How holiday pay is computed in the Philippines
A regular holiday is paid at 100% if unworked and 200% if worked. A special non-working day is paid 130% if worked and follows no work, no pay if not. Working on a rest day adds a further premium.
The two holiday types
Philippine law treats these differently:
- Regular holidays, such as New Year's Day and Christmas Day, are paid even if the employee does not work.
- Special non-working days follow the "no work, no pay" principle unless your company policy or agreement pays them.
The Philippine government announces the yearly list of both types by proclamation, so check each year's list.
Daily rates
| Situation | Regular holiday | Special non-working day |
|---|---|---|
| Did not work | 100% of daily wage | No pay (unless policy says otherwise) |
| Worked | 200% | 130% |
| Worked, also the rest day | 260% | 150% |
Example
The daily wage is ₱800 (₱100 an hour for 8 hours).
- Regular holiday, not worked: ₱800.
- Regular holiday, worked: ₱800 × 200% = ₱1,600.
- Regular holiday on a rest day, worked: ₱800 × 260% = ₱2,080.
- Special non-working day, worked: ₱800 × 130% = ₱1,040.
- Special non-working day on a rest day, worked: ₱800 × 150% = ₱1,200.
Overtime on a holiday
Overtime hours worked on a regular holiday are paid at the hourly rate for that day plus 30%. With the ₱100 hourly rate above, that is ₱100 × 200% × 130% = ₱260 per overtime hour.
Monthly-paid employees
Employees paid a fixed monthly salary usually already have regular holidays included in that salary, so the extra pay is only what applies when they work. Confirm which divisor and treatment your contracts use.
In OneHRIS
You set the holiday type, scope and any rate override under Settings, then Holidays. See set up holidays and holiday pay rates.
Questions people ask
How much is holiday pay on a regular holiday?
An employee who does not work is paid 100% of the daily wage. An employee who works is paid 200%. If the regular holiday is also the employee's rest day, the rate is 260%.
How much is pay on a special non-working day?
An employee who works is paid 130% of the daily wage, or 150% if it is also the rest day. If the employee does not work, the default is no work, no pay unless company policy or an agreement says otherwise.
Sources
- Labor Code of the Philippines, Articles 93 and 94 (rest day and holiday pay)
- DOLE, Handbook on Workers' Statutory Monetary Benefits, holiday pay