Holiday Pay Entitlement for On-Call Part-Time Employees
(Philippine labour-law perspective, updated to May 29 2025)
1. Statutory foundations
Source | Key points relevant to holiday pay |
---|---|
Labor Code of the Philippines (PD 442, Book III, Title I, Art. 94 – “Right to Holiday Pay”) | • Grants every “employee” a paid regular holiday of at least 100 % of the daily wage. • Exemptions: field personnel, government employees, managerial staff, family members dependent on the employer, and employees already enjoying holiday pay under other schemes. |
DOLE Handbook on Workers’ Statutory Monetary Benefits (latest edition 2023) | • Confirms that part-time employees are covered; benefits are prorated to the hours/days they normally work. • Clarifies holiday-pay formulas for “worked” and “unworked” holidays. |
Labor Advisory No. 01-15 (“Computation of Wages and Benefits of Part-Time Workers”) | • Sets out the proportional method: daily wage × (actual hours ÷ 8). • Directs employers to use the same divisor for holiday pay, 13th-month pay, SIL, etc. |
Proclamations of Regular & Special Holidays (yearly presidential issuances pursuant to RAs 9492, 10966, 11116, etc.) | • Fix the list of regular holidays (entitled to holiday pay) and special non-working days (different rules—no automatic holiday pay unless company CBA or policy says so). |
DOLE Labor Advisory No. 13-20 (COVID-19 period) & subsequent advisories | • Reiterated that even flexible-work-arrangement and on-call staff keep statutory holiday pay unless specifically suspended by a Wage Order in force. |
Take-away: So long as a worker meets the Labor Code’s definition of employee—even on a part-time, on-call, or flexi-time basis—holiday pay protection applies unless an express exemption fits.
2. Who exactly is an “on-call part-time employee”?
Characteristic | Philippine legal treatment |
---|---|
Part-time (works less than eight hours daily or fewer than six days weekly) | Still an employee; enjoys all labor-standard benefits pro-rata (DOLE Handbook, LA 01-15). |
On-call / standby | Two scenarios: 1. Stand-by time is controlled (e.g., must stay within work premises or a fixed radius, ready to clock in) → counted as hours worked. 2. Stand-by time is uncontrolled (free to use the time for own purposes; only called in if needed) → generally not hours worked until actually called, but employment status remains. |
Field personnel (time & performance “unsupervised” off-site) | Excluded from holiday pay under Art. 82, not Art. 94. However, most on-call workers (e.g., restaurants, hospitals, BPO home agents) fail the “field personnel” test, so they remain covered. |
3. Regular holiday pay rules for part-timers
Step 1 – Find the “equivalent daily wage” (EDW)
EDW = Agreed hourly rate × Usual hours worked in a day
Step 2 – Apply the standard Labor-Code multipliers
Situation on a regular holiday | Statutory multiplier | Formula for part-time/on-call |
---|---|---|
Holiday unworked (employee “off”) | 100 % of EDW | Holiday Pay = EDW |
Holiday worked (first 8 h) | 200 % (100 % basic + 100 % premium) | Pay = EDW × 2 |
Excess hours (overtime) | 30 % on top of 200 % | Pay = EDW × 2 × 1.30 |
Night-shift diff. (10 pm-6 am) | +10 % of hourly wage for each night hour | Hourly Pay = (EDW/Usual hrs) × Desired Multiplier × 1.10 |
Because the EDW is already scaled to fewer hours, the part-timer receives a benefit strictly proportional to the time-and-manner she ordinarily works—no more, no less.
4. Special non-working holiday rules
- Special days (e.g., Chinese New Year, Ninoy Aquino Day) are “No-work, no-pay” unless a company policy, CBA, or past practice grants pay.
- If required to work: 130 % of EDW for the first 8 h, 169 % for overtime (130 % × 1.30).
- No premium if the employee is simply on stand-by and not called to work.
5. Practical wrinkles for on-call set-ups
“Called in” midway through the holiday: Pay only the actual hours worked at the 200 % (or 130 %) multiplier, plus any guarantee pay under company policy (e.g., four-hour minimum call-out).
Split shifts across 11:59 p.m. • Hours before midnight are “holiday”; hours after count as the next ordinary day (or vice-versa). Compute separately.
Service contractors / manpower agencies • The agency is the direct employer and must shoulder holiday pay even if the principal spans multiple work sites.
No fixed schedule (true gig-style on-call) • If the worker has no predetermined daily hours, use the average hours per actual workday during the pay period when computing EDW.
Cumulative weekly rest days • If the legal holiday falls on the employee’s pre-agreed rest day and the employee is required to work, add 30 % on top of the 200 % rate (Art. 93(c)).
6. Interaction with other benefits
Benefit | Effect of a paid holiday |
---|---|
13th-Month Pay | Holiday pay forms part of “basic wage,” so it inflates the 13th-month base. For part-timers it remains prorated. |
Service Incentive Leave (SIL) | SIL is earned separately; paying holiday pay does not diminish the employee’s right to 5-day SIL after one year of service. |
Social-Security contributions | Holiday pay is “compensation” under SSS, PhilHealth, Pag-IBIG rules; it should be reported and premiumized. |
7. Enforcement and remedies
Non-payment is an illegal deduction and an unfair labor practice if done in bad faith.
Workers may seek relief via:
- DOLE Single-Entry Approach (SEnA) for conciliation, or
- NLRC money-claim arbitration.
Prescriptive period: 3 years from accrual (Art. 306).
8. Recent jurisprudence snapshot
Case (year) | Holding |
---|---|
Universal Robina v. Turingan (G.R. 249415, Jan 18 2022) | Part-time merchandisers within supermarket premises are not “field personnel”; thus entitled to holiday pay. |
Servac Workers Union v. BDO (G.R. 244526, Aug 9 2023) | Bank tellers on rotational, on-call shifts remained covered despite flexible scheduling; employer erred in prorating pay below statutory formula. |
Medicus Medical Center v. Cuenca (G.R. 242030, Oct 10 2023) | On-call nurses required to stay in dormitory were working during stand-by; employer owed 200 % pay for the entire 24-hour duty that fell on Good Friday. |
9. Compliance checklist for employers
- Identify coverage – Verify that the worker is not exempt under Art. 82.
- Determine EDW – Base on agreed hourly wage and usual daily hours.
- Apply correct multipliers – 100 %, 200 %, 130 %, or 260 % as circumstances dictate.
- Document call-outs – Keep logs of who was summoned, for how long, and the rate applied.
- Reflect in payroll – Show separate holiday-pay lines to avoid disputes.
- Report to SSS/PhilHealth/Pag-IBIG – Include holiday pay in the monthly compensation report.
Key take-aways
- Entitlement is status-based, not schedule-based. Part-time or on-call status does not strip an employee of holiday pay (unless a strict statutory exemption applies).
- Proportionality is the rule. The daily-wage divisor ensures part-timers neither lose nor gain windfall compared with full-timers.
- On-call nuances matter. Whether “waiting time” counts as work depends on the degree of employer control.
- Documentation saves payroll headaches. Properly recorded schedules and call-out slips make statutory computations defensible during DOLE audits.
Disclaimer: This article summarizes Philippine statutes, regulations, and jurisprudence as of May 29 2025. It is for informational purposes only and does not constitute legal advice. For specific cases, consult a Philippine labor-law practitioner or seek guidance from the Department of Labor and Employment.