Dear Atty. Vlad,

I work in a restaurant in Sta. Rosa, Laguna. On the first week of October this year, my Manager asked me to render overtime work for two hours for three days. 

The following week, I only rendered six hours work for three days.  When I received my payslip, I noticed that the overtime work that I rendered was not included. 

When I asked my Manager why I was not paid overtime pay and overtime pay premium for the two hours overtime work I rendered for three days, she told me that my overtime work was offset with the undertime work I rendered for six hours for three days. 

Is my Manager correct?  I hope you can help me.

                                                                                                                                 Divine

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Dear Divine,

As I understand it, your manager directed you to render overtime work for two hours for three days and the following week, you were allowed to render undertime work for only six hours for three days.  However, when payday came, your employer did not pay you overtime pay and overtime pay premium because it had offset your overtime work with your undertime work.

Under Article 88 of the Labor Code, as amended, "[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 provision of the Labor Code regarding the offsetting of undertime work overtime work is very clear.  Hence, your employer cannot offset your overtime work with your undertime work.

What your employer should have done was, pay you the equivalent amount for the undertime work you 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: