Basic Employee
Rights
The Right to Compensation and Rest
"Know Your Rights, Calculate Your
Worth."
Today’s Learning Objectives
By the end of this session, you will be able to:
1. Calculate mandatory minimum compensation and
deductions (Numeracy).
2. Justify the importance of labor standards for well-
being (Values).
3. Produce a values-aligned "Policy Promise" for your
future career (Application).
“right / wrong"
Group Activity –
"Budgeting for the Law"
Instructions:
In your groups, open your Scenario Envelopes.
The Goal: Calculate the Hourly Rate and Daily Overtime Pay
using the formulas.
Formula for Hourly Rate: Daily wage / 8 hours
Formula for Overtime Rate: Hourly Rate x 1.25(regular OT
Premium)
Formula for Daily Overtime Pay: OT Rate x Number of OT
Time: 3 Minutes. The Reflection:
"If the employer refuses this pay, which law
protects the worker?“
The Legal Floor – The Labor
Code
What is it? Presidential Decree No.
442. Legal Basis: Compensation and
Hours of Work (Book 3, P.D. 442)
Purpose: To protect workers, promote
full employment, and ensure social
justice.
-These are the fundamental rights that
protect you from exploitation.
Legal standard –
TERM LEGAL STANDARD PURPOSE
Normal Hours of Work Not more than 8 hours per day Ensures adequate rest and work
Art. 83 life balance.
Overtime Work (OT) Work performed beyond the 8 Compensates the employee for
Art. 87 regular hours extra effort outside regular
schedule.
Rest Day Employees are entitled to a rest Mandates Physical and Mental
Art. 91 period of not less than 24 recovery time
consecutive hours after every 6
consecutive normal working days
The Meal Break: 1 hour
(mandatory and usually unpaid).
–
Core Right #1
The Daily Wage
https://
[Link]/
news/central-
luzon-wage-
hike-to-take-
effect-oct-30/
Compensation Formulas
[Link] Rate Calculation (Basic Wage)
Hourly Rate=Daily Wage/8 hours
B. Regular Overtime Pay (After 8 hours, on a regular workday)
Overtime Hourly Rate = Hourly Rate x 125%(1.25)
Total Overtime Pay = Overtime Hourly Rate x Number of
OT hours
C. Rest Day Overtime Pay (Working on a designated rest day)
Rest Day Hourly Rate = Hourly Rate x 130%(1.30)
Rest Day Work Pay = Rest Day Hourly Rate x Total hours
[Link]
Worked differential-pay/
PREMIUM PAY RATE
Dole (Department of Labor and Employment) mandates specific
premium pay rates in the Philippines:
Night Shift Differential (NSD) Art. 87 is at least 10% of the basic
hourly rate for work from 10 PM to 6 AM;
Service Incentive Leave (SIL) Art. 95: 5 days of paid leave per year.
Requirement for SIL: At least 1 year of service.
Can be converted to cash if unused.
Overtime (OT) on a regular day is 125% of basic pay;
[Link]
differential-pay/
OT on a Rest Day/Special Holiday Art. 91 is 169%;
Holiday Pay on a regular holiday is 200%, with OT on a regular
holiday reaching 260% (or 286% with NSD).
The Safety Net –
Mandatory Contributions
Your "Gross Pay" is not your "Net Pay." Why?
CONTRIBUTION PURPOSE BASIS FOR CALCULATION (FOR
ACTIVITY
SSS (SOCIAL SECURITY Retirement, disability, sickness, Fixed/Bracketed Amount based
SYSTEM) and death benefits on monthly salary range. (Use
Note: Both the employee AND the employer
provided rate/fixed amount.
contribute to these funds.
PhilHealth National Health Insurance Percentage of monthly basic
Program (Hospitalization/Medical) salary (currently 4%)
Pag-IBIG ( Home Housing loans, savings, and Fixed Percentage
Development Mutual calamity load (Employer/Employee share is
Fund) typically 2%1% or 2%2%of the
basic salary, capped at a
P100/P100 or P200/P200
deduction)
The Safety Net –
Mandatory Contributions
https://
[Link]/
sss-monthly-
contribution-table-
The Safety Net –
Mandatory Contributions
[Link]
5488830786436029/
The Safety Net –
Mandatory Contributions
https://
[Link]/pag-
ibig-contribution-table-2025-how-
(20 Minutes)
Ability showcase
Instruction:
Form a Group of 6-7 members.
Each group will be form by their common skills or abilities
Pick up an instruction then follow and create what is being
asked.
1. Being script writer and artist,
2. Being a poet writer and recite,
3. Being a composer and a singer
4. Being an analyst
Group Discussion: Each group brainstorm internally (3 Mins)
Groups sharing and presenting their output. (3 mins)
(20 Minutes)
Ability showcase
Differentiated Activity Rubric (Total: 20 Points)
Criteria 5 (Excellent)
Demonstrates perfect understanding of labor
Content Accuracy & Relevance
rights, holiday pay, or professional ethics.
Roleplay: Highly professional resolution.
Critical Thinking & Analysis (HOTS) Poem/Song: Deep insight into leadership. Venn:
Precise logical comparison.
Exceptional use of the assigned skill (e.g., great
Creativity & Group Expression
acting, rhyming, or singing/visuals).
All members actively participated; clear, audible,
Collaboration & Presentation
and professional delivery.
Practical Application –
The Job Offer Evaluator
Which would you choose?
Offer A: ₱850/day flat rate. No OT pay, no benefits,
pay your own SSS.
Offer B: ₱570/day (Bulacan Min). Includes 125% OT
pay, 5 days SIL, and Employer-paid SSS/PhilHealth.
Practical Application –
The Job Offer Evaluator
Student Action:
Calculate: If both jobs require 2 hours of overtime daily,
which job actually pays more per hour?
Evaluate: Which offer provides better long-term security
and work-life balance?
Decide: Based on your personal values (e.g., immediate
cash vs. stability), which would you sign?
The Twist: If you work 2 hours of OT every day, Offer B actually pays
Generalization – The Hierarchy of
Rights
The Rights are the Floor, not the Ceiling
Ensures your basic dignity and
The Floor (Labor health.
Standards)
The Safety Net Protects your future (Health,
(Benefits) Retirement).
The Ceiling (Your Your growth and aspirations.
Career)
Evaluation – Knowledge Check
What is the Bulacan daily
wage?
How much is the OT premium on a regular
day?
When does Night Shift Differential start?
If Gross is ₱16k and deductions are ₱1.2k, what is
the Net?
Why do we have rest days?
Closing Task – assignment
The Policy Promise
Final Output: Write your "Policy Promise" on
your reflection card. (1/2 crosswise)
Template: "As a future [Job], I promise to
value my right to [Right] because it ensures
my [Value]. I will also contribute to [Agency]
to protect my future."
cont. q3 lesson 3
Presidential Decree No. 442.
Women and Minor
The Law gives special protection for women and minors n
employment.
Children below 15 are not allowed to work, except in family
businesses under safe conditions.
This ensures that women and young workers are treated
fairly and protected form
Wages
Wages must be paid in legal tender (Phil. Pesos), not in
products or promises.
Employers must give pay slips showing details of salary and
deductions.
Presidential Decree No. 442.
Payment of Wages
Salaries should be paid at least once every two weeks or
twice a month.
Payment should be given directly to the worker at or near the
workplace.
This ensures employees receive their earnings regularly and
conveniently.
Prohibition of Deductions
Employers cannot make deductions from wages unless
allowed by law (e.g., taxes, SSS, Pag-IBIG, PhilHealth
contributions).
This prevents unfair wage cuts and protects employees’ income.
Presidential Decree No. 442.
Benefits for Special Groups
Special laws give additional rights to women, (e.g., Maternity
leave), minors, and persons with disabilities.
This recognizes that some groups need more protection in the
workplace.
Prohibition of Deductions
Employers cannot make deductions from wages unless
allowed by law (e.g., taxes, SSS, Pag-IBIG, PhilHealth
contributions).
This prevents unfair wage cuts and protects employees’ income.
Presidential Decree No. 442.
Benefits for Special Groups
Special laws give additional rights to women, (e.g., Maternity
leave), minors, and persons with disabilities.
This recognizes that some groups need more protection in the
workplace.
Prohibition of Deductions
Employers cannot make deductions from wages unless
allowed by law (e.g., taxes, SSS, Pag-IBIG, PhilHealth
contributions).
This prevents unfair wage cuts and protects employees’ income.
Book three of The Labor Code
This makes sure employees
have fair working hours, proper
pay, rest days, holidays, leave
benefits, and protection
against abuse. It also ensures
that wages are paid correctly
and on time
13th month pay
13th month pay is a mandatory, government-
mandated extra payment in the Philippines,
equivalent to one month's basic salary, given to
rank-and-file employees by December 24th
each year to help with holiday expenses, distinct
from voluntary Christmas bonuses. It's
calculated as the total basic salary earned in a
year divided by 12, and is legally required for
most private sector workers who've worked at
least one month, ensuring an annual financial
boost.
Solo parents
Solo parents in the Philippines receive benefits
including a 7-day paid parental leave,
discounts (10% & VAT-exempt) on baby
essentials for children under 6, financial aid
(₱1,000/month for low-income earners),
automatic PhilHealth, and priority for
housing/livelihood programs, plus flexible work
options and educational support, all under
Republic Act 11861, enhancing support
beyond just leave.
Maternity Leave Law (RA 11210)
In the Philippines, the Expanded Maternity
Leave Law (RA 11210) grants 105 days of
paid leave for childbirth, regardless of delivery
method, plus an option for 30 more unpaid
days; solo mothers get an extra 15 days (total
120 paid). Miscarriages or emergency
terminations qualify for 60 days paid leave.
Key provisions include full pay, optional
extension, father/caregiver leave sharing (up
to 7 days), and contributions to
SSS/PhilHealth
Maternity Leave Law (RA 11210)
Key Entitlements
Live Birth: 105 days paid leave (full pay).
Miscarriage/Emergency Termination: 60 days paid
leave (full pay).
Solo Parent: Additional 15 days (total 120 days
paid).
Extension Option: An extra 30 days without pay.
Caregiver Leave: Up to 7 days can be transferred
to the child's father or another caregiver.
Paternity Leave Act of 1996 (RA 8187)
Key Provisions
Duration: 7 days of paid leave.
Eligibility: Married male employees in private
and public sectors.
Frequency: For the first four
deliveries/miscarriages of the cohabiting
spouse.
Expanded Option: Up to 7 days can be
transferred from the mother, creating a
potential 14-day combined leave.
The Legal Floor – The Labor
Code
References
(2025 Labor Standards and Conditions of
Employment Legal Basis: Presidential Decree No.
442 (Labor Code of the Philippines), as Amended. -
Google Search, n.d.)
(PRESIDENTIAL DECREE NO. 442 - a DECREE INSTITUTING a LABOR
CODE, THEREBY REVISING AND CONSOLIDATING LABOR AND SOCIAL
LAWS TO AFFORD PROTECTION TO LABOR, PROMOTE EMPLOYMENT
AND HUMAN RESOURCES DEVELOPMENT AND INSURE INDUSTRIAL
PEACE BASED ON SOCIAL JUSTICE - Supreme Court E-Library, n.d.)
References
DOLE Table of Compensation in Bulacan
([Link]
sourcing-alert/2025/minimum-wage-increase-in-region-
iii-central-luzon/)
SSS Table of Employee/Employer Monthly Contribution
([Link]
[Link])
PhilHealth Contribution Rate
([Link]
2025/)
Pag-IBIG Contribution
Table([Link]
THANK YOU
"Your labor is your
dignity. Know its
value."