27 August 2008

Shifting the Electricity Burden from Weekdays to Weekends

Something to ponder if your working conditions are changing as a result of the following.

The Minister of Labor and Transmigration has issued Circular No. SE.304/MEN/PHI-KPHI/VII/2008 which follows on from the recent Joint Ministerial Regulation issued on the same subject. The Circular is addressed to all Governors, Regents, Mayors, and Provincial / District / City officers from the various agencies that have responsibility for labor issues.

The basic premise of the Circular is to ensure that the provisions of the Joint Regulation are implemented. All industries and companies, except those specifically noted in the Joint Regulation, who work a 5-day week from Monday to Friday are required to allocate at least two work days per month to either a Saturday or Sunday. It is expected that this will ease the burden on the electricity network during the peak periods from Monday to Friday.

For industries and companies that are already working a 6-day week, then these industries and companies are deemed to have already satisfied the provisions of the Joint Regulation and the Circular.

The Circular also stipulates that the provisions of Article 77 of the Labor Law (Law No. 13 of 2003) still apply and that the days off do not have to be construed as being either a Saturday or Sunday. Furthermore, if any company regulations or other agreements between employers and employees mandate that the days off are to be Saturday or Sunday, then these agreements are to be read as meaning that any day from Monday to Sunday may be an agreed day off.

In light of the above, Saturdays and Sundays are now deemed to be regular working days that do not attract any special allowances. However, where an employee is required to work on a day that has been deemed as a day off then that employee is entitled to overtime for any hours worked.

The relevant officers of the agencies responsible for labor issues are to facilitate the implementation of the Joint Regulation and the Circular.

The Circular is current as of 25 July 2008.

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