MALACAÑAN PALACE MANILA
BY THE PRESIDENT OF THE PHILIPPINES
[ EXECUTIVE ORDER NO. 64, August 02, 2024 ]
UPDATING THE SALARY SCHEDULE FOR CIVILIAN GOVERNMENT PERSONNEL AND AUTHORIZING THE GRANT OF AN ADDITIONAL ALLOWANCE, AND FOR OTHER PURPOSES
WHEREAS, Item 1 of Congress Joint Resolution (JR) No. 4 (s. 2009) and Section 2 of Republic Act (RA) No. 11466 or the "Salary Standardization Law of 2019," affirm the policy of the State to provide govenrment personnel with just and equitable compensation in accordance with the principle of equal pay for work of equal value under the Compensation and Position Classification System (CPCS);
WHEREAS, JR No. 4 and RA No. 11466 recognize the need to ensure that the compensation of all civilian personnel shall generally be competitive with those in the private sector doing comparable work, in order to attract, retain and motivate a corps of competent and dedicated civil servants;
WHEREAS, Section 13 of Presidential Decree (PD) No. 985 or "The Budgetary Reform Decree on Compensation and Position Classification of 1976," as amended, states that the salary Schedule and the Wage Schedule shall be revised periodically subject to the approval of the President, in relation to: (a) the level of salaries and wages and employee benefits currently prevailing in private industry for comparable work; (b) changes in the basic work week; or (c) changes in the Minimum Wage Law;
WHEREAS, Item 17 (iv) of JR No. 4 provides that the Department of Budget and Management (DBM) shall recommend for the consideration and approval of the President, the updating of the CPCS for civilian personnel and Base Pay Schedule for military and uniformed personnel, as well as the policies on and levels of allowances, benefits and incentives applicable to all govenrment personnel, including those for exempt entities;
WHEREAS, Section 17 of RA No. 11466 states that all provisions of PD No. 985, as amended by PD No. 1597, RA No. 6758 or the "Compensation and Position Classification Act of 1989," as amended, JR No. 1 (s. 1994), JR No. 4, and Executive Order (EO) N. 201 (s. 2016), which are not inconsistent with, expressly modified, revoked or repealed in the said Act shall continue to be in full force and effect;
WHEREAS, Fiscal Year (FY) 2023 marked the fourth and final tranche of the implementation of the Modified Salary Schedule for Civilian Government Personnel under RA No. 11466;
WHEREAS, given the prevailing economic circumstances, including the erosion of purchasing power due to inflation, there is a need to update the salaries, and benefits of government personnel in order to maintain a competent committed, agile and healthy workforce, thereby promoting social justice, integrity, efficiency, accountability, and excellence, and ultimately translating to increased productivity and higher-quality public services; and
WHEREAS, Section 17, Article VII of the Constitution mandates the President to ensure the faithful execution of laws;
NOW, THEREFORE, I, FERDINAND R. MARCOS, JR., President of the Philippines, by virtue of the powers vested in me by the Constitution and existing laws, do hereby order:
Section 1. Compensation Adjustment Strategy. To ensure an effective, competitive, and sustainable CPCS, the existing Salary Schedule for Civilian Government Personnel is hereby updated to conform with the following:
a. The compensation of all civilian personnel shall generally be competitive with the private sector in order to attract, retain, and engage high-performing civil servants;
b. The pat distinctions shall be based upon substantive differences in duties, responsibilities, accountabilities, and qualification requirements of the positions;
c. The value of government employee compensation is maintained over time; and
d. The compensation scheme must be within the financial capacity of the government, with the Personnel Service (PS) cost maintained at a reasonable level in relation to the overall govenrment expenditure.
Section 2. Coverage. The updated Salary Schedule authorized herein shall apply to all civilian government personnel in the Executive, Legislative, and Judicial Branches; Constitutional Commissions and other Constitutional Offices; Government -Owned or -Controlled Corporations (GOCCs) not covered by RA No.ℒαwρhi৷ 10149 or the "GOCC Governance Act of 2011," and EO No. 150 (s. 2021); and local government units (LGUs), regardless of appointment status, whether regular, contractual or casual, appointive or elective, and on full-time or part-time basis.
The salary increase authorized herein shall not apply to individuals whose services are engaged through job orders, contracts of service, consultancy or service contracts with no employer-employee relationship, as well as GOCCs covered by a separate CPCS established by the Governance Commission for GOCCs (GCG) and approved by President.
Section 3. Updated Salary Schedule, including Step Increments. The updated Salary Schedule for Civilian Government Personnel, to be implemented in four (4) tranches, shall be as follows:
First Tranche>
Salary Grade |
Step 1 |
Step 2 |
Step 3 |
Step 4 |
Step 5 |
Step 6 |
Step 7 |
Step 8 |
1 |
13,530 |
13,633 |
13,748 |
13,862 |
13,979 |
14,095 |
14,213 |
14,331 |
2 |
14,372 |
14,482 |
14,393 |
14,706 |
14,818 |
14,931 |
15,047 |
15,161 |
3 |
15,265 |
15,384 |
15,501 |
15,621 |
15,741 |
15,861 |
15,984 |
16,105 |
4 |
16,209 |
16,334 |
16,460 |
16,586 |
16,714 |
16,841 |
16,971 |
17,101 |
5 |
17,205 |
17,338 |
17,471 |
17,605 |
17,739 |
17,877 |
18,014 |
18,151 |
6 |
18,255 |
18,396 |
18,537 |
18,680 |
18,824 |
18,968 |
19,114 |
19,261 |
7 |
19,365 |
19,514 |
19,663 |
19,815 |
19.966 |
20,120 |
20,274 |
20,430 |
8 |
20,534 |
20,720 |
20,908 |
21,096 |
21,287 |
21,479 |
21,674 |
21,870 |
9 |
22,219 |
22,404 |
22,591 |
22,780 |
22,971 |
23,162 |
23,356 |
23,551 |
10 |
24,381 |
24,585 |
24,790 |
24,998 |
25,207 |
25,417 |
25,630 |
25,844 |
11 |
28,512 |
28,796 |
29,085 |
29,377 |
29,673 |
29,974 |
30,278 |
30,587 |
12 |
30,705 |
30,989 |
31,277 |
31,568 |
31,863 |
32,162 |
32,464 |
32,770 |
13 |
32,870 |
33,183 |
33,499 |
33,829 |
34,144 |
34,472 |
34,804 |
35,141 |
14 |
35,434 |
35,794 |
36,158 |
36,528 |
36,900 |
37,278 |
37,662 |
38,049 |
15 |
38,413 |
38,810 |
39,212 |
39,619 |
40,030 |
40,446 |
40,868 |
41,296 |
16 |
41,616 |
42,052 |
42,494 |
42,941 |
43,394 |
43,852 |
44,317 |
44,786 |
17 |
45,138 |
45,619 |
46,105 |
46,597 |
47,095 |
47,599 |
48,109 |
48,626 |
18 |
49,015 |
49,542 |
50,077 |
50,617 |
51,166 |
51,721 |
52,282 |
52,851 |
19 |
53,873 |
54,649 |
55,437 |
56,237 |
57,051 |
57,878 |
58,719 |
59,573 |
20 |
60,157 |
61,032 |
61,922 |
62,827 |
63,747 |
64,669 |
65,599 |
66,532 |
21 |
67,005 |
67,992 |
68,996 |
70,016 |
71,054 |
71,107 |
73,143 |
74,231 |
22 |
74,836 |
75,952 |
77,086 |
78,238 |
79,409 |
80,562 |
81,771 |
82,999 |
23 |
83,659 |
84,918 |
86,199 |
87,507 |
88,936 |
90,387 |
91,862 |
93,299 |
24 |
94,132 |
95,668 |
97,230 |
98,817 |
100,430 |
102,069 |
103,685 |
105,378 |
25 |
107,208 |
108,958 |
110,736 |
112,543 |
114,381 |
131,359 |
118,145 |
120,073 |
26 |
121,146 |
123,122 |
125,132 |
127,174 |
129,250 |
148,080 |
133,503 |
135,682 |
27 |
136,893 |
139,128 |
141,399 |
143,638 |
145,983 |
167,171 |
150,498 |
152,954 |
28 |
154,320 |
156,838 |
159,398 |
161,845 |
164,485 |
188,267 |
169,654 |
172,423 |
29 |
173,962 |
176,802 |
179,688 |
182,621 |
209,022 |
212,434 |
191,340 |
194,463 |
30 |
196,199 |
199,401 |
202,558 |
205,765 |
308,504 |
314,434 |
215,796 |
219,319 |
31 |
285,813 |
291,395 |
297,086 |
302,741 |
368,504 |
314,468 |
320,516 |
326,681 |
32 |
339,921 |
346,777 |
353,769 |
360,727 |
368,002 |
375,424 |
382,996 |
390,719 |
33 |
428,994 |
441,863 |
Second Tranche>
Salary Grade |
Step 1 |
Step 2 |
Step 3 |
Step 4 |
Step 5 |
Step 6 |
Step 7 |
Step 8 |
1 |
14,061 |
14,164 |
14,278 |
14,383 |
14,509 |
14,626 |
14,743 |
14,862 |
2 |
14,925 |
15,035 |
15,146 |
15,258 |
15,371 |
15,484 |
15,599 |
15,714 |
3 |
15,852 |
15,971 |
16,088 |
16,208 |
16,329 |
16,448 |
16,571 |
16,693 |
4 |
16,833 |
16,958 |
17,084 |
17,209 |
17,337 |
17,464 |
17,594 |
17,724 |
5 |
17,866 |
18,000 |
18,133 |
18,267 |
18,401 |
18,538 |
18,676 |
18,813 |
6 |
18,957 |
19,098 |
19,239 |
19,383 |
19,526 |
19,670 |
19,816 |
19,963 |
7 |
20,110 |
20,258 |
20,408 |
20,560 |
20,711 |
20,865 |
21,019 |
21,175 |
8 |
21,448 |
21,642 |
21,839 |
22,035 |
22,234 |
22,435 |
22,638 |
22,843 |
9 |
23,226 |
23,411 |
23,599 |
23,788 |
23,978 |
24,170 |
24,364 |
24,558 |
10 |
25,586 |
25,790 |
25,996 |
26,203 |
26,412 |
26,623 |
26,835 |
27,050 |
11 |
30,024 |
30,308 |
30,597 |
30,889 |
31,185 |
31,486 |
31,790 |
32,099 |
12 |
32,245 |
32,529 |
32,817 |
33,108 |
33,403 |
33,702 |
34,004 |
34,310 |
13 |
34,421 |
34,733 |
35,049 |
35,369 |
35,694 |
36,022 |
36,354 |
36,691 |
14 |
37,024 |
37,384 |
37,749 |
38,118 |
38,491 |
38,869 |
39,252 |
39,640 |
15 |
40,208 |
40,604 |
41,006 |
41,413 |
41,824 |
42,241 |
42,662 |
43,090 |
16 |
43,560 |
43,996 |
44,438 |
44,885 |
45,338 |
45,796 |
46,261 |
46,730 |
17 |
47,247 |
47,727 |
48,213 |
48,705 |
49,203 |
49,708 |
50,218 |
50,735 |
18 |
51,304 |
51,832 |
52,367 |
52,907 |
53,456 |
54,010 |
54,572 |
55,140 |
19 |
56,390 |
57,165 |
57,953 |
58,753 |
59,567 |
60,394 |
61,235 |
62,089 |
20 |
62,967 |
63,842 |
64,732 |
65,637 |
66,557 |
67,479 |
68,409 |
69,342 |
21 |
70,013 |
71,000 |
72,004 |
73,024 |
74,061 |
75,115 |
76,151 |
77,239 |
22 |
78,162 |
79,277 |
80,411 |
81,564 |
82,735 |
83,887 |
85,096 |
86,324 |
23 |
87,315 |
88,574 |
89,855 |
91,163 |
92,592 |
94,043 |
95,518 |
96,955 |
24 |
98,185 |
99,721 |
101,283 |
102,871 |
104,483 |
106,123 |
107,739 |
109,431 |
25 |
111,727 |
113,476 |
115,254 |
117,062 |
118,899 |
120,766 |
122,664 |
124,591 |
26 |
126,252 |
128,228 |
130,238 |
132,280 |
134,356 |
136,465 |
138,608 |
140,788 |
27 |
142,663 |
144,897 |
147,169 |
149,407 |
151,752 |
153,850 |
156,267 |
158,723 |
28 |
160,469 |
162,988 |
165,548 |
167,994 |
170,634 |
173,320 |
175,803 |
178,572 |
29 |
180,492 |
183,332 |
186,218 |
189,151 |
192,131 |
194,797 |
197,870 |
200,993 |
30 |
203,200 |
206,401 |
209,558 |
212,766 |
216,022 |
219,434 |
222,797 |
226,319 |
31 |
293,191 |
298,773 |
304,464 |
310,119 |
315,883 |
321,846 |
327,895 |
334,059 |
32 |
347,888 |
354,743 |
361,736 |
368,694 |
375,969 |
383,391 |
390,963 |
398,686 |
33 |
438,844 |
451,713 |
Third Tranche>
Salary Grade |
Step 1 |
Step 2 |
Step 3 |
Step 4 |
Step 5 |
Step 6 |
Step 7 |
Step 8 |
1 |
14,634 |
14,730 |
14,849 |
14,968 |
15,089 |
15,211 |
15,333 |
15,456 |
2 |
15,522 |
15,636 |
15,752 |
15,869 |
15,986 |
16.103 |
16,223 |
16,342 |
3 |
16,486 |
16,610 |
16,732 |
16,856 |
16,982 |
17,106 |
17,234 |
17,360 |
4 |
17,506 |
17,636 |
17,767 |
17,898 |
18,031 |
18,163 |
18,298 |
18,433 |
5 |
18,581 |
18,720 |
18,858 |
18,998 |
19,137 |
19,280 |
19,423 |
19,565 |
6 |
19,716 |
19,862 |
20,009 |
20,158 |
20,307 |
20,456 |
20,609 |
20,761 |
7 |
20,914 |
21,069 |
21,224 |
21,382 |
21,539 |
21,699 |
21,859 |
22,022 |
8 |
22,423 |
22,627 |
22,832 |
23,038 |
23,246 |
23,456 |
23,668 |
23,883 |
9 |
24,329 |
24,523 |
24,720 |
24,917 |
25,117 |
25,318 |
25,521 |
25,725 |
10 |
26,917 |
27,131 |
27,347 |
27,565 |
27,786 |
28,007 |
28,230 |
28,456 |
11 |
31,705 |
31,820 |
32,109 |
32,401 |
32,697 |
32,998 |
33,302 |
33,611 |
12 |
33,947 |
34,069 |
34,357 |
34,648 |
34,943 |
35,242 |
35,544 |
35,850 |
13 |
36,125 |
36,283 |
36,599 |
36,919 |
37,244 |
37,572 |
37,904 |
38,241 |
14 |
38,764 |
39,141 |
39,523 |
39,910 |
40,300 |
40,696 |
41,097 |
41,503 |
15 |
42,178 |
42,594 |
43,015 |
43,442 |
43,874 |
44,310 |
44,753 |
45,202 |
16 |
45,694 |
46,152 |
46,615 |
47,084 |
47,559 |
48,040 |
48,528 |
49,020 |
17 |
49,562 |
50,066 |
50,576 |
51,092 |
51,614 |
52,144 |
52,678 |
53,221 |
18 |
53,818 |
54,371 |
54,933 |
55,499 |
56,075 |
56,657 |
57,246 |
57,842 |
19 |
59,153 |
59,966 |
60,793 |
61,632 |
62,486 |
63,353 |
64,236 |
65,132 |
20 |
66,052 |
66,970 |
67,904 |
68,853 |
69,818 |
70,772 |
71,727 |
72,671 |
21 |
73,303 |
74,337 |
75,388 |
76,456 |
77,542 |
78,645 |
79,692 |
80,831 |
22 |
81,796 |
82,963 |
84,151 |
85,356 |
86,582 |
87,746 |
89,011 |
90,295 |
23 |
91,306 |
92,622 |
93,962 |
95,330 |
96,823 |
98,341 |
99,883 |
101,318 |
24 |
102,603 |
104,209 |
105,841 |
107,500 |
109,185 |
110,898 |
112,533 |
114,301 |
25 |
116,643 |
118,469 |
120,326 |
122,212 |
124,131 |
126,079 |
128,061 |
130,073 |
26 |
131,807 |
133,870 |
135,968 |
138,100 |
140,268 |
142,469 |
144,707 |
146,983 |
27 |
148,940 |
151,273 |
153,644 |
155,906 |
158,353 |
160,235 |
162,752 |
165,310 |
28 |
167,129 |
169,752 |
172,418 |
174,797 |
177,545 |
180,339 |
182,660 |
185,537 |
29 |
187,531 |
190,482 |
193,480 |
196,528 |
199,624 |
202,005 |
205,191 |
208,430 |
30 |
210,718 |
214,038 |
217,207 |
220,425 |
223,691 |
227,224 |
230,595 |
234,240 |
31 |
300,961 |
306,691 |
312,532 |
318,182 |
323,938 |
329,989 |
336,092 |
342,310 |
32 |
356,237 |
363,257 |
370,418 |
377,359 |
384,805 |
392,400 |
400,150 |
408,055 |
33 |
449,157 |
462,329 |
Fourth Tranche>
Salary Grade |
Step 1 |
Step 2 |
Step 3 |
Step 4 |
Step 5 |
Step 6 |
Step 7 |
Step 8 |
1 |
15,208 |
15,304 |
15,423 |
15,542 |
15,663 |
15,784 |
15,906 |
16,030 |
2 |
16,118 |
16,233 |
16,349 |
16,466 |
16,582 |
16,700 |
16,820 |
16,939 |
3 |
17,120 |
17,244 |
17,366 |
17,490 |
17,616 |
17,740 |
17,868 |
17,994 |
4 |
18,180 |
18,309 |
18,440 |
18,751 |
18,704 |
18,836 |
18,971 |
19,106 |
5 |
19,296 |
19,434 |
19,573 |
19,712 |
19,852 |
19,994 |
20,137 |
20,280 |
6 |
20,474 |
20,620 |
20,767 |
20,916 |
21,065 |
21,215 |
21,367 |
21,520 |
7 |
21,872 |
22,034 |
22,196 |
22,362 |
22,526 |
22,693 |
22,860 |
23,030 |
8 |
23,399 |
23,603 |
23,808 |
24,014 |
24,221 |
24,432 |
24,644 |
24,859 |
9 |
25,433 |
25,627 |
25,823 |
26,021 |
26,220 |
26,421 |
26,624 |
26,828 |
10 |
28,247 |
28,462 |
28,678 |
28,896 |
29,116 |
29,337 |
29,561 |
29,787 |
11 |
33,387 |
33,501 |
33,790 |
34,082 |
34,378 |
34,679 |
34,983 |
35,292 |
12 |
35,650 |
35,771 |
36,059 |
36,350 |
36,645 |
36,944 |
37,246 |
37,552 |
13 |
37,828 |
37,987 |
38,303 |
38,623 |
38,948 |
39,276 |
39,608 |
39,945 |
14 |
40,505 |
40,882 |
41,263 |
41,650 |
41,040 |
42,436 |
42,837 |
43,243 |
15 |
44,148 |
44,564 |
44,985 |
45,412 |
45,844 |
46,281 |
46,723 |
47,172 |
16 |
47,829 |
48,286 |
48,750 |
49,219 |
49,694 |
50,175 |
50,662 |
51,154 |
17 |
51,877 |
52,381 |
52,891 |
53,407 |
53,929 |
54,459 |
54,993 |
55,536 |
18 |
56,332 |
56,885 |
57,447 |
58,013 |
58,589 |
59,171 |
59,760 |
60,356 |
19 |
61,916 |
62,729 |
63,556 |
64,395 |
65,249 |
66,116 |
66,999 |
67,895 |
20 |
69,138 |
70,056 |
70,990 |
71,938 |
72,903 |
73,857 |
74,813 |
75,756 |
21 |
76,594 |
77,628 |
78,679 |
79,747 |
80,833 |
81,936 |
82,982 |
84,121 |
22 |
85,431 |
86,598 |
87,785 |
88,991 |
90,216 |
91,380 |
92,645 |
93,930 |
23 |
95,296 |
96,612 |
97,952 |
99,320 |
100,814 |
102,331 |
103,873 |
105,308 |
24 |
107,022 |
108,627 |
110,260 |
111,918 |
113,603 |
115,317 |
116,952 |
118,719 |
25 |
121,559 |
123,385 |
125,242 |
127,128 |
129,047 |
130,995 |
132,977 |
134,989 |
26 |
137,362 |
139,425 |
141,523 |
143,655 |
145,823 |
148,024 |
150,262 |
152,538 |
27 |
155,217 |
157,550 |
159,921 |
162,184 |
164,630 |
166,512 |
169,030 |
171,587 |
28 |
173,788 |
176,411 |
179,077 |
181,457 |
184,205 |
186,999 |
189,319 |
192,196 |
29 |
194,570 |
197,521 |
200,519 |
203,567 |
206,663 |
209,044 |
212,230 |
215,469 |
30 |
218,237 |
221,556 |
224,726 |
227,943 |
231,209 |
234,743 |
238,113 |
241,758 |
31 |
308,730 |
314,460 |
320,302 |
325,952 |
331,707 |
337,758 |
343,862 |
350,080 |
32 |
364,586 |
371,607 |
378,767 |
385,708 |
393,154 |
400,750 |
408,500 |
416,404 |
33 |
459,469 |
472,641 |
The rates in the above updated Salary Schedule represent the monthly remuneration for regular or contractual personnel, whether appointive or elective, and working on full-time basis. The remuneration for those on part-time basis shall be proportionate to the actual services rendered.
The daily wage for casual personnel shall be computed by dividing the corresponding monthly salary rate in the above Schedule by twenty-two (22) working days.
Section 4. Salary Adjustment for Personnel of LGUs. The updated Salary Schedule authorized herein for civilian government personnel may likewise be granted to personnel of LGUs, subject to the following:
a. Authorization from their respective sanggunian as provided under Sections 447(a), 458(a), and 468(a) of RA No. 7160 or the "Local Government Code of 1991," as amended, and
b. Compliance with the PS limitation in the LGU budget under Sections 325 and 331 of RA no. 7160.
The rates of pay in LGUs, which shall be determined on the basis of the class and financial capability of each LGU shall be at the following percentages of the rates in the Salary Schedule under Section 3 hereof, subject to any modification that will be made pursuant to RA No. 11964 or the "Automatic Income Classification of Local Government Units Act," and its Implementing Rules and Regulations (IRR):
Percentage of the Salary Schedule>
|
For Provinces/Cities |
For Municipalities |
Special Cities |
100% |
1st Class |
100% |
90% |
2nd Class |
95% |
85% |
3rd Class |
90% |
80% |
4th Class |
85% |
75% |
5th Class |
80% |
70% |
6th Class |
75% |
65% |
LGUs may fully adopt the Salary Schedule in Section 3 hereof, notwithstanding the above ceilings, subject to compliance with the PS limitation and budgetary authorization requirements of RA No. 7160, as well as the guidelines to be issued by the DBM pursuant to Section 7(d) of RA No. 11964 and its IRR: Provided, that the salary schedule adopted shall be uniformly applied to all positions in the said LGU.
The basic pay of barangay personnel shall be in the form of honoraria consistent with RA No. 7160, which shall be at the same percentage of the Salary Schedule adopted by the LGU. They may be given Year-End Bonus (YEB) based on the monthly honoraria as of October 31 of the year and Cash Gift of Five Thousand Pesos (P5,000).
However, the minimum YEB of One Thousand Pesos (P1,000) for the punong barangay and Six Hundred Pesos (P600) for other mandatory barangay officials shall not be subject to the PS limitation.
Section 5. Implementation Schedule. The updated Salary Schedule in Section 3 hereof shall be implemented in National Government Agencies (NGAs) in four (4) tranches, with the first tranche beginning 1 January 2024, the second tranche beginning on 1 January 2025, the third tranche beginning on 1 January 2026, and the fourth and final tranche beginning on 1 January 2027.
For covered GOCCs and LGUs, the implementation period shall not be less than four (4) years, depending on their financial capabilities: Provided, that each tranche shall start no earlier than the dates abovementioned.
GOCCs and LGUs which do not have adequate or sufficient funds shall partially implement the Salary Schedule authorized herein. In case of partial implementation, the same shall be at a uniform percentage across all positions for every GOCC/LGU.
Section 6. Retroactive Application. The first tranche of implementation of the Salary Schedule for civilian personnel shall be effective 1 January 2024.
For covered GOCCs, the retroactive application of the first tranche shall be subject to their capacity to pay and compliance with other requirements under existing laws: Provided, that the initial implementation shall not be later than 1 January 2024.
For LGUs, the implementation of the first tranche shall be subject to the pertinent provisions of this Order and RA No. 7160.
Section 7. Medical Allowance. Beginning FY 2025, a Medical Allowance in an amount not exceeding Seven Thousand Pesos (P7,000) per annum shall be granted to each qualified govenrment civilian personnel as a subsidy for the availment of health maintenance organization (HMO)-type benefits. The Medical Allowance shall be categorized under the Standard Allowances and Benefits component of the Total Compensation Framework embodied in JR No. 4, and RA No. 11466. The grant of the Medical Allowance shall be subject to the conditions and guidelines to be issued by the DBM or the GCG, as the case may be.
The following are excluded from the grant of the herein Medical Allowance.
a. Government officials and employees who are already receiving HMO-based health care services by virtue of special laws; and
b. Officials and employees in the legislative and judicial branches and other offices vested with fiscal autonomy.
The heads of the foregoing agencies and offices may grant a similar Medical Allowance to their employees or continue to procure allowable HMO plans, subject to the limitations and guidelines that the DBM may issue in consultation with the said offices.
Section 8. Exempt Entities. Exempt entities refer to: (i) government agencies that are not covered by CPCS authorized under RA No. 6758; (ii) GOCCs governed by the CPCS established by the GCG under RA No. 10149 and EO No. 150; and (iii) those authorized by law and have actually implemented their own CPCS.
The exempt entities shall be governed by their respective CPCS, which shall be made effective upon the recommendation of the DBM or the GCG, as the case may be, and approved by the President.
Section 9. Applicability to Certain Officials. Consistent with Section 6, Article VII and Section 10, Article VI of the Constitution, the salaries authorized herein for the President of the Philippines, Vice President of the Philippines, and Members of the Congress shall take effect only after the expiration of the respective terms of the present incumbents.
Section 10. Funding. The funding sources for the amounts required to implement this EO shall be as follows:
a. For NGAs, the amount needed for the salary adjustment in FY 2024 shall be charged against any available appropriations under RA No. 11975 or the "Fiscal Year 2024 General Appropriations Act (GAA)" and any other available appropriations, subject to relevant budgeting, accounting, and auditing rules and regulations. The DBM, following the compensation adjustment strategy embodied in Section 1 hereof, and consistent with its authority under Section 7 of RA No. 6758, shall then be authorized to implement or adjust the compensation corresponding to the appropriations provided in the GAA.
The funding requirement for the salary adjustment in FYs 2025, 2026, and 2027 will be included in the proposed annual National Expenditure Program (NEP) submitted to the Congress for authorization.
b. For GOCCs, the amounts shall be charged against their respective corporate funds in the corporate operating budgets approved by the DBM.
c. For LGUs, the amounts shall be charged against their respective local government funds in accordance with the pertinent provisions of this EO and RA No. 7160.
d. Funding requirement for Medical Allowance for FY 2025 and succeeding fiscal years shall be included in the NEP as a component of the Standard Allowances and Benefits of the Total Compensation Framework, subject to the approval of Congress.
Section 11. Implementing Guidelines. The DBM shall issue the guidelines necessary to implement specific provisions of this EO.
Section 12. Separability. If any part or provision of this Order shall be held invalid or unconstitutional, the other provisions not affected thereby shall remain in full force and effect.
Section 13. Repeal. All other orders, rules, regulations, guidelines and issuances, or parts thereof which are inconsistent with the provisions of this Order are hereby repealed, amended, or modified accordingly.
Section 14. Effectivity. This Order shall take effect immediately upon publication in the Official Gazette or in a newspaper of general circulation.
DONE, in the City of Manila, this 2nd day of August, in the year of our Lord, Two Thousand and Twenty-Four.
(Sgd.) FERDINAND R. MARCOS, JR.
By the President:
(Sgd.) LUCAS P. BERSAMIN Executive Secretary
The Lawphil Project - Arellano Law Foundation
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