Introduction

In the Philippine labor landscape, resignation is a fundamental right of employees, governed primarily by the Labor Code of the Philippines (Presidential Decree No. 442, as amended). One of the key requirements for voluntary resignation without just cause is the provision of a 30-day advance notice to the employer. This notice period allows the employer time to prepare for the employee's departure, such as finding a replacement or completing handover processes. A common question among employees and employers alike is whether weekends and holidays are included in counting this 30-day period. Additionally, the topic extends to final pay, which encompasses all monetary entitlements due to the employee upon separation, and whether similar counting rules apply to any timelines associated with its release or computation.

This article provides a comprehensive overview of the legal framework, interpretations, and practical implications surrounding the inclusion of weekends in the 30-day resignation notice and final pay. It draws from the provisions of the Labor Code, Department of Labor and Employment (DOLE) guidelines, and relevant jurisprudence to clarify these aspects.

Legal Basis for the 30-Day Resignation Notice

The foundation for the resignation notice requirement is found in Article 300 (formerly Article 285) of the Labor Code, which states:

"An employee may terminate without just cause the employee-employer relationship by serving a written notice on the employer at least one (1) month in advance."

While the law uses the term "one month," it is conventionally interpreted as a 30-day period in practice and jurisprudence. This interpretation aligns with the Civil Code of the Philippines (Republic Act No. 386), particularly Article 13, which provides rules on the computation of time periods. Under Article 13, a "month" is considered as 30 days unless specified otherwise, such as in contexts requiring the actual number of days in a calendar month.

The purpose of this notice is to prevent abrupt disruptions to business operations and to promote orderly transitions. Failure to provide the full notice can lead to liabilities, such as damages to the employer if proven that the sudden resignation caused actual harm (e.g., loss of clients or project delays). However, the Labor Code does not impose automatic penalties on employees for non-compliance; instead, employers may seek civil remedies through courts.

Computation of the 30-Day Notice Period: Inclusion of Weekends

The critical question is how the 30-day period is counted. Philippine law generally follows the calendar day method for computing periods unless the statute or contract explicitly states "working days" or "business days."

Calendar Days vs. Working Days: According to the Civil Code (Article 13), time periods are computed by excluding the first day and including the last day. For example, if an employee submits a resignation letter on October 1, 2025, the 30-day notice period would end on October 31, 2025. This count includes all days—weekdays, weekends (Saturdays and Sundays), and holidays—unless the employment contract or company policy specifies otherwise.
Rationale for Including Weekends: The Labor Code does not distinguish between working and non-working days for the notice period. This inclusive approach ensures predictability and uniformity. Jurisprudence from the Supreme Court, such as in cases involving similar notice periods (e.g., for termination by employer under Article 298 for authorized causes), consistently applies calendar days. For instance, in computations for backwages or separation pay periods, courts use calendar days to avoid disputes over what constitutes a "working day," which can vary by industry (e.g., 5-day vs. 6-day workweeks).
Holidays and Special Considerations: National holidays (e.g., Christmas Day) and special non-working days are also included. However, if the last day of the notice falls on a non-working day, the effective date typically remains as is, unless the contract provides for extension to the next working day. In practice, DOLE advises that the notice period should be served based on the employee's regular schedule, but the counting remains calendar-based.
Exceptions and Variations:
- Contractual Agreements: If the employment contract stipulates a longer notice period (e.g., 60 or 90 days for managerial positions) or specifies "business days," weekends would be excluded. However, such provisions must not violate the minimum 30-day legal requirement and should be reasonable.
- Immediate Resignation: Employees can request waiver of the notice period for urgent reasons (e.g., health issues), but approval is at the employer's discretion. If not approved, the employee may be held liable for the unserved portion.
- Garden Leave: Some companies place resigning employees on garden leave during the notice period, where they are paid but not required to work. In such cases, the calendar day count still applies.
- Industry-Specific Rules: In sectors like seafaring or aviation, collective bargaining agreements (CBAs) may modify the counting method, but the default is calendar days.

Failure to observe the full notice can result in the employer withholding final pay until the period is completed or deducting equivalent damages, subject to DOLE approval.

Final Pay: Definition, Components, and Timelines

Final pay, also known as "back pay" or "separation pay" in broader contexts, refers to all accrued monetary benefits due to an employee upon resignation. It is distinct from separation pay, which is only mandatory in cases of authorized termination by the employer (e.g., redundancy).

Components of Final Pay

Under DOLE guidelines and the Labor Code, final pay typically includes:

Prorated salary for days worked up to the last day.
Unused vacation and sick leave credits (if convertible to cash per company policy or CBA).
Prorated 13th-month pay (computed as 1/12 of annual basic salary per month worked).
Overtime pay, night shift differentials, and holiday pay owed.
Commissions, bonuses, or incentives earned.
Reimbursements for expenses.
Deductions for loans, advances, or damages (if authorized).

The computation of prorated salary is based on the employee's daily rate. For monthly-paid employees, the daily rate is often calculated as monthly salary divided by the number of working days in the month (typically 22 for a 5-day week, excluding weekends). However, for the actual days worked, weekends are not "included" in the sense that if an employee does not work on weekends, they are not paid extra for them unless the salary structure deems the monthly pay to cover all calendar days (common in managerial roles under Article 82 exclusions).

Timelines for Release of Final Pay: Inclusion of Weekends

Unlike the notice period, there is no fixed "30-day" rule for releasing final pay under the Labor Code. However, DOLE Department Order No. 18-A, Series of 2011, and related advisories emphasize prompt payment:

General Rule: Final pay should be released on the employee's last working day or as soon as the clearance process is completed. The clearance involves returning company property, settling accounts, and obtaining sign-offs from departments.
Maximum Timeline: In practice, DOLE allows up to 30 calendar days from the date of separation for the release of final pay if there are valid reasons (e.g., complex computations or disputes). This 30-day period, when applicable, includes weekends and holidays, following the same calendar day computation as the notice period.
Penalties for Delay: If delayed beyond reasonable time without justification, the employer may face administrative fines from DOLE (up to PHP 5,000 per violation) or civil claims for interest (6% per annum under the Civil Code). Employees can file complaints with DOLE or the National Labor Relations Commission (NLRC) for non-payment.
Computation Aspects Involving Weekends: For prorating final pay, if the resignation effective date falls mid-month, the pay covers calendar days worked, but adjusted for the work schedule. For example:
- A 5-day week employee resigning after 15 calendar days (including weekends) would be paid for approximately 10-11 working days, depending on the calendar.
- Weekends are "included" in the overall period for prorating benefits like 13th-month pay, which uses calendar months divided into 30-day equivalents.

In cases where the employee serves the notice period, final pay is prepared during this time and released upon completion.

Practical Implications and Best Practices

For Employees: Always submit a written resignation letter specifying the effective date, calculated as 30 calendar days from submission. Document all communications to avoid disputes. If weekends cause confusion, clarify with HR beforehand.
For Employers: Implement clear policies in employee handbooks. Use calendar days for consistency, and process final pay promptly to avoid legal issues. In multinational companies, align with Philippine law even if global policies differ.
Disputes Resolution: If disagreements arise (e.g., over counting days), parties can seek conciliation through DOLE's Single Entry Approach (SEnA) or file cases with the NLRC. Jurisprudence, such as in Millares v. NLRC (on time computations), supports calendar day inclusion unless otherwise specified.
Impact of COVID-19 and Recent Reforms: Post-pandemic DOLE issuances (e.g., Labor Advisory No. 06-20) allowed flexible arrangements, but the core counting rules remain unchanged. Proposed bills like the Security of Tenure Act may influence notice periods, but as of now, the 30-day calendar rule stands.

Conclusion

In summary, weekends are indeed included in the 30-day resignation notice period under Philippine law, as it is computed using calendar days to ensure fairness and predictability. For final pay, while there is no mandatory 30-day release period, any applicable timelines (e.g., for processing) also follow calendar days, and computations account for the employee's work schedule without separately "including" weekends for non-working employees. Understanding these rules helps prevent conflicts and ensures compliance with labor standards. Employees and employers are encouraged to consult DOLE or legal experts for case-specific advice.