Overtime Pay Rates
Work performed beyond 8 hours a day is considered overtime and must be compensated accordingly:
| Type of Day | Rate | Formula |
|---|---|---|
| Ordinary Day | +25% | Hourly Rate × 1.25 × OT Hours |
| Rest Day / Special Day | +30% | Hourly Rate × 1.30 × 1.30 × OT Hours |
| Regular Holiday | +30% | Hourly Rate × 2.00 × 1.30 × OT Hours |
Example Computation:
Daily Rate: ₱610
Hourly Rate: ₱610 ÷ 8 = ₱76.25
OT on ordinary day (2 hours): ₱76.25 × 1.25 × 2 = ₱190.63
Legal Basis
Article 87, Labor Code of the Philippines