Metro Manila (CNN Philippines, January 13) — Government employees may look forward to receiving higher pay as the last tranche of the mandated salary hikes for state workers took effect on Jan. 1, the Department of Budget and Management (DBM) said.
The fourth and final tranche is the last phase of the salary hike mandated by the “Salary Standardization Law of 2019,” or Republic Act (RA) 11466, series of 2020.
The first tranche took effect on Jan. 1, 2020.
The pay increase applies to all positions for salaried local government unit (LGU) personnel — including regular, contractual, casual, elective, or appointive employees who are either on a full-time or part-time basis, now existing or thereafter created in LGUs, and all positions for barangay personnel that are paid monthly honoraria.
The act also covers all positions for civilian personnel, whether regular, casual, or contractual, appointive or elective, full-time or part-time, now existing or thereafter created in the executive, legislative, and judicial branches; constitutional commissions and other constitutional offices; state universities and colleges (SUCs); as well government-owned or controlled corporations (GOCCs) not covered by RA 10149 or the GOCC Governance Act of 2011.
Excluded in this law are the military and uniformed personnel, GOCCs under RA 10149, and individuals whose services are engaged through job orders, contracts of service, consultancy, or service contracts with no employer-employee relationship, according to the DBM.
Those engaged without an employer-employee relationship and funded from non-Personnel Services (PS) appropriations or budgets are also excluded.
“The government recognizes the indispensable role of its dedicated personnel in serving our beloved country,” Budget Secretary Amenah Pangandaman said.
“We are firmly committed to help them amidst rising prices of goods and services,” she also said. “We hope this latest salary increase will cushion the impact of inflation.”
Pangandaman signed two budget circulars for the implementation of the RA, which cover civilian personnel and LGU workers.
Under the 2023 General Appropriations Act (GAA), the DBM said around ₱48 million is allocated under the Governance Commission for GOCCs’ (GCG) budget to support the conduct of a study on the government compensation structure of the different national government agencies and GOCCs.
“President Bongbong Marcos directed us to conduct a study to ensure that the compensation of all civilian personnel will be generally competitive with those in the private sector doing comparable work to attract, retain, and motivate corps of competent and dedicated civil servants,” said Pangandaman.
