MALACAÑAN PALACE
MANILA

BY THE PRESIDENT OF THE PHILIPPINES

[ EXECUTIVE ORDER NO. 611, July 01, 2007 ]

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

GLORIA MACAPAGAL-ARROYO

By the President:

EDUARDO R. ERMITA
Executive Secretary



ANNEX "A"

Monthly Salary Schedule for Civilian Personnel
Effective July 1, 2007

ℒαwρhi৷
Salary STEP STEP STEP STEP STEP STEP STEP STEP
Grade 1 2 3 4 5 6 7 8
1 5590 5730 5873 6020 6171 6325 6483 6645
2 6094 6246 6402 6563 6725 6894 7066 7244
3 6643 6808 6977 7153 7330 7515 7701 7895
4 7174 7352 7536 7724 7918 8116 8318 8526
5 7747 7941 8139 9010 9236 9467 9703 9946
6 8367 8576 8791 9010 9236 9467 9703 9946
7 8953 9175 9405 9640 9882 10128 10382 10643
8 9580 9819 10054 10316 10573 10837 11109 11386
9 10250 10506 10769 11039 11315 11596 11888 12183
10 10933 11207 11486 11774 12068 12371 12680 12997
11 11589 11878 12175 12478 12792 13112 13440 13774
12 12284 12591 12906 13229 13559 13899 14245 14601
13 13021 13347 13680 14022 14372 14732 15101 15477
14 13801 14147 14500 14863 15235 15616 16006 16405
15 14630 14995 15370 15754 16148 16553 16965 17391
16 15508 15895 16292 16701 17117 17546 17985 18434
17 16438 16849 17270 17701 18146 18599 19064 19540
18 17425 17861 18307 18765 19235 19714 20208 20713
19 18471 18932 19405 19891 20389 20898 21420 21955
20 19579 20068 20569 21085 21612 22152 22705 23274
21 20361 20871 21393 21927 22475 23036 23614 24203
22 21176 21705 22245 22804 23375 23959 24558 25171
23 22022 22573 23139 23717 24308 24917 25540 26179
24 22905 23477 24065 24665 25284 25915 26563 27227
25 23821 24417 25026 25653 26293 26951 27624 28316
26 24773 25392 26028 26678 27345 28028 28730 29448
27 25761 26409 27070 27745 28438 29150 29878 30626
28 26795 27465 28152 28855 29576 30315 31074 31851
29 27866 28564 29277 30009 30760 31529 32317 33124
30 31763 32557 33372 34205 35060 35937 36835 37755
31 44468 45580 46718 47886 49083 50311 51568 52857
32 50820 52091 53393 57729 56096 57498 58936 60409
33 63525

The Lawphil Project - Arellano Law Foundation