OPERATIONS L6                                         Working on a Double Holiday Premium, Working
INTRODUCTION TO HUMAN RESOURCE IN HOSPITALITY
                                                      on a Double Holiday + Rest day Premium
                                                       = Hourly rate × 300% × 8 hours
Types of Employee Benefits
 1. Employee minimum wage and additional
                                                    4. Night Shift Differential (night shift pay)
    pays due to varying factors like holidays or
                                                        = per hour rate × 10% × 8 hours
    overtime.
 2. Leave benefits which are paid absence from
                                                      Night shift on a rest day
    work, and
                                                       = per hour rate × 130% × 10% × 8 hours
 3. Mandatory government contributions.
                                                      Night shift on a Regular holiday
   Wages and Compensation Benefits
                                                       = per hour rate × 200% × 10% × 8 hours
1. Employee Minimum Wage
    NCR - P537.00 (effective Nov 22, 2018)
                                                      Night Shift on Special Holiday
    NCR – P610.00 (effective Jun 30, 2023)
                                                       = per hour rate × 130% × 10% × 8 hours
2. Overtime Pay
                                                      Night Shift on a Double Holiday
                                                       = per hour rate × 330% × 10% × 8 hours
                                                      Night Shift on a Regular Holiday plus rest day
                                                       = per hour rate × 260% × 10% × 8 hours
                                                      Night Shift on Special Holiday plus rest day
                                                       = per hour rate × 150% × 10% × 8 hours
 3. Premium Pay
There are Three Types:
                                                      Night Shift on double holiday plus rest day
     Regular Holidays – these refer to fixed
                                                       = per hour rate × 390% × 10% × 8 hours
       dates like Christmas Day, Independence
       Day, or New Year’s Day.
                                                    5. 13th Month Pay - The 13 month pay is often
     Special Holidays – also known as Special         mistaken as the Christmas Bonus, but
       Non-Working Holidays, they fall on              technically, it is a monetary bonus mandated by
       flexible dates, depending on the                law.
       circumstance.                                6. Separation Pay - Separation pay is also part of
     Double Holidays – this is a rare occurrence      the Labor Code and is given to employees
       wherein a regular holiday and a special         terminated from the company. The only
       holiday fall on the same day.                   exception are those terminated because of
                                                       misconduct or crime involvement.
Working on Rest day Premium /
Working on Special Holiday Premium                  7. Retirement Pay - Upon the age of 60 years or
 = Hourly rate × 130% × 8 hours                        more, an employee who has served at the
                                                       establishment for at least five years may be
Working on Special Holiday + Rest day Premium          granted a retirement pay equivalent to at least
 = Hourly rate × 150% × 8 hours                        one-half month of salary for every year of
                                                       service.
Working on Regular Holiday Premium
 = Hourly rate × 200% × 8 hours                     8. Leave Benefits
                                                          Service Incentive Leave
Working on Regular Holiday + Rest day Premium
 = Hourly rate × 260% × 8 hours
                                                             Parental leave
                                                                 o Maternal – any pregnant woman
                                                                     employee who has worked with
                                                                     the company for at least six
             months will be granted a maternity
             leave of at least two weeks prior to    Best Practices for Recruiting and Hiring
             her due date (expected date of             1. Distribute and sign handbooks: All
             delivery).                                     personnel policies should be clearly
           o Paternal – the R.A No. 8187, or                spelled out in an employee handbook
             Paternity Leave Act of 1996, grants        2. Sign a comprehensive contract: Contracts
             seven (7) days of fully paid leave to          should clearly state the terms of the hiring
             married fathers.                               agreement.
           o Solo Parent – Solo or single               3. Re-evaluate job descriptions with every
             mothers and fathers have seven                 hire: Every employee who holds a position
             days leave with pay for every year             changes it.
             of service, on top of other leave          4. Pursue diversity: Bias is often systemic
             privileges, e.g. Maternity or                  rather than intentional.
             Paternity Leave.                           5. Conduct exit interviews: Whether they
                                                            were a bad fit or a great one.
      Special Leave Benefits for Women
           o Magna Carta for Women – this            Function #2: Compensation Management
               entitles women who underwent          Compensation management includes establishing
               surgery due to gynecological          salary ranges for positions, placing employees
               disorders to two months’ leave        within the ranges based on their qualifications.
               with full pay.
           o Leave for women and their               Best Practices for Computation Management
               children who are victims of              1. Benchmark your compensation plans: To
               violence.                                    ensure that your pay is competitive,
      Bereavement Leave                                    consult a reliable source.
      De Minimis Benefits - These are either           2. Audit salaries for bias: Setting policies and
       relatively small amounts of money or                 providing training isn’t enough to prevent
       leave credits that are optional for                  bias from creeping into an organization’s
       employers to grant.                                  pay.
Mandatory Government Contributions                   Function #3: Performance Management
  1. SSS                                             Performance management is a continual process
  2. PhilHealth - This serves as a health            of evaluating how individual employees are
     insurance program for private employees         performing, identifying areas of improvement,
     providing financial aid and service             and recognizing achievement.
     privileges for health care.
  3. Pag-IBIG - Also known as the Home               Best Practices for Performance Management
     Development Mutual Fund (HDMF), Pag-               1. Set clear expectations: Every employee
     IBIG is another form of national savings               should be working toward concrete,
     program and the financing office for                   measurable performance goals.
     affordable shelter.                                2. Include an initial performance review
                                                            within 60 days: In most positions, sixty
Functions of Human Resources Management                     days is enough time to settle in and begin
                                                            performing.
Function #1: Recruiting and Hiring                      3. Make performance appraisals a give- and-
Recruiting and hiring talent is one of the most             take: Use check-ins to gather feedback as
important HR functions, and it goes far beyond              well as give it.
attending job fairs and going through their             4. Appraise continually: The contents of a
resumes.                                                    performance appraisal should never come
                                                            as a surprise to the employee.
Function #4: Benefits Management                     Function #7: Worker Safety and Health
Benefits make up approximately 30 percent of         Providing a safe, healthy work environment is a
total employee compensation. Benefits that are       critical function of human resource management.
provided as part of an employee’s compensation
are known as fringe benefits.                        Best Practices for Worker Safety and Health
                                                        1. Appoint an employee safety leader: No
Best Practices for Benefits Management                      matter the size of the company or the
   1. Take advantage of software: Many                      nature of the work.
       platforms exist that can reduce the              2. Conduct emergency planning: From first
       administrative burden of benefits                    aid stations to evacuation drills.
       administration.                                  3. Address safety in every position: While
   2. Ask employees what they want: Might                   jobs in industries such as construction and
       assume that salary is your employees’                manufacturing require extensive safety
       major concern.                                       training.
   3. Communicate the full value of your
       offerings: It is easy for employees to        Function #8: Labor Law Compliance
       forget that your investment runs deeper       Ensuring that the practices comply with
       than the bottom line in their paychecks.      government regulations is critical to safeguarding
                                                     the employees and the company.
Function #5: Professional Development and
Training                                             Best Practices for Labor Law Compliance
It is human nature to want to grow and learn new        1. Seek legal advice
things, and employers who capitalize on that            2. Communicate policies in writing
desire can reap substantial benefits.                   3. Provide training
                                                        4. Encourage employees to speak up
Best Practices for Professional Development and
Training                                             Labor Code of the Philippines
    1. Invest in critical skills: Some training is       The Labor Code of the Philippines stands
       essential to your company’s performance.             as the law governing employment
    2. Consider program goals: Do you want to               practices and labor relations in the
       invest only in on-site training or open the          Philippines.
       doors to wider opportunities.                     It was enacted on Labor day of 1974 by
    3. Measure results                                      President Ferdinand Marcos, in the
                                                            exercise of his then extant legislative
Function #6: Employee Relations                             powers.
Employee relations are all the activities that
influence a company’s relationships with its
employees.                                           Characteristics of a Multinational Corporation
                                                        1. Very high assets and turnover - to become
Best Practices for Employee Relations                       a multinational corporation, the business
   1. Look beyond pay: Numerous studies have                must be large and must own a huge
       shown that while pay is important, it’s not          amount of assets both physical and
       the primary driver of employee happiness.            financial.
   2. Reward candor: The employer can’t give            2. Network of branches - Multinational
       employees everything they want.                      companies maintain production and
   3. Use surveys: Employee surveys and other               marketing operations in different
       anonymous communication channels.                    countries.
   4. Live the corporate values: Like any               3. Control - In relation The management of
       relationship, employee relations are                 officers in other countries is controlled by
       founded on core values such as honesty.              one head office located in the home
                                                            country.
   4. Continued growth - Multinational
      corporations keep growing. Even as they
      operate on other countries.
   5. Sophisticated Technology - When a
      company goes global, they need to make
      sure that their investment will grow
      substantially.
   6. Right Skills - Multinational companies aim
      to employ only the best managers.
   7. Forceful marketing and advertising - One
      of the most effective survival strategies of
      multinational corporations
   8. Good quality products
Roles and Functions of the Human Resource
Department
   1. Recruitment of Employees - This is one of
       the most fundamental roles of the HRM
       department.
   2. Effective recruitment - can be done
       through a number of ways. The company
       can conduct educational and
       psychological measurements.
   3. Improvement of Compensation Packages -
       one of the major functions of the HR
       department is to motivate employees.
   4. Planning in the Organization - The Human
       Resource Department is placed with the
       responsibility of ensuring that it plans
       adequately for all the organization’s
       future engagements that will involve
       people.