Overtime work and pay
Dear Atty. Vlad,
I am an employee of a business processes outsourcing or BPO company in Ortigas. Last month, my TL or team Leader asked me to render overtime work for two days. The following week, however, I was allowed to render half a day's work for three days. When I received my payslip, I noticed that the overtime work that I rendered was not reflected. When I asked my TL why I was not paid overtime and overtime pay premium, he told me that my overtime work was offset using the days when I only rendered half a day's work. Is my TL correct?
Tanya
Dear Tanya,
Your team leader is wrong. From what you shared with me, your employer did not pay you overtime pay and overtime pay premium because the company had offset your overtime work with your undertime work.
Article 88 of the Labor Code, as amended, provides that, "(u)ndertime work on any particular day shall not be offset by overtime work on any other day. Permission given to the employee to go on leave on some other day of the week shall not exempt the employer from paying the additional compensation required in this Chapter."
The foregoing provisions of the Labor Code regarding the offsetting of undertime work overtime work are very clear. What your employer should have done was, pay you for the half a day's work rendered and at the same time, pay you for the overtime work plus overtime work premium of 25 percent, pursuant to Article 87 of the same code, to wit:
"Overtime work. Work may be performed beyond eight (8) hours a day provided that the employee is paid for the overtime work, an additional compensation equivalent to his regular wage plus at least twenty-five (25 percent) thereof. x x x"
I hope that I was able to answer your query based on what you stated.
Atty. Vlad del Rosario
