Philippines Introduction

The Philippines is an archipelagic country in southeast Asia, consisting of around 7,641 islands. It is located between the Pacific Ocean and the South China Sea, and is home to gorgeous beaches and significant biodiversity. The Philippines is considered an emerging market and a newly industrialized country whose economy is transitioning from agriculture-centered to services and manufacturing-centered.


11.75%+PHP425 (estimated)

★  8% – Social Security

★  1.75% – Health Insurance

★  2% – Home Development Fund

★  PHP 425 – Provident Fund

Employment Terms

The minimum wage in the Philippines is PHP 537 per day, and a standard work day is 8 hours. Overtime work is regulated by the employment contract and usually paid at around 125% of the regular rate.

Types of Leave

Parental Leave

Pregnant employees who have made at least 3 contributions to social security in the last 12 months are entitled to at least 105 days of paid maternity leave. The leave is paid at 100% of the salary by the employer, then reimbursed by social security. Fathers are entitled to 7 days of paid paternity leave after the birth.

Sick Leave

Sick leave in the Philippines comes out of the paid time off allowance.

Paid Leave

There are 18 holidays in the Philippines, and employees are entitled to at least 5 days of paid time off each year.

Termination Process


Employers can dismiss employees with notice, or provide sufficient cause for dismissal without notice (such as misconduct). The notice of termination must be in writing and must also be sent to the relevant governmental authorities.

Notice Period

The standard notice period for terminations is 30 days.

Severance Pay

Severance pay is not required is the termination us for a just cause. Otherwise, severance pay is usually calculated as about 1 month of pay for every year of service.

Additional Information

It is mandatory to pay a 13th-month salary bonus to employees every year that is equal to 1 month of pay, usually paid in December.


About Us

Elevate your workforce with E-Talent, a one-stop digital human resources solutions provider based in Singapore, serving Southeast Asia. We offer regional recruitment, HR consultancy, and talent acquisition services to businesses of all sizes. Our team of seasoned professionals is dedicated to providing exceptional HR services to help businesses achieve their goals.


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