Expanded Maternity Leave Salary Differential

The Republic Act on the Expanded Maternity Leave Law (RA 11210) comes in three parts – the Republic Act, the Implementing Rules and Regulations and the Computation of Salary Differential.

It was not as simple as just adding days to the number of maternity leaves. In this article, let me share with you the details of the computation of salary differential.

Also Read:

Expanded Maternity Leave: Inclusions and Implications in the Workplace

Important Points from the IRR: Expanded Maternity Leave Law

SSS Updated Table of Contributions 2019

Allocation of Maternity Leave Credits Form

Expanded Maternity Benefit Calculator by Deb

What You Need To Know About Salary Differential Computation for the Expanded Maternity Leave Law

  • Full pay includes the basic salary, allowance and government contributions.
  • The Company should continue to remit while the employee is on maternity leave. In the scenario below, if the salary differential is negative, the Company shoulders both the employee and employer share. [UPDATE, Sept 9, 2019] Employer does, however, have an option to deduct the amount from the employee’s maternity benefit, provided that there is a written and signed consent from said employee. Employers should not delay any social contribution, though. This is input from DOLE. If the salary differential is positive, the Company deducts employee share from employee and continues to pay employer share.
  • Sharing formula with you. Salary Differential = Full Pay – Social Welfare Premium Contributions – SSS Maternity Benefit
  • Where, Full Pay = Monthly Salary x 3.5 (or 98 days for those allocating 7 days to their husband/partner, although, please note that the Company may always still choose to pay 105 days despite allocation)
  • Remember that Monthly Salary, includes basic pay and allowance (just to ensure you didn’t miss it…)
  • Salary Differential shall be treated as taxable income.
  • Salary Differential shall be included as part of the basic salary computation for the computation of the 13th month pay

Department Advisory  01 2019 on Expanded Maternity Leave Law

There, I hope this helps clarify your questions.

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7 thoughts on “Expanded Maternity Leave Salary Differential

  1. Hello! how about if weekly salary ng employee? How yung computation ng full pay? Should i still get the daily rate of the employee? thanks

  2. When is the actual effectivity of the IRR for computation of salary differential? As the IRR was released last July 9, 2019 but my employer gave my benefit last July 5, 2019, am I not eligible for the new guidelines on computation of salary differential? Thanks!

  3. What if the employee is hourly rate. Are we still going to follow the comoutation for monthly basis?

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