The Timezone Charter: Six Decisions Before a Philippine Hire

Hiring in the Philippines while managing an overseas team requires more than agreeing on working hours. Scheduling, holiday coverage, leave approvals, communication, and employment responsibilities must be clearly defined.

A timezone charter is an operating document that records these arrangements before an employee's first shift. It helps prevent missed handoffs, scheduling conflicts, unclear responsibilities, and unexpected employment costs.

Before onboarding a Philippine-based employee, document these six decisions and identify who is accountable for each one.

1. Who Sets the Schedule and Overlap Window?

The functional manager should define operational priorities, collaboration hours, and the team's required overlap. Agree on the employee's working schedule, core meeting window, and expectations for asynchronous work.

For example, a US-based team working with a Philippine developer should establish a consistent period for technical discussions, reviews, and urgent decisions.

Set two expectations:

• Rotate meeting times where practical to distribute inconvenient hours fairly.
• Review overlap arrangements when daylight-saving time changes affect schedules.

Assign one owner to each deliverable. Use overlapping hours for questions and collaboration rather than relying on constant availability.

2. What Applies to Night Work?

If an employee follows an overseas night schedule, confirm the agreed working hours, employment terms, payroll arrangements, and applicable Philippine labor requirements before implementation.

Under Article 86 of the Philippine Labor Code, covered employees are generally entitled to a night-shift differential of at least 10% of their regular wage for each hour worked between 10 PM and 6 AM. (source) Overtime and other applicable premiums may also apply, depending on the circumstances.

Sources: DOLE – Book III: Conditions of Employment and DOLE – Labor Advisories.

A schedule change is not simply a calendar adjustment. Discuss proposed hours with the employee and confirm any compensation implications with the legal employer before the change takes effect.

3. Which Holidays Apply?

A Philippine employee's statutory holiday calendar may differ from the client's country. Establish the applicable working calendar and distinguish between Philippine holidays, client-country holidays, and company-designated days off.

Consider three situations:

• Client-country holiday: It may remain an ordinary working day under the employee's Philippine schedule unless the agreement or company policy provides otherwise.
• Philippine holiday: Confirm whether work is required and how applicable holiday pay and premiums will be administered.
• Overlapping holidays: Plan project coverage, deadlines, and availability in advance.

Philippine holiday compensation depends on the holiday classification and applicable eligibility rules. Regular holidays and special non-working days have different compensation requirements.

Source: DOLE – Labor Advisories.

Document the agreed calendar to reduce scheduling disputes and unexpected payroll costs.

4. Who Approves Leave?

Leave requires coordination between operational management and employment administration.

The functional manager assesses project deadlines, workload, and team coverage. The legal employer's HR team maintains official leave records and administers the applicable employment policy.

Clarify four steps:

• Who should the employee notify?
• Who confirms operational coverage?
• Where is the request officially recorded?
• Who verifies the employee's leave balance?

For example, a manager may agree to a Friday absence, but the request must still follow the employer's official leave process. Otherwise, operational approval and employment records may not match.

5. How Do You Confirm Tasks Across Time Zones?

Never assume that a quick "yes" means an assignment is understood.

Use a confirm-back process in which the employee acknowledges:

• The task and expected outcome.
• The deadline and priority.
• Any dependencies, questions, or blockers.

Instead of saying "finish the dashboard," specify which features need completion, how success will be assessed, and when the work is due.

Shared project management tools and written updates provide visibility when teams are working at different times. This reduces unnecessary meetings, repeated explanations, and delays caused by unclear instructions.

6. How Do Employees Raise Concerns and Report Progress?

Employees need clear channels for operational and employment-related concerns.

Identify who handles technical questions, workload issues, performance feedback, payroll inquiries, and employment matters. Employees should not have to wait for the next overseas meeting to raise an important concern.

For work visibility, focus on deliverables, progress updates, outstanding priorities, and blockers rather than continuous activity monitoring.

Respect agreed working hours and avoid expecting immediate responses outside the established schedule. Not every question requires a live meeting, and not every task needs a real-time handoff.

How Montani Supports Timezone Management

Montani separates operational management from employment administration. Clients manage assignments, priorities, operational scheduling, and work visibility. Montani acts as the legal employer and handles employment-side administration, including leave records, payroll procedures, and employment-related concerns.

Montani's processes also address Philippine holidays and applicable night-work requirements. Clients should confirm current payroll guidance and any additional costs before changing schedules or requesting holiday work.

Keystroke tracking, mouse tracking, webcam monitoring, application monitoring, and time trackers are not part of Montani's standard model. Periodic activity or work reports may be used to support operational visibility and employee coordination.

A documented timezone charter, supported by clear communication between the client, employee, and legal employer, establishes expectations before scheduling or employment issues arise.