MALACAÑANG
Manila
BY THE PRESIDENT OF THE PHILIPPINES
EXECUTIVE ORDER NO. 611
AUTHORIZING COMPENSATION ADJUSTMENTS TO GOVERNMENT
PERSONNEL
WHEREAS, an efficient and effective
civil service is crucial to the continuous development of our country;
WHEREAS, the basic salary of government
employees has not been increased since July 2001, or for more than 5
years, notwithstanding periodic wage adjustments granted to the private
sector, and the continuous rise in the prices of basic commodities;
WHEREAS, the subsistence allowance
of the military and uniformed personnel was last adjusted in 1998, while
the hazard pay has remained at P120/month since its initial grant in
1987;
WHEREAS, there is an imperative need
to improve the morale of the civil service through a more competitive
compensation system that supports the economic well being of government
personnel;
NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President
of the Republic of the Philippines, by virtue of the powers vested in
me by Presidential Decree (P.D. No. 1597, Republic Act (R.A.) No. 6758,
as amended by the Senate and House of Representatives Joint Resolution
No. 1 dated March 7, 1994, and R.A. No. 9336, do hereby order:
Section 1. New Salary Schedule of Civilian
Government Personnel. – The Department of Budget
and Management (DBM) is hereby directed to implement a ten percent
(10%) increase over the basic monthly salaries as of June 30, 2007
of civilian government personnel whose positions are covered by
the Compensation and Position Classification System under R.A. No.
6758, as amended, effective July 1, 2007.
The adjusted salaries of civilian government personnel
shall be in accordance with the Salary Schedule marked as Annex "A" of
this Executive Order. Provided that the adjustments shall be the designated
salary step of the employee in the salary grade allocation of his or
her position as of June 30, 2007.
Section 2. Subsistence Allowance and Hazard
Pay of Military and Uniformed Personnel – Military
personnel of the Armed Forces of the Philippines and all uniformed
personnel under the Department of the Interior and Local Government,
Philippine coast Guard, and National Mapping and Resource Information
Authority are hereby granted a Thirty Pesos (P30) per day increase
in their subsistence allowance and a One Hundred Twenty Pesos (P120)
per month increase in their hazard pay effective July 1, 2007.
Section 3. Coverage – The
ten percent (10%) salary increase authorized herein shall cover civilian
officials and employees of National Government Agencies (NGAs) including
State Universities and Colleges, Government Owned and/or Controlled
Corporations (GOCCs), Government Financial Institutions (GFIs) and Local
Government Units (LGUs), which are covered by the Compensation and Position
Classification System under R.A. No. 6758, as amended.
Government agencies which are exempted by law from
the coverage of R.A. No. 6758, as amended, shall not be entitled to
any of the compensation adjustments provided herein.
Section 4. Fund Source. – The
amounts necessary to implement the compensation adjustments authorized
herein shall be sourced, as follows:
a.) For NGAs, the amount
shall be charged against the appropriate fund source under
the FY 2007 General Appropriations Act. Thereafter, such
amounts as are needed shall be included in the annual General
Appropriations Act.
b.) For GOCCs and CFIs, the amount shall
be taken from their respective corporate funds.
c.) For LGUs, the amount shall come from
their respective local funds.
Section 5. Uniform Percentage Increase
in Case of Insufficiency of Funds. – GOCCs,
GFIs and LGUs, which do not have adequate or sufficient funds to
pay the compensation adjustments authorized herein, shall only partially
implement the adjusted rates: Provided, that any partial implementation
shall be a uniform increase for all positions.
Section 6. Allowances and Benefits Based
on a Percentage of the Basic Salary of Civilian Personnel. – Except
for the year-end bonus and fixed personnel benefit contributions,
there shall be no corresponding increase in the present allowances
and benefits being received by or paid for civilian government personnel,
which are computed at a percentage of their basic salaries, notwithstanding
the ten percent (10%) salary increase authorized herein.
Section 7. Applicability to Certain Constitutional
Officials. – The salary increase authorized
herein for the President, Vice-President, Senators and members of
the House of Representatives shall take effect only after the expiration
of the respective terms of office of the incumbent officials pursuant
to Section 10 of Article VI and Section 6 of Article VII of the
1987 Constitution.
Section 8. Implementing Rules and Regulations. – The
DBM shall prepare and issue the necessary rules and regulations to implement
the provisions of this Executive Order.
Section 9. Effectivity. – The
compensations adjustments authorized herein shall take effect on July
1, 2007.
Manila, Philippines, 14 March 2007
(Sgd.) GLORIA MACAPAGAL-ARROYO
By the President:
(Sgd.) EDUARDO R. ERMITA
Executive Secretary
