DBM readies salary hike for government workers

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Thursday, May 5, 2011

THE Department of Budget and Management (DBM) already drafted an executive order advancing the implementation of salary increases for government workers under the Salary Standardization Law III (SSL III) 3rd tranche next month following the Labor Day announcement of President Benigno Aquino III.

The EO is now ready for the President’s signature and may be issued within the week together with a memorandum order, which is needed for the early release of mid-year bonuses of government agencies.

Funding requirement for the advanced implementation of SSL III 3rd tranche, amounting to P2.8-billion, will come from personal services savings, especially those generated by determining the actual filled positions of certain agencies. “This is on top of the P19.46-billion already appropriated for the increase of government workers’ pay from July 1 to December 31.”


Some P14.9 billion is needed for the mid-year bonuses—or half of the yearend bonus and half of the P5,000 cash gift—of government employees, DBM Secretary Florencio Abad said in a statement.

“We hope that the early implementation of SSL III third tranche and the early release of mid-year bonuses will help government employees cope with the rising costs of commodities. They will also get their scheduled salary increases in time for school opening June 2011.”

The implementation of the third tranche salary adjustment would provide a 9.5 percent monthly salary increase to those holding teacher I salary grade 11 positions or those who comprise the bulk of civilian personnel in national government. A private in the Armed Forces of the Philippines and a police officer 1 in the Philippine National Police would get an 11% monthly base pay increase, the DBM added.

The first and second tranches of the modified salary schedule base pay schedule were implemented July 1, 2009 and June 24, 2010 respectively. Local government units (LGUs), on the other hand, received their first and second tranches January 1 of 2010 and 2011.

“Since LGUs have just implemented the second tranche of the modified salary schedule and their respective sanggunian have yet to determine the availability and sustainability of local government funds for the purpose, the implementation of their tranche for LGU personnel may be made effective January 1, 2012,” Abad stressed.

The mid-year bonus, meanwhile, will be given to employees who have rendered at least four months of service. These include civilian government personnel occupying regular, contractual or casual positions; appointive or elective; rendering services on full time or part time basis; AFP military personnel and uniformed policemen and women, the Bureau of Fire Protection and Bureau of Jail Management and Penology; Philippine Coast Guard; the National Mapping and Resource Information Authority personnel as well as barangay officials and employees.

Excluded are those hired without employee-employer relationships and paid from non-personal services appropriations; consultants and experts hired for a limited period to perform specific activities or services with expected outputs; laborers hired through job contracts; student laborers and apprentices; and those engaged through job orders and contracts of service. (CGC)

Published in the Sun.Star Bacolod newspaper on May 05, 2011.


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