MALACAÑAN PALACE
MANILA

BY THE PRESIDENT OF THE PHILIPPINES

[ Memorandum Circular No. 143, September 28, 1965 ]

AUTHORIZING THE PAYMENT OF THE GOVERNMENT SHARE ON THE RETIREMENT AND INSURANCE PREMIUMS OF EMPLOYEES WHOSE REGULAR APPOINTMENTS HAVE BEEN CHANGED TO PROVISIONAL.

It has been brought to the attention of this Office that as a result of the implementation of Republic Act No. 2260, otherwise known as the Civil Service Act of 1959, and the rules and regulations governing the position classification and salary plans, the status of appointments of certain employees in the government has been changed from regular and permanent to provisional., Consequently, their membership in the Government Service Insurance System has automatically ceased to be compulsory in accordance with the provisions of Section 4(b) of Commonwealth Act No. 186, as amended, and they should now shoulder the entire premiums on their policies.

In line with the provisions of Section 4(b) of the aforementioned Act which provides that the employer “is hereby empowered * * * to pay for its share on the insurance of theses employees,” the payment of the government share on the retirement and insurance premiums of the said employees is hereby authorized. In case a management and regular employee accepts either a provisional or temporary appointment the basis of the computation of the government share shall be his salary as such provisional or temporary employee. However, when the appointment is merely in a substitute capacity, wherein the employee concerned will return to his former position upon the return of the incumbent who went on leave without pay, the basis of the government ire should be the last salary received by him as regular and permanent employee.1âшphi1

By authority of the President:

SALVADOR L. MARIÑO
Acting Executive Secretary

Manila, September 28, 1965


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