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REPUBLIC OF THE PHILIPPINES 2019
HOUSE OF REPRESENTATIVES

Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. _ 1972

Introduced by MAGDALO Party-List Representative
HON. MANUEL DG. CABOCHAN II

EXPLANATORY NOTE

Presidential Decree 807 or the Civil Service Decree of the Philippines created three levels in
our civil service system, These are: the first level, which includes the clerical, trades, crafts
and custodial service positions for non-professional or sub-professional work requiring less
than four years of collegiate studies; the second level, which includes the professional,
technical and scientific positions requiring at least four years of college work up to Division
Chief level; and the third level, which mainly covers positions in the career executive service,
the entry to which is currently prescribed by the Career Executive Service Board or CESB.

Those who belong in the third level of the civil service system occupy positions in the
executive and managerial services. They enjoy security of tenure, mobility, and classification
based on ranks. These positions have significant roles in the bureaucracy as they have a direct
hand both in the formulation and implementation of government policies thus it is important
that we enact a system that would set up career development and professionalize the career
executive service.

This bill seeks to systematize appointments and promotions in the government by providing
for a systematized career rank progression in the bureaucracy. It also seeks to create a Career
Executive Service Board (CESB) that will issue rules, standards and procedures in the
recruitment, selection, and assignment to positions, classification, compensation, mobility,
performance management, tour of duty, rewards and incentives and training of the Career
Executive Service Officers (CESOs).

This bill also aims to promote the concept of merit and fitness over that of trust and
confidence. It is hoped that thru the passage of this bill, the practice of appointing people to
career executive positions in the government even if that person is not eligible will be
averted.

In view of the foregoing, immediate passage of this bill is earnestly sought.

MANU CHAN LIL
Representatn
Magdalo Para sa Pilipino Party-List


REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. 1972

Introduced by MAGDALO Party-List Representative
HON. MANUEL DG. CABOCHAN III

AN ACT
STRENGTHENING THE CAREER EXECUTIVE SERVICE

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

ARTICLE 1
GENERAL PROVISIONS

SECTION 1. Short Title. - This Act shall be known as the "Career Executive Service
Act."

SEC. 2.Declaration of Policy.— It is the policy of the State, under Article IX, B,
Section 3 of the 1987 Philippine Constitution, to establish a career service and to provide the
public sector with a well-selected and development-oriented corps of public managers who
possess the necessary expertise and responsive leadership qualities that will serve as a
stabilizing force, an instrument for change, a vanguard of professionalism and careerism the
civil service, and a critical link between the government and the people. Towards this end, the
State hereby calls for an effective, efficient and responsible administration of the
executive/managerial class within the third level of the career service that will maintain
continuity and stability in the bureaucracy.

SEC. 3. Coverage. - This Act shall cover the Career Executive Service which consists
of the executive/managerial class of the third level of the career service in the Executive
Branch of the government all of whom shall be appointed by the President and those
occupying positions above division chief level but are not appointed by the President.

SEC. 4. Definitions of Terms. - As used in this Act, the following terms shall be
construed as follows:

a) “Career Executive Service (CES)” refers to the corps of well-selected and
development-oriented career executive who provide competent and faithful service.

b) “Career Executive Service Board (CESB)” refers to the policymaking body
responsible for the development, maintenance and administration of the System under
the supervision of the Civil Service Commission as provided herein.


c

“Career Executive Service Eligible (CESE)” refers to a person who passed the
qualifying examination process set by the CESB but has not yet been appointed to a
position in the CES.

d

“Career Executive Service Officer (CESO)” refers to a Career Executive Service
Eligible who is conferred a CES rank and appointed to a position covered by the CES.

©)

“Career Executive System (System)” refers to the system designed to professionalize
and promote career development among the executive and managerial personnel of
the third level in the career service.

f) “Mobility” refers to the movement of a CESO from one position to another without
reduction in rank or salary.

g) “Rank” refers to the index of classification of CESO to which a CESE may be
appointed by the President in accordance with the requirements prescribed by the

Board.

h) “Third level” refers to the highest level in the career service of the Civil Service
System includes positions in the executive and managerial class covering all positions
higher than Chief of Division based on the position classification system of the
Department of Budget and Management and the Civil Service Commission,

ARTICLE IL
CAREER EXECUTIVE SYSTEM.

SEC. 5. The Career Executive System. The System shall cover all executive and
managerial positions in the third level of the career service in the Executive Branch, as
defined in Section 4 hereof. Entry and advancement in the System shall be governed by the
principles of merit and fitness, security of tenure and mobility.

SEC. 6. Career Executive Service Board (CESB).- A Career Executive Service
Board, hereinafter referred to as the Board, under the supervision of the Civil Service
Commission is hereby created. It shall be composed of the Chairperson of the Commission
who shall serve as the Board's ex-officio Chairperson and four (4) ex-officio members,
namely: the Secretary of the Department of Budget and Management (DBM) or his/her
permanent representative holding a position not lower than an Undersecretary; the President
of the Development Academy of the Philippines (DAP); the Dean of the National College of
Public Administration and Governance (NCPAG) of the University of the Philippines; and
the representative of a duly accredited national federation or union of CESOs. The board
shall also include three (3) members to be appointed by the President for a term of three (3)
years, namely: a representative of a nationwide association of personnel and/or human
resource practitioners in the private sector; a representative of the Philippine Association of
Professional Regulatory Board Members (PAPRBM) and a representative of the Office of the
President,

SEC. 7. Powers and Functions of the Board. - The Board shall be the policy-making
body for the System. It shall promulgate rules, standards and procedures in the recruitment,
selection, assignment to positions, attestation of appointment to CES positions, conferment of
ranks, classification, compensation, mobility, performance management, tour of duty,

2


rewards and incentives and training, and career development of CESOs and CESEs:
Provided, That in the exercise of its power of supervision, the Commission may motu proprio
review, revise or reverse any policy of the Board within a period of thirty (30) days from
receipt of written notice thereof: Provided, further, That if the Commission does not act
within the said period, the subject policy of the Board shall be deemed as presumptively
approved by the Commission.

SEC. 8. Office of the Career Executive Service (OCES). - The Office of the Career
Executive Service (OCES) shall serve as the Board's secretariat with its own administrative
and financial components. It shall be responsible for the implementation of the policies, rules,
regulations, decisions, directives and instructions pertaining to the System. It shall be headed
by an Executive Director, who shall be appointed by the President, assisted by two (2)
Deputy Executive Directors, both of whom shall be appointed by the President.

ARTICLE IL
POLICIES AND STANDARDS
IN THE CAREER EXECUTIVE SYSTEM

SEC, 9. Membership in the Career Executive System. - A person who meets the
academic, leadership, experience and other requirements and passes the required examination
prescribed by the Board shall be included in the register of CESEs and, upon appointment to
an appropriate rank in the CES, shall become an active member of the CES. A CESE who is
appointed to a position in the CES shall be recommended for original appointment to CESO
rank by the Board. This process completes his/her membership in the CES. Recruitment into
the System shall be conducted government-wide with provisions to allow qualified or
outstanding persons from the nongovernment or private sector to enter the CES.

SEC. 10. Security of Tenure.- A CES incumbent shall enjoy security of tenure in the
CES based on eligibility, and shall not be suspended nor dismissed except for cause and with
due process of law.

SEC. 11. Composition. - A CESO shall be compensated according to rank and
performance. In case a CESO occupies a position whose salary grade is higher than that of
the rank the CESO is holding, the CESO shall receive the difference between the salary grade
of the position and the rank. The Board, in coordination with the Commission and the DBM,
shall develop and periodically review a compensation plan for CESOs. The employing
agency shalll provide the funds to pay the salary, fringe benefits and allowances of a CESO.

SEC. 12. Rank System in the Career Executive System.- A CESO shall be appointed
in accordance with a rank system which shall be established and determined by the Board
Rank classification shall be based on proven competence and qualifications such as
appropriate academic and professional background, broad levels of responsibility and other
relevant considerations as may be prescribed by the Board.

SEC. 13. Promotion in Rank.- The Board shall provide for the criteria which shall be
the basis for promotion in rank. The criteria to be established shall include, but shall not be
limited to, performance, qualifications and proven competence. The Board shall recommend
to the President qualified CESOs who meet the criteria prescribed by the Board for promotion
in rank.


SEC. 14. Mobility in the Career Executive System. - A CESO may be assigned to
any position in the System without diminution in rank and salary. The tour of duty of each
CESO shall be for a period of three (3) years. During this period, the CESO shall not be
transferred to another office or position without consent. In filling a vacancy, the head of
agency shall give preference and priority to those who have been appointed to rank or
conferred CES eligibility. The Board shall provide information on vacancies, an updated list
of available qualified persons who may be assigned, and such other mechanisms to assist the
head of agency in the process of selection.

SEC. 15. Appointment to Positions in the Career Executive System. - A CESO and
CESE shall be given priority in appointments to vacant positions in the System. In
exceptional cases, a non-CESO and non-CESE may be appointed to a position in the System
on a temporary status but may be replaced once a CESO or CESE becomes available. Career
undersecretaries, assistant secretaries and other officials of similar rank in the System shall
preferably come from the roster of CESOs and CESEs. The appointing authority shall choose
from a list of at least three (3) eligible who are qualified, available and willing to be
appointed to the vacant position. The number of career undersecretaries, assistant secretaries
and other officials of similar rank appointed to positions in the government shall conform to
the number set by law. The Commission shall establish a mechanism to ensure that
assignments to positions in the System conform to the standards prescribed under this Act.

SEC. 16. Discipline. - Investigation and adjudication of administrative complaints
against occupants ’of positions in the CES appointed by the President shall be vested with the
President. In the case of non-presidential appointees, the same shall be vested concurrently
with the head of the agency and the Civil Service Commission.

SEC. 17. Training and Career Development. - The Board shall establish a continuing
program of training and career development of CESOs and CESEs.

SEC. 18. Performance Management. - The Board shall develop a system for periodic
evaluation of the performance of occupants of positions in the CES, taking into account their
accomplishments and managerial capability. This periodic evaluation system shall be the
basis for the grant of incentives and awards, as well as for sanctions for poor performance.

ARTICLE IV
MISCELLANEOUS PROVISIONS

SEC. 19. Review and Evaluation of the CESB System. - After the first three (3) years
of implementation of this Act and every three (3) years thereafter, the Civil Service
Commission shall convene an evaluation body that will conduct the evaluation of the Board
and the OCES in order to assess the effectiveness of the CESB in managing the System. The
body shall be composed of no less than three (3) heads of public and private institutions
whose work is related to executive development within the framework of developing
countries like the Philippines. At least two (2) of them should come from nongovernment
organizations (NGOs)

The evaluation body shall conduct public consultations and indicate its evaluation
reports and recommendations which portions have been the result of the said public
consultations.


The evaluation body shall submit its report and recommendations to the Board,
OCES, CSC and the appropriate committees in Congress

SEC. 20. Appropriations, - The amount necessary for the initial implementation of
this Act shall be charged against the current year's appropriations of the CESB. Thereafter,
such sums as may be necessary for the continued implementation of this Act shall be
included in the annual General Appropriations Act.

SEC. 21. Transitory Provisions. - The incumbent Chairman of the Board of the
current Career Executive Service Board, as well as the other incumbent Board members, shall
continue to exercise their duties and functions until the new Board shall have been created
pursuant to this Act. The Career Executive System Board (New Board) created under this Act
shall then succeed and take over the functions of the Career Executive Service Board (Old
Board) and the composition and members of the New Board, as enumerated under Section 6
of this Act, shall assume their respective posts: Provided, That

a) All rights pertaining to the CESOs and CESEs which shall have accrued prior to the
effectivity of this Act shall be respected;

b) The personnel, assets, finds, grants and records of the current CESB secretariat are
hereby transferred to the OCES; and

c) Incumbent officials and employees of the current CESB secretariat shall continue to
exercise their respective functions, duties and responsibilities with the corresponding
benefits and privileges and shall be deemed absorbed by the OCES.

SEC. 22. Implementing Rules and Regulations. The Board and the Commission
shall promulgate jointly the implementing rules and regulations (IRR) as may be necessary to
implement the intent and purposes of this Act. Said IRR shall be published in the Official
Gazette or in two (2) newspapers of general circulation.

SEC. 23. Repealing Clause, - Article 1V, Part III of the Integrated Reorganization
Plan as approved under Presidential Decree No.1, as amended, is hereby repealed. All
provisions of Executive Order No. 292, or the Revised Administrative Code of 1987 and
Executive Order No. 891, series of 2010 that are inconsistent with this Act are hereby
repealed. All other laws, rules and regulations or parts thereof that are inconsistent with the
provisions of this Act are hereby repealed or modified accordingly.

SEC, 24. Separability Clause.- \f any part, section or provision of this Act is held
invalid or unconstitutional, no other part, section or provision shall he affected by the
invalidity or unconstitutionality thereof.

SEC. 25. Effectivity Clause.- This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in at least two (2) newspapers of general circulation.

Approved,