, we ai m to e ducate o ur clie nts and e ncour a ge the m to dev elop a
culture of v oluntar y co mp lia nce with lab or laws i n their res pectiv e work places.

In this ed ition, we u pd ated the detail ed il lustratio n and sa mpl e wage co mputati ons
using the mi ni mu m wa ge rat es prescrib ed in th e most rece nt Wage Ord ers. For eas y
reference, we inc orpor ated the latest summar y of current region al da il y mini mu m
wage rat es. W e also add ed Re publ ic Act No. 10966 d ecl arin g Dece mb er 8 (Feast of
Immacu late C once pci on of Mar y) as Speci al N on -W ork ing Day. Mor eov er, we clarifi ed
herei n that d istributi on of coll e cted Serv ice Ch arges of estab lish me nts cov ers not
onl y the e mp lo ye es of the prin cipa l but also de plo yed work er s of contractors and
subcontract ors pursu ant to Lab o r Adv isory No. 13, Series of 20 1 5.

An eq ual l y i mp ortant new ite m is the i ncorp oratio n of th e ne w mi ni mu m wa ge rat es

prescrib ed thr oug h the W age Orders issu ed b y th e R egi ona l Tripartite Wages and
Productiv ity Board for do mest ic work ers raising the mi ni mu m wa ge in Nation al Cap ita l
Regi on fro m P hp2, 5 00. 00 t o P hp3, 5 00. 00; Ph p2, 5 00. 00 to P hp4, 0 00. 00 for th ose
emplo yed in ch artere d cities and first -cl ass mun ici pal ities; and P hp1, 8 00. 0 0 to
Php3, 0 00. 00 for those i n other mu nici pa liti es.

W e sincerel y offer this hu mb le work to our clients with the ho pe that we stay
true to our mand ate of pr omoting fu ll, dece nt and pr oductiv e e mpl o yment
opportu niti es to all Fili pin o work ers in the cou ntry
.

SILVESTRE H. BELLO III

Se cre tary
 CONTENTS

COMPLIANCE GUIDE 1

1. MINIMUM WAGE
A. Cov erage 3
B. Mi ni mu m W age Rates 4
C. Basis 6
D. Mo nthl y-Pa id a nd Da il y-Pa id E mplo ye es 6
E. Mi ni mu m W age and Rights of Ka sambah ay 8
F. Effect of Reduction of W ork days on W ages 9
G. Penalt y a nd Do ubl e In de mnit y for Violatio n of the Prescrib ed
Incre ases or Adj ustments in the Wage Rates (RA 8188) 9
H. Barang a y Micro Bus iness Enter prises (B MBEs) 9
I. Mi ni mu m W age of W ork ers Paid by R esults 10
J. Mi ni mu m W age of Apprentices, Lea rn ers, & Persons with D isab i lity 10
K. Cov erage fro m Inco me Tax of Mi ni mu m Wage Earners 11

2. HOLIDAY PAY (Article 94)

A. Definiti on 12
B. Cov erage 12
C. Regu lar Ho li da ys 13
D. Absences 14
E. Successiv e Reg ular H oli da ys 15
F. Temporar y or Per io dic Shutd ow n / Cessation of W ork 15
G. Holi da y Pa y of Certa in E mpl o ye es 15

3. PREMIUM PAY (Articles 91 -93)

A. Definiti on 16
B. Cov erage 16
C. Speci al Da ys 17
D. Premiu m Pa y Rates 18

4. OVERTIME PAY (Article 87)

A. Definiti on 20
B. Cov erage 20
C. Ov ertime Pay R ates 20
D. Stipul ated Ov ertime Rates 21
5. NIGHT SHIFT DIFFERENTIAL (Article 86)
A. Definiti on 22
B. Cov erage 22
C. Co mputation of Ni ght Shift Differ ential 23

6. SERVICE CHARGES (Article 96)

A. Sharin g 25
B. Payments 25
C. Tips 25

7. SERVICE INCENTIVE LEAVE (Article 95)

A. Cov erage 26
B. Me ani ng of “on e year of serv ice” 27
C. Usage/ C onv ersio n to Cash 27

8. MATERNITY LEAVE (R A 1161, as amended by R A 8282)

A. Cov erage 28
B. Entitle ment 28

9. PATERNITY LEAV E (R A 8187)

A. Cov erage 29
B. T he Paternity Le av e Benefit 29
C. Cond itio ns for Entitle ment 30
D. Applic atio n for Paternit y Leav e 30
E. Non-co nv ersion to Cas h 30
F. Crediti ng of Existin g B enefits 30

10. PARENTAL LEAVE FOR SOLO PARENTS (RA 8972)

A. Cov erage 31
B. Definiti on of Terms 32
C. T he Parental Leav e Ben efit 32
D. Cond itio ns for Entitle ment 32
E. Non-co nv ersion to Cas h 32
F. Crediti ng of Existin g Leav e 33
G. Terminati on of the Ben efit 33
H. Protection Aga inst W ork Discriminatio n 33
11. LEAVE FOR VICTIMS OF VIOLENCE AGAINST WOMEN
AND THEIR CHILDREN (RA 9 262)
A. Definiti on 34
B. Cov erage a nd Purp ose 34
C. Requ ire me nt for Entitle ment 34
D. T he Benefit 35
E. Usage of the Be nefit 35

12. SPECIAL LEAVE FOR WOMEN (RA 9710)

A. Cov erage 36
B. Definitio n of Term 36
C. Conditi ons for Entitle ment 36
D. T he Specia l Leav e B en efit 36
E. Usage 37
F. Nonconv ersi on to Cash 37

13. THIRTEENTH -MONTH PAY (PD 851)

A. Cov erage 38
B. Definiti on of Ra nk -and-File E mp lo yees 38
C. Mi ni mu m A mou nt 38
D. Formu la an d Co mputatio n of 13 th Mo nth Pa y 39
E. Exempted E mp lo yers 40
F. Time of Payme nt of T hirteenth - Mo nth Pa y 40
G. T hirteenth-Mo nth Pa y for Certa i n Types of Emplo yees 41
H. T hirteenth-Mo nth Pa y of Resi gn ed or Separ ated E mplo yee 41
I. Non-i nclus io n in Re gul ar Wage 42
J. Cov erage fro m Inco me Tax of the 13 th Mo nth Pa y 42

14. SEPAR ATION PAY (Articles 2 98- 299)

A. One- Half Mont h Pa y per Ye ar of Serv ice 43
B. One- Month Pa y p er Year of Serv ice 44
C. Notice of Termin atio n 44
D. Basis of Separ ation P a y 44
E. Incl usio n of Reg ular All owa nce i n the Co mp utation 44
F. Cov erage fro m Inco me Tax of Separ ation Pa y 45

15. RETIREMENT PAY (Article 302)

A. Cov erage 46
B. Amo unt of Retire ment Pa y 46
C. Retire me nt Benefits un der a C ol lectiv e Bargai nin g Agree me nt/
Applic abl e Co ntract 47
 D. Retire me nt Benefits of W ork ers who are P aid b y R esults 47
E. Retire me nt Benefi t of Part -time W ork ers 48
F. Retire me nt Benefit of Und ergro u nd or Surface Mi ne E mpl o yees u nder
Repu blic Act No. 855 8 as a men ded b y R epu blic Act No. 107 57 48
G. Retire me nt Benefit of Race hors e Jock eys 48
H. Retire me nt Benefits of Kasa mba hay an d Persons i n the Perso nal
Serv ice of Another 49
I. Other Benefits upo n Retir e ment 49
J. Cov erage fro m Inco me Tax of Retire ment Pa y 49

16. BENEFITS UNDER THE EMPLOYEES’ COMPENSATION

PROGR AM (PD 626)
A. T he Emplo ye es’ Co mpens atio n Progra m 50
B. Cov erage 50
C. T he Benefits 50
D. Kinds of Disa bi lit y 51
E. Filing of Cl ai ms 52
F. Obligati ons/ R espo nsib iliti es of Emp lo yers 53

17. PHILHEALTH BENEFITS (RA 7875, as amended by R A 9241)

A. T he National H ealth Insur ance P rogra m 54
B. Cov erage 54
C. T he Benefits 55

18. SOCIAL SECURITY BENEFITS (R A 1161, as amended by

R A 8282)
A. T he Social Securit y Progr a m 59
B. Cov erage 59
C. T he Benefits 59

19. PAG-IBIG BENEFITS (R A 9679)

A. T he Home Dev elo pment Mutua l Fund (HD MF) 62
B. Cov erage 62
C. T he Benefits 64
D. Mont h l y Contri buti on 66

APPENDIX Director y of DOLE Re gio nal Offices 67

Director y of DOLE -NC R Field Offices 68
T he Bureau of W ork ing Conditi o ns 69
 1

C OMPLIANCE GUIDE
Retail & Servi ce
Non -
Applicable Labor Establishments R e fe re nc e
Agriculture/ (P a g e no .)
Standards Employing 1 Employing 1
Agriculture
to 5 w orkers to 9 w orkers
Mi ni mu m W age    2
Holi da y pa y N/ A N/ A  12
Premiu m pa y    16
Ov ertime pa y    20
Night shift pa y N/ A   22
Serv ice charg es    25
Serv ice incentiv e leav e N/ A N/ A  26
Mater nit y leav e    28
Paternit y le av e    29
Parenta l leav e    31
Leav e for VAW C    34
Speci al le av e for wome n    36
13th mont h pa y    38
Separ ation pa y    43
Retire me nt pa y N/ A N/ A**  46
ECC ben efits*    50
PhilH ealth ben efits*    54
SSS benefits*    59
Pag-IB IG be nefits *    62
*w ill b e p a id b y th e G o ve rnm en t
** e m p loy in g n o t m o re th an 1 0 wo rk e rs

Subsidized Meals and Snacks

The employer may provide subsidize d meals and snacks to his employees
provided that the subsidy shall not be less than 30% of the fair and reasonable
value of such facilities. In such case, the employer may deduct from the wages
of the employees not more t han 70% of the value of the meals and snacks
enjoyed by the employees, provided further that such deduction is with the
written authorizat ion of the employees concerned. (Sec. 4 , Rule VII-A, Book III
of the Rules Implementing the Labor Code). For the computation of the fair and
reasonable value of the meals given, the employer may s eek assistance from
concerned Regional Tripartite Wages and Productivity Board (RTW PBs) .

Salary of Kasambahay who works as salesclerk

A Kasambahay who works as salesclerk should receive salary in
accordance with the prescribed minimum wage which is applicable in the retail
and service establishments, under existing Wage Orders.
 2

1
M INIMUM W AGE
Republic Act No. 6727 (also known as the “Wage Rationalization Act”)
mandates the fixing of the minimum wages applica ble to different industrial
sectors, namel y, non -agriculture, agriculture plantation, and non -
plantation, cottage/handicraft, and retail/service, depending on the number
of workers or capitalization or annual gross sales in some sectors.

The Rules Impleme nting RA 6727 define the industri al sectors as follows:

“Agriculture” refers to farming in all its branches and, among others,

includes the cult ivation and t illage of the soil, production, cultivation,
growing and harvesting of any agricultural or horticu lt ural commodities,
dair ying, raising of livestock or poultr y, the culture of f ish and other
aquatic products in farms or ponds, and any activities per formed by a
farmer or on a farm as an incident to or in conjunction wit h such farming
operations, but doe s not include the manufacturing and/or processing of
sugar, coconut, abaca, tobacco, pineapple, aquat ic or other farm
products.

“Retail Establishment” is one principally engaged in the sale of goods to end-users

for personal or household use. A retail es tablishment that regularly engages in w
holesale activities loses its retail character.

“Service Establishment” is one principally engaged in the sale of

service to individuals for t heir own or household use and is generally
recognized as such.

The said law rationalized wage determination by establishing the

mechanism and proper standards through the creation of Regional
Tripartite Wages and Productivity Boards (RTW PBs) authorized to
determine the daily minimum wage rates in the followi ng different regi ons
based on established criteria:
 3

National Capital Region (NCR ) or Metro Manila

Cordillera Administrative Region (CAR)
Region 1 - Northern Luzon or Ilocos
Region 2 - Cagayan Valley
Region 3 - Central Luzon
Region 4-A - CALABARZON (Cav ite, Laguna , Batangas, Ri za l, Quezon)
Region 4-B - MI MAROPA (Mindoro, Mar induque, Romblon, Palawan)
Region 5 - Bicol
Region 6 - Western Visayas
Region 7 - Central Visayas
Region 8 - Eastern Visayas
Region 9 - Western Mindanao or Zamboanga Peninsula
Region 10 - Northern Mindanao
Region 11 - Southern Mindanao or Davao
Region 12 - Central Mindanao or SOCCSKSARGEN (South
Cotabato, North Cotabato, Sultan Kudarat -
Sarangani, General Sant os)
Region 13 - Caraga
Autono mous R egion in Muslim Min danao (AR MM)

The Regional Wage Orders prescribe the dail y minimum wage rates
per industry per locality within the region and in some instances depending
on the number of workers and the capitalization of enterprises. The Wage
Orders likewise provide the b asis and procedure for application for
exemption from compliance therefrom. Some Wage Orders grant
allowances instead of wage increases.

A. Coverage

The wage increases prescribed under Wage Orders appl y to all

private sector workers and employees receiv ing the daily minimum
wage rates or those receiving up to a certain daily wage ceiling,
where applicable, regardless of their position, designation, or status
of employment, and irrespective of the method by whic h their wages
are paid, except workers of dul y registered Barangay Micro Business
Enterprises (BMBEs) with Certificate of Authority pursuant to
Republic Act No. 10644.
 4

Upon application with and as determined by an RTW PB, based

on documentation and other requirements in accordance with
applicab le rules and regulations issued by the National Wages and
Productivity Commission (NW PC), a company/establishment may be
exempted from compliance with a Wage Order for a period not to
exceed one (1) year.

B. Minimum Wage Rates

DAILY MINIMUM WAGE (MW)

National Capital Region
As of 22 November 2018
Cities/ M unicipalities
Calo oca n, Las Piñas, Mak ati, Malab on, Man dal u yon g, Ma nil a, Marik ina, Mu ntin lupa,
Paraña qu e, Pasay, Pasi g, Quezon, San Jua n, Taguig, Valen zu el a, and
Mu nici pa lities of Nav otas an d Pateros
Basic
Basic Wage New M inimum
Sector/ Industry Wage/ Integration of
Increas e Wage Rates
COL A
Non -agriculture
P 512. 00 P 25. 00 P537. 0 0

Agriculture
Plantation
Non-pla ntatio n
Retail/ Servi ce
Establishments
Emplo ying 15 work ers or P 475. 00 P 25. 00 P500. 0 0
less
M anufacturing
Establishments
Regular l y e mp lo yi ng less
than 10 w ork ers
 5

Summary of Current Regional Daily Minimum Wage Rates Non-

Agriculture, Agriculture
(InPesos)
( A s o f N o v e mb e r 2018 )
WO No. NON- AGRICULTURE
REGION DATE OF EFFECTIVITY Plantation Non-Plantation
AGRICULTURE
NCR a W O 2 2 / N o v em ber 22, 2 0 1 8 ₱500 . 0 0 - ₱537. 0 0 ₱ 500 . 0 0 ₱ 500 . 0 0

CARb W O 1 9 / A u g us t 2 0 , 2 0 1 8 300.00-320.00 300.00-320.00 300.00-320.00

Ic WO 19 / J a n u a r y 2 5 , 2 0 1 8 256 . 0 0 - 310. 0 0 265 . 0 0 256 . 0 0

II d W O 1 9 / f o r p u b l ic a t i o n 360.00 34 0 . 0 0 340.00
III e W O 2 1 / A u g us t 1 , 2 0 1 8 3 3 9 . 0 0 - 40 0. 0 0 3 2 4 . 0 0 - 37 0. 0 0 31 2 . 0 0 - 35 4. 0 0

IV - A f WO18/April28,2018 317 . 0 0 – 4 0 0. 0 0 303 . 0 0 - 3 72 . 0 0 303 . 0 0 - 3 56. 0 0

IV - B g W O 0 9 / f o r p u b l ic a t i o n 2 8 3 . 0 0 - 3 2 0. 0 0 2 8 3 . 0 0 - 3 2 0. 0 0 2 8 3 . 0 0 - 3 2 0. 0 0

Vh W O 1 9 / S e pt e m b e r 2 1 , 2 0 1 8 2 9 5 . 0 0 - 3 0 5. 0 0 2 9 5 . 0 0 - 3 0 5. 0 0 2 9 5 . 0 0 - 3 0 5. 0 0
VI i WO24/July12,2018 2 9 5 . 0 0 – 3 6 5. 0 0 295.00 295.00

VIIj W O 2 1 / A u g us t 3 , 2 0 1 8 31 8 . 0 0 - 38 6. 0 0 313 . 0 0 - 3 68 . 0 0 3 1 3 . 0 0 - 3 6 8. 0 0
VIIIk W O 2 0 / J u n e 2 5, 2 0 1 8 305 . 0 0 275 . 0 0 275.00

IX l WO20/July30,2018 31 6 . 0 0 30 3 . 0 0 30 3 . 0 0

Xm W O 20 / N o v em b e r 1, 2 0 1 8 3 4 3 . 0 0 – 3 6 5. 0 0 3 3 1 . 0 0 – 3 5 3. 0 0 3 3 1 . 0 0 – 3 5 3. 0 0

XI n W O 2 0 / A u g us t 1 6 , 2 0 1 8 370.00 36 5 . 0 0 36 5 . 0 0
XIIo WO20/May11,2018 311 . 0 0 2 90 . 0 0 2 90 . 0 0

CARAGAp W O 1 5 / D e c em b e r 0 8, 2 0 1 7 305 . 0 0 305 . 0 0 305 . 0 0

ARMMq W O 1 7 / J u n e 1 5, 2 0 1 8 280 . 0 0 270 . 0 0 270 . 0 0

C. Basis

aG rantedP25increaseinbasicpay;integrationoftheP10 COLAintothebasicpay.
bG ranted₱20-₱30increaseinbasicpay.
cG r a n t e d ₱ 1 3 - ₱ 3 0 i n c r e a s e i n b a s i c p a y f o r n o n - a g r i c u l t u r e s e c t o r ; ₱ 1 3 i n c r e a s e f o r a g r i c u l t u r e .
d
Granted P10increaseinbasicpayandP10COLA
eG r a n t e d ₱ 2 0 i n c r e a s e i n b a s i c p a y ; t h e i n c r e a s e i n A u r o r a s h a l l b e g i v e n i n t w o t r a n c h e s .
f Gr a nt ed ₱ 1 4 - ₱2 1 . 50 i n c r ea s e i n b a s i c p a y u p on ef f ec t i v i t y ; t h er e s h al l b e o n e wa g e ra t e f o r ag r i c u l t ur e p er c o v er e d ar e a c l

a s s i f i c a t i o n t o b e g i v e n i n 2 t r a n c h e s ; a c c e l e r a t i o n o f t h e i m p l em e n t a t i o n o f t h e r e m a i n i n g t r a n c h e s ( 3 r d t o 7 t h ) p e r W O 1 7
t o b e gi v en i n 3 t r a nc h es t o c o n c l u d e i n D ec . 1, 2 0 2 0; i n c r ea s e i n s el ec t ed a r ea s f r om ₱ 0 . 50 - ₱ 5 . 0 0 t o f ur t h er s im p l i f y t h e
w a g e r at es p er s ec t or & ar ea c l a s s i f i c at i o n.
g
G r a n t e d P 2 0 i n c r e a s e i n b a s i c p a y f o r e s t a b l i s h m e n t s w / 1 0 w o r k e r s & a b o v e ; & P 1 2 i n c r e a s e f o r e s t a b l i s h m e n t s w/ l e s s
t h a n 1 0 wo r k e r s .
hG r a n t e d P 2 0 - P 3 0 i n c r e a s e i n b a s i c p a y t o b e g i v e n i n t w o t r a n c h e s .
i G r a n t e d t h e f f : ₱ 2 6 . 5 0 i n c r e a s e i n b a s i c p a y a n d ₱ 1 5 C O L A f o r w o r k e r s i n t h e n o n - a g r i / i n d u s t r i a l / c o m m e r c i a l em p l o y i n g

m o r e t h a n 1 0 w o r k e r s ; ₱ 1 8 . 5 0 i n c r e a s e i n b a s i c p a y & ₱ 5 C O L A f o r w o r k e r s i n n o n - a g r i / i n d u s t r i a l / c o m m er c i a l em p l o y i n g 1 0 w
o r k e r s & b e l o w ; ₱ 8 . 5 0 b a s i c p a y i n c r e a s e & ₱ 5 C O L A f o r a g r i - p l a n t a t i o n ; & ₱ 1 8 . 5 0 b a s i c w a g e i n c r e a s e a n d ₱ 5 C O L A f o rw o r k
e r s i n a gr i c u l t u r e n on - pl a nt at i o n .
j
Granted₱10-₱20fornon-agri;₱10-₱52foragriculture.
k
G r a n t e d i n c r e a s e i n b a s i c p a y f o r t h e f f : ₱ 2 0 f o r n o n - a g r i c u l t u r e ; ₱ 3 0 f o r R e t a i l / S e r v i c e E s t a b l i s h m e n t s em p l o y i n g 1 1 t o 3 0 a
n d 1 0 wo r k e r s a n d b e l o w; ₱ 2 2 f o r c ot t a g e / h a n d i c r a f t ; ₱ 2 4 f o r n o n - s u g a r ( a g r i c u l t u r e ) a n d ₱ 3 0 f o r s u g ar f a r m ( a g r i c u l t u r e ) .
lG r a n t e d ₱ 2 0 i n c r e a s e i n b a s i c p a y .
mG r a n t e d P 2 7 - P 3 5 i n c r e a s e i n b a s i c p a y .
nG r a n t e d P 5 6 i n c r e a s e i n b a s i c p a y t o b e g i v e n i n t w o t r a n c h e s ; P 3 0 u p o n e f f e c t i v i t y a n d P 2 6 o n F e b r u a r y 1 6 , 2 0 1 9 .
oG r a n t e d ₱ 1 6 i n c r e a s e i n b a s i c p a y f o r n o n - a g r i c u l t u r e a n d ₱ 1 8 f o r a g r i c u l t u r e , r e t a i l a n d s e r v i c e .
p G r a n t e d ₱ 1 0 C O L A u p o n e f f e c t i v i t y ; ₱ 1 0 i n c r ea s e i n b a s i c p a y o n F e b . 1 4 , 2 0 1 8 & ₱ 5 e f f e c t i v e M a y 1 , 2 0 1 8 . .
q
Granted₱15wageincrease.
SOURCE:NationalWagesandProductivityCommission
 6

The basis of the minimum wage rates prescribed by law shall be the normal
working hours of eight (8) hours a day.

D. Monthly-Paid Employees and Daily -Paid Employees

Monthl y-paid employees are those who are paid every day of the
month, including unworked rest days, special days, and regular holidays.
Factor 365 days in a year is used in determining the equivalent monthly
salary of monthl y-paid employees.

Daily-paid employees are those who are paid on the days they
actually worked and on unworked regular holidays.

Computation of the Estimated Equivalent Monthly Rate (EEMR) of

Monthly-Paid and Daily-Paid Employees

For monthl y-paid employees:

Factor 365 days in a year is used in determining the equivalent

annual and monthly salary of mont hly-paid employees. To compute their
Estimated Equivalent Monthly Rate (EEMR), the procedure is as follows:

Applic abl e Da il y Rate (AD R) x 365 = EEMR

12 mo nths

W here 365 da ys/ year = 297 ordin ar y work ing d a ys

52 rest days
12 regul ar ho lid a ys
_ 4 special da ys r
365 Total equiv alent n o. of days/ ye a r

For daily-paid employees:

The following factors and formula may be used in computing the

EEMR of different groups of daily -paid employees fo r purposes of
entitlement to minimum wages and alli ed benefits under existing laws:

r
D ec em b e r 8 w a s d ec l a r e d a s S p ec i a l no n - w o rk i ng d a y p e r R A 1 0 96 6 – F e a st o f Im m ac u l at e C o nc e p t io n of M a r y
 7

1. For those who are required to work everyday, including Sundays or rest
days, special days and regular holidays

Applic abl e Da il y Rate (AD R) x 3 93.8 = EEMR 12

mo nths

W here 393. 50 da ys/ ye ar = 297 ordin ar y work ing d a ys

24 regul ar ho lid a ys x 200%
67. 60 52 rest da ys x 130 %
5. 20 4 special da ys s x 130%
393. 80 Total equiv alent n o.
da ys/ year

2. For those who do not work and are not considered paid on Sunday s or
rest days

Applic abl e Da il y Rate (AD R) x 313 t = EEMR 12

mo nths

W here 313 da ys/ year = 297 ordin ar y work ing d a ys

12 regul ar ho lid a ys
4 specia l da ys (if cons ider ed paid;
if actuall y work ed, this is
equiv al ent to 5. 2 da ys)
313 Total equiv alent n o. of day s/ ye a r

3. For those who do not work and are not considered paid on Saturdays
and Sundays or rest days

Applic abl e Da il y Rate (AD R) x 261 u = EEMR 12

mo nths

W here 261 da ys/ year = 245 ordin ar y work ing d a ys

12 regul ar ho lid a ys
4 specia l da ys (if cons ider ed paid;
if actuall y work ed, this is
equiv al ent to 5. 2 da ys)
261 Total equiv alent n o. of days/ ye a r

W ithout prejudice to existing company policies, practices and/or

agreements, the above formula are merely suggestions and may be used
as guides in determining the equivalent monthly minimum wage rates .

s
D e c e m b e r 8 w a s d e c l a r e d a s S p e c i a l n o n - w o r k i n g d a y p e r R A 1 0 9 6 6 – F e a s t o f I m m a c u l a t e C o n c e p t i o n o f M a ry
t
F a c t o r 309 m a y b e u s e d i n s t e a d o f 3 1 3 i f t h e 4 s p e c i a l d a y s a r e n o t c o n s i d e r e d p a i d
u
F ac t o r 2 5 7 m a y b e us e d in s te a d of 2 6 1 if t h e 4 sp ec ia l d a y s a r e not c o ns id e r e d p a id
 8

E. Minimum Wage and Rights of Kasambahay

v
The minimum wage of Kasambahay shall not be less than the
following:
a) Th re e Th o u s an d F iv e H u nd re d P e s os ( P 3 ,5 00 .0 0 ) a m o n th fo r th o s e
em p lo ye d in th e N a tio n a l C a p ita l R e g io n (N C R );
b) Two th o u s an d fiv e p es os to F o u r Th o u sa n d Pe s os (P 2, 5 00 .0 0 to P 4,0 0 0 .0 0 )
a m o n th fo r th os e em p lo ye d i n c h arte re d c it ie s a n d firs t -c la s s m u n ic ip a lit ie s ;
and
c) O n e Th o us an d E ig h t H u n d red P eso s to Th re e Th o u sa n d Pe so s (P 1, 80 0 .0 0 to
P 3 , 0 00 .0 0 ) a m on th fo r th o se em p lo ye d in o th e r m un ic ip a lit ie s .

After one year from the effectivity of the Batas Kasambahay and
periodically thereafter, the Regional Tripartite Wages and Productivity
Boards (RTW PBs) shall review and if proper, determine and adjust the
minimum wage rates of Kasambahay. The RTW PBs shall conduct
consultations/hearings with stakeholders prior to the i ssu ance of a wage
order.

Rights and Benefits of Kasambahay:

1. Minimum wage;
2. Other mandatory benefits, su ch as the dail y and weekl y rest periods;
3. Service Incentive Leave;
4. 13th month pay;
5. Freedom from employers’ interference in the disposal of wages;
6. Coverage under the SSS, PhilHealth and Pag -IBIG laws;
7. Standard of treatment;
8. Board, lodging and medical attendance;
9. Right to privacy;
10. Access to outside communication;
11. Access to education and training;
12. Right to form, join, or assist labor organization;
13. Right to be provided a cop y of the employment contract ;
14. Right to certificate of employment ;
15. Right to terminate the employment ; and
16. Right to exercise their own religious beliefs and cultural practices.

v
CurrentMinimumWageforKasambahayasofDecember2017
 9

F. Effect of Reduction of Workdays on Wages

In situations where the employer has to reduce the number of regular

working days to prevent serious losses, such as when there is a
substantial slump in the demand for his/her goods or services or when
there is lack of raw materials, the employer may deduct the wages
corresponding to the days taken off from the workweek, consistent with the
principle of “no work, no pay.” This is without prejudice to an agreement or
company policy which provides otherwise.

G. Penalty and Double Indemnity for Violation of the Pr escribed

Increases or Adjustments in the Wage Rates (R A 8188)

Any person, corporation, trust, firm, partnership, associ ation or entity

which refuses or fails to pay any of the prescribed increases or
adjustments in the wage rates made in accordance with R A 6727, shall be
punished by a fine of not less than Twenty -five Thousand Pesos
(P25,000.00) nor more than One Hundred Thousand Pesos ( P100,000.00)
or imprisonment of not less than two (2) years nor more than four (4)
years, or both such fine and imprisonm ent at the discretion of the court:
Provided, That any person convicted hereof shall not be entitled to the
benefits provided for under the Probation Law.

The employer concerned shall be ordered to pay an amount

equivalent to double the unpaid benefits o wing to the employees: Provided,
That payment of indemnity shall not absolve the employer from the criminal
liability imposable hereof.

If the violation is committed by a corporation, trust, firm, partnership,

association or any other entity, the penalty of imprisonment shall be
imposed upon the entity’s responsible officers, including, but not limited to,
the president, vice -president, chief executive officer, general manager,
managing director or partner.

H. Barangay Micro Business Enterprises (BMBEs )

BMBEs or business enterprises engaged in the production, processing or

manufacturing of products or commodities including agro -processing, trading and
services whose total assets, excluding the land on which the particular business
entity’s office, plant and equipment are situated, are
 10

not more than Three Million Pesos (P3,000,000) shall be exempt from the
coverage of the Minimum Wage Law: Provided, that all employees shall
still be entitled to the sam e benefits given to regular employees such as
social security and healthcare benefits.

The DTI, through the Negosyo Center in the city or municipality level,
shall have the sole power to issue the Certificate of Authority for BMBEs to
avail of the benefits provided by R .A. No. 9178, otherwise known as the
“Barangay Micro Business Enterprises (B MBEs) Act of 2012”. w

The BMBE workers and owners shall agree on the acceptable wage
rates based on the wage advisories issued by the RTW PBs.

I. Minimum Wage of Workers Paid by Results

All workers paid by results, including homeworkers and those who

are paid on piece rate, takay, pakyaw or task basis, shall receive not less
than the prescribed minimum wage rates under the Regional Wage Orders
for normal working hours which shall not exceed eight (8) hours a day, or a
proportion thereof.

The wage rates of workers who are paid by results may be

determined through time and motion studies or consultation with
representatives of employers’ and workers’ organizations in a tripartite
called by the DOLE Secretary.

J. Minimum Wage of Apprentices, Learners, and Persons with disability

Wage of apprentices and learners shall in no case be less than seventy-five

(75%) percent of the applicable minimum wage rates.

Apprentices and learners are those who are covered by

apprenticeship and learnership agreements duly approved by the Technical
Education and Skills Development Authority (TESDA).

A qualified employee wi th disability shall be subject to the same terms

and conditions of employment and the same compensation, privileg es,

w
Section5(b)ofR.A.No.10644.
 11

benefits, fringe benefits or allowances as a qualified able -bodied person (Sec. 1 of RA

10524 or the Magna Carta for Persons with Disability).

K. Coverage from Income Tax of Minimum Wage Earners

Effective January 1, 2018, salaried individuals ea rning annual

gross compensation of ₱250,000 or below per year are exempted from
paying income taxes. x

The following income of MW Es shall also be exempt from income tax:

1. Statutory Minimum Wage (SMW ) inclusive of the COLA;

2. Holiday pay;
3. Overtime pay;
4. Night shift differential pay; and
5. Hazard pay.

x
R eve n u e R e g ulat io ns N o. 1 1 - 2 0 1 8, A m e nd i n g C e rt a i n P r o v is i o ns o f R e ve n u e R eg u l at io ns N o. 2 - 9 8, a s A m e nd e d , t o
Im p le m e nt F u r t he r A m e n dm e n t s I nt r o d uc e d b y R e p u b l ic A c t N o . 1 0 9 6 3
 12

2
HOLIDAY PAY
(Article 94)

A. Definition

Holiday pay refers to the payment of the regular daily wage for any unworked
regular holiday.

B. Coverage

This benefit applies to all employees except:

1. Government employees, whether employed by the N ational

Government or any of its political subdivisions, including those
employed in government-owned and/or controlled corporations with
original charters or created under special laws;
2. Those of retail and service establishments regularly employing less
than ten (10) workers;
3. Kasambahay and persons in the personal service of another;
4. Managerial employees, if they meet all of the following conditions:
4.1. Their primary duty is to manage the establishment in
which they are employed or of a department or subdivision thereof;
They customarily and regularly direct the work of two or more
employees therein; and
They have the authority to hire or fire other employees of lower
rank; or their suggesti ons and recommendations as to hiring,
firing, and promo tion, or any other change of status of other
employees are given particular weight.
5. Officers or members of a managerial staff, if they perform the
following duties and responsibilities:
Primarily perform work directl y related to management policies
of their employer;
Customarily and regularl y exercise discretion and independent
judgment;
 13

(a) Regularly and directl y assist a proprietor or managerial

employee in the management of the establishment or
subdivision thereof in which he or she is employed; or (b)
execute, under general supervision, work along specialized or
technical lines requiring special training, experience, or
knowledge; or (c) execute, under general supervision, special
assignments and tasks; and
Do not devote more than twenty percent (20%) of their hours
worked in a workweek to activities which are not directl y and
closel y related to the performance of the work described in
paragraphs 5.1, 5.2, and 5.3 above.
6. Field personnel and other employees whose time and pe rformance is
unsupervised by the employer, including those who are engaged on
task or contract basis, purely commission basis or those who are
paid a fixed amount for performing work irrespective of the time
consumed in the performance thereof.

C. Regular Holidays

Every employee covered by the Holiday Pay Rule is entitled to the minimum
wage rate (dail y basic wage and COLA) . This means that the employee is entitled to
at least 100% of his/her minimum wage rate even if he/she did not report for work, prov
ided he/she is present or is on leave of absence with pay on the work day immediately
preceding the holiday.

Work performed on that day merits at least twice (200%) the dail y
wage of the employee.

Illustration:
Using the NCR minimum wage of P537.00 per day for the non- agricultural
sector, effective November 22, 2018 under Wage Order No. NCR-22.

For work within eight (8) hours:

Plus 100% of the minimum wage of 100% or a total of 200%
Sector/ Industry Rate Amount

Non-a gricu lture P537. 00 P537 x 20 0% = P1, 074. 00

Retai l/ Serv ice Establis h ment

P500. 0 0 Not cov ered or exe mpte d
emplo ying l ess than 1 0 work ers
 14

W here the holiday falls on the scheduled rest day of the employee,
work performed on said day merits at least an additional 30% of the
employee’s regular holiday rate of 200% or a total of at least 260% (Please
see 3. Premium Pay).

W hen a regular holiday falls on a Sunday, the following Monday shall

not be a holiday, unless a proclamation is issued declaring it a special day.

Unless otherwise modified by law, order, or proclamation, the

following are the twelve (12) regular holidays in a year under Executive
Order No. 292, as amended by Republic Act 9 849:

New Ye ar ’s D a y Januar y 1
Ma und y T hursda y Mov abl e Date
Good Frida y Mov abl e Date
Araw ng Ka gitin gan Mo nda y n ear est April 9
Labor D a y Mo nda y n ear est Ma y 1
Ind ep end ence D a y Mo nda y n ear est June 12
Nation al H eroes’ D a y Last Mo nd a y of August
Eidl Fitr Mov abl e Date
Eidl Adh a Mov abl e Date
Bonifaci o Da y Mo nda y n ear est No v emb er 30
Christ mas Da y Dece mb er 25
Ri zal D a y Mo nda y n ear est Dece mb er 30

W hen Araw ng Kagitingan falls on the same day as Maundy Thursday

or Good Friday, a covered employee is entitled to at least two hundred
percent (200%) of his/her daily wage even if said day i s unworked. W here
the employee is required to work on that day, he/she is entitled to an
additional 100% of the daily wage.

D. Absences

1. All covered employees shall be entitled to holiday pay when they are
on leave of absence with pay o n the workday immediatel y preceding
the regular holiday. Employees who are on leave of absence without
pay on the day immediately preceding a regular holiday may not be
paid the required holiday pay if they do not work on such regular
holiday.
 15

2. Employers shall grant the same percentage of the holiday pay as the
benefit granted by competent authority in the form of employee’s
compensation or social security payment, whichever is higher, if the
employees are not reporting for work while on such leave benefits .

3. W here the day immediately preceding the holiday is a non -work day in
the establishment or the scheduled rest day of the employee, he/she
shall not be deemed to be on leave of absence on that day, in which
case he/she shall be entitled to the holiday pay if he/she worked on
the day immediately precedi ng the nonwork day or rest day.

E. Successive Regular Holidays

W here there are two (2) successive regular holidays, like Maundy
Thursday and Good Friday, an employee may not be paid for both holidays
if he/she absents himself/herself from work on the day immediately
preceding the first holiday, unless he/she works on the first holiday, in
which case he/she is entitled to his/her holiday pay on the second holiday.

F. Temporary or Periodic Shutdown/Cessatio n of Work

In cases of temporary or periodic shutdown and temporary cessation

of work of an establishment, as when a yearl y inventory or when the repair
or cleaning of machineries and equipment is undertaken, the regular
holidays falling within the period shall be compensated in accordance wi th
the Rules Implementing the Labor Code, as amended.

G. Holiday Pay of Certain Employees

1. W here the covered employee is paid on piece-rate basis, his / her

holiday pay shall not be less than his/her average da il y earnings for the
last seven (7) actual work days preceding the regular holiday; provided,
however, that in no case shall the holiday pay be less than the
applicable statutory minimum wage rate.
2. Seasonal workers may not be paid the required holiday pay during off -
season when they are not at work.
3. W orkers who do not have regular working days, such as stevedores,
shall be entitled to this benefit.
 16

3
PREMIUM PAY
(Articles 91-93)

A. Definition

Premium pay refers to the additional compensation for wor k

performed within eight (8) hours on non -work days, such as rest days and
special days.

B. Coverage

This benefit applies to all employees except:

1. Government employees, whether employed by the National

Government or any of its political subdivisions , including those
employed in government-owned and/or controlled corporations with
original charters or created under special laws;
2. Managerial employees, if they meet all of the following conditions:
Their primary duty is to manage the establishme nt in which they are
employed or of a department or subdivision thereof;
They customaril y and regularly direct the work of two or more
employees therein;
They have the authority to hire or fire other employees of lower
rank; or their sugge stions and recommendations as to hiring, firing,
and promotion, or any other change of status of other employees are
given particular weight.
3. Officers or members of a manage rial staff, if they perform the
following duties and responsibilities:
Primarily perform work directl y related to management policies of
their employer;
Customarily and regularl y exercise discretion and independent
judgment;
(a) Regularl y and directl y assist a proprietor or managerial employee
in the managemen t of the establishment or subdivision thereof in
which he or she is employed; or (b) execute, under general
supervision, work along specialized or
 17

technical lines requiring special training, experience, or

knowledge; or (c) execute, under general supervisi on, special
assignments and tasks; and
Do not devote more than twenty percent (20%) of their hours worked
in a workweek to activities which are not directl y and closely related
to the performance of the work described in paragraphs 3.1, 3.2, and
3.3 a bove.
4. Kasambahay and persons in the personal service of another;
5. W orkers who are paid by results, including those who are paid on
piece rate, takay, pakyaw, or task basis, and other nontime work, if
their output rates are in accordance with the stand ards prescribed in
the regulations, or where such rates have been fixed by the Secretar y
of Labor and Employment; and
6. Field personnel, if they regularly perform their duties away from the
principal or branch office or place of business of the employer and
whose actual hours of work in the field cannot be determined with
reasonable certainty.

C. Special Days

1. Special Days

Unless otherwise modified by law, order, or proclamation, the

following are the four (4) special days in a year under Executive Order No.
292, as amended by Republic Act 9 849, as further am ended by Republic
Act No. 10966 y that shall be observed in the Philippines :

Nino y Aq uin o Da y Mo nda y n ear est August 21

All Saints D a y Nov emb er 1
Feast of Immac ul ate C onc eptio n of Mar y Dece mb er 8
Last Da y of the Year Dece mb er 31

The “no work, no pay” principle applies during special days and on
such other special days as may be proclaimed by the President or b y
Congress.

Workers who are not required or permi tted to work on special days
are not entitled to any compensation. This, however, is wi thout prejudice to
any voluntary practice or provision in the Collective Bargaining Agreement

y
D ec em be r 8 w a s d e c l ar e d a s S p e c ia l ( no n- w o r k i n g ) D a y p e r R A 10 9 6 6 o n D ec em be r 2 8, 2 01 7 – F e a st of Im m a c u la t e
C o nc e p t i o n o f M a r y
 18

(CBA) providing for payment of wages and other benefits for days declared
as special days even if unworked.

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

compensation of at least thirty percent (30%) of the basic wage or a total
of one hundred thirty percent (130%). W here the employee works on a
special day falling on his rest day, he/she shall be entitled to an additional
compensation of at least fifty percent (50%) of his/her basic wage or a total
of one hundred fifty percent (150%).

2. Special W ork Days

For work performed on a declared Special W ork Da y, an employee is entitled

onl y to his/her dail y wage . No premium pay is required since work performed on said
day is considered work on an ordinary workday.

D. Premium Pay Rates

The COLA shall not be included in the computation of premium pay.

The minimum statutory premium pay rates are as follows:

1. For work performed on rest days or on special days:

Plus 30% of the dail y basic wage of 100% or a total of 130%.

Sector/ Industry Rate Amount

Non-a gricu lture P 5 37 .0 0 P537 x 13 0% = P698. 1 0
Retai l/ Serv ice E stablis h ment P 5 00 .0 0 P500 x 13 0% = P650. 0 0

2. For work performed on a rest day which is also a special day:

Plus 50% of the dail y basic wage of 100% or a total of 150%.
Sector/ Industry Rate Amount
Non-a gricu lture P 5 37 .0 0 P537 x 15 0% = P805. 5 0
Retai l/ Serv ice Establis h ment P 5 00 .0 0 P500 x 15 0% = P750. 0 0
 19

3. For work performed on a regular holiday which is also the employee’s

rest day (not applicable to employees who are not covered by the
holiday-pay rule). Plus 30% of the regular holiday rate of 200% based
on his/her dail y basic wage rate or a total of 260%.

Sector/ Industry Rate Amount

(P537. 0 0 x 260%) =
Non-a gricu lture P 5 37 .0 0
P1, 396. 2 0
Retai l/ Serv ice Establis h ment Not cov ered b y hol ida y pa y
P 5 00 . 00
emplo ying l ess than 1 0 work ers rule
 20

4
OVERTIME PAY
(Article 87)

A. Definition

Overtime pay refers to the additional compensation for work

performed beyond eight (8) hours a day.

B. Coverage

Same as those covered under 3. Premium Pay .

C. Overtime Pay Rates

The COLA shall not be inclu ded in the computation of overtime pay.
The minimum overtime pay rates vary according to the day the overtime
work is performed, as follows:

1. For work in excess of eight (8) hours performed on ordinary working

days: Plus 25% of the hourl y rate.

Sector/ I ndustry Rate Amount

P537/ 8 x 12 5% = P67. 125 x 12 5 % x number
Non-a gricu lture P537. 0 0 of hours OT w ork
Retai l/ Serv ice P500/ 8 x 12 5% = P62. 50 x 125 % x number
P500. 0 0 of hours OT w ork
Establis h ment

2. For work in excess of eight (8) hours performed on a sche duled rest
day or a special day: Plus 30% of the hourl y rate on said days.
Sector/ Industry Rate Amount
P537/ 8 x 13 0% x 130 % = P67. 125 x 13 0 % x
Non-a gricu lture P537. 0 0
130 % x number of hours OT work
Retai l/ Serv ice P500/ 8 x 13 0% x 13 0 % = P62. 50 x 130 % x
P500. 0 0
Establis h ment 130 % x number of hours OT work
 21

3. For work in excess of eight (8) hours performed on a special day which
falls on a scheduled rest day: Plus 30% of the hourl y rate on said days.
Sector/ Industry Rate Amount
P537/ 8 x 15 0% x 130 % = P67. 125 x 15 0 % x
Non-a gricu lture P537. 0 0 130 % x number of hours OT work
Retai l/ Serv ice P500/ 8 x 15 0% x 130 % = P62. 5 0 x 150 % x
P500. 0 0
Establis h ment 130 % x number of hours OT work

4. For work in excess of eight (8) hours performed on a regular hol iday:
Plus 30% of the hourl y rate on said days.
Sector/ Industry Rate Amount
P537/ 8 x 20 0% x 130 % = P67. 1 25 x 20 0 % x
Non-a gricu lture P537. 0 0 130 % x number of hours OT work
Retai l/ Serv ice
Establis h ment
P500. 0 0 Not cov ered b y the rule o n hol id ay pa y
emplo ying l ess
than 10 w ork ers

5. For work in excess of eight (8) hours performed on a regular holiday

which falls on a scheduled rest day: Plus 30% of the hourl y rate on
said days.
Sector/ Industry Rate Amount
P537/ 8 x 26 0% x 130 % = P67. 1 25 x 26 0 % x
Non-a gricu lture P537. 0 0 130 % x number of hours OT work
Retai l/ Serv ice
Establis h ment
P500. 0 0 Not cov ered b y the rule o n hol id ay pa y
emplo ying l ess
than 10 w ork ers

D. Stipulated O vertime Rates

Generally, the premium pay for work performed on rest da ys, special
days, or regular holidays i s included as part of the regular rate of the
employee in the computation of overtime pay for overtime work rendered
on said days, especially if the employer pays onl y the minimum overtime
rates prescribed by law.

The employees and employer, however, may stipulate in their

collective agreement the payment for overtime work at rates higher than
those provided by law.
 22

5
NIGHT SHIFT DIFFERENTIAL
(Article 86)

A. Definition

Night Shift Differential (NSD) refers to the a dditional compensation of ten

percent (10%) of an employee’s regular wage for each hour of work performed
between 10 p.m. and 6 a.m.

B. Coverage

This benefit applies to all employees except:

1. Government employees, whether employed by the National

Government or any of its political subdivisions, including those
employed in government-owned and/or controlled corporations with
original charters or created under special laws;
2. Those of retail and service establishments regularly employing not
more than five (5) workers;
3. Kasambahay and persons in the personal service of another;
4. Managerial employees, if they meet all of the following conditions:
Their primary duty is to manage the establishment in which they
are employed or of a department or subdivisi on thereof;
They customaril y and regularly direct the work of two or more
employees therein; and
They have the authority to hire or fire other employees of lower rank;
or their suggestions and recommendations as to hiring, firing, and
promotion , or any other change of status of other employees are
given particular weight.
5. Officers or members of a managerial staff, if they perform the
following duties and responsibilities:
Primarily perform work directl y related to management policies of
their employer;
Customarily and regularl y exercise discretion and independent
judgment;
 23

(a) Regularl y and directl y assist a proprietor or managerial

employee in the management of the establishment or subdivision
thereof in which he or she is employed; or (b) execute, under general
supervision, work along specialized or technical lines requiring
special training, experience, or knowledge; or (c) execute, under
general supervision, special assignments and tasks; and
Do not devote more t han twenty percent (20%) of their hours worked
in a workweek to activities which are not directl y and closely related
to the performance of the work described in paragraphs 5.1, 5.2, and
5.3 above;
6. Field personnel and those whose time and performance are
unsupervised by the employer.

C. Computation of Night Shift Differential

The COLA shall not be included in the computation of night shift pay.
The table below may be used to guide computations:

Work on: Pay equ als

Ordinary day 100% or 1

Sunday or rest day 130% or 1.3
Special day 130% or 1.3
Special day falling on rest day 150% or 1.5
Regular Holiday 200% or 2
Regular Holiday falling on rest day 260% or 2.6
Double holiday 300% or 3
Double holiday falling on rest day 390% or 3.9

Ordinary day, night shift 1x 1.1 = 1.1 or 110 %

Rest day, night shift 1.3 x 1.1 = 1.43 or 143 %
Special day, night shift 1.3 x 1.1 = 1.43 or 143 %
Special day, rest day, night shift 1.5 x 1.1 = 1.65 or 165 %
Regular Holiday, night shift 2x 1.1 = 2.2 or 220 %
Regular Holiday, rest day, n i ght shift 2.6 x 1.1 = 2.86 or 286 %
Double holiday, night shift 3x 1.1 = 3.3 or 330 %
Double holiday, rest day,nig ht shift 3.9 x 1.1 = 4.29 or 429 %

Ordinary day, overtime (OT) 1 x 1.25 = 1.25 or 125 %

Rest day, overtime 1.3 x 1.3 = 1.69 or 169 %
 24

Special day, overtime 1.3 x 1.3 = 1.69 or 169 %

Special day, rest day, overtime 1.5 x 1.3 = 1.95 or 195 %
Regular Holiday, overtime 2 x 1.3 = 2.6 or 260 %
Regular Holiday, rest day, overtime 2.6 x 1.3 = 3.38 or 338 %
Double holiday, overtime 3 x 1.3 = 3.9 or 390 %
Double holiday, rest day, overtime 3.9 x 1.3 = 5.07 or 507 %

Ordinary day, night shift, overtime 1 x 1.1 x 1.25 = 1.375 or 137.5 %

Rest day, night shift, overti me 1.3 x 1.1 x 1.3 = 1.859 or 185.9 %
Special day, night shift, overtime 1.3 x 1.1 x 1.3 = 1.859 or 185.9 %
Special day, rest day, night shift, OT 1.5 x 1.1 x 1.3 = 2.145 or 214.5 %
Regular Holiday, night shift, OT 2 x 1.1 x 1.3 = 2.86 or 286 %
Reg. Holiday, rest day, night shift, OT 2.6 x 1.1 x 1.3 = 3.718 or 371.8 %
Double holiday, night shift, OT 3 x 1.1 x 1.3 = 4.29 or 429 %
Double holiday, rest day, night shift, OT 3.9 x 1.1 x 1.3 = 5.577 or 557.7 %

The minimum night shift pay rates vary acco rding to the day the night
shift work is performed.

Sector/ Industry Rate Amount

P537/ 8 x *11 0% = ₱67. 12 5 x
Non-a gricu lture P537. 00 110 % x number of hours w ork
Retai l/ Serv ice Establis h ment P500/8 x *11 0% = ₱62. 50 x
P500. 0 0
emplo ying 15 work ers or less 110 % x number of hours w ork

* This value may be substituted based on the above rates depending

on the day the night shift work is performed.
 25

6
SERVICE CHARGES
(Article 96)

A. Sharing

All rank-and-file employees of employers and contractors working

therein z collecting service charges are entitled to an equal share in the
eighty-five percent (85%) of the total of such charge s. The remaining
fifteen percent (15%) of the charges may be retained by management to
answer for losses and breakages and for distribution to managerial
employees, at the discretion of the management in the latter case. Service
charges are collected by m ost hotels and some restaurants, nightclubs,
cocktail lounges, among others.

B. Payments

The shares of the employees in the service charges shall be

distributed to them once every two (2) weeks or twice a month at intervals
not exceeding sixteen (16) da ys.

W here the company stopped collecting service charges, the average share
previousl y enjoyed by the employees for the past twelve (12) months immediately
preceding such stoppage shall be integrated into their basic wages.

C. Tips

W here a restaurant o r similar establishment does not collect service charges

but has a practice or policy of monitoring and pooling tips given voluntarily by its
customers to its employees, the pool ed tips should be monitored, accounted, and
distributed in the same manner as the service charges.

z
L a b o r A d v i s o r y N o . 1 3 s . 2 0 1 5 – A p p l ic a b l e M i n im um W a g e R a t e s B a s e d o n S e c t o r o r I n d u s t r y C la s s if ic a t io n s w it h
R e q u i r e d N um b e r o f W o r k e r s i n R e l a t i o n t o t he W o r k e r s o f C o n t r a c t o r s a n d S ub c o n t r a c t o r s .
 26

7
SERVICE INCENTIVE LEAVE
(Article 95)

A. Coverage

Every employee who has rendered at least one (1) year of service is entitled to
Service Incentive Leave (SIL) of five (5) days with pay.

This benefit applies to all employees excep t:

1. Government employees, whether employed by the National

Government or any of its political subdivisions, including those
employed in government-owned and/or controlled corporations with
original charters or created under special laws;
2. Persons in the personal service of another;
3. Managerial employees, if they meet all of the following conditions:
Their primary duty is to manage the establishment in which they are
employed or of a department or subdivision thereof;
They customaril y and regularly direct the work of two or more
employees therein; and
They have the authority to hire or fire other employees of lower rank;
or their suggestions and recommendations as to hiring, firing, and
promotion, or any other change of status of other employees are
given particular weight.
4. Officers or members of a managerial staff, if they perform the
following duties and responsibilities:
Primarily perform work directl y related to management policies of
their employer;
Customaril y and regularl y exe rcise discretion and independent
judgment;
(a) Regularl y and di rectl y assist a proprietor or managerial
employee in the management of the establishment or subdivision
thereof in whi ch he or she is employed; or (b) execute, under general
supervisi on, work along specialized or technical lines requiring
special training, experience, or knowledge; or (c) execute, under
general supervision, special assignments and tasks; and
 27

Do not devote more than twenty percent (20%) of their hours worked
in a workweek to activities which are not directl y and closely related
to the performance of the work described in paragraphs 4.1, 4.2, and
4.3 above;
5. Field personnel and those whose time and performance is
unsupervised by the employer;
6. Those already enjo ying this benefit;
7. Those enjoying vacation leave with pay of at least five (5) days; and
8. Those employed in establishments regularly employing less than ten
(10) employees.

B. Meaning of “one year of service”

The phrase “one year of service” of the emp loyee means service
wi thin twelve (12) months, whether continuous or broken, reckoned from
the date the employee started working. The period i ncludes authorized
absences, unworked weekly rest days, and paid regular holidays. If
through individual or coll ective agreement, company practice or policy, the
period of the working days is less than twelve (12) months, said period
shall be considered as one year for the purpose of determining the
entitlement to the service incentive leave.

C. Usage/Conversion to C ash

The service incentive leave may be used for sick and vacation leave
purposes. The unused service incentive leave is commutable to its money
equivalent at the end of the year. In computing, the basis shall be the
salary rate at the date of conversi on.

The use and conversion of this benefit may be on a pro rata basis. aa

Illustration: An e mp lo ye e wa s hire d on 1 Ja nuar y 20 00 a nd resig ned on 1 Marc h

2001. Assu ming th at he/ she has not used or co mmut ed a n y of hi s/ her accrue d SIL,
he/ she is e ntitled to th e co nv ersion of h is/ her accrue d SIL, u pon his/ h er
resign atio n, as follows:

SIL earned as of 31 December 2000 5 days

Proportionate SIL for January and February 2001
(2/12) x 5 days 0.833 day
Total accrued SIL as of 1 March 2001 5.833 days

aa
BasedontheopinionofDOLELegalService.
 28

8
MATERNITY LEAVE
(R A 1161, as amended by R A 8282)

A. Coverage

This benefit applies to all female employees, whether married or unmarried.

B. Entitlement

Every pregnant employee i n the private sector, whether married or

unmarried, is entitled to maternity leave benefit of sixty (60) days in case
of normal delivery or miscarriage, or seventy -eight (78) days, in case of
Caesarian section delivery, wi th benefits equivalent to one hundred percent
(100%) of the average daily salary credit of the employee as defined under
the law.

To be entitled to the maternity leave benefit, a female employee

should be an SSS member employed at the time of her delivery or
miscarriage; she must have given the require d notification to the SSS
through her employer; and her employer must have paid at least three
monthly contributions to the SSS within the twelve -month period
immediately before the date of the contingency (i.e., childbirth or
miscarriage).

The maternity leave benefit, like other benefits granted by the Social
Security System (SSS), is granted to employees in lieu of wages. Thus,
this may not be included in computing the employee’s thirteenth -month pay
for the calendar year.
 29

9
PATERNITY LEAVE
(R A 8187)

A. Coverage

Paternity Leave is granted to all married male employees in the

private sector, regardless of their employment status (e.g., probationary,
regular, contractual, project basis). The purpose of this benefit is to allow
the husband to lend supp ort to his wife during her period of recovery
and/or in nursing her newborn child.

Government employees are also entitled to the paternity leave

benefit. They shall be governed by the Civil Service rules.

B. The Paternity Leave Benefit

Paternity leave benefit shall appl y to the first four (4) deliveries of the
employee’s lawful wife wi th whom he is cohabiting. For this purpose,
“cohabiting” means the obligation of the husband and wif e to live together.

If the spouses are not physicall y living together because of the

workstation or occupation, the male employee is still entitled to the
paternity leave benefit.

The paternity leave shall be for seven (7) calendar days, with full pay,
consisting of basic salary and mandatory allowances fixed by the Region al
Wage Board, if any, provi ded that his pay shall not be less than the
mandated minimum wage.

Usage of the paternity leave shall be after the delivery, wi thout

prejudice to an employer ’s policy of allowing the employee to avail of the
benefit before or d uring the delivery, provided that the total number of days
shall not be more than seven (7) calendar days for each covered delivery.
 30

C. Conditions for Entitlement

A married male employee shall be entitled to paternity leave benefit provided that
he has met the following conditions:
1. He is an e mp lo yee at the time of the deliv ery of his chil d;
2. He is cohabiti ng with his spous e at the time that she giv es birth or suffers a
misc arria ge;
3. He has ap pli ed for patern ity l ea v e with his empl o yer with in a re asona bl e peri od
of time fro m the expecte d date of deliv er y b y his preg nant sp ouse, or w ithi n
such peri od as ma y b e prov ided b y co mpan y ru les an d re gulati ons, or b y
collectiv e bar gai nin g agre e me nt; and
4. His wife has g iv en birth or suffer ed a miscarri ag e .

D. Application for Paternity Leave

The married male employee shall apply for paternity leave with his
employer within a reasonable period of time from the expected date of
delivery by his pregnant spouse, or within such period as may be provided
by company rules an d regulations, or by collective bargaining agreement.
In case of a miscarriage, prior application for paternity leave shall not be
required.

E. Non-conversion to Cash

In the event that the paternity leave is not availed of, it shall not be convertible to
cash and shal l not be cumulative.

F. Crediting of Existing Benefits

1. If the existi ng patern ity leav e be nefit und er the c oll ectiv e barga i ning agre e me nt,
contract, or compan y p olic y is g reater than sev en (7) cal end ar d ays as pr ov ided
for in RA 8187, th e gre ater be ne fit shall prev ail.

2. If the existing patern ity le av e benefit is less than that prov ided in RA 8187, the
emplo yer sha ll ad just the existin g ben efit to cov er the difference.

W here a company policy, contract, or collective bargaining agreement provides

for an emergency or contingency leave wi thout specific provisions on paternity leave,
the employer shall grant to the employee seven (7) calendar days of paternity leave.
 31

10
PARENTAL LEAVE FOR SOLO PARENTS
(R A 8972)

A. Coverage

Parental leave for solo parents is granted to any solo parent or

individual who is left alone wi th the responsibility of parenthood due to:

1. Giving birth as a result of rape or, as used by the law, other crimes
against chastity;
2. Death of spouse;
3. Spouse is detained or is serving sentence for a criminal conviction for
at least one (1) year;
4. Physical and/or mental incapacity of spouse as certified by a public
medical practitioner;
5. Legal separation or de facto separation from spouse for at least one
(1) year: Provided that h e/she is entrusted with the custody of the
children;
6. Declaration of nullity or annulment of marriage as decreed by a court
or by a church: Provided, that he/she is entrusted with the custody of
the children;
7. Abandonment of spouse for at least one (1) year;
8. Unmarried father/mother who has preferred to keep and rear his/her
child/children, instead of having others care for them or give them up
to a welfare institution;
9. Any other person who solely provides parental care and support to a
child or children: Prov ided, that he/she is dul y licensed as a foster
parent by the Department of Social W elfare and Development (DSW D)
or dul y appointed legal guardian by the court; and
10. Any family member who assumes the responsibility of head of family
as a result of the death, abandonment, disappearance, or prolonged
absence of the parents or solo parent: Provided, that such
abandonment, disappearance, or prolonged absence lasts for at least
one (1) year.
 32

B. Definition of Terms

“Parental leave” shall mean leave benefits granted to a solo parent to

enable him/her to perform parental duties and responsibilities where
physical presence is required.

“Child” refers to a person living with and dependent on the solo parent
for support. He/she is unmarried, unemployed, and below eigh teen (18)
years of age, or even eighteen (18) years old and above but is incapable of
self-support because he/she is mentally- and/or physicall y-challenged.

C. The Parental Leave Benefit

The parental leave, in addition to leave privileges under existin g laws,

shall be for seven (7) work days every year, wi th full pay, consisting of
basic salary and mandatory allowances fixed by the Regional Wage Board,
if any, provided that his/her pay shall not be less than the mandated
minimum wage.

D. Conditions for Entitlement

A solo parent employee shall be entitled to the parental leave,

provided that:

1. He/ she has re nd ered at le ast one ( 1) year of serv ice, wh eth er conti nuo us or
brok en;

2. He/ she has n otifie d his/ h er e mp lo yer th at he/ sh e wi ll av ail hi ms elf/ herself of it,
within a re aso nab le per iod of ti me; an d

3. He/ she has pr esente d to h is/ h er e mpl o yer a Sol o Par ent Ide ntification Car d,
which ma y be obtain ed fro m the DSW D office of the city or munici pa lit y wher e
he/ she resi des.

E. Nonconversion to Cash

In the event that the parental leave is not availed of, i t shall not be convertible to
cash, unless specifically agreed on previously.
 33

F. Crediting of Existing Leave

If there is an existing or si milar benefit under a company policy or a

collective bargaining agreement, the same shall be credited as such. If the
same is greater than the seven (7) days provided f or in RA 8972, the
greater benefit shall prevail.

Emergency or contingency leave provided under a company policy or

a collective bargaining agreement shall not be credited as compliance with
the parental leave provided for under RA 8972.

G. Termination of the Benefit

A change in the status or circumstance of the parent claiming the

benefit under the law, such that he/she is no longer left alone with the
responsibility of parenthood, shall terminate his/her eligibility for this
benefit.

H. Protection Against Work Discrimination

No employer shall discriminate against any solo parent employee with

respect to terms and conditions of employment on acc ount of his/her being
a solo parent.
 34

11
LEAVE FOR VICTIMS OF VIOLENCE AGAINST
WOMEN AND THEIR CHILDREN
(R A 9262)

A. Definition

“Violence against women and their children,” as used i n Republic Act

9262 (the “Anti -Violence Against W omen and Their Chil dren Act of 2004”),
“refers to any act or a seri es of acts committed by any person against a
woman who is his wife, former wife, or against a woman with whom the
person has or had a sexual or dating relationship, or with whom he has a
common child, or agai nst her child whether legitimate or illegitimate, within
or without the family abode, which will result in or is likely to result in
physical, sexual, psychological harm or suffering, or economic abuse
including threats of such acts, battery, assault, coer ci on, harassment or
arbitrary deprivation of liberty.”

B. Coverage and Purpose

Private sector women employees who are victims as defined in RA

9262 shall be entitled to the paid leave benefit under such terms and
conditions provided herein.

The leave benefit shall cover the days that the woman employee has
to attend to medical and legal concerns.

C. Requirement for Entitlement

To be entitled to the leave benefit, the onl y requirement is for the victim-
employee to present to her employer a certifica tion from the barangay
chairman ( Punong Barangay) or barangay councilor ( barangay kagawad) or
prosecutor or the Clerk of Court, as the case may be, that an action relative
to the matter is pending.
 35

D. The Benefit

In addition to other paid leaves under existing labor l aws, company policies,
and/or collective bargaining agreements, the qualified victim - employee shall be
entitled to a leave of up to ten (10) days with full pay, consisting of basic salary and
mandatory allowances fixed by the Regional Wage Board, if any.

The said leave shall be extended when the need arises, as specified
in the protection order issued by the barangay or the court.

E. Usage of the Benefit

The usage of the ten -day l eave shall be at the option of the woman
employee. In the event that the leave benefit is not availed of, it shall not
be convertible into cash and shall not be cumulative.
 36

12
SPECIAL L EAVE FOR WOMEN
(R A 9710)

A. Coverage

Any female employee regardless of age and civil status shall be

entitled to a special leave benefit under such terms and conditions
provided herein.

B. Definition of Term

“Gynecological disorders ” refers to disorders that would require

surgical procedures such as, but not limited to dilatation and curettage and
those involving female reproductive organs such as the vagina, cervi x,
uterus, fallopian tubes, ovaries, breast, adnexa and pelvic floor, as
certified by a competent physician. It shall also include hyster ectom y,
ovariectomy and mastectomy.

C. Conditions for Entitlement

1. She has re nder ed at le ast six (6) mo nths conti nuo us a ggreg ate
emplo yment serv ice for the last twelv e (12) mo nths pri or to surg ery;

2. She has file d an a ppl icatio n for specia l leav e with h er e mpl o yer within a
reason ab le peri od of time from the expe cted date of surger y or within
such peri od as ma y be pr ov ide d by co mpa n y rules a nd reg ul ations or
collectiv e bar gai nin g agre e me nt; and

3. She h as un derg on e surg er y du e to g yn ecol ogic al disor ders as certifie d

by a co mpete nt ph ysici an.

D. The Special Leave Benefit

The employee is entitled to special leave benefit of two (2) months with
full pay based on her gross month ly compensation.
 37

Gross monthl y compensation refers to the monthl y basic pay plus mandatory
allowances fixed by the regional wage boards.

E. Usage

The special leave shall be granted to the qualified employee after she
has undergone surgery wi thout prejudice to an em ployer allowing an
employee to receive her pay before or during the surgery.

F. Nonconversion to Cash

The special leave shall be non -cumulative and non-convertible to cash unless
otherwise provided by a collective bargaining agreement (CBA).
 38

13
T HIRTEENTH -M ONTH P AY
(PD 851)

A. Coverage

All employers are required to pay their rank and file employees thirteenth-month
pay, 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 a
calendar year. The thirteenth - month pay should be given to the employees not later
than Decem ber 24 of every year.

B. Definition of Rank -and-File Employees

The Labor Code, as amended, distinguishes a rank -and-file employee

from a managerial employee. A managerial employee is one who is vested
wi th powers or prerogatives to lay down and execute management policies
and/or to hire, transfer, suspend, layoff, recall, discharge, assign, or
discipline employees, or to effectively recommend such managerial
actions. All employees not falling within this definition are considered rank-
and-file employees.

The above distinction shall be used as guide for the purpose of determining who
are rank -and-file employees entitled to the thirteenth - month pay.

C. Minimum Amount

The thirteenth-month pay shall not be less than one -twelfth (1/12) of
the total basic salary earned by an employee in a calendar year.

The "basic salary" of an employee for the purpose of computing the

thirteenth-month pay shall include all remunerations or earnings paid by
his or her employer for services rendered. It does not include al lowances
 39

and monetary benefits which are not considered or integrated as part of

the regular or basic salary, such as the cash equivalent of unused vacation
and sick leave credits, overtime, premium, night shift differential and
holiday pay, and cost of li ving allowance (COLA). However, these salary -
related benefits should be included as part of the basic salary in the
computation of the thirteenth -month pay if these are treated as part of the
basic salary of the employees, through individual or col lective agreement,
company practice or policy.

D. Formula And Computation o f 13 th Month Pay

Total basic salar y e arne d dur ing the year = proporti on ate
12 mo nths 13 th mont h pa y

Illustration:
Using the basic wage in the National Capi tal Region at P502.00 (from
January 1, 2018 to November 21, 2018) and P537.00 (from November 22,
2018 to December 31, 201 8) per day and a si x-day workweek or an
equivalent Monthl y Basic Salary of P12,466.33 and P13,290.75,
respectively, to wi t:

January no absence P12,466.33

February no absence P12,466.33
March 1day leave w /pay P12,466.33
April no absence P12,466.33
May 5 days leave w/o pay P 9,956.33
June 2 days leave w/pay P12,466.33
July no absence P12,466.33
August 2 days leave w/pay P12,466.33
September no absence P12,466.33
October on leave w/o pay no salary
November on leave w/o pay no salary
December no absence P13,290.75
Total basic salary earned for the year P122,977.72

P122,977.72 = P10,248.14 is the proportionate

12 months 13 th month pay
 40

E. Exempted Employers

The following employers are not covered by PD 851:

1. T he gov ernment and a n y of its political su bdiv isio ns, in cludi ng

gov ernment -o wne d a nd co ntrolle d cor porati ons, exc ept those
corporati ons oper ating essent iall y as priv ate subs idi ari es of the
gov ernment;
2. Emp lo yers who are a lrea d y pa yi ng the ir e mp lo ye es thirtee nth - mo nth
pa y or more in a cal end ar ye ar or its equ iv alent at the ti me of the
issuanc e of PD 851;
3. Persons in the perso nal serv ice of another in relatio n to such work ers;
and
4. Emp lo yers of those wh o are pa id on p ure l y co mmissi on, bo un dar y or
task basis, and those who ar e paid a fixe d a mou nt for performi ng
specific work , irrespectiv e of the time co nsu me d in the perfo rma nce
thereof (except those work ers who are paid on pi ece -r ate basis, in
which cas e their e mplo yer shal l grant the m thirtee nth - month pa y).

As used herein, “workers paid on piece -rate basis” shall refer to those
who are paid a standard amount for every piece or unit of work produced
that is more or less regularly replicated, wi thout regard to the time spent in
producing the same.

The term "its equivalent" as used in item D.2 above shall include
Christmas bonus, midyear bonus, cash bonus es, and other payments
amounting to not less than one -twelfth (1/12) of the basic salary but shall
not include cash and stock dividends, cost of living allowance, and all
other allowances regularly enjoyed by the employee, as well as
nonmonetary benefits.

F. Time of Payment of Thirteenth -Month Pay

The thirteenth-month pay shall be paid not later than December 24 of

every year. An employer, however, may give to his or her employees one -
half (1/2) of the thirteenth -month pay before the opening of the regul ar
school year and the remaining half on or before December 24 of every
year. The frequency of payment of this monetary benefit may be the
subject of an agreement between the employer and the
recognized/collective bargaining agent of the employees.
 41

G. T hirteenth-Month Pay for Certain Types of Employees

1. Employees who are paid on piecework basis are entitled to the

thirteenth-month pay.

2. Employees who are paid a fixed or guaranteed wage plus commission

are also entitled to the thirteenth -month pay, based on their earnings
during the calendar year (i.e., on both their fixed or guaranteed wage
and commission).

In the consolidated cases of Boie Takeda Chemicals, Inc. vs. Dionisio

de la Serna, G.R. No. 92174 December 10, 1993, and Philippine Fuji
Xerox Corporation vs. Cresenciano B. Trajano and Philippine Fuji
Xerox Employees Union , G.R. No. 102552 December 10, 1993, the
Supreme Court ruled that commissions, while included in the generic
term wage, are not part of "basic salary/wage" and therefore should
not be included in computing the thirteenth -month pay. Thus:

In re mun erativ e sche mes consi sting of a fixed or guarantee d

wage p lus co mmiss io n, the fixed or guara ntee d wag e is pate ntl y the
"basic s alar y" for this is w hat the e mp lo ye e rece iv es for a standar d
work period. Co mmiss ions ar e giv en for extra efforts exerted in
consu mmati ng sal es or other related trans actions. T hey are , as
such, ad ditio nal pa y, whic h this Court has mad e cle ar do not for m
part of the "basic sa lar y" (2 28 S CRA 329 [ 19 93]).

3. Employees with multiple employers

Government employees working part -time in a private enterprise,

including private educational institutions, as well as employees
working in two or more private firms, whether on full -time or part -time
basis, are entitled to the thirteen th- month pay from all their private
employers, regardless of their total earnings from each of their
employers.

H. Thirteenth-Month Pay of Resigned or Separated Employee

An employee who has resigned or whose services are terminated at

any time before the time of payment of the thirteenth -m onth pay is entitled
to this monetary benefit in proportion to the length of time he or she has
worked during the year, reckoned from the time he or she has started
working during the calendar year up to the time of hi s or her resignation or
 42

termination from the service. Thus, if he or she worked onl y from January
to September, his or her proportionate thirteenth -month pay should be
equal to one -twelfth (1/12) of his or her total basic salary earned during
that period.

I. Non-inclusion in Regular Wage

The thirteenth-month pay is not part of the regular wage of employees

for purposes of determining overtime and premium payme nts, fringe
benefits, contributions to the State Insurance Fund, Social Security
System, National Health Insurance Program, and private retirement plans.

J. Coverage from Income Tax of the 13 th Month Pay

13 th month pay and other benefits, such as productivity i ncentives and

Christmas bonus, not exceeding Ninety Thousand Pesos ( ₱90,000.00) are
exempt from taxation. bbcc

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S ec t io n 3 2 B , C h ap te r V I o f R . A . N o. 84 2 4 ( N at io na l I nt e r na l R e ve n u e C od e of t he P h il ip p i n e s), a s am e nde d b y S ec .
1ofR.A.No.10653.
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R e v e n u e R e gu l a ti o n s N o . 1 1 - 20 1 8 , Ame n d i n g C e r t ai n P r o vi si on s o f R e v enu e R e g ul a ti o n s N o . 2 -
9 8 , a s A me n d e d , t o I mp l e me n t F u r t h er A me n d m e n t s I n t r o d u ce d b y R e pu bl i c A c t N o . 1 0 9 6 3
 43

14
SEPARATION PAY
(Articles 298-299dd)

Separation pay is given to employees in instances covered by Articles

298 and 299 (formerly Articles 283 and 284 ) of the Labor Code of the
Philippines. An employee’ s entitlement to separation pay depends on the
reason or ground for the termination of his or her services. An employee
may be terminated for just cause (i.e., gross and habitual neglect of duty,
fraud, or commission of a crime), and other similar causes a s enumerated
under Article 297 (formerly Article 282) of the Labor Code and, generally,
may not be entitled to separation pay. ee On the other hand, where the
termination is for authorized causes, separation pay is due.

A. One-Half (1/2) Month Pay per Year of Service

An employee is entitled to receive a separation pay equivalent to one -

half (1/2) month pay for every year of service, a fraction of at least si x (6)
months being considered as one (1) whole year, if his/her separation from
the service is due to any of the following authorized causes:

1. Retrench ment to pr ev ent losses (i. e., reductio n of p erson nel effected b y
ma nag e me nt to prev ent losses);

2. Closur e or cess ation of oper atio n of an esta blis h ment n ot due to seriou s
losses or fina nci al rev erses; and

3. W hen the emplo yee is suff ering fro m a dise ase n ot curabl e
within a p erio d of six (6) mont hs and his/ h er contin ued e mplo yme nt is
preju dici al to his/ h er hea lth or to the hea lth of his/ her co -e mplo ye es.

4. Lack of serv ice assign me nt of securit y guar d for a contin uous p eriod of six
(6) mo nths ff

dd
F o r m e r l y A r t ic l e s 2 8 3 - 2 8 4 r e n um b e r e d p u r s u a n t t o D O L E D e p a r t m e nt A d v i s o r y N o . 1 , S e r i e s o f 2 0 1 5 i s s ue d o n 2 1
July 2 015.
ee
TheSupremeCourthasruledincertaincasesthatseparationpayshallbegr antedtheworkers.
ff
D e p a rt m e nt O r d e r N o . 1 5 0 s. 20 1 6 R e v is e d G uid e l i ne s G o v e r n i n g t he E m plo ym e nt a n d W o rk i n g C o nd it io ns o f S e c ur it y
G u a r d s a nd Ot h e r P r i va t e S e c ur it y P e r so n ne l i n t h e P r i vat e S ec ur it y I n d ust r y
 44

In no case will an employee get less than one (1) month separation
pay if the separation is due to the above stated causes.

B. One-Month Pay per Year of Servic e

An employee is entitled to separation pay equivalent to his/her one -
month pay for every year of service, a fraction of at least si x (6) months
being considered as one whole year, if his/her separation from service is
due to any of the following:
1. Insta llati on b y e mp lo yer of labor -sav ing dev ices;
2. Redu nd ancy, as w hen th e posit ion of the e mplo yee has bee n found t o
be excessiv e or un necess ar y in the oper ation of the ent erpris e; and
3. Imposs ibl e reinstate ment of the empl o yee to his or her former positio n
or to a substanti al l y equ iv alent positio n for reaso ns not attrib utabl e to
the fault of the emplo yer, as when the rei nstate me nt ordere d by a
competent a uthorit y can not be i mp le me nted d ue to closur e or cessatio n
of operati ons of the estab lish me nt/ emp lo yer, or the positi on to w hich h e
or she is to be re instate d no lo nger ex ists an d there is no s ub stantial l y
equiv al ent positio n in the esta blish ment to which he or she can be
assign ed. gg
4. Lack of serv ice assign ment of securit y guar d b y reas on of age hh.

C. Notice of Termination
The employer may terminate the employment of any employee due to
the above-mentioned authorized causes by serving a written notice on the
employee and the Department of Labor and Employment through its
regional office having jurisdiction over the place of business at least one
(1) month before the intended date thereof.

D. Basis of Separation Pay

The computation of separati on pay of an employee shall be based on

his/her latest salary rate.

E. Inclusion of Regular Allowance in the Computation

gg
Gacovs.NLRC,etal.,G.R.No.104690,February23,1994.
hh
D e p a r t m e nt O r d e r N o . 1 50 s . 2 0 1 6 R e v i s e d G u id e l i ne s G o v e r n i n g t he E m p l o ym e nt a n d W o r k i n g C o n d it i o n s o f
S ec ur it y G ua r d s a n d O t he r P r i va te S ec ur it y P er so nn e l i n t he P r i vat e S ec ur it y In d ust r y
 45

In the computation of separation pay, it would be error not to integrate

the allowance wi th the basic salary. The salary base properl y used in
computing the separation pay should include not just the basic salary but
also the regular allowances that an emp loyee has been receiving. ii

F. Coverage from Income Tax of Separation Pay

Exempted from taxation is the separation pay received by an

employee as a result of his/her separation from the service of the employer
due to death, sickness or other physical dis ability or for other cause
beyond the control of said employee such as retrenchment, redundancy or
cessation of business operations. jj

ii
Planters’Products,Inc.vs.NLRC,G.R.No.78524,January20,1989.
jj
BIRRulingNo.057-2014;Sec.32(B)(6)(b)oftheNationalInternalRevenueCode,asamended.
 46

15
RETIREMENT PAY
(Article 302kk)

A. Coverage

1. Employees shall be retired upon reaching the age of sixty (60) years
or more but not beyond si xty-five (65) years old [and have served the
establishment for at least five (5) years].

2. This benefit applies to all employees except:

1) gov ernment e mp lo ye es;

2) emplo yees of retai l, serv ice and agric ultur al estab lish ments/ operati ons
regul arl y e mp lo ying n ot mor e than ten (10) e mplo yees .

B. Amount of Retirement Pay

The minimum retirement pay shall be equivalent to one -half (1/2)

month salary for every year of service, a fraction of at least six (6) months
being considered as one (1) whole year.

For the purpose of computing retirement pay, "one -half month salary" shall
include all of the following:

1. Fifteen (15) da ys sa lar y bas ed o n the latest salar y rate;

2. Cash eq uiv ale nt of fiv e (5) days of serv ice incentiv e leav e;
3. One- twelfth (1/ 12) of the thirte e nth -month pay.
(1/ 12 x 365/ 1 2 = . 083 x 30. 41 = 2. 5)

Thus, “one-half month sal ary” is equivalent to 22.5 days (Capitol

Wireless, Inc. v. Honorable Secretary Ma. Nieves R. Confesor, G. R. No.
117174, November 13, 1996).

The COLA shall not be included in the computation of retirement pay.

kk
F o r m e r l y A r t ic le 2 8 7 r e n um b e r e d p u r s ua nt t o D O L E D e p a r t m e nt A d v i s o r y N o . 1 , S e r ie s o f 2 0 1 5 i s s u e d o n 2 1 J u l y
2015 .
 47

Illustration:
Mi ni mu m R etire me nt Pa y = Daily R ate ll x 22. 5 days x nu mber of ye ars in
serv ice

Other benefits may be included in the computation of the retirement

pay upon agreement of the employer and the employee or if provided in the
Collective Bargaining Agreement (CBA).

C. Retirement Benefits under a Co llective Bargaining Agreement or

Applicable Contract

Any employee may retire or be retired by his or her employer upon reaching the
retirement age established in the collective bargaining agreement (CBA) or other
applicable agreement/contract and shall re ceive the retirement benefits granted
therein; provided, however, that such retirement benefits shall not be less than the
retirement pay required under RA 7641, and provided further that if such retirement
benefits under the agreement are less, the employer shall pay the difference.

W here both the employer and the employee contribute to a retirement

fund pursuant to the applicable agreement, the employer's total
contributions and the accrued interest thereof should not be less than the
total retirement be nefits to which the employee would have been entitled
had there been no such retirement benefits’ fund. If such total portion from
the employer is less, the employer shall pay the deficiency.

D. Retirement Benefits of Workers who are Paid by Results

For covered workers who are paid by results and do not have a fixed
monthly salary rate, the basis for the determination of the salary for fifteen
(15) days shall be their average daily salary (ADS). The ADS is derived by
dividing the total salary or earnin gs for the last twelve months reckoned
from the date of retirement by the number of actual working days in that
particular period, provided that the determination of rates of payment by
results are in accordance wi th the established regulations.

ll
C e b u I n s t it ut e o f T e c h no l o g y v s . O p l e , G R N o . 5 8 8 7 0 , D e c . 1 8 , 1 9 8 7 - E xi s t i ng l a w s e xc l ud e a l lo w a n c e s f r om t h e
b a s ic s a l a r y o r w a g e i n t h e c o m p ut a t i o n o f t h e am o u n t o f r e t i r e m e nt a nd o t he r b e n e f it s p a y a b l e t o a n e m p l o ye e .
 48

E. Retirement Benefit of Part-time Workers

Part-time workers are also entitled to retirement pay of “one -half

month salary” for every year of service under RA 7641 after satisfying the
following conditions precedent for optional retirement: (a) there is no
retirement plan between the employer and the employee and (b) the
employee should have reached the age of sixty (60) years, and should
have rendered at least five (5) years of service wi th the employer.

Applying the foregoing principle, the components of reti rement benefit of part-
time workers may likewise be computed at least in proportion to the salary and related
benefits due them.

F. Retirement Benefit of Underground or Surface Mine Employees

under Republic Act No. 8558 as amended by Republic Act No.
10757 mm

The retirement age of underground or surface mine employees has

been reduced to a much lower age. For this purpose, an underground or
surface mine employee refers to any person employed to extract mineral
deposits underground or in the surface, or to work in excavations or
workings such as shafts, wi nzes, tunnels, drifts, crosscuts, raises, working
places whether abandoned or in use beneath or in the earth’s surface for
the purpose of searching f or and extracting mineral deposits. Moreover,
surface mine workers shall only include mill -plant workers, electrical,
mechanical and tailings pond personnel.

In the absence of a retirement plan or other applicable agreement providing for

retirement benefits of underground mine employees in the establishment, an employee
may retire upon reachi ng the compulsory retirement age of si xty (60) years or upon
optional retirement at the age of fifty (50) years, provided he/she has served for at
least five (5) years as an underground mine employee or in underground mine of the
establishment.

G. Retirement Benefit of Racehorse Jockeys

The compulsory retirement age of professional racehorse jockeys who are dul y
licensed by the Philippine Racing Commission (PHILRACOM) is

mm
A n A c t R e d u c i n g t h e R e t i r e m e n t A g e o f S u r f a c e M i n e W o r k e r s f r o m S i xt y ( 6 0 ) t o F i f t y ( 5 0 ) Y e a r s , a m e n d i n g f o r t h e
p u r p o s e A r t ic le 3 0 2 o f P D 4 4 2 , o t h e r w i s e k n o w n a s t he “ L a b o r C o d e o f t he P h i l ipp i ne s ” w h ic h w a s s i g ne d i nt o la w o n
08 A pril 201 6.
 49

fifty-five (55) years old provi ded that he/she has ser ved for at least five (5) years as
racehorse jockey and has paid additional premium to the SSS.

H. Retirement Benefit of Kasambahay and Persons in the Personal

Service of Another

Kasambahay and persons in the personal service of another are

entitled to reti rement benefits pursuant to Department Order No. 20 s.
1994 nn .

I. Other Benefits upon Retirement

The retirement benefits under RA 7641 and RA 8558 are separate and
distinct from those granted by the Social Security System.

Under the law, upon optional or c ompulsory retirement, the employee

is also entitled to the proportionate thirteenth -month pay for the calendar
year and to the cash equivalent of accrued leave benefits.

J. Coverage from Income Tax of Retirement Pay

Exempted from taxation are the r etirement benefits received under RA

7641 (now Article 302 herein) and those received by officials and
employees of private firms, whether individual or corporate, in accordance
wi th a reasonable private benefit plan maintained by the employer:
Provided, That the retiring official or employee has been in the service of
the same employer for at least ten (10) years and is not less than fifty (50)
years of age at the time of his retirement: Provided, further, That the
benefits granted under this subparagraph shal l be availed of by an official
or employee onl y once.

For purposes herein, the term 'reasonable private benefit plan' means
a pension, gratuity, stock bonus or profit -sharing plan maintained by an
employer for the benefit of some or all of his officials or employees,
wherein contributions are made by such employer f or the officials or
employees, or both, for the purpose of distributing to such officials and
employees the earnings and principal of the fund t hus accumulated, and
wherein it is provided in sa id plan that at no time shall any part of the
corpus or income of the fund be used for, or be diverted to, any purpose
other than for the exclusive benefit of the said officials and employees. oo

nn
DepartmentOrderNo.20,seriesof1994-AmendingSection2ofRA7641.
oo
PursuanttoSection32(B)(6)(a)oftheNationalInternalRevenueCodeofthePhilippines,asamended.
 50

16
BENEFITS UNDER THE EMPLOYEES ’
COMPENSATION PROGRAM
(PD 626)

A. The Employees’ Compensation Program

The Employees’ Compensation Program (ECP) is a government

program designed to provide a compensation package to public and private
sector employees or their dependents in the event of work -related
sickness, injury, disability, or death. pp

B. Coverage

The ECP covers all workers in the formal sector.

Coverage in the ECP starts on the first day of employment.

Employees in the private sector who are compulsory members of the

Social Security System (SSS) qq, with em ployer-employee relationship

C. The Benefits

Loss of income benefit or a cash benefit given to a worker to compensate for

lost income due to his or her inability to work.

Medical benefits which include the reimbursement of the cost of

medicine for the illness or injury, payments to providers of medical care,
hospital care, surgical expenses, and the costs of appliances and supplies

pp
Fo r m o r e i n f o r m a t i o n , p l e a s e w r i t e o r c a l l t h e E m p l o y e e s ’ C o m p e n s a t i o n C o m m i s s i o n ( E C C ) , I n f o r m a t i o n a n d
P ub l ic A s s i s t a nc e D i vi s i o n, lo c a t e d a t 3 5 5 S e n. G i l P u y a t A v e n u e , M a k a t i C it y. T e l e p h o n e N o s . 8 9 9 - 4 2 5 1 t o 5 2
lo c a ls 2 2 7 a nd 2 2 8 ; Fa x: 8 9 7 - 7 5 9 7 . P ub l ic A s s is t a nc e C e nt e r ( P A C ) T e le p ho n e N o. 8 9 9 - 4 2 5 1 . E m a il :
e c c _ m a i l @ y a ho o . c o m . W e b s i t e : w w w . e c c . g o v . p h
qq
N o n- r e g i s t r a t io n o f a n em p lo ye e w i t h t h e S S S is no t p r e j u d ic i a l t o h i s/ h e r E C c la im i n t h e e ve n t t ha t t he s a m e ha s
b e e n d ec l a r e d a s w o rk -c o nn e c te d. ( A r t. 1 6 7 ( g) i n r e l a t io n t o A rt. 1 6 8, P . D . N o. 6 26 , a s a m e nde d )
 51

where necessary. The medical services are limited to ward services of an accredited
hospital.

Rehabilitation services which include physical therapy, vocational

training, and special assistance provided to employees who sustain a
disability as a result of sickness or injury arising out of employment. The
objective is to develop the workers’ mental, vocational, and social p otential
and to help them remain as productive members of society.

Carer ’s allowance which is provided to an employee who suffers

from a work-connected permanent partial and permanent total disability. rr

Death and Funeral benefits which are granted to ben eficiaries of an

employee in the event of work -connected death. Death benefits shall also
be granted to the beneficiaries in cases where the cause of the employee
is a complication or natural consequence of his/ her compensated
ss
permanent total disability.

D. Kinds of Disability

There are three (3) types of loss of income benefits:

Temporary Total Disability (TTD) benefit which is given to an

employee who is unable to work for a continuous period not exceeding 120
days.

Permanent Partial Disability (PPD) benefit which i s given to a

worker who loses a body part and consequentl y the loss of the use of that
body part.

Permanent Total Disability (PTD) benefit which is given if the

employee’s inability to work lasts for more than 240 days. PTD benefit can
be claimed in the following cases:
1. complete loss of sight of both eyes ;
2. loss of two limbs at or above the ankles or wrists;
3. permanent and complete paral ysis of two limbs ;
4. brain injury resulting in incurable imbecility or insanity ; and

rr
B o a r d R e s o l u t i o n N o . 9 0 - 12 - 0 0 9 0 , D e c . 2 0 , 1 9 9 0 i n r e l a t i o n t o E . O . N o . 1 3 4 , A p r i l 2 3 , 2 0 1 3
ss
B o a r d R e s o l u t i o n N o . 1 0 - 09 - 1 1 6 , S e p t . 2 , 2 0 1 0 i n r e l a t i o n t o A r t . 1 9 4 ( b ) o f P . D . N o . 6 2 6 , a s a m e n d e d
 52

5. such cases as determined by the SSS and approved by the

Commission. tt

E. Filing of Claims

Employees can claim onl y f or work -connected sickness, injuries, or death.

Who may file: The claimant or his/her representative may file an

appropriate claim with the GSIS, in case of public sector claimant, or
wi th the SSS, in case of private sector claimant.

When: A claim m ust be filed within three (3) years from:

a. In case of sickness – from the time the employee lost hi s

earning capacity;
b. In case of injury – from the time it was sustained;
c. In case of death – from the time of death of the covered
member. uu

How: Fill in the prescribed forms supplied by the GSIS or SSS and
attach the supporting documents required for every conti ngency.

Where to File: All EC claims may be filed by t he claimant at his option

in the Regional Office/ Branch of the System ([GSIS - public sector]; [SSS-
private sector]) nearest to the public place of work or residence.” vv

Period of Appeal. The claimant shall file with the GSIS or the SSS, as
the case may be , a notice of appeal within thirty (30) cal endar days from
receipt of the decision.

tt
Art.192(c),(6),P.D.626,asamended,inrelationtoRuleIX,Sec.1(6),Am endedRulesonEmployees’
Compensation
uu
ECCCircularNo.03-709,July22,2009
vv
E C C B o a r d R e s o l u t i o n N o . 1 0 - 10 - 1 5 7 , O c t . 2 0 , 2 0 1 0
 53

F. Obligations/Responsibilities of Employers

1. Contribution to the State Insurance Fund (SIF). – The employer

shall contribute in behalf of his or her employees to the SIF, from
which payments for benefits are drawn.

2. Registration. – Every employer (and every employee as well) shall

be registered with the GSIS or SSS by accomplishing the prescribed
forms.

3. Safety Devices. – The employer shall comply wi th health and safety

laws and shall take the necessary precautions for the prevention of
work-related disability or death.

4. Employer ’s Logbook. –
 All employers shall keep a logbook to record chronologically
the sickness, injury or death of their employees, setting forth
therein their names, dates and places of the contingency,
nature of the contingency and absences.
 Entries in the logbook shall be made within five (5) days from
notice or knowledge of the occurrence of the contingency.
 W ithin five days after entry i n the logbook, the employer shall
report to the System onl y those contingencies he deems to be
work-connected.” ww

5. Provision for Medical Services. – In addition to EC benefits,

existing medical services being provided by the employer shall be
maintained and continued to b e enjoyed by their employees. xx

ww
Art.205[a],P.D.No.626,asamended
xx
Art.175,P.D.626,asamended
 54

17
PHILHEALTH BENEFITS
(R A 7875, as amended by RA 9241)

A. The National Health Insurance Program

The National Health Insurance Program (NHIP), formerl y known as

Medicare, is a health insurance program for SSS members and their
dependents whereby the healthy subsidize the sick who may find
themselves in need of financial assistance when they get hospitalized.

The Philippine Health Insurance Corporation yy or PhilHealth is the

mandated administrator of the Medicare prog ram (now known as NHIP)
under the National Health Insurance Act of 2013 (Republic Act 7875 as
amended by RA 9241 and 10606)

B. Coverage

The program covers the following:

1. Members In The Formal Economy - includes those with formal

contracts and fixed terms of employment including workers in the
government and private sector, whose premium contribution payments
are equally shared by the employee and the employer.

2. Sponsored Members - includes members whose contributions are

being paid for by another in dividual, government agencies, or private
entities.

3. Members In The Informal Economy - includes a wide range of

individuals and sectors ranging from the self -earning to migrant
workers.

yy
F o r i nq u i r i e s o n N H IP c o ve r a g e , b e ne f it s a n d p r oc e d u r e s f o r S S S m em b e r s, y o u m a y v is it t he P hi l ip p i n e H e a l t h
I n s ur a n c e C o r p o r a t i o n ( P h i l H e a l t h ) a t t h e C i t y s t a t e C e n t r e B l d g . , 7 0 9 S h a w B l v d . , B a r a n g a y O r a n b o , P a s i g C i t y o r
c a l l t e l e p h o n e n u m b e r 6 3 7 - 9 9 9 9 . Y o u m a y a l s o v i s i t t h e P h i l H e a l t h w e b s i t e a t h t t p : / / w w w . p hi l h e a l t h . g o v . p h .
 55

4. Lifetime Members - members who have reached the age of

retirement under the law and have paid at least 120 monthl y premium
contributions.

5. Indigent Members - persons who have no visible means of income,

or whose income is insufficient for family subsistence, as identified by
the Department of Social Welfare and Development (DSW D), based
on specific criteria.

6. Senior Citizens - those who are 60 years old and above and are not
currentl y covered by any of the existing membership categories of
PhilHealth.

C. The Benefits

A unified benefit package for all PhilHealth members i s being implemented

which includes the following categories of personal health services:

1. Inpatient hospital care:

 Room and board;

 Services of health care professionals;
 Diagnostic, laboratory, and other medical examination services;
 Use of surgical o r medical equipment and facilities;
 Prescription drugs and biologicals, subject to the limitations
stated in Section 37 of RA 7875; and
 Inpatient education packages.

2. Outpatient care:

 Services of health care professionals;

 Diagnostic, laboratory, and o ther medical examination services;
 Personal preventive services;
 Prescription drugs and biologicals, subject to the limitations
described in Section 37 of RA 7875; and
 Emergency and transfer services.
 56

The New Phil Health Inpatient Benefit Schedule

Effect ive April 5, 2009
HOSPITAL C ATEGORIES
Levels 3 & 4 Hospitals (Tertiar y)
Benefit Item Case Type
A B C D
Roo m an d Boar d  P500/ day P500/ P800/ day P1, 100/ day
day
Drugs an d Med icin es   P 4, 200 P 14, P 28, 000 P 40, 000
000
X-ra y, Lab. an d Others** P 3, 200 P 10, P 21, 000 P 30, 000
500
For pr ocedu res w ith RVU 30 & below = P1, 200
For pr ocedu res w ith RVU 31 to 80 = P1, 500
Operating Room For pr ocedu res w ith RVU 81 to 600: RVU x PC F
20 (Minimum = P3, 500)
Professional Fees
a. D aily visits
Gener al Practit ioner ( Groups 1, 5, a nd 6)
Per D ay P300 P400 P500 P60
0
Maximum per confinement P1, 200 P2, 400 P4, 000 P6, 000
Specialist (Group s 2, 3, and 4)
Per D ay P500 P600 P700 P80
0
Maximum P2, 000 P3, 600 P5, 600 P8, 000
per C
onfinement
For RVU 500 and below For RVU 501 and above
b. Surgery
Surgeon A Surgeon A nesthesio -
nesthesiolo logist
- gist
General Pr actitioner RVU x PC F 40 40% of RVU x PC F 40 40% of
First Tier = PF1 surgeo n’s fee = PF1 surgeo n’s fee
(Group 1 ) Max. of (PF1) Max. of Max. of (PF1) Max. of
P3, 200 P1, 280 P3, 200 P1, 280
With training RVU x PC F 48 48% of RVU x PC F 48% of
Second Tier = PF2 surgeo n’s 48 surgeo n’s
(Groups 5 an d 6) fee (PF1) = PF2 fee (PF1)
D iplomate/ fellow RVU x PC F 56 56% of RVU x PC F 40% of
Third Tier = PF3 surgeo n’s 80 surgeo n’s
(Groups 2, 3, and 4 ) fee (PF1) = PF4 fee (PF4)
 57


M a xim um o f 4 5 d a y s p e r y e a r .


p e r s i ng l e p e r i o d o f c o nf i ne m e nt .
 58

Level 2 Hospitals (Secondar y)

Case Type
Benefit Item
A B C
Roo m an d Boar d* P 400/ day P 400/ day P 600/ day
Drugs an d Med icin es** P 3, 360 P 11, 200 P 22, 400
X-ra y, Lab orator y an d Others** P 2, 240 P 7, 350 P 14, 700
For pr ocedu res w ith RVU 30 & below = P750
For pr ocedu res w ith RVU 31 to 80 = P1, 200
Operating Room For pr ocedu res w ith RVU 81
to 600 RVU x PC F 15
(Minimum = P2, 200 an d Maximum =
P7, 500 )
Professional Fees
a. D aily visits
Gener al Practitioner ( Groups 1, 5, a nd 6)
Per D ay P30 P40 P500
0 0
Maximum per confinement P1, 200 P2, 400 P4,
000
Specialist (Group s 2, 3, and 4)

Per D ay P50 P60 P700

0 0
Maximum per confinement P2, 000 P3, 600 P5,
600
b. Surgery (for C ase Typ es A, B and C) Surgeon A nesthesiologist

General Practitione r RVU x PC F 40 40% of surgeon’s fee

First tier = PF1 (PF1)
(Group 1 ) Maximum of P3, Maximum of P1,
200 280

With training RVU x PC F 48 48% of surgeon’s fee

Second tier = PF2 (PF1)
(Groups 5 an d 6)

Diplomate/ fellow RVU x PC F 56 56% of surgeon’s fee

Third tier = PF3 (PF1)
(Groups 2, 3, and 4)
 59

Level 1 Hospitals (Primar y)

Benefit Item Case Type

A B
Roo m an d Boar d* P300/ day P300/ day
Drugs an d Med icin es** P2, 700 P 9, 000
X-ra y, Lab orator y an d Others** P1, 600 P 5, 000
Operating R oo m P500
Professional Fees
a. D aily visits
Gener al Practitioner ( Groups 1, 5, a nd 6)
Per D ay P300 P400
Maximum per confinement P1, 200 P2, 400
Specialist (Group s 2, 3, and 4)
Per D ay P500 P600
Maximum per confinement P2, 000 P3, 600
b. Surgery (for C ase Typ es A and B) Surgeon A
nesthesiologis
t
General Practitione r
RVU x PC F 40% of surgeo n’s
First Tier
40 fee
(Group 1 )
= PF1 (PF1)
With training
RVU x PC F 48% of surgeo n’s
Second Tier
48 fee
(Groups 5 an d 6)
= PF2 (PF1)
D iplomate/ fellow
RVU x PC F 56% of surgeo n’s
Third Tier
56 fee
(Groups 2, 3, and 4 )
= PF3 (PF1)
Max. of P2, 000 per Max. fee computed as
confinement percenta ge of P2, 00 0
The follow ing ar e also inclu de d in you A dditional U pdate
r PhilH ealth benefits: • In compliance to PhilH ealth C ircular N
• Outpa tient Malaria Pa ck age starting os. 22, s. 2007 a nd 11, s. 2008, the ho
01 D ecember 20 08 spital’s Statement of Account (SA) or
• N ormal Spontaneous D elivery u p to Billing Statement (BS ) should b e attached
four th to a claim application.
childbirth starting 01 Janua ry 2009 • N o need to attach an SA or BS to claim
• Voluntary Surgical C ontrac eption applications for p ackages like Mat ernity C
Procedure s starting 01 Octob er 20 08 are Packag e, SA R S, Peritoneal D ialysis
• C atarac t Pack age starting 0 1 May 2009 , and Avian Flu.
• A (H 1N 1) Package startin g 01 May 2 009
 60

18
SOCIAL SECURITY BENEFITS
(R A 1161, as amended by R A 8282)

A. The Social Security Program

The Social Security Program provides a package of benefits in the

event of death, disability, si ckness, maternity, and old age. Basically, the
Social Security System (SSS) provides for a replacement of income lost on
account of the aforementioned contingencies. zz

B. Coverage

A private employee, whether permanent, temporary or provisional.

C. The Benefits

C.1 Sickness

The sickness benefit is a daily cash allowance paid for the number of days a
member is unable to work due to sickness or injury.

A member is qualified to avail himself/herself of this benefit if:

1. he/ she is un abl e to work due to sick ness or injury a nd is thus confine d
either in th e hosp ital or at ho me for at least four days;
2. he/ she h as pa id at le ast three mo nthl y contri buti ons with in t he 12 -
mo nth peri od i mmedi atel y befor e the semester of sick ness;
3. he/ she has us ed u p all curre nt compan y sick leav es with pa y for the
current year; an d
4. he/ she h as notifie d his/ h er e mpl oyer.

zz
F o r i n q u i r i e s o n S S S b e n e f i t s a n d o t h e r r e l a t e d m a t t e r s , y o u m a y v i s i t t h e S o c i a l S e c ur i t y S y s t e m ( S S S ) a t t h e S S S
B u i ld i ng, E a st A v e nue, D i l im an , Q uez o n C it y or it s near e st bra nc h of f ic e. Y o u m a y a l s o c a l l t e lep ho ne num ber s
920 - 6 4 0 1 ( o p e r a t o r - a s s i s t e d ) , 9 2 0 - 6 4 4 6 ( M e m b e r R e l a t i o n s D e p a r t m e n t ) , 9 1 7 - 7 7 7 7 ( m a c h i n e - a s s i s t e d ; p r e s s y o u r
S S S no. and wait for i n s t r uc t io ns ) or visit it s we b s it e at w w w . s s s . g o v. p h or e -m a il it at
m em ber _r el atio ns@sss. go v.p h .
 61

The amount of an employee’s sickness benefit is computed as: the

daily sickness allowance times the approved number of days.

Effective May 24, 1997, the dail y sickness allowance is 90 percent of

the average dail y salary credit (Section 14 of Republic Act 8282).

Maternity (see Title #8. Maternity Leave on page 2 7)

C.3. Disability

It is a cash benefit paid to a member who becomes permanentl y

disabled, either partially or totally.

A member who suffers partial or total permanent disab ility, with at

least one (1) contribution paid to the SSS prior to the semester of
contingency, is qualified.

The complete and permanent loss of use of any of the following parts
of the body under permanent partial disability:

one thu mb sight of one e ye one bi g toe

one in dex fin ger heari ng of on e ear one h and
one mid dl e finger heari ng of both e ars one ar m
one rin g fing er one foot one e ar
one little fi nger one le g both ears

The following fall under permanent total disability:

1. Co mpl ete loss of sig ht of both eyes;
2. Loss of two li mbs at or ab ov e the ank le or wrists;
3. Permane nt co mpl ete par al ysis o f two limbs;
4. Brain in jur y ca usin g insa nit y; an d
5. Other cases as deter mi ned a nd approv ed b y the SSS.

Types of disability benefits:

1. T he month l y pe nsio n wh ich is paid to a dis abl ed me mber who h as pa id at
least 36 mo nthl y contri butio ns to the SSS; and
2. T he lump sum a mo unt which is granted to those who hav e not paid the
requir ed 3 6 monthl y co ntri buti on s.

Retirement

It is a cash benefit paid to a member who can no longer work due to

old age.
 62

A member is qualified to avail himself of this benefit if:

a. he/ she is 6 0 years o ld an d un e mp lo ye d an d has paid at least 120 mo nthl y

contributi ons pr i or to the se mest er of retirement.
b. he/ she is 6 5 years o ld, wh ether emplo yed or n ot. If emp lo ye d h e/ she sho uld
hav e pai d 12 0 mont hl y co ntrib utions pr ior to th e se mester o f retirement,
whether e mpl o yed or n ot.

The types of retirement benefits are:

a. the mo nt hl y p ensi on, and

b. the lu mp su m a mount.

The monthly pension is a lifetime cash benefit paid to a retiree who

has paid at least 120 monthl y contributions to the SSS prior to the
semester of retirement.

The lump sum amount is granted to a retiree who has not paid the required 120
monthl y contributions.

Death & Funeral

The death benefit is a cash paid to the beneficiaries of a deceased member.

The primary beneficiaries are the legitimate dependent spouse until

he or she remarries and legitimate, legit imated, legally adopted or
illegitimate dependent children of the member. In the absence of primary
beneficiaries, the secondary beneficiaries are the dependent parents of
the member. In their absence, the person designated by the member as
beneficiary in his/her member ’s record will be the recipient.
The types of death benefits are:
1. the mo nthl y p ensi on; and
2. the lu mp su m a mount.

The monthly pension is granted onl y to the primary beneficiaries of a deceased

member who had paid 36 monthl y contributions be fore the semester of death.

The lump sum is the amount granted to the primary beneficiaries of a

deceased member who had paid less than 36 monthl y contributions before
the semester of death.
 63

19
P AG - IBIG B ENEFITS
(Republic Act No. 9679)

A. The Home Develop ment M utual Fund (HDMF)

The Home Development Mutual Fund , otherwise known as Pag -IBIG
(Pagtutulungan sa kinabukasan: Ikaw, Bangko, Industriya at Gobyerno )
Fund is a mutual provident savings system for private and government
employees and other earning gro ups, supported by m atching mandatory
contributions of their respective employers with housing as the primary
investment. aaa

B. Coverage
I. Mandatory Membership

 All employees who are or ought to be covered by the Social Security

System (SSS), provided that actual membership in the SSS shall not
be a condition precedent to the mandatory coverage in the Fund. It
shall include, but are not limited to:

o A priv ate emplo yee, wheth er p ermane nt, tempor ary, or prov isi onal
who is not ov er sixty (6 0) years old;
o A househ ol d h elp er ear nin g at least ₱ 1, 000. 00 a mo n th. Ahouse
ho ld h elp er is an y pers on wh o ren ders d o mestic ser v ices exclusiv el y
to a h ouse hol d such as a dr iv er, garden er, cook , gov erness, and
oth er si mil ar oc cupati ons;
o A Filipino se afarer u pon the s igni ng of the s tand ard co ntrac t of
emplo yment b etwee n the s eafa rer an d the mann ing ag enc y, w hich
together wit h the foreig n ship o wner, acts as the emplo yer;
o A self -emplo yed p erso n reg ardl ess of trade, bus iness or occu pation,
with an i nco me of at least ₱ 1, 00 0. 00 a mo nth a n d not ov er sixty
(60) ye ars old;
o An expatri ate who is not mor e than sixty (6 0) ye ars old a nd is
compuls oril y cov ere d b y the Social Secur ity S yste m (S SS),

aaa
F o r i n q u i r i e s , y o u m a y w r i t e t h e M e m b e r R e l a t i o n s D e p t . , 2 nd F l o o r , J E L P B l d g . , 4 0 9 A d d i t i o n H i l l s , S h a w B l v d . ,
M a nd a l u y o ng C it y, o r yo u m a y c a l l it s H o t l i ne a t ( 0 2 ) 7 2 4 - 4 2 4 4 o r em a il a t p u bl i c a f f a i r s @ p a g i b i g f u nd . g o v. p h .
Yo u c a n a l so v is it it s n e a r e st b r a nc h of f ic e .
 64

regard less of citizensh ip, natur e and durati on of emplo yment, and
the man ner b y whic h the comp e nsatio n is pa id. In the abse nce of an
explic it exemptio n from SSS cov erage, the said expatri ate, upon
assu mptio n of office, shall b e co v ered by the Fun d.

An expatriate s hal l refer t o a c i tize n of a noth er co untr y wh o is liv ing a nd

work ing in the Ph ili ppi nes.

o All emplo yees wh o are subje ct to mand ator y cov erage b y the
Gov ernment Serv ice Insura nce System (GSIS), regardl ess of their
status of appo int ment, inc lud i ng me mb ers of the jud iciar y and
constitutio nal co mmissio ns;
o Unifor me d me mb ers of the Ar me d Forces of the P hil ipp ines , the
Bureau of Fire Protectio n, the Burea u of Jai l Man age ment and
Penol og y, and the Ph ili ppi ne Na tional Po lic e;
o Filipi nos e mp lo ye d b y foreig n - based e mplo yers, whether the y are
depl o ye d here or a broa d or a co mb inati on ther eof.

II. Voluntary Membe rship

An individual at least 18 years old but not more than 65 years old may
register wi th the Fund under voluntary membership. However, said
individual shall be required to compl y with the set of rul es and regulations
for Pag-IBIG members including the a mount of contribution and schedule
of payment. In addition, they shall be subject to the eligibility requirements
in the event of availment of loans and other programs/benefits offered by
the Fund.

The following shall be allowed to appl y for voluntary me mbership:

 Non-w ork ing spous es who d ev ote full time to man agi ng the househ old a nd
fami l y affairs, unl ess the y als o e ngag e in anoth er v ocation or e mplo yme nt whic h
is sub ject to ma ndator y cov erag e, prov ided the e mpl o yed s po us e is a reg istered
Pag-IB IG me mber an d consents to the Fund me mb ershi p of the non -w ork ing
spouse;
 Filipi no e mplo yees of forei gn g ov ernme nt or intern ation al or ga ni zatio n, or their
whol l y-ow ne d instru menta lit y b ased in the Phi lip pin es, in th e abse nce of an
ad min istrativ e agree ment with the F und;
 Emp lo ye es of an e mp lo yer w ho is granted a w aiv er or suspe ns ion of cov erage
by the Fu nd un der RA 967 9;
 Lead ers an d me mbers of rel igi o us grou ps;
 A me mber se parate d from e mpl oyment, local or a broa d, or ceased to be self -
emplo yed but wou ld lik e to continu e pa yin g his/ her perso na l contributio n. Such
me mber ma y be a p ensi oner, inv estor, or an y oth er in div idu al with pass iv e
inco me or a ll owa nces;
 65

 Public officia ls or emp lo ye es who are not cov ered by the GSIS such as
Barang a y Officials, includi ng B arang a y Cha irm en, Baran ga y C ounci l Me mbers,
Chair men of the Baran ga y San ggun ia ng Kab ataa n, and Bara n ga y Secretar ies
and Treasurers;
 Such other e arni ng i ndiv idu als/ grou ps as ma y be d eter min ed by th e Board b y
rules an d reg ulati ons.

C. The Benefits

The Fund offers its mem bers the following benefits:

1. Savings
2. Short Term Loans
3. Housing Programs

Savings or Provident Savings Program is a fast, easy and

affordable way for a member to save for his future needs. The
contributions that a member makes together wi th the employer co unterpart
are credited to his Total Accumulated Value (TAV). A member contributing
two percent of his monthl y compensation doubles his savings immediately
wi th the addition of the em ployer counterpart contribution. Meanwhile, a
member contributing one perc ent of his monthly compensation triples his
savings as the employer counterpart remains at two percent. Aside from
being fully guaranteed by the national government, members’ contributions
are deducted from the gross income prior to computation of the inco me tax.
Members’ savings earn annual dividends that are also tax -free. The
dividend rate varies depending on the net income of the Fund at yearend.

Short-Term Loan Programs are meant to provide assistance to its

members, provided they are active and have made at least 24 monthly
contributions. There are two short -term loan programs that a member may
avail of when the need arises. The Multi -Purpose Loan Program was
designed to help finance members’ immediate medical, educational or
livelihood needs; minor h ome improvement, purchase of appliance and
furniture, and other related needs. Meanwhile, the Calamity Loan Program
is extended to members who have been affected by a recent calamity, as
proven by a declaration of calamity in their area of residence.

Housing Programs that an eligible member may avail of in the form

of housing loans are either the End-User Financing Program or the
Magaang Pabahay, Disenteng Buhay Program. Under the End -User
 66

Financing Program, a member may avail of a loan to finance any of t he following

(Circular 247):

a. Purchase of a full y d ev elope d lo t not exceed ing one 1, 0 00 sq uar e meters, whic h
shoul d be w ithin a res ide ntial area;

b. Purchase of a reside ntia l hou se and l ot, townho use or con do min iu m u nit,
inclus iv e of a park ing slot. T he uni t ma y be:

Old or bran d new;

A property mortgag ed with the F und; or
An acquir ed asset, which is dispos ed of through se ale d public bi dd ing ,
negoti ated sa le, or the Rent -to- Own Progra m.

c. Constructio n or co mp letio n of a reside ntial unit on a l ot owne d b y t he me mb er;

d. Ho me i mprov ement, i. e. an y alte ration i n a n existi ng res ide ntia l unit inte nd ed b y
a ho me own er to be a per ma nent inte gra l part of the prop erty, whic h wi ll
enha nce its dur abi lit y an d mater ial v alue;

e. Refina nci ng of a n existi ng mortgage with an i n stitution acce pta ble to th e Fund,
prov ided that:
T he loan is not in defa ult withi n the 12 months pr ior to the date of applic atio n;
T he said lo an has a re pa yme nt histor y of at two ye ars wit h the or igi na l
mortg age e

f. Co mbi natio n of loa n purp oses, which sh a ll be li mited to the foll owin g:
Purchase of a full y d ev elope d lot not excee din g 1, 00 0 squ a re meters and
construction of a reside ntial u nit thereon;
Purchase of a reside ntial u nit, whether ol d or new, with h o me i mprov eme nt;
Refina nci ng of an existi ng mor tg age with ho me i mprov ement;
Refina nci ng of an existing mort gage, specific all y a lot loan, wit h construction
of a reside ntial u nit thereo n. 

Under the Magaang Pabahay, Disenteng Buhay Program, a qualified

member may purchase an acquired asset of the Fund either in cash or
through a housing loan at very reasonable prices. A buyer who purchases
an acquired asset in cash is entitled to a 20% discount on the property’s
sales price, while a buyer who purchases through a housing loan is entitled
to a 15% discount on the property’s sales price.

To qualify for a Pag -IBIG housing loan, a member must satisf y the following
requirements:
 67

a. Must b e a me mber u nder th e Pag -IB IG I for at least 2 4 mon ths, as

ev idence d b y the re mitta nce of at least 24 mo nthl y co ntributi on s at the
time of lo an a ppl icatio n.
b. Not mor e than 6 5 years o ld at the date of lo an a ppl icatio n an d must b e
insura ble; pr ov ided further that he is not more tha n 70 ye ars old at loan
matur ity;
c. Has the le gal ca pacit y to acq uir e and e ncu mb er real pr opert y;
d. Has passed s atisfactor y back g round/ cre dit a nd e mplo yment/ b usiness
check s conducted b y the d ev elo per and th e Pag - IBIG Fund;
e. Has no outsta ndi ng P ag - IBIG housi ng loa n, eith er as a princi pa l
borrow er or co - borr ower;
f. Has n ot av ailed of a Pa g -IB IG housi ng l oan t hat was for e closed,
cancel le d, bou ght back due to d efault, or sub jecte d to dac ion e n pa go,
which s hal l inc lud e cas es wh ere the borro wer is no l ong er inter e sted to
pursue th e loa n and surr en ders the prop erty;
g. Ma y hav e a n outsta ndi ng P ag - IBIG multi-p urpos e l oan but w hich is
updat ed i n pa yments at the ti me of loa n ap plic atio n. A me mb e r whose
mu lti-pur pose l oan is i n arrear s shall be re quir ed to pa y his arrears
ov er the counter to update his a ccount.

D. Monthly Contribution

The monthly contributions for the members are below indicated:

Percenta ge of Month l y
Mo nthl y Emp lo ye e
Co mpe nsati on E mpl o yer
Co mpe nsati on Share
Share
1% 2%
P1, 500 a nd be low
Ov er P1, 500 2% 2%

The maximum monthly compensation used in computing the employee

contributions is currentl y set at ₱5,000. This means that the maximum
member contribution and employer counterpart per month are both
currentl y ₱100.
 68

Directory of DOLE Regional Offices

N a t i o na l C a pi t a l R eg i o n ( N C R )
DOLE-NCRBldg., C o r d i l l e r a Ad m i ni s t r a t i ve R e g i o n ( C AR )
9 6 7 Ma l i g a ya S t . , Ma l at e , C a b i ne t Hi l l s ,
1 0 0 4 Ma ni l a 2 6 0 0 B a g ui o Ci t y
Te l e ph o n e s : 4 0 2 - 6242/ 40 0 - 60 11 T el . # ( 0 7 4 ) 4 24 - 0824
F a x: ( 0 2 ) 400 - 6 24 1 ( 0 7 4 ) 4 4 2 - 2447
nc r @ d o l e . go v. p h d o l e ca r 8 8 @ ya ho o . c o m
S e e n e x t p ag e fo r t h e D ir e c t o r y o f DO L E - NCR c a r @ d o l e .g o v. p h
F ie l d O ff ic e s
Region1 Region2
A r n e l Bl d g ., Ma b i ni S t . , T u ri n g an B l d g . , C a ri ta n C e n tr o ,
C a t b a n g e n , S a n F er n a n do Ci t y , T u g u e ga r a o Ci t y , 3 5 0 0 Ca g a y a n
2 5 0 0 L a U ni o n T el e f a x: ( 0 7 8) 8 4 4 - 2728 /
T el . # ( 0 7 2 ) 6 0 7 - 8 114 844 - 1 54 0
F a x: ( 0 7 2 ) 70 0 - 25 2 0 r o 2 @ d o le . go v. p h
d o l e _ r o1 @ ya ho o . c o m
Region3 R e g i o n 4 - A C AL AB AR Z O N
D i o s d ad o Mc a c a p a g al R egi o n al G o v ’ t , C e n t e r , 3 / F & 4 / F , A n d e n s o n B l d g. I I ,
B r g y . Ma i mp i s , C i t y o f S a n Fe r n an d o B a r a n g a y P a ri an , C al a mb a C i t y,
2 0 0 0 P a mp a n g a 4 0 2 7 L a gu n a
T el . # ( 0 4 5 ) 861 - 4383 T el . # ( 0 4 9 ) 5 4 5 - 7357
T el e f a x: ( 0 4 5) 455- 161 3 T el e f a x: ( 0 4 9) 5 4 5 - 7360
d o l e r o 3@ g m a i l . co m d o l e 4i m s d @ ya ho o . c o m
R e g i o n 4 - B MIM AR O P A Region5
3 r d Fl r . C o n fi l Bl d g . , Do ñ a A u r o ra S t . , Ol d Al b a y ,
R o xa s D r i v e . L u ma n g b a y a n , C al ap a n C i t y 4 5 0 0 L e ga s pi Ci t y
O r i e n t al Mi nd o r o T el . # ( 0 5 2 ) 4 8 0 - 30 58 ; 4 8 0 - 58 3 1
T el . # ( 0 4 3 ) 2 8 8 - 2078 ;2 8 8 - 20 8 0 T el e f a x: ( 0 5 2) 4 80- 3058
d o l e r e gi o n4 b @ ya ho o . co m r o5 d o l e@ ya ho o . c o m
Region6 Region7
G / F S wa n R o s e B l d g . , Co mmi s s i o n C i v i l S t . , 3 rd & 4 th Fl r . , D OL E - R O 7 B l d g .
J a r o , Il oi l o Ci t y 50 0 0 G e n . Ma xi l o m A v e . c o r n e r
Lu n a St. , L a Pa z, G o r o r do A v e . , C e b u Ci t y
5 0 0 0 Il oi l o Ci t y T el e p h on e s : ( 03 2 ) 26 6 - 97 2 2 &
Te l . # ( 0 33 ) 3 20 - 8 0 26 T el e f a x: ( 0 3 3 ) 5 0 9 - 0 40 0 F a x: ( 0 3 2 ) 41 6 - 61 6 7
d o l e r e gi o n6 @ ya ho o . c o m d o l e _c e nt r a l vi s a ya s @ ya ho o . c o m
Region8 Region9
D O L E C o mp o u n d . T re c e Ma r ti r e z S t . , 3 / F , Q N S B l dg . , V e t e ra n s . A v e .
6 5 0 0 Ta c l o b a n Ci t y 65 0 0 Tu maga, Z a mb o a n g a C i t y 7 00 0
F a x # ( 0 5 3 ) 523 - 4220 T el . # ( 0 6 2 ) 9 9 3 - 17 54
Te l e fa x: ( 0 5 3 ) 32 5 - 6 29 3 T el e f a x: ( 0 6 2) 9 9 1 - 2 6 7 2 & 99 1 - 26 7 3
d o l e r o 8 _ ts s d @ ya ho o . co m d o l e 9 r e co r d @ ya ho o . co m
Region10 Region11
Mo n t e C a r l o B l d g . R E R P h a s e I 4 th Fl r . , D a v ao C hi n g P ri n te r s Bl d g . co r .
K a u s wa g a n , N a t i o na l H i g h wa y D a c u d a o A v e . & L a k an d ul a S t . , A g d ao
9 0 0 0 C a g a ya n d e Or o Ci t y 8 0 0 0 D a v a o Ci t y
T el . # ( 0 8 8 ) 8 5 8 - 1 685 T el . # ( 0 8 2 ) 22 7 - 4289
T el e f a x: ( 0 8 8) 8 5 7 - 2218 T el e f a x: ( 0 8 2) 2 2 6- 2671
d o l e 10 _ i m s d @ ya ho o . co m d o l e 11d a va o @ ya ho o . co m
Region12 Region13
1 0 2 A c e p al B l d g . , Ma bi ni E xt e n s i o n, K o r o n a d al C AR AG A R e g i o na l O f f i c e
Ci t y, N i mf a T i u Bl d g . , J P R o s al e s A v e .
9 5 0 6 S o u t h C ot a b a t o 8600ButuanCity
T el e p h on e s : ( 08 3 ) 52 0 - 01 2 5 & 2 2 8 - 4 92 0 T el . # ( 0 8 5 ) 3 4 2 - 9606
T el e f a x: ( 0 8 3) 2 2 8 - 2190 T el e f a x: ( 0 8 5) 342- 9 503
d o l e r o 12 . r o @ g m a i l .c o m D o l e c a r a g a 13 @g m a i l . c o m
 69

Directory of DOLE -NCR Field Offices

C A M AN A V A F i e l d O ff i c e ( C F O ) MU N T AP AR L AS F i e l d O f f ic e ( MF O )
5 / F , A r a ne t a S q u ar e C e n t er , N o . 2 6 3 V al e n z u el a B l dg . ,
Mo n u me n t o C i r cl e A l a b a ng Z a po t e R o ad P a mp l o n a
1 4 0 0 C al o o ca n Ci t y La s Pi ñ a s Cit y
T el e f a x: ( 0 2 ) 3 67 - 3188 & 3 62 - 3 18 7 T el e p h on e s : 772- 8 2 16 ; 8 0 8- 0 4 22
323 - 7 46 6 J u r i s d i ct i on : C i t i e s of Mu nt i n lu p a , T a gu i g ,
J u r i s d i ct i on : C i ti e s of C a lo o c an , Ma l a b on , P a r a ñ a q u e , a nd L as P i ñ a s
N a v o t a s, a nd Va l e n zu e l a

Ma ni l a F i e l d O ff i c e ( MF O ) PA P A M AR IS AN F i e l d O f f i ce ( P F O)
4 / F, D y I n t e rn a ti o n al Bl d g . 4 / F R u d ge n B l d g . , S h a w B l v d . ,
1 6 5 0 S a n Ma r c el i n o co r G en . Ma l v ar Sts . B r g y . S a n A n t o ni o C a pi to l yo , 1 6 00 P as i g Ci t y
Ma l a t e , 10 0 4 Ma ni l a T el e p h on e : 532- 4 3 26 ; 6 6 1- 5 0 42
Te l e ph o n e s : 3 0 2 - 9 2 6 9 to 7 0 ; 24 4 - 15 32 ; J u r i s d i ct i on : P a t e r os a nd th e c it i e s
244 - 1 31 8 o f M an da l u yo ng , M a r i k in a , P a s ig ,
a n d S an J u an

Ma k a t i - P a s a y F i e ld O ff i c e ( MP F O ) Q ue z o n C i t y F i e l d O ff i c e ( Q C F O)
2 / F , E mp l o y e e s C o mp e n s a t i o n Co mmi s s i on 4 / F , A r c a di a B l d g.
(ECC) Bl d g. , Quezon Avenue
3 5 5 S e n . Gi l P u y a t A v e n ue E xt e n s i o n 1 1 0 0 Q u e zo n Ci t y
1 2 0 0 Ma k a ti Ci t y T el e p h on e s : 9 21- 4 9 73
T el e p h on e s : 336- 5 0 62 ; 772- 8 2 10 ; 8 00 - 7211 376 - 5 98 3 & 4 1 4 - 4471

For inquiries, please call DOLE Hotline at 1349 or the

DOLE Regional Office having jurisdiction
over the workplace of the employee.
 70

The BWC
The Bureau of W orking Conditions (BW C) is responsible for the
formulation and development of labor standards in the areas of hours of
work, occupational safety and health, and other conditions of employment.

In May 1982, the Bureau of Labor Standards, which was created in

June 1957 under Reorganization Plan No. 20 -A, was renamed the Bureau
of W orking Conditions. The BW C pe rforms all functions in relation to the
formulation of policies and enforcement of labor standards performed by
the then Wage Administrative Service and the Industrial Safety Division of
the Bureau of Labor.

Vision
The Bureau of W orking Conditions envisio ns well-guided employers
and workers committed to a safe, healthful, and productive work
environment, adaptive to industry trends and developments, and equitabl y
enjoying the gains of joint endeavors.

Mission
 To formulate policies and initiate legislation s on labor standards,
based on relevant information culled from monitoring, consultations,
networking, and researches.
 To standardize the use of enforcement instruments and to clothe the
inspectorate system with strong enforcement authority to ensure
compliance with laws and regulations.
 To develop and sustain the capability of enterprises toward self -
management of safety and health in workplaces, thus, upholding the
principle of shared responsibility between workers and employers.
 To enhance the capability of small enterprises in implementing
practical and efficient methods of improving working conditions and
productivity.
 To inform and advise the public on labor standards, including
occupational safety and health, and on innovative work practices or
arrangements.