Labor Law: Sample Computation of Overtime Pay and Premium Pay

Daily wage: P 800.00

Hourly Rate: P 100.00

Work Schedule: 8:00-17:00

Overtime Work: 17:00-22:00


Determine the total wage in the ff:


1. Regular Workday

        First 8 hours =  800 = 800

        5 hours OT = 100(5) (1.25) = 625                   (hourly rate on said day + 25% overtime rate)

        Total = P1425


2. Regular Holiday

        First 8 hours = 800(2) = 1600                           (regular wage + 100% premium pay)

        5 hours OT = 100(5)(2)(1.3) = 1300                (hourly rate on said day  + 30% overtime rate)

        Total = P2900


3. Special Holiday/Rest day

        First 8 hours = 800(1.3) = 1040                       (regular wage + 30% premium pay)

        5 hours OT = 100(5)(1.3)(1.3) = 845               (hourly rate on said day  + 30% overtime rate)

        Total = P1885


4. Special Holiday + Rest day

        First 8 hours = 800(1.5) = 1200                       (regular wage + 50% premium pay)

        5 hours OT = 100(5)(1.5)(1.3) = 975               (hourly rate on said day  + 30% overtime rate)

        Total = P2175


5. Regular Holiday + Rest day

        First 8 hours = 800(2)(1.3) = 2080             (regular wage + 100% premium pay + 30% of said day)

        5 hours OT = 100(5)(2)(1.3)(1.3) = 1690             (hourly rate on said day  + 30% overtime rate)

        Total = P3770


6. Double Holiday

        First 8 hours = 800(3) = 2400            (regular wage + 100% premium pay + 100 % premium pay)

        5 hours OT = 100(5)(3)(1.3) = 1950             (hourly rate on said day  + 30% overtime rate)

        Total = P4350





Comments

Popular posts from this blog

Equality and Human Rights: The United Nations and Human Rights System (September 16, 2023)

Commercial Laws 1: R.A. No. 11057 — Personal Property Security Act

Land Title and Deeds: Chapter 1 — What Lands are Capable of Being Registered