Monthly Paid vs Daily Paid Employees

September 25, 2011

MONTHLY PAID EMPLOYEE refers to one who is paid his wage or salary for every day of the month, including rest days, Sundays, regular or special days, although he does not regularly work on these days.

DAILY PAID EMPLOYEE refers to one who is paid his wage or salary only on the days he actually worked, except in cases of regular holidays wherein he is paid his wage or salary even if he does not work during those days, provided that he is present or on leave of absence with pay on the working day immediately preceding the regular holiday.

As distinguished from monthly-paid employees who are assured of being paid for every day of the month, the provision of the Labor Code on holiday pay is principally intended to benefit a daily-paid employee who is normally bound by the principle of “no work no pay”. Before the advent of the Labor Code, they are not paid for unworked regular holidays.




  1. Kathy Lumangyao

    I just wanted to ask, since monthly-paid regular employees’ computation is Applicable daily rate X 365days divided by 12months, does “daily rate” refers to basic plus COLA or basic only?

  2. |

    Good day! a daily paid employee…does daily paid employees really have to pay their unwork regular holidays? Or this can only grant to monthly paid employee?…Does Daily paid employees really eligible for granting 100% pay for unwork regular holidays? just confused ….thanks.

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