Here’s a complete, plain-English legal explainer on holiday pay computation when a regular holiday falls on an employee’s rest day in the Philippines—rules, formulas, edge cases (overtime, night work, double holidays), and worked vs. unworked scenarios. (General information, not legal advice.)

Snapshot: what changes when a regular holiday = your rest day

Philippine labor rules give extra premium when a regular holiday (e.g., New Year’s Day, Independence Day) coincides with your weekly rest day:

If you don’t work: you’re still entitled to the regular holiday pay (100% of your basic daily wage), provided you’re present or on leave with pay on the workday immediately preceding the holiday.
- Exception: certain retail/service establishments with ≤10 workers are exempt from paying unworked regular holiday pay.
- Monthly-paid employees are generally already paid for regular holidays under their monthly rate (no separate additional, unless company policy/CBA says so).
If you work on that day (even though it’s your rest day): the day is treated as Regular Holiday + Rest Day, which pays more than a plain regular holiday.

Core formulas (daily-paid; first 8 hours)

Let R = your basic daily wage (8 hours). Let Hr = your basic hourly rate = R ÷ 8.

A) Regular holiday (NOT a rest day)

Unworked: 100% of R (1.00 × R)
Worked (first 8 hrs): 200% of R (2.00 × R)

B) Regular holiday that falls on your rest day

Unworked: 100% of R (same as any unworked regular holiday; see entitlement condition below)
Worked (first 8 hrs): 260% of R (2.60 × R)

Rationale: 200% (regular holiday) + additional 30% of that rate because it’s also your rest day → 200% × 1.30 = 260%.

Overtime on that day (beyond 8 hours)

Regular holiday (worked, not rest day) OT hourly rate: Hr × 200% × 130% = 2.60 × Hr
Regular holiday + rest day OT hourly rate: Hr × 260% × 130% = 3.38 × Hr

Night shift differential (10:00 p.m.–6:00 a.m.)

Add 10% of the hourly rate “on that day.”
- On reg. holiday + rest day, NSD per night hour = 10% × (Hr × 2.60) = 0.26 × Hr, on top of the 2.60 × Hr (or the OT night rate if beyond 8 hours).

Companies sometimes present these as multipliers for clarity: • RH worked: 2.00× (OT: 2.60×; night: +0.20× per hour) • RH + Rest Day worked: 2.60× (OT: 3.38×; night: +0.26× per hour)

Entitlement conditions for unworked regular holiday pay

You get the 100% unworked holiday pay if you were present or on leave with pay on the workday immediately preceding the holiday. Notes:

If you were absent without pay the workday before, no unworked holiday pay (unless your company/CBA is more generous).
If you actually worked on the holiday, you get the worked-holiday premium (2.00× or 2.60×), even if you were absent the prior day.
Monthly-paid workers typically receive pay for all regular holidays without the “day-before” condition (included in monthly rate), unless the company uses a different payroll scheme.

Step-by-step examples

Assume:

Basic daily wage R = ₱800; hourly Hr = ₱100.
Employee’s scheduled rest day is Sunday. December 25 (regular holiday) falls on a Sunday.

1) Did not work on Dec 25

Meets “present/paid leave on Dec 24” condition → Pay = ₱800.
If no pay on Dec 24 (AWOL) and daily-paid under ordinary rules → ₱0 (subject to exemptions/company policy).
Monthly-paid → already covered in the monthly salary.

2) Worked 8 hours on Dec 25 (RH + Rest Day)

Pay = 2.60 × ₱800 = ₱2,080.

3) Worked 10 hours on Dec 25 (2 hours OT)

First 8 hours: 2.60 × ₱800 = ₱2,080
OT hours: OT hourly = 3.38 × Hr = 3.38 × ₱100 = ₱338
2 OT hours = ₱676
Total = ₱2,080 + ₱676 = ₱2,756

4) Worked 8 hours, all at night (10 p.m.–6 a.m.)

Base for 8 hours: 2.60 × ₱800 = ₱2,080
NSD: 0.26 × Hr × 8 = 0.26 × ₱100 × 8 = ₱208
Total = ₱2,288 (if OT night hours occur, use the OT night basis: 3.38 × Hr plus 10% of that hourly.)

What about special (non-working) days?

Different rule (for reference only): special days aren’t regular holidays. Typical formulae are lower than regular holidays. Don’t mix them up when computing. (This guide focuses on regular holidays overlapping rest days.)

Double-holiday edge case (two regular holidays on the same date)

Rare but possible. If two regular holidays coincide:

Unworked: typically 200% of R (2.00 × R).
Worked (first 8 hrs): 300% of R (3.00 × R).
If it’s also your rest day, add 30% to the worked rate → 3.00 × R × 1.30 = 3.90 × R (390%).
OT hourly on double-holiday + rest day: Hr × 3.90 × 1.30 = 5.07 × Hr.
Apply NSD (10%) to the daily/hourly rate used that day.

(Always check your payroll policy/CBA—some adopt simplified tables for double-holiday computations.)

Monthly-paid vs. daily-paid recap

Monthly-paid: Monthly rate usually includes all regular holidays (worked or unworked), but working on a holiday typically earns premium (e.g., add-on to the monthly rate per day/hour rules).
Daily-paid: Paid only for days actually worked plus statutory holiday pay. Use the formulas above.

Common pitfalls (and how to avoid them)

Using the wrong base: Always multiply from the basic rate on that day (exclude allowances not treated as part of basic pay unless your CBA/policy includes them).
Forgetting the “day-before” rule for unworked holiday pay in daily-paid schemes.
Mixing special day and regular holiday rates (regular holidays pay far more).
Missing rest-day premium: When a regular holiday falls on the rest day and is worked, the 30% uplift applies to the holiday rate (not just to the basic rate).
Night hours and OT stacking: Compute OT first on the proper day rate, then apply the 10% NSD to the same basis for night hours.

Quick reference table (daily-paid)

Scenario	First 8 hours	OT hourly (beyond 8)	NSD (per night hour)
Regular Holiday, unworked	1.00 × R	n/a	n/a
Regular Holiday, worked	2.00 × R	2.60 × Hr	0.20 × Hr
Regular Holiday + Rest Day, worked	2.60 × R	3.38 × Hr	0.26 × Hr
Double RH + Rest Day, worked	3.90 × R	5.07 × Hr	0.39 × Hr

(R = daily wage; Hr = R ÷ 8)

Company policy & CBA may be better

Employers may grant more generous rates than the legal minimum (e.g., include allowances in the multiplier, relax the “day-before” rule, or round up premiums). Your CBA or company handbook controls if it’s better for the worker.

Bottom line

When a regular holiday lands on your rest day, the worked-day rate jumps to 2.60× your daily wage for the first 8 hours (3.38× per OT hour), with NSD stacked at 10% of that day’s hourly rate. If you don’t work, you still get 100% (for daily-paid who meet the day-before condition; monthly-paid are usually covered). Use the right base, stack OT and night premiums correctly, and check if your CBA/policy is even more favorable.