Monday, June 17, 2013

LEAVES WITH PAY

Taking leaves from work is one of the benefits of employees and is also one of the important part of ones career. When one take time off from work,  it makes them more productive. That should be the main purpose of leaves. But mostly, employees take leave of absence because of illness, to attend to emergency errands like paying up the bills and worst, some use it for applying to a job in another company.
So what are leaves by the way? Leaves are days when employees may still be paid despite their absence from work.  There are two kinds of leaves – that allowed by law and that one called as “ Best Practices” wherein the employer may add (not subtract) to these leaves out of the goodness of their heart or under a negotiated Collective Bargaining Agreement (CBA).
Mandated by law:
1. Service Incentive Leave (Article 95 of labor code) - Every employee (subject to the exceptions below) who has rendered at least one year of service is entitled to yearly service incentive leave of five days with pay.
“At least one year of service” Meaning
The term “at least one-year service” means service for not less than 12 months, whether continuous or broken.
The 12-month period shall be reckoned from the date the employee started working, including authorized absences and paid regular holidays.
However, where the operation of the establishment as a matter of practice or policy, or that provided in the employment contract, is less than 12 months, such period shall be considered as one year.
(with exemptions : For many companies, the 5 days SIL is already covered in 15 days Vacation leave)
2. Maternity Leave (RA 1161, as amended by RA 8282) Art. 133 - Under Article 133(a) of the Labor Code, “Every employer shall grant to any pregnant woman employees who has rendered an aggregate service of at least six months for the last twelve months, maternity leave of at least two weeks prior to the expected date of delivery and another four weeks after normal delivery or abortion, with full pay based on her regular or average weekly wages.”
From the above provision, a qualified pregnant woman employee shall be entitled maternity leave of at least two weeks prior to expected date of delivery and another four weeks after normal delivery or abortion. That’s a total of six weeks maternity leave.

3. Paternity leave (RA 8187) -
Paternity leave refers to the benefits granted to a married male employee in the private and public sectors allowing him to take a leave for 7 days, with full pay, for the first 4 deliveries of his legitimate spouse with whom he is cohabiting.
4. Parental leave (for solo parents) RA 8972 (Republic Act no.8972) Section 8. Parental Leave. - In addition to leave privileges under existing laws, parental leave of not more than seven (7) working days every year shall be granted to any solo parent employee who has rendered service of at least one (1) year.

For more information on the solo parent act, check out this website:
http://www.lawphil.net/statutes/repacts/ra2000/ra_8972_2000.html
5. Leave for victims of violence against women and heir children (RA 9262) SEC. 43. Entitled to Leave. – Victims under this Act shall be entitled to take a paid leave of absence up to ten (10) days in addition to other paid leaves under the Labor Code and Civil Service Rules and Regulations, extendible when the necessity arises as specified in the protection order.

Any employer who shall prejudice the right of the person under this section shall be penalized in accordance with the provisions of the Labor Code and Civil Service Rules and Regulations. Likewise, an employer who shall prejudice any person for assisting a co-employee who is a victim under this Act shall likewise be liable for discrimination.
6. Magna Carta of Women (Republic Act No. 9710) – is a comprehensive women’s human rights law that seeks to eliminate discrimination against women by recognizing , protecting , fulfilling and promoting the rights of Filipino women, especially those in marginalized sector.
In this Republic Act 9710, women are given  a Leave Benefits of two (2) months with full pay based on grossly monthly compensation, for women employees who undergo surgery caused by gynecological disorders, provided that they have rendered continous aggregate employment service of at least six (6) months for the last twelve ( 12 ) months.
For HR people, it is important to note that HR records/database are checked and consolidated to eliminate double compensation. Like for example, in granting of sickness benefit, employee must have used up the company leave benefits with pay before he/she can avail this from SSS.
Best practices
1. 15 days Vacation, 15 Days Sick leave, 3 days emergency leave
2. Modified Service Incentive leave that allows more flexible use of leave credits
3. Birthday leave
4. Bereavement Leave - practices vary from one company to another. The one i know gives one day with pay.
In other companies , Bereavement Leave is being administered wherein the number of days is dependent on the location.

Ex. 5 days if within Metro Manila or within ___ km radius from the workplace
7 days if outside metro Manila or outside ___ km radius from the workplace

There are some that the number of days is dependent on the employees' relationship with the deceased.

Ex. if immediate family - 3 days
if extended family - 1 day
5. Leave Commutation and accrual: The practices of companies vary as well. I guess the main determinant is a business need. The company should also balance the real need of employees to take respite from work, otherwise the purpose of offering leave benefits will be defeated.

6. Compensatory Time Off (CTO). In some companies, they grant this. Only for our regular employees who are not entitled to overtime pay (those holding technical/senior administrative positions; those with supervisory tasks; and those performing managerial functions). CTO can only be taken for extra work rendered for the purpose of completing special tasks and/or assignments given or sanctioned by the respective supervisors of eligible staff. The extra work should be performed during the following time periods:

a. On all hours exceeding 12 hours of work (including meal breaks) rendered on regular weekdays.

b. On all hours worked on Saturdays, Sundays and/or legal holidays (excluding meal breaks).

CTO must be taken within 15 days after which it is earned. CTO not taken within the aforementioned period will be forfeited. However, in cases where CTO cannot be taken within this period due to urgent work requirements, special approval is required from the immediate supervisor of the concerned staff. Such special cases must be decided upon within the same 15-day period.

Sources: http://pinoyworkers.weebly.com/leaves.html

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