Modifying The Salary Schedule For Civilian Government Personnel And Authorizing The Grant Of Additional Benefits For Both Civilian And Military And Uniformed Personnel
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Modifying The Salary Schedule For Civilian Government Personnel And Authorizing The Grant Of Additional Benefits For Both Civilian And Military And Uniformed Personnel
Executive Order No. 201
February 19, 2016
Case Overview and Summary
Summary of Executive Order No. 201Compensation Adjustment Strategy (Section 1):
- Raise minimum salary for Salary Grade 1 to P11,068 to be competitive with market rates.
- Bring compensation closer to 70% of private sector median for all salary grades.
- Eliminate overlaps in salary grade allocations to recognize differences in duties and responsibilities.
- Maximize net take-home pay through additional benefits.
- Strengthen performance-based incentive system to recognize personnel delivering results.
- Align compensation adjustment for military and uniformed personnel (MUP) with pension reform objectives.
Coverage (Section 2):
- Applies to all civilian personnel in Executive, Legislative, Judicial branches, Constitutional bodies, GOCCs not covered by RA 10149, and LGUs.
- Covers regular, contractual, casual, appointive, elective, full-time, and part-time personnel.
- New Provisional Allowance Schedule and Officers' Allowance apply only to DND, DILG, PCG, and NAMRIA personnel.
- Mid-Year Bonus, Enhanced PBB, Productivity Enhancement Incentive, and increased Hazard Pay apply to both civilians and MUP.
- Excludes individuals engaged through job orders, contracts of service, consultancy contracts, and service contracts.
Modified Salary Schedule for Civilians (Section 3):
- Implemented in four tranches, with specific salary rates for each Salary Grade and Step.
Mid-Year Bonus (Section 4):
- Equivalent to one month's basic salary as of May 15, given to those with at least four months of satisfactory service.
- In addition to Standard Allowances and Benefits under Total Compensation Framework.
- Year-End Bonus and Cash Gift to be given in November.
Enhanced Performance-Based Bonus (PBB) (Section 5):
- Equivalent to one to two months' basic salary, based on achievement of performance targets and good governance.
- Implemented in two phases starting FY 2017, with progressive rate system based on position and responsibility.
- Conditions and procedures to be prescribed by Inter-Agency Task Force.
Productivity Enhancement Incentive (Section 6):
- P5,000 given to all qualified government employees beginning FY 2016, not earlier than December 15 annually.
Provisional Allowance Schedule for MUP (Section 7):
- Monthly Provisional Allowance for various ranks of DND, DILG, PCG, and NAMRIA personnel, implemented in four tranches.
- Interim measure until Base Pay Schedule is rationalized.
Hazard Pay Increase for MUP (Section 8):
- Increased from P240 to P390 in 2016, P540 in 2017, P690 in 2018, and P840 in 2019.
Officers' Allowance for MUP (Section 9):
- Monthly Officers' Allowance for various ranks of DND, DILG, PCG, and NAMRIA officers, implemented in four tranches.
- Interim measure until Base Pay Schedule is modified and rationalized.
Compensation Adjustment for LGU Personnel (Section 10):
- LGUs may grant modified Salary Schedule and additional benefits, subject to sanggunian authorization and PS limitation.
- Salary Schedule implementation corresponds to LGU income classification.
- Barangay personnel honoraria subject to LGU income classification and PS limitation.
Implementation Schedule (Section 11):
- National Government Agencies: First tranche on January 1, 2016; subsequent tranches on January 1, 2017, 2018, and 2019.
- GOCCs and LGUs: At least four tranches, depending on financial capability, starting not earlier than dates for National Government Agencies.
Retroactive Application (Section 12):
- First tranche effective January 1, 2016 for National Government Agencies.
- For GOCCs and LGUs, subject to financial capability and compliance with laws.
Exempt Entities (Section 13):
- Agencies exempted from RA 6758 coverage and GOCCs governed by GCG-approved CPCS under RA 10149 are exempt.
Applicability to Certain Officials (Section 14):
- Salaries for President, Vice President, and Members of Congress take effect after expiration of incumbents' terms.
- Implementation for regular Cabinet members effective July 1, 2016.
Funding Source (Section 15):
- For National Government Agencies: FY 2016 from GAA appropriations; subsequent years from proposed National Expenditure Program.
- For GOCCs: From respective corporate funds.
- For LGUs: From respective funds, subject to provisions and RA 7160.
Implementing Guidelines (Section 16):
- DBM to issue necessary guidelines.
Separability (Section 17):
- Provisions declared invalid shall not affect other valid provisions.
Repeal (Section 18):
- Inconsistent rules, regulations, and issuances are repealed or modified accordingly.
Effectivity (Section 19):
- Order takes effect immediately upon publication in a newspaper of general circulation.
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Modifying The Salary Schedule For Civilian Government Personnel And Authorizing The Grant Of Additional Benefits For Both Civilian And Military And Uniformed Personnel
Executive Order No. 201
•February 19, 2016
MALACAÑAN PALACEMANILA
BY THE PRESIDENT OF THE PHILIPPINES
EXECUTIVE ORDER No. 201
MODIFYING THE SALARY SCHEDULE FOR CIVILIAN GOVERNMENT PERSONNEL AND AUTHORIZING THE GRANT OF ADDITIONAL BENEFITS FOR BOTH CIVILIAN AND MILITARY AND UNIFORMED PERSONNEL
WHEREAS, Congress, under Item 1 of its Joint Resolution No. 4, (s. 2009), inscribes, as among the governing principles of the Compensation and Position Classification System (CPCS), the payment of just and equitable compensation to all government personnel in accordance with the principle of equal pay for work of equal value and one that is generally comparable with those in the private sector doing comparable work in order to attract, retain and motivate a corps of competent civil servants;
WHEREAS, to ensure this, the same Joint Resolution sets a periodic review of the government's CPCS taking into account the changes in skills and competency requirement in the bureaucracy, the relative demand for certain expertise, the possible erosion in the purchasing power due to inflation, and other factors;
WHEREAS, Section 13 of Presidential Decree No. 985 and Item 17 (iv) of...
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