A comprehensive legal-style overview (Philippine context)
I. Introduction
In the Philippines, “reliever” employees are common in retail, hospitality, health care, and other service industries where workers temporarily substitute for absent regular staff. Despite how widespread this setup is, there is often confusion about whether relievers are entitled to holiday pay, especially when they are daily-paid, on-call, or hired only for short periods.
This article explains, in Philippine context, how holiday pay rules apply to reliever employees, based primarily on the Labor Code, its implementing rules, and general principles from Department of Labor and Employment (DOLE) issuances and jurisprudence. It is for general information and does not replace advice from a lawyer or DOLE officer for specific cases.
II. Legal Framework on Holiday Pay
A. Statutory basis
The main rules on holiday pay come from the Labor Code provisions on holidays and premium pay, as renumbered and amended over time. In essence, they provide that:
Every worker covered by the Labor Code is entitled to holiday pay for regular holidays, subject to certain conditions.
Holiday pay represents an employee’s daily basic wage for unworked regular holidays, and higher rates when work is performed on a holiday.
The law distinguishes between:
- Regular holidays – where the “no work, with pay” rule generally applies; and
- Special days / special non-working holidays – where the default rule is “no work, no pay” unless there is a more favorable company policy, collective bargaining agreement (CBA), or established practice.
The law does not use the word “reliever” as a separate employment classification. Holiday pay coverage is based on the employee’s status, nature of work, and the employer’s size and business, not on labels like “reliever,” “part-timer,” or “extra.”
B. Implementing rules and DOLE policy
The implementing rules and DOLE advisories clarify, among others:
Which workers are covered by holiday pay;
Who are excluded;
How to compute holiday pay for:
- Monthly-paid employees
- Daily-paid employees
- Piece-rate workers
- Seasonal or project employees
The condition that, for regular holidays, many daily-paid employees must be:
- Present or on leave with pay on the day immediately preceding the holiday to qualify for pay if unworked (subject to later clarifications and specific rules).
III. Who Are “Reliever Employees”?
“Reliever” is not a formal legal category in the Labor Code. It is an industry term for workers who temporarily take over the duties of an absent employee, often to:
- Substitute for someone on sick leave or vacation leave;
- Cover maternity/paternity leave;
- Provide additional manpower during peak seasons or special events;
- Fill shifts in rotating or shifting schedules.
Relievers may be engaged under various contractual arrangements, such as:
- Casual or temporary daily-paid workers – hired as needed, often for short periods or on certain days only.
- Fixed-term relievers – given a written contract with a definite start and end date (e.g., three-month reliever for maternity leave).
- Project or seasonal workers – engaged for a specific project/season and also functioning as “relievers” during that time.
- Agency-deployed relievers – technically employed by a service contractor, assigned to client establishments.
What matters for holiday pay is not the label “reliever” but whether the worker falls within the coverage of the Labor Code’s holiday pay provisions.
IV. Coverage: Are Relievers Entitled to Holiday Pay?
A. General rule: Relievers are covered if they are regular rank-and-file employees
As a rule, all rank-and-file employees in the private sector are entitled to holiday pay, whatever their position, designation, or method of payment, provided they do not fall under the recognized exclusions.
This includes:
- Regular employees
- Probationary employees
- Fixed-term employees
- Seasonal or project employees
- Casual or reliever employees
- Daily-paid and piece-rate employees
So, if a reliever is a rank-and-file employee in a private company and none of the exclusions apply, he or she is generally covered by the holiday pay rules.
B. Typical exclusions from holiday pay
Common categories not entitled to statutory holiday pay include (as generally understood from Labor Code rules):
- Government employees, including employees of government-owned or controlled corporations with original charters (they follow civil service rules).
- Managerial employees – those with powers to lay down and execute management policies, hire/fire or effectively recommend such actions, etc.
- Field personnel – regularly performing duties away from the principal place of business and whose hours of work cannot be determined with reasonable certainty (e.g., certain outside salespeople).
- Family members who are dependent on the employer for support and working in the business.
- Certain workers in small retail/service establishments – traditionally, those regularly employing less than ten (10) workers, subject to current DOLE interpretations.
- Domestic workers (kasambahay) – traditionally covered by a separate law (Batas Kasambahay) with their own rules.
A reliever who falls into any of these categories may be excluded from holiday pay under the Labor Code. Otherwise, they’re typically covered.
V. Regular Holidays vs Special Non-Working Days
A. Regular holidays
On regular holidays, the general rules are:
- If unworked: Employee is entitled to 100% of the daily basic wage, provided the conditions on presence/leave around the holiday are met (mainly for daily-paid workers).
- If worked (first eight hours): Entitled to 200% (double pay) of the basic wage for that day.
- If worked in excess of eight hours: The hourly rate for overtime is computed based on the increased holiday rate (e.g., 200% × 125% for OT, depending on the applicable rule).
- If the holiday falls on the employee’s rest day and he/she works: The rate is higher (e.g., 260% of the basic wage), following the Labor Code formulas.
Reliever employees who are covered by holiday pay receive these benefits if the holiday falls within their employment period and scheduled workdays as explained later.
B. Special non-working days / special days
For special non-working holidays (e.g., certain commemorations):
- General rule is “no work, no pay.”
- If the employee works, he or she usually gets 30% premium over the basic rate for the first eight hours, with additional premium if it is also a rest day.
If the company, CBA, or long-established company practice grants holiday pay even when unworked on special days, relievers may also benefit, following the principle of non-diminution of benefits (once a benefit is voluntarily and consistently granted, it generally cannot be withdrawn unilaterally).
VI. Key Condition: “Regular Workday” and Schedule of Relievers
For both regular holidays and special days, a recurring issue with reliever employees is:
Is the holiday part of the employee’s “regular workday”?
This is critical for daily-paid relievers.
A. Regular workday concept
The holiday pay benefit for unworked regular holidays generally applies only when:
- The holiday is a regular workday for the employee; and
- The employee is present or on leave with pay on the workday immediately preceding the holiday, subject to DOLE clarifications.
If a day is not a regular workday (for example, a Sunday for a Monday–Saturday worker), it is typically not paid even if it is a regular holiday, unless company policy provides otherwise.
B. Application to relievers
Reliever with a fixed term and fixed schedule
Example: A reliever hired from March 1 to May 31, Monday to Saturday.
If a regular holiday falls on a Monday–Saturday within that period, the reliever’s regular schedule, then:
- The reliever may be entitled to holiday pay even if unworked, if presence/leave conditions are satisfied.
- If required to work, he or she should receive the proper holiday premium (e.g., 200% of wage for a regular holiday).
On-call or “as needed” reliever without a fixed weekly schedule
Some relievers are only called in when a regular employee is absent or when business is busy.
In many cases, they do not have a clearly defined regular workday; they work only when engaged.
DOLE and jurisprudence have, in various contexts, linked holiday pay to being regularly scheduled to work on the day the holiday falls.
Thus:
- If the reliever is not scheduled and is not made to work on a regular holiday, there is a strong argument that no holiday pay is due because that day is not a regular workday for that worker, but this can be contentious in specific fact patterns.
- If the reliever is scheduled and works on that holiday, then the holiday premium rates apply.
Part-time reliever with specific days (e.g., weekends only)
- Example: A reliever who regularly works Saturday and Sunday only.
- If a regular holiday falls on a weekday, no holiday pay is due, since that weekday is not a regular workday for him/her.
- If a holiday falls on a Saturday or Sunday that is part of the reliever’s fixed schedule, then normal holiday rules may apply.
Relievers whose contracts do not yet exist or already expired
- If the regular holiday falls before the reliever’s start date or after the contract end date, no holiday pay is due, because there is no employment relationship on that day.
VII. Daily-Paid Relievers and the “Day Before the Holiday” Rule
For daily-paid employees (most relievers fall in this category), traditional DOLE rules require that to be entitled to holiday pay for an unworked regular holiday, the employee must:
- Be present or on paid leave on the workday immediately preceding the holiday (and sometimes also the day immediately following, depending on the specific DOLE issuance applicable), unless there is a justifiable cause for absence; and
- The holiday must be one of his/her regular workdays.
Applied to relievers:
- If the reliever worked the day before the regular holiday in accordance with his/her schedule, and the holiday itself is a scheduled workday, he or she will generally be entitled to holiday pay even if no work is performed on the holiday.
- If the reliever was absent without authorized leave on the workday immediately preceding a regular holiday, the employer may legally withhold holiday pay for the unworked holiday.
- If the reliever is not scheduled on the day before the holiday (e.g., schedule is Wed–Sun and the holiday is Monday, or on-call with gaps), the situation can become fact-specific. Employers typically look at whether the reliever had any obligation to work that day. If there was no scheduled work, the absence of work the day before does not automatically disqualify the worker from holiday pay if the holiday itself is a regular workday under the contract.
VIII. Computation of Holiday Pay for Reliever Employees
Below are typical formulas, using a generic “basic daily wage” (BDW). Actual figures depend on the employee’s wage and any applicable allowances covered by law or agreement.
Note: These examples are for conceptual guidance and assume that the reliever is covered by holiday pay provisions and all conditions are met.
A. Scenario 1: Reliever, daily-paid, regular holiday, unworked
- BDW (basic daily wage) = ₱600
- Regular holiday falls on the reliever’s scheduled workday.
- Reliever was present on the workday immediately preceding the holiday.
Holiday pay (unworked):
Holiday Pay = 100% of BDW = ₱600
B. Scenario 2: Reliever works on a regular holiday (not rest day)
- BDW = ₱600
- Regular holiday falls on a scheduled workday.
- Reliever actually works 8 hours.
Holiday pay (worked):
Holiday Pay = 200% of BDW = ₱600 × 2 = ₱1,200
If the reliever works overtime on a regular holiday, overtime is computed based on the 200% rate (e.g., OT pay = 200% × 1.25 of the hourly rate, per hour of OT).
C. Scenario 3: Reliever works on a regular holiday that is also his/her rest day
- BDW = ₱600
- Regular holiday falls on what would normally be the reliever’s rest day (e.g., Sunday), but the employer requires work.
Typical rule (for first 8 hours):
Holiday Pay = 260% of BDW = ₱600 × 2.6 = ₱1,560
(Exact factors depend on current DOLE formulas, but the concept is that it is higher than the 200% rate.)
D. Scenario 4: Reliever works on a special non-working day
- BDW = ₱600
- Special non-working day, not a rest day.
- Reliever actually works 8 hours.
Typical rule (first 8 hours):
Pay = 130% of BDW = ₱600 × 1.3 = ₱780
If the special day falls on a rest day and the reliever works, a higher factor applies (e.g., 150% of the daily rate, etc., depending on applicable DOLE guidelines).
IX. Agency-Deployed Relievers
Many companies use service contractors or manpower agencies to provide reliever employees. In these arrangements:
- The agency is usually the employer-of-record;
- The client company is often treated as the indirect employer, with certain joint and several liabilities if the agency fails to comply with labor standards.
For holiday pay:
The primary duty to pay holiday pay falls on the agency, since it is the employer.
The client company may be held solidarily liable if the agency fails to pay, especially when the arrangement is considered labor-only contracting (i.e., the contractor is not a genuine independent contractor).
The reliever’s entitlement to holiday pay is determined by the same criteria:
- Coverage under Labor Code provisions
- Status as rank-and-file
- Size and nature of establishment
- Regularity of workdays
- Presence around the holiday, etc.
X. Company Policies, CBAs, and Established Practice
Even where the Labor Code might not require holiday pay in certain scenarios, more beneficial arrangements can arise from:
Company Rules/Employee Handbooks
- Employers may voluntarily grant more generous holiday benefits to relievers, e.g., paying holiday pay on special days even when unworked, or granting holiday pay even to excluded categories.
Collective Bargaining Agreements (CBAs)
For unionized establishments, CBAs may contain special provisions:
- Holiday pay for all relievers irrespective of workday/preceding day rules;
- Additional premiums; or
- Inclusion of allowances in the computation.
Long-standing company practice
- If an employer consistently and deliberately gives holiday pay to relievers beyond what the law requires (e.g., for several years), this benefit may ripen into a company practice, protected by the principle of non-diminution of benefits.
- The employer may then be prohibited from unilaterally withdrawing such benefit.
Reliever employees should therefore examine not only the law but also their contracts, company policies, CBAs, and past actual practice of the employer.
XI. Common Issues and Misconceptions
“Relievers are not regular employees, so no holiday pay.”
- Incorrect as a blanket rule. Holiday pay entitlement depends on coverage and exclusions, not on whether the employee is permanent or “just a reliever.”
“No work, no pay applies to all holidays for relievers.”
- Not true for regular holidays, where “no work, with pay” is the general rule for covered employees.
- “No work, no pay” is the default rule only for special non-working days, unless a more favorable policy exists.
Failure to define “regular workdays” for relievers
- Employers often treat relievers as purely on-call without issuing a clear schedule. This creates disputes on whether a holiday is a regular workday for a reliever.
- Good practice is to have written terms or schedules specifying which days are considered regular workdays.
Under-declaration of employees to stay under the “less than 10 workers” exemption
- Some small businesses wrongly omit certain workers (including relievers) from the official count to claim exemption from holiday pay.
- DOLE and courts look at the real number of workers actually engaged, not just those appearing in the payroll.
Misclassification as “field personnel”
- Labeling relievers as “field personnel” does not automatically exempt them. The nature of their work and ability to monitor working hours are determinative.
XII. Practical Tips
For employers
- Clarify contracts: State clearly whether the reliever is daily-paid, monthly-paid, fixed-term, project-based, etc., and define regular workdays.
- Observe legal standards: Apply holiday pay rules consistently to all covered employees, including relievers, to avoid complaints and liabilities.
- Document schedules: Maintain clear attendance and shift records for relievers, especially around holidays.
- Review policies & CBAs: Ensure company rules and CBAs regarding holiday pay are up to date and complied with; avoid violating non-diminution of benefits.
For reliever employees
- Know your classification: Ask whether you are considered daily-paid, monthly-paid, project, seasonal, etc. This affects holiday pay computations.
- Request a copy of policies/handbook: Company rules often expand your statutory rights.
- Check your schedule: Determine if the holiday falls on a day you are regularly scheduled to work.
- Keep your own records: Note days worked, especially holidays and preceding workdays, to reconcile with payslips.
- Seek assistance when in doubt: You may contact DOLE field offices, labor unions, or legal aid groups for specific advice.
XIII. Conclusion
In Philippine labor law, reliever employees are not automatically excluded from holiday pay. As long as they are covered rank-and-file employees and do not fall under statutory exclusions, they are generally entitled to holiday pay for regular holidays, and to appropriate premium pay when they work on regular holidays or special non-working days.
The key determinants are:
- Coverage vs. exclusion under the Labor Code;
- Whether the holiday is a regular workday for the reliever;
- Compliance with presence/leave conditions around the holiday; and
- Any more favorable benefits provided by company policies, CBAs, or established practice.
Because each reliever arrangement can be unique—on-call, fixed-term, agency-deployed, or hybrid—actual entitlement and computation of holiday pay often turn on the specific facts, written agreements, and actual practice between employer and employee. For concrete disputes or complex scenarios, direct consultation with DOLE or a labor law practitioner in the Philippines is strongly recommended.