(General information only; not legal advice. Laws and DOLE/NLRC practices can change, and outcomes depend on facts.)

1) The Legal Foundation: Where Overtime Rights Come From

In the Philippines, overtime pay is primarily a labor standards right governed by:

The Labor Code of the Philippines (and renumbered provisions under subsequent codifications),
DOLE (Department of Labor and Employment) regulations and issuances implementing working time rules,
Relevant Supreme Court labor decisions interpreting these rules.

Overtime claims are usually treated as money claims for labor standards violations. That matters because it affects where you file, what evidence you need, and the time limits.

2) Who Can Claim Overtime Pay (and Who Usually Can’t)

Generally entitled to overtime pay

Most rank-and-file employees in the private sector are entitled if they work beyond normal hours.

Common exemptions (often not entitled to overtime pay)

Overtime rules typically do not apply to:

Managerial employees (those who manage and have authority over hiring/firing/discipline or whose primary duty is management),
Certain officers or members of the managerial staff who meet legal tests,
Field personnel (those who regularly work away from the employer’s premises and whose actual hours cannot be determined with reasonable certainty),
Certain workers paid by results/output (piece-rate/task basis), depending on the arrangement and whether hours are controlled/trackable,
Some family members working in a family enterprise under specific conditions.

Special note: Government employees

Employees in the government are generally not covered by Labor Code overtime rules; they’re under civil service rules and agency policies.

Special note: Domestic workers (Kasambahay)

Kasambahay are covered by a special law (Kasambahay Law) and standards differ. Overtime concepts may exist in practice, but legal entitlements, rest periods, and enforcement are handled under that framework.

Why this matters: Many unpaid overtime disputes turn on whether the worker is truly rank-and-file, or whether the employer is misclassifying the role as “managerial” or “field personnel.”

3) What Counts as “Overtime” in Philippine Context

Normal working hours

Standard normal hours are 8 hours per day.
Work beyond 8 hours in a day is typically overtime.

“Hours worked” (important in overtime disputes)

In general, “hours worked” includes:

Time the employee is required to be on duty or suffered or permitted to work (even if not expressly ordered),
Short rest periods during work that are treated as compensable under rules,
Certain waiting time if the employee is engaged to wait (controlled by employer) rather than free to use time for themselves.

Common flashpoints:

Pre-shift/post-shift work (opening/closing duties, cash counts, report submission),
Work during meal breaks (if the employee is not actually relieved of duty),
“Off-the-clock” messaging (work instructions via chat after hours),
Trainings/meetings outside schedule,
Travel time (commuting is not work; travel as part of the job may be).

Overtime must be “approved” — does lack of approval defeat a claim?

Employers often argue overtime is payable only if “pre-approved.” In practice, unpaid overtime can still be claimed if the work was required, allowed, or knowingly tolerated (e.g., the workload could not be completed within regular hours and supervisors knew it was being done). Written approval policies can matter, but they are not a free pass to accept work and refuse payment.

4) Overtime Pay Rates: The Usual Multipliers You’ll See

Overtime pay is computed as an additional premium on top of the employee’s hourly rate. The common rules (as generally applied) include:

Regular day overtime

+25% of hourly rate for hours beyond 8 on an ordinary working day → commonly expressed as 125% of hourly rate.

Rest day or special non-working day (when you’re required/allowed to work)

Work on rest day/special day typically has a premium, and overtime on top of that has an additional premium (often resulting in a higher effective rate than regular-day OT).

Regular holiday

Work on a regular holiday typically has a higher premium, and overtime on that day is higher still.

Practical tip: Employers often compute these using layered multipliers (holiday/rest day premium first, then overtime premium). If your payslip shows “OT,” “RDOT,” “SHOT,” “RHOT,” etc., those labels matter.

5) Computing Your Claim: A Quick Method That Holds Up

Step A: Determine your hourly rate

Common approach:

Monthly-paid employees: hourly rate is often derived from the daily rate and an assumed divisor (varies by company policy and DOLE guidance depending on pay scheme, working days, and whether paid on rest days/holidays).
Daily-paid employees: hourly rate is generally daily rate ÷ 8.

Because divisors can be disputed, your best move is:

Start with the employer’s own divisor shown in payroll, CBA, or policy,
Compute an alternative using a standard approach if the employer’s divisor is suspect,
Present both in conciliation and let DOLE/NLRC determine correctness.

Step B: Reconstruct your overtime hours

Build a spreadsheet with:

Date
Scheduled hours
Actual time-in/time-out
Breaks taken
Net overtime hours
Day type (regular / rest day / special day / regular holiday)
Rate applied
Amount due
Amount paid (if any)
Balance

Step C: Include related labor standards if applicable

Sometimes unpaid overtime is intertwined with:

Night Shift Differential (NSD) for work between 10:00 PM and 6:00 AM,
Holiday pay and premium pay issues,
Service incentive leave (SIL) or other benefits.

If your employer has been underpaying working time-related benefits, bundling them into one labor standards complaint can be efficient.

6) Evidence: What You Need to Win Unpaid Overtime in Real Life

Overtime claims are evidence-heavy. Helpful evidence includes:

Strong evidence

Time records: DTRs, biometrics logs, bundy cards, online timekeeping screenshots
Payslips and payroll summaries
Work schedules and shift rosters
Company policies on working time/overtime
Emails/chats showing instructions after hours, required deadlines, or supervisor knowledge
Access logs: building entry logs, VPN logs, system login/logout logs (where available)
Witness statements: co-workers who can attest to the practice

If the employer controls the time records

Employers often hold the “official” records. Two practical points:

If you have personal copies (photos of DTR, screenshots), preserve them.
If the employer refuses to produce records, DOLE/NLRC processes can compel disclosure or treat absence of records against the employer depending on circumstances—especially when the employer is legally expected to keep time and payroll records.

Preserve evidence properly

Save files in original format where possible.
Keep metadata (timestamps) intact.
Avoid editing screenshots; if needed, keep both original and annotated copies.

7) The Time Limit: Prescription (Deadline) for Filing

A common rule for labor standards money claims is a 3-year prescriptive period, counted from the time the cause of action accrued (often the date the overtime should have been paid).

Practical implication: If you file today, you may still claim overtime going back up to three years, but older claims may be time-barred. Don’t wait.

8) Before You File: Smart Pre-Filing Steps (Low Risk, High Value)

Request your records in writing Politely request copies of DTR/time logs and payroll computations.
Make a written demand (optional but often helpful) A short demand letter/email stating:
- the period covered,
- the basis (unpaid overtime),
- your request for payment or reconciliation,
- a deadline to respond.
Compute a reasonable estimate Even a conservative estimate helps conciliation move faster.
Avoid resigning impulsively Resignation can complicate leverage. You can pursue money claims even if separated, but keep strategy in mind.
Do not falsify or “pad” hours Credibility is everything in overtime disputes.

9) Where to File: DOLE vs NLRC (and Why It Matters)

Unpaid overtime is a labor standards violation. In the Philippines, there are two common routes:

A) DOLE (Department of Labor and Employment)

DOLE is typically used for labor standards enforcement and can handle complaints through:

SEnA (Single Entry Approach): mandatory/standard conciliation-mediation entry point in many disputes,
Inspection/enforcement (visitorial powers): compliance orders for labor standards can be issued after validation.

When DOLE is commonly used:

Straightforward labor standards issues (unpaid OT, holiday pay, underpayment, non-remittance issues are separate),
When you want a faster compliance-oriented approach,
When the dispute is primarily about compliance, not damages.

B) NLRC (National Labor Relations Commission) / Labor Arbiter

NLRC/Labor Arbiter is commonly used for:

Money claims combined with illegal dismissal, constructive dismissal, damages, or other complex issues,
Situations where the employer disputes the relationship or classification heavily,
Larger, heavily contested claims.

Important: Jurisdiction lines can depend on the specific claim package (e.g., presence of reinstatement issues, complexity, employer-employee relationship disputes). Many employees start with SEnA and end up in the appropriate forum if unresolved.

10) The Standard Process: Step-by-Step

Step 1: File through SEnA (conciliation-mediation)

You submit a request for assistance (at DOLE or via the appropriate channel). Then:

A SEnA conference is scheduled.
You and the employer discuss settlement.
If settled, you sign a settlement agreement; payment terms are set.

What to bring:

IDs
Employment proof (contract, COE, payslips)
Your overtime reconstruction
Screenshots/time logs/messages

Step 2: If no settlement, escalate to the proper case filing

If unresolved, you may proceed to:

Labor standards enforcement/inspection route (DOLE), or
A formal complaint with NLRC/Labor Arbiter, depending on issues.

Step 3: Position papers / hearings (if adjudicated)

For NLRC cases, you’ll typically submit:

A complaint and later a position paper
Evidence attachments
Reply/rejoinder may follow

Decisions can award:

Unpaid overtime and premiums
Sometimes attorney’s fees (under specific legal standards)
Potentially damages if tied to unlawful conduct (more fact-dependent)

Step 4: Execution/collection

Winning on paper is not the end. If the employer does not voluntarily pay:

You may need enforcement steps through the proper office.

11) Retaliation and “Consequences” for Complaining

Employers sometimes respond with schedule cuts, discipline, or termination. Key points:

Retaliatory dismissal can trigger an illegal dismissal claim.
If working conditions are made intolerable to force resignation, it may be constructive dismissal (fact-intensive).
Keep documentation of any adverse actions after your complaint (memos, NTEs, schedule changes, threats).

12) Common Employer Defenses — and How to Counter Them

“You’re managerial / not entitled.”

Counter with:

Your actual duties (not your title),
Lack of real managerial authority,
Proof of rank-and-file nature (supervision, approval hierarchy).

“You didn’t get overtime approval.”

Counter with:

Proof supervisors knew (messages, deadlines, habitual practice),
Proof workload made overtime unavoidable,
Proof employer benefited and accepted the work.

“You’re output-based / paid by results.”

Counter with:

Control and monitoring of work hours,
Required attendance and fixed schedules,
Timekeeping records showing controlled hours.

“Records show no overtime.”

Counter with:

Your independent evidence (screenshots, system logs, witness accounts),
Challenges to integrity of records (e.g., forced edits, missing logs),
Pattern evidence (others similarly unpaid).

13) Practical Drafts You Can Use

A) Short email requesting time and payroll records

Subject: Request for copies of timekeeping and payroll records

Dear [HR/Payroll/Manager], May I request copies of my timekeeping records (DTR/biometrics) and payroll computation for the period [dates], including any overtime, premium pay, and related entries. Thank you. [Name]

B) Simple demand email for unpaid overtime

Subject: Request for reconciliation and payment of unpaid overtime

Dear [HR/Payroll], I would like to request reconciliation and payment of unpaid overtime for the period [dates]. Based on my records, I worked overtime on the attached dates/times. Please advise on the computation and settlement within [reasonable period, e.g., 7–10 days]. Thank you. [Name]

14) Strategy Tips That Often Improve Outcomes

Start with a clean, conservative computation—it builds credibility.
Organize evidence by date (a folder per month works well).
Keep communications professional; avoid threats in writing.
If you settle, insist on clear terms: total amount, dates of payment, tax treatment (if applicable), and what claims are waived.
Don’t sign waivers blindly—some releases are broad and may cover more than overtime.

15) Quick Checklist

Before filing

Gather payslips, contract/COE, schedules
Collect timekeeping proof (DTR/biometrics/screenshots/logs)
Compile supervisor messages showing knowledge/requirement
Make an overtime summary table
Verify claims fall within 3 years

Filing and conferences

Bring printed and digital copies
Know your lowest acceptable settlement number
Document all offers and agreements in writing

If you want, paste your job details (role, pay scheme, schedule, how OT was tracked, and the date range), and I can help you:

identify likely entitlement issues (rank-and-file vs exempt), and
outline a tailored evidence-and-filing plan plus a sample computation format.