DOLE Explanatory Bulletin on Part-

Time Employment
In the DOLE takes note of the various forms of part-time work depending on the contractual
agreement with the employer and the employee, particularly on the work hours and day or
other reference periods.
However, the DOLE noted that there are two “most common and acceptable forms” for part-
time employment:
1. Four hour work per day and weekend work; or
2. Two full days per week.
Thus, the DOLE-issued Explanatory Bulletin on Part-Time Employment is limited in its
application and coverage to the above-two situations. It is not intended to cover other part-
time work arrangements, particularly of teachers and of professionals whose service
performance and compensation are not time-based.

On payment of wages and statutory

monetary benefits
As the Labor Code benefits are generally based on the 8-hour workday schedule, the
employer may pay “proportionately decrease the daily wage and wage-related benefits
granted by law.” This presupposes that there is no contrary stipulation in the employment
contract, company policy, CBA, requiring full payment for 8 hours a day despite a shorter
work schedule.
The above rule applies the principle of fairness and equity, as well as the principle of “a fair
day’s wage for a fair day’s labor.”

On security of tenure
Part-time employees enjoy security of tenure. [3]
As with full-time employees, part-time employees may only be terminated from employment
after observance of due process. Due process termination requires the observance of
substantive due process and procedural due process. Non-compliance with due process will
result in illegal dismissal of a part-time employee.
Curiously, the Bulletin states that part-time employees are entitled to security of tenure only
if they become regular employees. “Once they become regular employees, they are entitled
to security of tenure under the law, and can only be separated for a just or authorized cause
and after due process.”[4]
It is respectfully submitted that this is incorrect.
The principle of security of tenure enshrined in the 1987 Constitution applies to all
employees – without exception. As a part-time employee is undoubtedly and without
question an employee, then the principle of security of tenure likewise applies to such
employee.
Further, it should be borne in mind that a part-time employee may be a regular despite the
shorter working schedule. To be clear, a regular employee may be a full-time regular or a
part-time regular. The Supreme Court no less has recognized such a situation.
In Perpetual Help Cooperative, Inc. v. Faburada,[5] it was held that a part-time employee
may be a regular despite rendering less than the eight hours of work a day. “That [the
employee] worked only on a part-time basis does not mean that he is a not a regular
employee. Ones regularity of employment is not determined by the number of hours one
works but by the nature and by the length of time one has been in that particular job.”
As the Bulletin was issued in 1996 and the Perpetual Help Cooperative case was
promulgated in 2005, it is submitted that the said case law supersedes the Bulletin insofar
as there may be inconsistencies.

On probationary employment
In the Bulletin, probationary employment for part-time employees may extend the
prescribed six (6) months period to the extent that the total number of hours work would be
equal to that of a full-time employee under probation.
The justification is anchored on the “intent of the law in allowing a probationary period prior
to regularization.”[6] The employer’s main reason for insisting the 6-month probation is to
test the employee’s fitness for employment during that time. Thus, the number of normal
working days and hours within the probationary period should be observed. “For this
reason, part-timers should become regular in status, after working for the total number of
hours or days, which completes a six-month probationary period of a full-time worker in the
same establishment doing the same job under normal circumstances.”[7]
It is respectfully submitted that this requires further qualification.
In view of the Perpetual Help Cooperative case, a part-time employee may undergo
probationary employment to become either – a full-time regular employee or a part-time
regular employee.
If the probation is for a full-time regular employment, the Bulletin may be correct in stating
that the probationary period may be extended proportionately equivalent to the hours of a
full-time probationary employee.
However, if the probation is for a part-time regular employment, it is submitted that the 6-
month probationary period cannot be extended. The work hours for part-time probation is
expected to be the same for part-time regular employment. There is, thus, no valid
justification for extending the 6-month probationary period.

On Retirement Compensation
Part-time employees are entitled to retirement pay as with full-time employees.
To be entitled to retirement pay, the following conditions have to be met:
1. That there is no retirement plan between the employer and employee;
2. That the employee should have reached the age of 60 years old (optional) or 65 years
old (mandatory); and
3. That the employee should have rendered at least five (5) years of service with the
employer.
The retirement pay is computed at ½ month salary for every year of service following R.A.
7641. Unless otherwise agreed upon by the parties, the said “½ month” salary includes: (a)
15 days salary based on latest salary rate; (b) cash equivalent of the 5 days service
incentive leave; and (c) 1/12 of 13th month pay.[8] As a result, the “½ month salary” is
equivalent to 22.5 days.[9] COLA is not included in the computation. [10]
When applied to part-time employees, the above components for the ½ month pay “may
likewise be computed at least in proportion to the salary and related benefit due them.”[11]

Miscellaneous
The Bulletin provided for the following miscellaneous provisions if only to provide for
additional guidance.

Indications of regular employment

The Bulletin provides the following as indications of regular employments:
1. The terms of his employment show that he is engaged as regular or permanent
employee;
2. The terms of his employment indicate that he is employed for an indefinite period;
3. He has been engaged for a probationary period and has continued in his employment
even after the expiration of the probationary period; or
4. The employee performs activities which are usually necessary or desirable in the usual
business or trade of the employer.
With the Perpetual Help Cooperative case, these indications of regular employment may no
longer be applicable. There may be a regular employment of a full-time employee or a part-
time employee.

On Non-Diminution of Benefits
The rule on non-diminution of benefits likewise applies to part-time employees.
The DOLE Bulletin specifically states that nothing therein should be construed as
authorizing any withdrawal or diminution of any existing benefit granted to the part-time
employee provided for by law, order, agreement and employer practice or policy.
Thus, any existing benefit that the part-time employee enjoys have to be honored by the
employer who is bound thereto. The issuance of the Bulletin cannot be a ground for the
withdrawal or diminution of such benefits.