DOLE Mandates Extra Pay for Chinese New Year Work, Reinforces Worker Protections
The Department of Labor and Employment (DOLE) has issued clear guidelines for compensation on Chinese New Year, a special non-working day, while also reminding employees of their fundamental job security rights under Philippine law.
Premium Pay for Holiday Work
In accordance with Labor Advisory No. 12, Series of 2025, signed by Secretary Bienvenido Laguesma, private sector employees who report for duty on Tuesday, February 17, 2026—declared a special non-working day—are entitled to an additional 30 percent of their daily basic wage for the first eight hours of work. This calculation follows the formula: basic wage multiplied by 130 percent.
However, the advisory reiterates the 'no work, no pay' principle, meaning employees who do not work on that day will not receive the extra compensation, unless their company has a policy, practice, or collective bargaining agreement that grants payment for special days regardless of work attendance.
For overtime performed on this special day, employers must pay an additional 30 percent of the hourly rate on top of the premium. If the special day coincides with an employee's scheduled rest day, the premium increases to 50 percent of the basic wage for the first eight hours, with overtime at an extra 30 percent of the hourly rate.
These pay rules are established under Proclamation No. 1006, Series of 2025, ensuring standardized compensation across the private sector.
Security of Tenure and Dismissal Protections
Simultaneously, DOLE, through the National Labor Relations Commission (NLRC), has emphasized that Filipino workers enjoy security of tenure and cannot be dismissed without valid legal grounds. NLRC Commissioner Hernan Nicdao stated that termination is permitted only for just causes, such as serious misconduct or fraud, or authorized causes including redundancy, retrenchment, retirement, implementation of labor-saving devices, or serious illness.
Employers are obligated to provide separation or retirement pay when job loss is not the fault of the worker. Specifically, in redundancy cases, workers may be entitled to one month's salary for each year of service, while retrenchment or illness cases require at least half a month's salary for each year of service.
Commissioner Nicdao also warned that employers who refuse to reinstate workers after approved sick leave without a lawful reason may face illegal dismissal complaints.
Dispute Resolution Mechanisms
To facilitate swift resolution of labor disputes, DOLE offers the Single Entry Approach (SEnA), where trained mediators assist parties in reaching amicable settlements before cases proceed to formal arbitration. If mediation is unsuccessful, workers may file formal cases with the NLRC.
Free legal assistance is available from the Public Attorney's Office for such proceedings. Successful claimants in illegal dismissal cases may be awarded reinstatement with back wages or, if reinstatement is not feasible, separation pay.
Workers seeking guidance on dismissal issues, separation pay, or other workplace rights are encouraged to contact NLRC offices directly for support and clarification.
