RECEIVE,

EIGHTEENTH CONGRESS OF THE) sgSEP
REPUBLIC OF THE PHILIPPINES ) a
First Regular Session ) ir
HOUSE OF REPRESENTATIVES
547
HB. No.

Introduced by Rep. Vilma Santos-Recto
6th District of Batangas

AN ACT
INCREASING THE SALARY SCHEDULE OF CIVILIAN PERSONNEL IN THE
GOVERNMENT, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

This bill seeks to improve the purchasing power of approximately 1.4 million civil
servants' in the country that was eroded by inflation by providing an increase in the salary of
government officials and employees.

It also aims to attract and retain competent and committed civil servants and increase

productivity among the public sector workers.

By virtue of Executive Order No. 201, the national government implemented the
salary adjustments and additional benefits for government employees which was further
amended by Executive Order No. 76 dated March 15, 2019. The modified Salary Schedule
was implemented in four tranches from January 1, 2016 to April 1, 2019. However, the
adjusted salary is deemed unfair and inadequate by most government personnel especially
those under Salary Grades 1 to 16 which comprise about 84 percent of the government
workforce.

This proposal will put more money in government employees’ pockets and will

increase disposable income, boost consumer spending, and in turn would stimulate the

economy and help generate more revenues.

* Table 1. Staffing Summary of the National Government. Fiscal Year 2020.

D
19


This bill mandates the implementation of salary increases for government officials
and employees in accordance with salary schedules for three (3) tranches. The salary
schedules shall be implemented on January 1, 2020 and every January | thereafter until the
final tranche in 2022.

The salary increase is equivalent to an accross the board annual ten percent increase
for three (3) years plus an additional total of Ten Thousand Pesos (P10,000) in the basic
monthly salary spread in three (3) years.

With this bill, the government would alleviate the living conditions of the 1.4 million
public servants. Consequently, the much-needed relief that this measure offers will further

motivate government personnel and invigorate public service.

With the foregoing considered, immediate passage of this

VILMA S.


EIGHTEENTH CONGRESS OF THE )

REPUBLIC OF THE PHILIPPINES )
First Regular Session )
HOUSE OF REPRESENTATIVES
H.B.No 4547

Introduced by Rep. Vilma Santos-Recto
6th District of Batangas

AN ACT
INCREASING THE SALARY SCHEDULE OF CIVILIAN PERSONNEL IN THE
GOVERNMENT, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

Section 1. This Act shall be known as the “Salary Standardii
Sec. 2. Declaration of Policy. Pursuant to the constitutional mandate that the State

jion Law V".

shall provide for the standardization of salary of government officials and employees,
including those in government-owned or -controlled corporations with original charters,
taking into account the nature of duties and responsibilities pertaining to and the
qualifications required for their positions, the State shall:

(@) implement a salary schedule that is generally comparable with those in the
private sector doing comparable work and in accordance with the provisions
of existing salary and position classification laws, in order to attract, retain and
motivate a corps of competent civil servants;

(b) _ keep the salary for government personnel fair and reasonable in recognition of
fiscal realities and maintain personal services cost at a reasonable proportion
of over-all expenditures; and

(©) conduct a periodic review of the salary and position classification system
taking into account the changes in skills and competency requirements and the
possible erosion in the purchasing power due to inflation, and other factors.

Sec. 3. Coverage. The modified Salary Schedule herein provided shall apply to all

positions for civilian government personnel in the Executive, Legislative and Judicial
Branches, including Constitutional Commissions, State Universities and Colleges (SUCs),
Government-Owned or -Controlled Corporations (GOCCs) not covered by RA No. 10149,


4 Government Financial Institutions (GFls) and local government units (LGUs); regardless of
2 appointment status, whether regular, casual or contractual in nature; appointive or elective;
3. and on full-time or part-time basis, now existing or hereafter created.
4 However, individuals whose services are engaged through job orders, contracts of
5 service, consultancy contracts, and service contracts with no employer-employee relationship
6 are excluded from the salary increase authorized herein.
7 Sec. 4. Modified Salary Schedule for Civilian Government Personnel. The modified
8 Salary Schedule for Civilian Personnel shall be as follows:
First Tranche
SG_| Step1 | Step2 | Step3 | Step4 | Step5 | Step6 | Step7 |
1_| 15,475 | 15,576 | 15,679 | 15,783 | 15,887 | 15,992 | 16,099
2 16,237, 16,336 16,436 16,537 16,639 16,741 16,844
3_| 17,013 | 17,118 | 17,224 | 17,332 | 17,439 | 17,547 | 17,657
4 17,835 17,948 18,060 18,173 18,288 18,402 18,519 18,635
3 | 18,708 | 18,827 | 18,945 | 19,065 | 19,186 | 19,308 | 19,432 | 19,555
6 | 19,632 | 19,757 | 19,884 | 20,011 | 20,140 | 20,269 | 20,400 | 20,530
7_| 20,612 | 20,745 | 20,879 | 21,014 | 21,150 | 21,287 | 21,425 | 21,564
8 | 21,734 | 21,901 | 22,069 | 22,239 | 22,409 | 22,582 | 22,757 | 22,933
9 23,073 23,238 23,405 23,573 23,742 23,913 24,086 24,259
10 24,456 24,633 24,812 24,992 25,172 25,356 25,540 25,726

i 26,129 | 26,442 26,760 | 27,081 27,407 | 27,738 | 28,072 | 28,412

12 28,532 28,844 29,161 29,481 29,806 | 30,135 30,467 30,803

13 31,055 31,400 | 31,747 | 32,099 | 32,457 | 32,817 | 33,183 33,553

14_| 33,831 [ 34,209 | 34,592 | 34,980 | 35,372 | 35,769 | 36,171 | 36,578

15 36,884 | 37,300 | 37,721 38,148 | 38,579 39,016 39,458 39,907

16 | 40,242 [ 40,700 | 41,163 | 41,632 | 42,107 | 42,588 [43,075 [43,567

17 43,936 | 44,440 | 44,949 | 45,465 45,988 | 46,517 | 47,051 47,594

18 48,001 48,554 | 49,115 49,682 50,257 50,839 51,427 | 52,023

19 | 53,096 | 53,909 | 54,735 | 55,574 | 56,428 | 57,295 | 58,177 | 59,072

20 59,571 60,488 | 61,422 | 62,370 | 63,335 64,315 | 65,310 | 66,322

21 66,886 | 67,923 68,978 70,049 71,139 | 72,246 | 73,371 74,515

22 | 75,151 | 76,324 | 77,516 | 78,727 | 79,958 | 81,210 | 82,481 | 83,773

23 | 84,492 | 85,817 | 87,164 | 88,532 | 89,924 | 91,337 | 92,774 | 94,235

24 95,047 | 96,544 | 98,066 | 99,613 | 101,185 | 102,783 | 104,407 | 106,057

25_| 107,891 | 109,599 | 111,333 | 113,097 | 114,888 | 116,710 | 118,561 | 120,442

26 121,488 | 123,417 | 125,378 | 127,370 | 129,395 | 131,453 | 133,544 | 135,671

27 136,852 | 139,032 | 141,248 | 143,499 | 145,787 | 148,113 | 150,477 | 152,879

28 154,215 | 156,677 | 159,181 | 161,725 | 164,310 | 166,939 | 169,610 | 172,324

29 | 173,833 | 176,617 | 179,445 | 182,321 | 185,242 | 188,212 | 191,230 | 194,297

30 | 196,002 | 199,147 | 202,344 | 205,593 | 208,894 | 212,251 | 215,661 | 219,127



SG_| Stepi | Step2 | Step3 | Step4 | StepS | Step6 | Step7 | Step8
31_| 286,890 | 292,428 | 298,076 | 303,833 | 309,704 | 315,688 | 321,790 | 328010
32 341,402 | 348,220 | 355,176 | 362,272 | 369,511 | 376,896 | 384,431 | 392,117
33_| 430,206 | 443,013
Second Tranche
SG_| Step1 | Step2 | Step3 | Step4 | StepS | Step6 | Step7 | Step8
1 16,692 16,804 16,917 17,031 17,146 17,261 17,378 17,496
2 | 17,531_| 17,640 | 17,750 | 17,861 | 17,972 | 18,085 | 18199 | 18,312
3 18,384 18,500 18,616 18,735 18,853 18,972 19,093 19,214
4 | 19,289 | 19,412 | 19,536 | 19,660 | 19,786 | 19,912 | 20,040 | 20,169
5 | 20,248 | 20,379 | 20,510 | 20,642 | 20,775 | 20,909 | 21,045 | 21,180
6 | 21,265 | 21,403 | 21,542 | 21,682 | 21,824 | 21,965 | 22,109 | 22,253
ed 22,343 22,489 22,637 22,786 22,935 23,086 23,237 23,391
8 23,577 23,761 23,946 24,133 24,320 24,510 24,702 24,896
9 | 25,050 | 25,231 | 25,415 | 25,600 | 25,787 | 25,974 | 26,164 | 26,355
10 26,572 26,767 26,963 27,161 27,360 27,562 27,764 27,968
i 28,412 28,756 29,106 29,459 29,817 30,181 30,549 30,923
12 | 31,055 | 31,399 | 31,747 | 32,099 | 32,456 | 32,818 | 33,183 | 33,554
13 | 33,831 | 34,209 | 34,592 | 34,979 | 35,372 | 35,769 | 36171 | 36,579
4 36,884 37,300 37,721 38,148 38,579 39,016 39,458 39,906
15 40,243 40,700 41,163 41,633 42,107 42,587 43,074 43,568
16 | 43,937 | 44,440 | 44,949 | 45,465 | 45,988 | 46,516 | 47,052 | 47,593
17 48,000. 48,554 49,114 49,682 50,256 50,838 51,427 52,023
18 52,471 53,079 53,697 54,320 54,952 55,593 56,240 56,896
19 58,075 58,970 59,878 60,802 61,741 62,694 63,664 64,649
20 | 65,198 | 66,207 | 67,234 | 68,277 | 69,338 | 70,416 | 71,511 | 72,625
21 73,244 74,385 75,545 76,724 77,923 79,140 80,378 81,637
22 82,336 83,626 84,937 86,270 87,624 89,001 90,399 91,820
23 | 92,611 | 94,068 | 95,550 | 97,056 | 98,586 | 100,141 | 101,721 | 103,328
24 104,221 | 105,868 | 107,543 | 109,244 | 110,973 | 112,731 | 114,517 | 116,332
25 118,350 | 120,228 | 122,137 | 124,076 | 126,047 | 128,051 | 130,087 | 132,157
26 133,307 | 135,428 | 137,586 | 139,777 | 142,005 | 144,269 | 146,569 | 148,908
27 150,207 | 152,606 | 155,042 | 157,519 | 160,036 | 162,594 | 165,194 | 167,837
28 169,306 | 172,015 | 174,769 | 177,568 | 180,411 | 183,303 | 186,241 | 189,226
29 | 190,886 | 193,949 | 197,060 | 200,223 | 203,436 | 206,703 | 210,022 | 213,397
30 | 215,273 | 218,732 | 222,248 | 225,823 | 229,454 | 233,146 | 236,897 | 240,709
31_| 315,249 | 321,341 | 327,553 | 333,887 | 340,344 | 346,927 | 353,639 | 360,481
32_| 375,212 | 382,712 | 390,363 | 398,169 | 406,132 | 414,256 | 422,544 | 430,999
3 472,896 | 486,984

‘Third Tranche



SG_| Step1 | Step2 | Step3 | Step4 | Step5 | Step6 | Step7 | Steps
1 18,132 18,254 18,379 18,504 18,631 18,757 18,886 19,015
2 19,054 19,174 19,295 19,417 19,540 19,663 19,789 19,914
3__| 19,992 | 20,120 | 20,248 | 20,378 | 20,509 | 20,639 | 20,72 | 20,905
4 | 20,988 | 21,124 | 21,259 | 21,396 | 21,535 | 21,673 | 21,814 | 21,955
5 22,043 22,187 22,331 22,476 22,622 22,770 22,919 23,068
6 | 23,161 | 23,313 | 23,466 | 23,621 | 23,776 | 23,932 | 24,090 | 24,249
7 | 24,347 | 24,508 | 24671 | 24,834 | 24,998 | 25,165 | 25,331 | 25,500
8 25,705 25,907 26,111 26,316 26,522 26,731 26,943 27,156
9 | 27,325 | 27,524 | 27,727 | 27,930 | 28,135 | 28,342 | 28551 | 28,761
10 | 28,999 | 29,213 | 29,429 | 29,647 | 29,866 | 30,088 | 30,310 | 30,535
il 31,024 31,402 31,786 32,175 32,569 32,969 33,374 33,785
12 | 33,930 | 34,308 | 34,692 | 35,079 | 35,472 | 35,870 | 36,272 | 36,679
13__| 36,984 | 37,400 | 37,821 | 38,247 | 38,679 | 39,116 | 39,558 | 40,006
14 40,342 40,800 41,263 41,733 42,207 42,687 43,174 43,667
15 | 44,037 | 44,540 | 45,050 | 45,566 | 46,088 | 46,616 | 47,151 | 47,694
16 | 48,100 | 48,654 | 49,214 | 49,781 | 50,356 | 50,938 | 51,528 | 52,123
17 _| 52,570 | 53,179 | 53,796 | 54420 | 55,052 | 55,692 | 56,339 | 56,995
18 57,488 58,157 58,836 59,522 60,218 60,922 61,634 62,355
19 63,653 64,637 65,636 66,652 67,685 68,733 69,801 70,884
20 | 71,487 | 72,597 | 73,727 | 74,875 | 76,042 | 77,228 | 78,432 | 79,657
21 80,338 81,594 82,870 84,166 85,485 86,824 88,186 89,570
22 90,340 91,758 93,201 94,667 96,156 97,671 99,209 100,772
23__| 101,642 | 103,245 | 104,875 | 106,531 | 108,215 | 109,925 | 111,664 | 113,431
24__| 114,413 | 116,225 | 118,067 | 119,938 | 121,840 | 123,774 | 125,739 | 127,735
25 129,955 | 132,021 | 134,120 | 136,254 | 138,422 | 140,626 | 142,866 | 145,142
26 | 146,408 | 148,741 | 151,114 | 153,525 | 155,975 | 158,465 | 160,996 | 163,569
27 | 164,998 | 167,636 | 170,317 | 173,041 | 175,810 | 178,623 | 181,484 | 184,391
28 186,007 | 188,987 | 192,016 | 195,095 | 198,222 | 201,404 | 204,635 | 207,919
29 | 209,745 | 213,114 | 216,536 | 220,015 | 223,550 | 227,144 | 230,795 | 234,507
30__ | 236,570 | 240,375 | 244,243 | 248,175 | 252,169 | 256,230 | 260,356 | 264,550
31__| 346,544 | 353,245 | 360,079 | 367,045 | 374,149 | 381,389 | 388,772 | 396,299
32 412,503 | 420,754 | 429,170 | 437,756 | 446,515 | 455,452 | 464,569 | 473,869
33__| 519,956 | 535,453

e@anen =

See. 5. Salary Adjustment in LGUs. ~ The salary or wage adjustments, provided in
Section 3 hereof shall also be applied to the LGUs in accordance with the applicable
provisions of this Act.
The basic pay of barangay personnel shall be in the form of honoraria which shall not

exceed the percentage of the Salary Schedule corresponding to the income classification of
‘the LGU.



BRB

®

SBRBNBR

Sec. 6. Implementation Schedule, - The modified Salary Schedule as provided herein
shall be implemented in National Government Agencies as follows, subject to appropriations
by Congress:

a. Starting January 1, 2020, the first tranche schedule for civilian personnel;

b. By January 1, 2021, the second tranche schedule for civilian personnel; and

¢. By January 1, 2022, the third tranche schedule for civilian personnel

For covered GOCCs, GFls and LGUs, the implementation period shall be in at least
three (3) years depending on their financial capability, with each tranche starting not earlier
than the dates stated above. GOCCs, GFIs and LGUs which do not have adequate or
sufficient funds shall partially implement the modified Salary Schedule. In case of partial
implementation, the same shall be at uniform percentage across all positions for
every GOCC, GFI and LGU.

Sec. 7. Non-diminution in the Basic Salaries of Incumbent Employees. — In no case
shall there be any diminution in the basic salaries of incumbent employees upon the
implementation of this Act. For this purpose, they shall receive the new salary rates
prescribed herein which in no case shall be less than their existing salary rates.

Sec. 8. Compensation and Position Classification Report, — The DBM shall prepare a
Compensation and Position Classification Report for all government entities in the national
government; GOCCs and GFls including exempt entities and the status of implementation
thereof. The reports shall be periodically updated and submitted to Congress and the
Commission on Audit for public disclosure, monitoring, compliance with established policies
and as basis for future policy decisions.

Sec. 9. Periodic Review of the Compensation and Position Classification System. The
DBM and Civil Service Commission shall jointly review the Compensation and Position
Classification System every three (3) years, develop and recommend to the President a
competitive compensation and remuneration system which shall attract and retain talent.

Sec. 10. Appropriations. — The funding sources for the amounts necessary to
implement the modified Salary Schedule shall be as follows:

(a) For national government entities, the amount necessary for the immediate
implementation of this Act shall be included in the General Appropriations Act
(GAA);

(b) For covered GOCCs and GFls, the amounts shall come from their
respective corporate funds in the approved corporate operating budgets. Government
corporations which do not have adequate or sufficient funds shall only partially


implement the established rates: Provided, That any partial implementation shall be at

uniform proportion of the established rates for all positions in each government

corporation; and
(©) For LGUs, the amounts shall be charged against their respective local
government funds in accordance with the pertinent provisions of this Act and

Republic Act No. 7160.

Sec. 11. Implementing Rules and Guidelines. - Within sixty (60) days after the
effectivity of this Act, the DBM, Civil Service Commission and Governance Commission on
GOCCs shall formulate the rules and regulations to effectively implement the provisions of
this Act.

Sec. 12. General Repealing and Amendatory Clause. — Any law, presidential decree
or issuance, executive order, corporate charters, implementing rules and regulations,
circulars, and other issuances prescribing salary grades for government officials and
employees which are inconsistent with the provisions of this Act are hereby repealed,
amended or modified accordingly.

Sec. 13. Separability Clause. - If any portion or provision of this Act is declared
‘unconstitutional, the remainder of this Act or any provisions not affected thereby shall remain
in force and effect.

Sec. 14. Effectivity Clause. - This Act shall take effect fifteen (15) days following its
complete publication in two (2) newspapers of general circulation or in the Official Gazette.

Approved,