In the Philippine legal landscape, the entitlement to hazard pay is often perceived as a universal right for all healthcare workers. However, a significant distinction exists between the mandates for public health workers and the protections afforded to those in the private sector. This article explores the legal foundations, the role of collective bargaining, and the impact of emergency legislation on hazard pay for private hospital employees.
1. The Statutory Framework: Public vs. Private
The primary law governing benefits for health workers is Republic Act No. 7305, also known as the Magna Carta of Public Health Workers. Under this law, "health workers" are entitled to hazard pay if they are exposed to specific risks or occupational hazards.
However, a critical limitation exists: R.A. 7305 applies primarily to government employees. For the private sector, the Labor Code of the Philippines serves as the baseline. Unlike the public sector's Magna Carta, the Labor Code does not contain a blanket provision requiring private hospitals to pay "hazard pay" to their staff. Instead, private sector compensation is generally governed by:
- The Employment Contract
- Company Policy (Management Prerogative)
- Collective Bargaining Agreements (CBAs)
2. Hazard Pay via Collective Bargaining
In the absence of a national law mandating hazard pay for all private hospital workers, the Collective Bargaining Agreement (CBA) becomes the most powerful tool for employees.
When a union exists within a private hospital, hazard pay is often a negotiated benefit. Once a CBA is signed and ratified, the provision for hazard pay becomes "the law between the parties." If the employer fails to pay the agreed-upon amount, it may be held liable for Unfair Labor Practice (ULP) or a money claim under the jurisdiction of the Labor Arbiter.
Elements of a CBA-based Hazard Pay:
- Defined Risk: Specific areas (e.g., Radiology, Infectious Disease Wards, ER) that trigger the pay.
- Computation: Usually a fixed monthly allowance or a percentage of the basic salary.
- Duration: Continuous as long as the employee is assigned to the hazardous area.
3. The Shift: The COVID-19 Pandemic and Emergency Laws
The onset of the COVID-19 pandemic necessitated a shift in how the state viewed private sector healthcare risks. The government recognized that the risk to life was uniform, regardless of whether the hospital was public or private.
The Bayanihan Laws
Through Bayanihan to Heal as One Act (Bayanihan 1) and subsequent issuances, the Philippine government mandated the provision of a COVID-19 Hazard Pay and a Special Risk Allowance (SRA).
- Applicability: These benefits were extended to "Public and Private Health Workers" who were directly catering to or exposed to COVID-19 patients.
- Funding: Unlike regular salary, these pandemic-specific benefits were often funded or subsidized by the national government through the Department of Health (DOH), rather than solely by the private employer.
R.A. 11712: Health Emergency Allowance (HEA)
In the post-pandemic recovery phase, Republic Act No. 11712 was enacted. This law grants a Health Emergency Allowance (HEA) to both public and private health workers during a declared Public Health Emergency. The amount is tiered based on the risk level of the deployment:
- Low Risk: ₱3,000
- Medium Risk: ₱6,000
- High Risk: ₱9,000
4. Occupational Safety and Health (OSH) Standards
Under Republic Act No. 11058 (The Strengthening Compliance with Occupational Safety and Health Standards Act), private employers are strictly required to provide a safe workplace.
While R.A. 11058 emphasizes the elimination of hazards (through PPE, engineering controls, and safety protocols) rather than compensating for hazards via cash, it establishes the employer's liability. If a private hospital fails to mitigate a known hazard and an employee is injured or falls ill, the employer may be liable for administrative fines and damages, even if no specific "hazard pay" was in the contract.
5. Summary of Entitlements
| Basis of Right | Public Sector | Private Sector |
|---|---|---|
| R.A. 7305 (Magna Carta) | Mandatory | Not Applicable |
| Labor Code | Not Applicable | No mandatory provision |
| CBA / Contract | Supplemental | Primary source of right |
| R.A. 11712 (HEA) | Mandatory (During Emergencies) | Mandatory (During Emergencies) |
6. Conclusion
For private sector employees in hospital environments, the "right" to hazard pay is not a default statutory benefit under ordinary circumstances. It is primarily a contractual right or a negotiated benefit through labor unions. However, recent legislative trends, spurred by the global health crisis, indicate a movement toward bridging the gap between public and private sector benefits during times of national emergency.
Employees seeking to enforce this right must first look to their Employment Contract, the Company Handbook, or their Collective Bargaining Agreement. In the absence of these, the claim for hazard pay is generally limited to periods covered by a declared National Public Health Emergency.