Worker's Wage Flashcards
What is RA No. 6727?
Wage Rationalization Act
What is retail establishment?
Sale of goods to end-users for personal or household use
What is service establishment?
Sale of service to individuals for their own or household use
What is the role of the Regional Tripartite Wages and Productivity Boards (RTWPBs)
They are authorized to determine the daily minimum wage rates in different regions based on established criteria
What does the Regional Wage Orders prescribe
Daily minimum wage rates per industry per locality within the region
The length of exemption from compliance
An establishment may be exempted from compliance with a Wage Order for a period not to exceed one year
The new minimum wage rates for non-agriculture in NCR
610 pesos
The new minimum wage rates for agriculture, service/retail establishments, and manufacturing establishments in NCR
573 pesos
The new wage increase in NCR
40 pesos
What is the basis of the minimum wage rates prescribed by law?
normal working hours of 8 hours per day
What counts as compensable work hours?
- all time required to be on duty, on employer’s premises, present on workplace
- all time during which the employee is suffered/permitted to work
What are the principles in determining hours worked
- productive labor/physical or mental exertion
- work performed is necessary, benefited the employer, or worked beyond their hours with no replacement
- interruptions in his work beyond his control
What determines rest period within work hours
no need to leave premises; it’s enough that they stop working and rest completely
How is waiting time treated?
waiting time is counted as work time if it is integral part of work or is required by the employer
What is the criteria for lectures, meetings, training programs, etc. to NOT be counted as working time?
attendance is out of working hours, attendance is voluntary, did not perform productive work during attendance
What is the policy on the time of meals and rest period?
- the employer shall provide no less than 1 hour off for regular meal times
- meal period of no less than 20 mins may be given provided that it is credited as compensable hours worked
The following are conditions for giving shorter meal periods:
- no manual work/no physical exertion
- establishments regularly operates not less than 16 hours a day
- actual emergencies, impending work on machines/equipments/installations
- work necessary to prevent loss of perishable goods
The length of time for rest periods or coffee breaks:
5 to 20 minutes, still considered as compensable work hours
What are monthly-paid employees?
paid everyday of the month including unworked rest days, special days, and regular holidays
What are daily-paid employees?
paid on days actually worked and on unworked regular holidays
Computing for monthly-paid employees
Applicable Daily Rate (ADR) x 365 / 12 months
Computing for daily-paid employees who are required to work everyday including sundays/rest days, special days, and regular holidays
Applicable Daily Rate (ADR) x 395.7 / 12 months
Computing for daily paid employees who do not work and are not considered paid on sundays/rest days
Applicable Daily Rate (ADR) x 313 / 12 months
Computing for daily paid employees who do not work and are not considered paid in Saturdays and Sundays or rest days
Applicable Daily Rate (ADR) x 261 / 12 months
On subsidized meals and snacks
Employer may provide subsidized meals and snacks provided that it shall not be less than 30%. Employer may deduct from employee wages of not more than 70% of the value of meals and snacks
Wage of kasambahays
4000-6000 pesos
Wage of kasambahays who works as salesclerks
Receive wage that is aligned with minimum wage applicable to retail and service establishments
How would the employer reduce the number of regular working days to prevent serious losses?
The employer may deduct wages corresponding to the days taken off from the workweek, consistent with the principle of “no work, no pay”
Corresponding double indemnity for the violation of the prescribed increases or adjustments in wage rates
- Employer ordered to pay an amount equivalent to double the unpaid benefits owing to the employees
- Does not make them absolved from criminal liability imposable hereof
Corresponding penalty for the violation of the prescribed increases or adjustments in wage rates
- Refusal or failure to pay prescribed increases or adjustments to wage rates is punishable by fine of 25K-100K or imprisonment of 2-4 years
- or both
On baranggay micro business enterprises
- exempt from minimum wage law: may pay employees below min. wage
- BMBE must still receive benefits like SSS and healthcare
On wage of workers paid by results
- shall not receive less than the prescribed minimum wage rates under Regional Wage Orders
- wage rates of workers paid by results determined through time and motion studies
On wage of apprentices, learners, persons with disabilities
no less than 75% of minimum wage rates
The Annual Establishment Report on Wages
an verified itemized of all employees, their contracts, and corresponding wages
Who CANNOT receive holiday pay
- government employees/government-owned corporations
- retail and service establishments with <10 workers
- kasambahay
- some managerial employees
- some officers/members of managerial staff
- unsupervised field personnel, contract-commission basis
Every employee covered by the Holiday Pay Rule is entitled to the minimum wage rate:
- the employee is entitled to at least 100% of their minimum wage whether or not they’re absent on holiday;
- provided that they are present for work the immediate day before or has LOA w/ pay
Work performed on holiday
at least 200% the daily wage of employee
Non-agri illustration of holiday pay
610 X 200%= 1220
In the event of working on a holiday befalling a scheduled rest day of employee:
+30% on rate of 200% or at least 260%
In the event of LOA w/o pay on immediate day before holiday:
no holiday pay unless you work on holiday
In the event of day before holiday is non-working/scheduled rest day
work on day before that to get holiday pay