When attracting highly skilled talent in the Philippines, you need to understand their rights as workers, treat them fairly, and provide attractive compensation and benefits packages for them. This includes having knowledge about the Philippines’ leave policy, sick leave, maternity leave, etc.
In this detailed guide, we will provide everything you need to know about the leave and paid time off policy in the Philippines, including the allowed leave, the number of sick leave days per year, and the holiday leave computation in the country.
The Philippines introduces a unique system known as Service Inclusive Leave (SIL). This provision grants an employee five (5) paid days off per year, following the completion of one year of service.
Although the SIL provides a basic framework, employers in the Philippines often extend beyond these provisions to make their annual leave policy more attractive. Any statutory leave left unused by the end of the year or upon an employee’s exit is typically paid out.
In the Philippines, the holiday leave policy is quite generous compared to other nations. The country recognises various public holidays each year, during which employees are generally entitled to have the day off with pay.
There are generally two types of working holidays in the Philippines: regular holidays and special non-working holidays. Regular holidays include New Year’s Day, Labour Day, Independence Day, National Heroes Day, Rizal Day, Bonifacio Day, and Christmas Day.
If employees work on regular holidays, they are entitled to double their regular wage (200%) and an additional 260% of their hourly rate on overtime after 8 hours of work. Meanwhile, those who opt not to work are entitled to 100% of their wage or holiday pay.
Special non-working holidays, on the other hand, are days designated throughout the year that do not adhere to the standard rules for regular holidays. These holidays include Chinese New Year, EDSA People Power Revolution, Ninoy Aquino Day, All Saints’ Day, and any additional special days declared by the government.
If a worker does not report to work, they are not entitled to any pay unless there is a favourable company policy or collective bargaining agreement requiring payment for holidays. If an employee works on a special (non-working) holiday, the standard wage computation is their basic wage multiplied by 130% plus the Cost-of-Living Allowance (COLA). When employees engage in work during a special non-working holiday that falls on a weekend, their compensation for the initial 8 hours will be calculated at 150%. Should their work extend beyond these 8 hours, the rate for additional hours will be adjusted to 195% of their standard hourly rate.
For international companies drafting their holiday leave policy, it is crucial to note that holiday pay entitlement in the Philippines applies to all workers, regardless of the nature of their employment and how they are paid, whether monthly or daily.
There are no specific statutory requirements regarding emergency leave policy in the Philippines. Generally, the emergency leave policy is managed according to the terms set by employers or as stipulated within internal company policies.
However, it is common for employers in the Philippines to allow emergency leave under circumstances that require an employee’s sudden or unexpected unavailability, such as family emergencies or other urgent personal matters.
Typically, employer policies on emergency leave specify the conditions that qualify as an “emergency,” the procedure for requesting such leave, and the payment of the leave. If an employer unjustly refuses an emergency leave request, employees may seek recourse through the Department of Labour and Employment (DOLE). This could involve filing a complaint against unfair labour practices if the refusal violates any established labour laws or the employee’s contractual rights.
There are no specific statutory requirements regarding the policy of half-day leave in the Philippines. Half-day leave can vary from one employer to another, depending on the company’s leave policy and how they manage partial-day absences. This is often detailed in company handbooks and internal policy documents.
While the labour code mandates a yearly service incentive leave, which primarily outlines full day leave accrual, companies might allow these or other leave types to be taken on a half-day basis, depending on their internal policies.
Marriage leave policy may vary between companies as there are no specific requirements for marriage leave outlined in the Philippine labour law. However, some employers might offer marriage leave as part of their benefits package to support their employees during significant life events.
While the Philippines does not specifically mandate sick leave, it is a common practice among employers in the Philippines to provide sick leave as part of the employment contract or as a company policy. Companies in the private sector usually provides sick leave between 12-15 days annually.
During hospitalisation exceeding a three-day period, employees who have consistently contributed to the Social Security System (SSS) for at least three months over the last year are entitled to benefits that cover up to 90% of their average daily wage.
Expecting mothers who have completed at least one year of service are entitled to 105 calendar days of paid maternity leave, which can be used in instances of pregnancy, miscarriage, or emergency termination of pregnancy.
If the worker has made at least three monthly contributions to the Social Security System (SSS) in the 12-month period immediately preceding her childbirth or miscarriage, they will be paid a daily maternity leave benefit equivalent to 100% of the average daily salary. The employer will make the full payment and will be reimbursed by the Social Security System up to a cap of 70.000 PHP. Mothers can also choose to take an additional 30 days of maternity leave without pay.
All covered females, regardless of their civil status, employment status, or the legitimacy of their child, are entitled to these benefits.
The maternity leave policy in the Philippines has been expanded under Republic Act No. 11210, also known as the “105-Day Expanded Maternity Leave Law”. This law provides 105 days of paid leave to female workers, both in the private and public sectors, in the event of childbirth or miscarriage. The law also allows the allocation of up to seven (7) days of the 105-day maternity leave to the child’s father, whether or not they are married.
The single parent leave is a component of the broader benefits outlined under the Solo Parents’ Welfare Act of 2000 (Republic Act No. 8972). One notable provision of this Act is the entitlement of seven days of additional parental leave annually, exclusive to solo parents who have rendered at least one year of service.
Moreover, the 105-Day Expanded Maternity Leave Law grants an additional 15 days of paid leave to solo parents, and there is an option to extend maternity leave for an additional 30 days without pay.
Under the paternity leave law in the Philippines, also known as the “Paternity Leave Act of 1996 (Republic Act No. 8187), married male employees are entitled to seven (7) days of paid paternity leave for the first four deliveries of their legitimate spouse.
There is no legal prohibition against extending parental leave benefits. Companies can provide extended paternity leave to their employees, which can be attractive to top-tier talent who value family-friendly workplace policies.
In the Philippines, the parental leave policy covers a variety of legislation designed to support parents in the workforce, focusing on paternity leave, maternity leave, and solo parent leave.
The Paternity Leave Act of 1996 (RA 8187) grants married fathers up to 7 days of paternity leave with full pay for the first four deliveries or miscarriages of the lawful wife. Meanwhile, the Extended Maternity Leave Law (Republic Act No. 11210) significantly extends maternity benefits, offering 105 days of paid leave to expectant mothers and an additional 15 days for solo parents.
Moreover, the Solo Parent Welfare Act (RA 8972) provides further support by offering an extra 7 working days of leave for solo parents, aiming to accommodate the unique challenges faced by single parents in managing work and family responsibilities.
These laws collectively form a comprehensive framework that supports the holistic well-being of employees and their families. Importantly, these policies also reflect the Philippines’ commitment to uphold family values and gender equality in the workplace.
Section 20 of the “Domestic Adoption Act of 1998” is a key provision that supports adoptive parents in the Philippines. The act stipulates that qualified female employees, as well as single male employees, are entitled to sixty (60) days of paid leave for the purpose of adopting a child.
In terms of requirements to avail of adoption leave, the employee must be qualified adoptive parents. The specific details regarding the eligibility criteria, documentation required, and application process for adoption leave might involve submission of the adoption decree or order, proof of the adoptive child’s citizenship and age, and evidence of the adoptive relationship between the employee and the child.
There are other types of leave companies offer to their employees in the Philippines, including:
It is a common practice among employers to offer bereavement leave as part of their benefits package. Typically, companies offer three to five (3-5) days of bereavement leave, giving employees the necessary time to grieve, attend funeral services, and manage any associated family affairs.
The business value of having a bereavement leave policy lies not just in the provision of compassionate care but also in its capacity to enhance the overall work culture. It promotes loyalty, reduces stress-related absences, and can positively influence how employees perceive their employer’s sensitivity to life’s challenging moments.
The Magna Carta of Women (Republic Act No. 9710) specifies the provisions that protect women’s health rights, including leave benefits related to reproductive health.
Under Section 18 of this Act, female employees who have at least six months of continuous services in the public and private sectors are entitled to a special leave benefit of up to two months with full pay, based on their gross monthly compensation, following surgery caused by gynaecological disorders.
A female employee who falls victim to domestic violence, whether physical, sexual, or psychological, is entitled to paid leave of up to 10 days leave to attend medical and legal concerns. This can be extended for legal or medical reasons.
Domestic violence leave in the Philippines is specifically provided under the “Anti-Violence Against Women and Their Children Act of 2004” (Republic Act No. 9262), which offers legal protections and support for women and their children who are victims of violence. This leave is provided on top of other paid leave under the Philippine labour laws and can be used to address issues related to the violence they have experienced, such as attending to medical needs, seeking legal assistance, or attending court hearings.
The grant of domestic violence leave aims to protect female employees by ensuring their job security while they are handling the intricacies involved with domestic violence cases. Employers are required to respect the confidentiality of requests for domestic violence leave, given the sensitive nature of the situation for the involved employee.
Some employers provide leave for employees who wish to continue their education or attend training programs that will be beneficial to their job performance and career growth.
A more cultural and motivational leave is provided by some Filipino companies, where employees are entitled to a day off on or around their birthday.
Specifically intended to encourage employees to manage their health proactively, this allowance may cover medical checkups or mental health days.
In the Philippines, holiday pay rules are issued through annual guidance and long-standing wage principles applied by DOLE. Holiday entitlements differ depending on whether the day is a Regular Holiday or a Special (Non-Working) Day.
Special days are typically declared by proclamation. Pay treatment differs from regular holidays.
If the employee does not work: the “no work, no pay” rule generally applies, unless a company policy, practice, or CBA provides otherwise.
Note: Some “special working holidays” may be treated differently (often paid at the normal rate). Employers should follow the specific proclamation and internal policy/CBA for classification.
As an employer in the Philippines, you need to understand your employees’ rights and entitlements. But keeping up with them can be a lot of work.
When you partner with CXC, you gain a dedicated team focused on engaging with your international workers. We’ll handle all HR and administrative tasks—from meticulously tracking entitlements like leave and paid time off to handling onboarding and ongoing employee engagement. All of these are done with full compliance to protect your workers and your business.
Speak to our team today, and we’re here to guide you through expanding into new markets quickly and compliantly.
The mandatory leave entitlements in the Philippines include Service Incentive Leave (SIL), maternity leave, paternity leave, solo parent leave, and special leave for women. These are set by the Labor Code of the Philippines and several Republic Acts, and they apply to private sector employees regardless of industry.
Here is a quick overview of the core entitlements under the leave policy in the Philippines:
Leave Type | Duration | Who It Covers |
Service Incentive Leave (SIL) | 5 days paid | All employees with at least 1 year of service |
Maternity Leave | 105 days paid (120 for solo mothers) | Female employees who meet applicable SSS eligibility requirements |
Paternity Leave | 7 days paid | Married male employees |
Solo Parent Leave | 7 working days paid (subject to eligibility requirements under the Expanded Solo Parents Welfare Act) | Employees with a valid Solo Parent ID |
Special Leave for Women | Up to 2 months paid | Female employees’ post-gynaecological surgery |
VAWC Leave | Up to 10 days paid | Female victims of violence |
The SIL is the only leave explicitly named as mandatory for general private-sector employees under the Labour Code. The other types are covered by separate Republic Acts, each with its own eligibility conditions and administrative requirements.
It is worth knowing that the 5-day SIL only sets the floor. The vast majority of employers in the Philippines go well beyond this minimum. A competitive benefits package typically includes separate vacation and sick leave banks, each with 10 to 15 days per year. If you are hiring in the Philippines for the first time, building a leave policy that exceeds the statutory minimum will help you attract and retain talent in a competitive market.
One thing that surprises many global employers is that the Philippines does not have a single consolidated leave law. The leave policy in the Philippines is spread across the Labor Code, the Expanded Maternity Leave Law (RA 11210), the Paternity Leave Act (RA 8187), the Solo Parents’ Welfare Act (RA 8972), the Magna Carta of Women (RA 9710), and the Anti-VAWC Law (RA 9262). Each law has its own eligibility rules, benefit periods, and administrative processes. Getting all of these right from day one is one of the key compliance challenges for employers entering the Philippine market.
The Department of Labor and Employment (DOLE) oversees compliance with these entitlements. Employers found to be in violation can face fines, back-payment orders, and DOLE audit proceedings.
For global businesses managing remote or contingent workers in the Philippines, having a clear and documented leave policy aligned with all applicable laws is not optional; it is a baseline compliance requirement.
Employees in the Philippines are legally entitled to 5 paid vacation days per year through the Service Incentive Leave (SIL). However, most employers offer significantly more than this minimum, and the market standard is considerably higher.
The 5-day SIL applies to rank-and-file employees who have completed at least one year of continuous service. It can be used for vacation, illness, or personal matters. There is no separate mandatory vacation leave category under the Labor Code, so the SIL functions as a combined leave bank for general absences.
What most employers actually offer for vacation days in the Philippines:
When it comes to vacation days in the Philippines, the statutory floor is low, but market practice is considerably more generous. If you are building a competitive benefits package, 15 days of combined leave (split between vacation and sick leave) is a reasonable benchmark to match what most established employers already offer.
It is also worth noting how the SIL interacts with other leave types. If an employer already provides 5 or more days of vacation leave as part of their benefits package, those days can satisfy the SIL requirement. Employers do not need to provide SIL on top of an existing vacation leave policy, as long as the existing policy meets or exceeds the 5-day minimum.
For global employers managing headcount across multiple countries, the vacation days in the Philippines are among the lowest statutory minimums in Southeast Asia. Countries like Indonesia and Vietnam have higher mandatory leave floors. This means that while Philippine law gives you flexibility to set your own policy above the minimum, offering only the bare legal minimum could put you at a disadvantage when competing for local talent.
No. Unused days of statutory SIL cannot be carried over to the next year. At the end of the year, any unused SIL must be converted to cash at the employee’s current daily salary rate. This is a legal requirement under the Labour Code, not something employers can waive or modify in an employment contract.
The cash conversion rule applies to the 5-day SIL entitlement specifically. If an employee has not used all 5 days by the end of the reference year, the employer must pay out the unused balance. The payment should reflect the employee’s current rate of pay, not the rate at the time the leave was accrued.
For any additional leave beyond the mandatory 5 days, carry-over rules depend entirely on the company’s own leave policy or any applicable Collective Bargaining Agreement (CBA). Some employers allow carry-over of a set number of days into the following year. Others operate a use-it-or-lose-it policy where leave not taken within the calendar year is forfeited. Both approaches are legally permissible as long as they are clearly documented in the employment contract or company handbook.
What this means for employers managing leave in the Philippines:
The cash conversion obligation also applies when an employee leaves the company. Any accrued but unused SIL must be included in the final pay, along with other separation entitlements. Failing to pay this out is one of the most common reasons employees file complaints with DOLE.
For employers running payroll across multiple jurisdictions, it is important to build the year-end SIL cash-out into your payroll calendar. Missing this payment, even unintentionally, can trigger a DOLE complaint and back-payment order. A well-documented leave tracking system is the simplest way to stay on top of this obligation.
There is no separate mandatory sick leave under the Philippine Labor Code for private sector employees. The 5-day SIL covers both vacation and sick absences. That said, most employers provide dedicated paid sick leave as a voluntary benefit, typically ranging from 10 to 15 days per year, and this is now the market norm rather than the exception.
When an employee exhausts their company-provided sick leave, they can access the SSS Sickness Benefit. Under Republic Act 11199 (Social Security Act of 2018), an employee who is confined at home or in a hospital for more than three consecutive days is entitled to a daily cash allowance from the Social Security System (SSS), provided they have made at least three monthly SSS contributions in the 12 months before the illness.
Key things to know about sick leave in the Philippines:
For employees with serious or prolonged illnesses, the combination of employer-provided sick leave and SSS sickness benefits provides a layered safety net.
However, for global employers, it is important to understand that the SSS benefit is not automatic. The employer must notify the SSS within five calendar days of the employee’s first day of confinement, and the employee must also submit a notification. Missing this window can affect the employer’s ability to claim reimbursement from the SSS. Filing procedures and reimbursement rules should be periodically reviewed against current SSS circulars and electronic filing requirements.
Sick leave in the Philippines is also relevant when managing performance or attendance issues. Employers need to distinguish between absences covered by legitimate sick leave (whether company-provided or SSS-related) and unauthorised absences. Disciplinary action for absences that were actually covered by sick leave entitlements is a common source of labour disputes. Having a clear, written sick leave policy that employees understand from day one reduces this risk considerably. Attendance management policies should also align with procedural due process requirements before disciplinary sanctions are imposed.
Female employees in the Philippines are entitled to 105 days of fully paid maternity leave under Republic Act 11210 (Expanded Maternity Leave Law). This applies regardless of whether the birth was a normal delivery or a caesarean section, and it covers all pregnancies, not just the first four. The expansion to all pregnancies was a significant change from the previous law, which capped the benefit at four deliveries.
Maternity leave in the Philippines also covers the following situations:
The maternity leave period can start before the expected delivery date. Employees typically split their leave between pre-natal and post-natal periods, though the law allows flexibility in how the days are scheduled.
For fathers, the Paternity Leave Act (RA 8187) gives married male employees 7 days of paid paternity leave for each of the first four deliveries of their legitimate spouse. This leave must be taken within the delivery period and cannot be deferred or converted to cash if unused. Employers should also review any enhanced parental leave policies implemented voluntarily or through company practice.
Important distinctions to understand about maternity and paternity leave in the Philippines:
For global employers, maternity leave in the Philippines is one of the most generous in Southeast Asia in terms of duration. The 105-day entitlement compares favourably with many other countries in the region, and it is important to factor this into workforce planning, particularly for roles where coverage during extended absences needs to be arranged in advance.
Maternity leave in the Philippines is primarily funded by the Social Security System (SSS), not the employer directly. The SSS reimburses the employer for the maternity benefit paid to the employee, provided the employer has made the required SSS contributions on the employee’s behalf.
Here is how the payment for maternity leave in the Philippines works:
The maternity benefit amount is calculated based on the employee’s average daily salary credit over the 12 months before the leave. This may be lower than the employee’s actual daily salary if their salary exceeds the SSS contribution ceiling.
In that case, the employer may be required to cover the salary differential to ensure the employee receives their full salary during the leave period, in line with the law’s requirement for full pay.
What employers in the Philippines need to watch:
This is why keeping SSS contributions current matters as a core payroll obligation, not just a compliance checkbox. Missed or delayed contributions can affect both the employee’s benefit entitlement and the employer’s ability to claim reimbursement. For global employers running payroll in the Philippines, ensuring SSS contributions are correctly calculated and remitted every month is one of the most important ongoing compliance tasks.
Yes, a mother can transfer up to 7 days of her paid maternity leave to the child’s father. Under RA 11210, this transfer is allowed regardless of whether the parents are married. The father does not need to be the mother’s spouse to receive the transferred days, which is a meaningful expansion from the older paternity leave rules.
The 7-day transfer is in addition to the father’s own paternity leave entitlement under RA 8187. This means a married father could potentially receive up to 14 days of paid leave around a birth: 7 days of his own paternity leave plus 7 days transferred from the mother’s maternity leave.
How the transfer works in practice:
One important limitation: the transfer reduces the mother’s own leave entitlement. If she transfers 7 days to the father, she has 98 days of paid leave remaining (from the standard 105-day entitlement). The total paid leave between both parents does not increase; it is redistributed.
This provision is worth communicating clearly during onboarding and in your leave policy documentation. Many employees, particularly those having their first child, are unaware that the transfer is available to unmarried fathers. Employers who proactively inform employees of this option tend to have fewer disputes and misunderstandings around parental leave administration. Internal leave policies should clearly document notice procedures and supporting documentation requirements for transferred leave claims.
Beyond the main entitlements, the leave policy in the Philippines includes several additional leave types, some mandatory under specific laws and some commonly offered as voluntary benefits by employers.
Mandatory special leave types in the Philippines
Solo Parent Leave (RA 8972). 7 working days paid per year for employees who hold a valid Solo Parent ID and have at least 6 months of service with the company. The employee must present their Solo Parent ID issued by the local government unit (DSWD) or relevant authority to qualify. Eligibility and documentation requirements should be reviewed in line with the Expanded Solo Parents Welfare Act and current implementing rules.
VAWC Leave (RA 9262). Up to 10 days paid leave for female victims of violence against women and their children. This leave is extendable if a protection order is in place. Employers are required to grant this leave without requiring the employee to use their other leave credits.
Special Leave for Women (RA 9710, Magna Carta of Women). Up to 2 months paid leave for female employees recovering from surgery due to gynaecological disorders, after at least 6 months of continuous service. The employee must submit a medical certificate confirming the procedure.
Commonly offered voluntary leave types in the Philippines
Bereavement leave. Not required by law, but most employers offer 3 to 5 days of paid leave for the death of an immediate family member. Some companies extend this to cover grandparents, in-laws, or other relatives.
Birthday leave. Some companies grant an extra paid day off on an employee’s birthday
Emergency or calamity leave. Offered at employer discretion, particularly relevant given the Philippines’ exposure to typhoons and natural disasters. Repeated discretionary granting of additional leave benefits may create enforceable company practice obligations under the non-diminution of benefits principle.
Public holidays in the Philippines are treated separately from paid leave entitlements. Employees do not need to use their SIL or any other leave type to cover a public holiday.
The Philippines observes two categories of public holidays, and the pay rules differ between them:
Holiday Type | If the Employee Does Not Work | If the Employee Works | |
Regular Holiday | Full pay (100% of daily rate) | 200% of daily rate (double pay) | |
Special (Non-Working) Holiday | No pay (unless company policy states otherwise) | 130% of daily rate |
Regular holidays are fully paid days off as a matter of law. Special holidays follow a “no work, no pay” principle at the statutory level, though many employers pay these days as a goodwill benefit. Public holidays do not reduce an employee’s leave balance
The Philippines typically observes around 12 regular holidays and several special non-working holidays each year. The exact list is confirmed annually by presidential proclamation, so it is worth checking the official list at the start of each year. Payroll systems and employment policies should be reviewed annually to ensure alignment with updated presidential holiday proclamations and regional observances where applicable.
CXC helps employers manage leave compliance in the Philippines by handling the administrative and legal obligations that come with hiring locally. When you engage workers through CXC as your Employer of Record (EOR), we take on the responsibility of ensuring leave entitlements are correctly applied, tracked, and paid in line with Philippine labour law.
Here is what that covers in practice:
Why this matters for global employers:
Leave compliance in the Philippines is not complicated once you know the rules, but the rules do span multiple laws, agencies (DOLE, SSS, PhilHealth, Pag-IBIG), and annual government proclamations. Missing a contribution, miscalculating a maternity benefit, or failing to pay out unused SIL at year-end can result in DOLE audit findings and employee disputes.
CXC’s local expertise means you get compliant, accurate leave management without having to build that knowledge in-house. Whether you are hiring your first employee in the Philippines or scaling an existing team, we handle the compliance so you can focus on the work. Speak to our team today
With our EoR solution, you can engage workers anywhere in the world, without putting your business at risk. No more worrying about local labour laws, tax legislation or payroll customs — we’ve got you covered.
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