Chinese New Year Holiday 2014 Pay Rules

The Department of Labor and Employment (DOLE) through Secretary Rosalinda Dimapilis-Baldoz urges all employers in the private sectors to follow the pay rules pursuant to Labor Advisory No. 14, Series of 2013, which Baldoz issued on December 20, 2013.

The Chinese New Year is the most important celebrations in the Chinese Lunar Calendar, it will be celebrated this coming Friday, January 31, 2013. The Philippine national government declared January 31, 2014 as a national non-working holiday.

Year of the Horse 2014

Based upon the Chinese Calendar they will be celebrating their Year 4712 this coming January 31, 2014. The Chinese months are reckoned by the lunar calendar, with each month beginning on the darkest day. New Year festivities traditionally start on the first day of the month and continue until the fifteenth, when the moon is brightest.

On January 9, 2014, DOLE released their official statement on the Chinese New Year Holiday Pay Rules as posted on the official website of the government “The Official Gazette.”

Here’s the Complete Pay Rules for Chinese New Year Holiday 2014:

  • If the employee did not work, the “no-work, no-pay” principle shall apply, unless there is a favorable company policy, practice, or collective bargaining agreement (CBA) granting payment on a special day;
  • If the employee reports for work, he shall be paid an additional 30 percent of his daily rate on the first eight hours of work. The standard computation for this is as follows: [(Daily rate x 130 percent) + COLA)];
  • For work done in excess of eight hours (overtime work), he shall be paid an additional 30 percent of his hourly rate on said day. (Hourly rate of the basic daily wage x 130 percent x 130 percent x number of hours worked);
  • For work done during a special day that also falls on an employee’s rest day, he be paid an additional 50 percent of his daily rate on the first eight hours of work. [(Daily rate x 150 percent) + COLA]; and
  • For work done in excess of eight hours (overtime work) during a special day that also falls on an employee’s rest day, he shall be paid an additional 30 percent of his hourly rate on said day. (Hourly rate of the basic daily wage x 150 percent x 130 percent x number of hours worked).

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