Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No. ____ 
Introduced by HONORABLE STELLA LUZ A. QUIMBO 
AN ACT RIGHTSIZING THE NATIONAL GOVERNMENT TO IMPROVE PUBLIC 
SERVICE DELIVERY 
EXPLANATORY NOTE 
Last July 2022, the DBM supported the current administration’s proposal to 
rightsize the bureaucracy. The proposal, which shall determine which among the 187 
government agencies and GOCCs, aims to create a lean, efficient and government 
workforce by streamlining government roles and functions. This allows the national 
government to more effectively utilize resources towards its priority programs and 
policies. The DBM also stated that the rightsizing program may lead to the upsizing of 
key sectors such as education and healthcare, which shall open new opportunities for 
workers. The rightsizing program is also in line with the principle of devolution, and shall 
generate new jobs and opportunities in LGUs.  
The DBM Staffing Summary shows a significant increase in the total number of 
government personnel, from 1,108,856 in 2005, to 1,899,747 in 2022. Likewise, 
expenditure on personnel services (PS) in the budget has drastically increased, from 
P295.18 billion in 2005 to P1.4 trillion in 2022. Various studies have shown that the 
existing government structure is bloated and overstaffed, with redundant offices and 
overlapping, fragmented, or ambiguous functions. There is an evident need to 
reorganize government to ensure the efficient and effective delivery of public services. 
The proposed bill authorizes the President to rightsize the Executive branch. It 
lays out the scope and principles of the Government Rightsizing Program, with 
emphasis on the need for government to utilize digital platforms to efficiently optimize 
government roles and provide effective basic services for Filipinos. The bill also tasks 
the CSC to conduct a baseline job audit so that there is a data-based approach to 
reorganizing the government. It further establishes a Rightsizing Committee consisting 
of the Executive Secretary, the Secretary of Department of Budget and Management, 
the Secretary of Socio-Economic Planning, the Secretary of Information and 
Communication Technology, the Chairperson of the Civil Service Commission (CSC), 
and the Head of the Presidential Management Staff. The bill also ensures that affected 
government workers that will retire shall receive appropriate retirement packages, and, 
as practicable, affected workers who still wish to serve shall be retooled and assigned 
August 26, 2022
3:10 pm
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to agencies that would need more human resources after the rightsizing. Finally, the bill 
calls for an independent impact assessment to analyze the effects of the rightsizing 
program three years after its implementation. 
In view of the foregoing, the passage of this bill is earnestly sought. 
 STELLA LUZ A. QUIMBO, PhD 
     Representative 
     2nd District, Marikina City 
Republic of the Philippines 
HOUSE OF REPRESENTATIVES 


Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
House Bill No. ____ 
Introduced by HONORABLE STELLA LUZ A. QUIMBO 
AN ACT RIGHTSIZING THE NATIONAL GOVERNMENT TO IMPROVE PUBLIC 
SERVICE DELIVERY 
Be it enacted by the Senate and House of Representative of the Philippines in Congress 
assembled: 
Section 1. Short Title. – This Act shall be known as “as "Rightsizing the National 
1 
Government Act."  
2 
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State to 
3 
promote and maintain effectiveness, efficiency and economy in the government and 
4 
enhance institutional capacity to improve public service delivery, and to ensure the 
5 
attainment of the country's societal and economic development goals and objectives. 
6 
Consistent with this, the government shall focus its functions and resources on the 
7 
essential role, scope, and level of governance, and minimize, if not eliminate, 
8 
redundancies, overlaps and duplication in its operations and simplify its rules and 
9 
regulations, systems and processes.  
10 
SEC. 3. Coverage. - This Act shall cover all agencies of the executive branch, 
11 
including departments, bureaus, offices, commissions, boards, councils, and all other 
12 
entities attached to or under their administrative supervision, government-owned or -
13 
controlled corporations (GOCCs) not covered by Republic Act No. 10149 or the "GOCC 
14 
Governance Act of 2011".  
15 
The Legislature, the Judiciary, the Constitutional Commissions, and the Office of 
16 
the Ombudsman may, within their respective authorized appropriations, likewise 
17 
rightsize their respective offices, consistent with the principles and guidelines contained 
18 
in this Act.  
19 
Local government units (LGUs) may also rightsize their respective offices, 
20 
consistent with the governing principles and guidelines contained in this Act and the 
21 
provisions of Republic Act No. 7160 or the "Local Government Code of 1991", and 
22 
subject to their financial capability. 
23 
The Governance Commission for GOCCs (GCG) shall continue to exercise its 
24 
authority under Republic Act No. 10149 to reorganize, merge, streamline, abolish, or 
25 
privatize any GOCC, in consultation with the department or agency to which the GOCC 
26 
is attached. 
27 
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SEC. 4. Principles and Guidelines. The National Government shall implement a 
1 
Rightsizing Program in accordance with the following principles and guidelines:  
2 
(a) The role of government and the scope, level, and prioritization of government 
3 
activities shall be determined in accordance with the constitutional mandate, political 
4 
and socioeconomic objectives of the government, and available resources; 
5 
(b) The government shall establish a conducive policy environment to encourage 
6 
active private sector engagement in the production and delivery of goods and services;  
7 
(c) The delineation of responsibilities between the National Government and the 
8 
LGUs in the provision, production, and delivery of goods and services shall be clearly 
9 
defined; 
10 
(d) A whole-of-government approach shall be adopted to ensure seamless 
11 
operations of agencies within and across sectors and to be more responsive to public 
12 
needs;  
13 
(e) Government operations shall be simplified so that the departments/agencies 
14 
can focus on the performance of their core functions and implementation of programs 
15 
and projects that will lead to the attainment of the desired sectoral and national goals 
16 
and outcomes;  
17 
(f) Government systems and processes shall be simplified and modernized to 
18 
facilitate the delivery and upgrade the quality of frontline services, as well as to improve 
19 
policy formulation, planning and performance evaluation, and raise overall productivity 
20 
of the public sector; 
21 
(g) The utilization of digitalization and E-governance as a means to efficiently 
22 
optimize government roles and provide prompt and effective basic services to the 
23 
Filipino people; 
24 
(h) Government rules, procedures, and requirements shall be rationalized to 
25 
reduce the regulatory burden on citizens, businesses, and other stakeholders, as well 
26 
as reduce the administrative burden on the part of the government; and 
27 
(i) The organizational structure of an agency shall be designed to facilitate the 
28 
effective, efficient, and economical implementation of programs and projects, and the 
29 
attainment of organizational outputs and outcomes; rightsized and the appropriate 
30 
staffing mix shall be determined based on the skills and competencies required to 
31 
effectively and efficiently carry out the agency's mandate and functions. 
 
32 
SEC. 5. Authority of the President of the Philippines to Rightsize the Operations 
33 
of the Executive Branch. - Pursuant to the governing rules, policies, standards and 
34 
guidelines stipulated in this Act, the President of the Philippines is hereby granted the 
35 
following authority in the rightsizing of the operations of the different agencies of the 
36 
Executive Branch:  
37 
(a) To pursue the following functional shifts/modifications;  
38 
(1) Strengthen functions of the agency which directly contribute to the targeted 
39 
ultimate societal outcomes of the National Government and/or the targeted 
40 
sector/subsector outcomes of the agency;  
41 


(2) Scale down, phase out, eliminate or discontinue functions, programs, and 
1 
projects that can better be carried out or undertaken by the private sector, or have 
2 
already been devolved to LGUs consistent with the governing principles provided in this 
3 
Act; and  
4 
(3) Transfer/integrate functions from one agency to another which can better 
5 
perform the same. 
6 
(b) To undertake the following organizational actions:  
7 
(1) Regularize ad hoc offices whose functions are vital and significant, thus must 
8 
be continually undertaken by the government; 
9 
(2) Merge or consolidate agencies whose functions are necessarily overlapping 
10 
or duplicating and can be undertaken by a single entity; or clients are similar or related 
11 
to rationalize the use of government resources;  
12 
(3) Split agencies with multifarious functions which are deemed distinct and 
13 
equally serve important aspects of governance; 
14 
(4) Transfer offices to other agencies wherein their functions are more aligned; 
15 
and  
16 
(5) Abolish agencies: (i) which functions are already redundant or no longer 
17 
relevant or necessary, or better undertaken by another entity; (ii) which are no longer 
18 
achieving the objectives and purposes for which these were originally created; (iii) which 
19 
are not cost-effective since these do not generate the desired levels of outputs and 
20 
outcomes vis-à-vis the resource inputs; and/or (iv) which have already become non-
21 
operational, dormant and/or outlived their purposes 
22 
(c) To undertake other functional/organizational actions, as necessary, consistent 
23 
with the policies, principles, framework, and standards of this Act. 
24 
(d) To develop and provide safety nets, including their implementation strategies, 
25 
for employees of departments/agencies who may be affected by the government’s 
26 
rightsizing efforts 
27 
(e) To formulate an organizational development program to strengthen the 
28 
institutional capacity of the agencies and improve productivity of employees 
29 
SEC. 6. Conduct of Baseline Job Audit for Government Rightsizing. – The Civil 
30 
Service Commission, in consultation with concerned departments/agencies, accredited 
31 
public sector unions, and other relevant stakeholders, shall conduct a baseline study 
32 
that shall determine the optimal government organizational structure, based on the 
33 
principles stated in Section 4 of this law. The aforementioned survey shall be conducted 
34 
within one (1) year from the effectivity of this Act. Copies of the study shall be furnished 
35 
to the Office of the President, the Congress and the Committee on Rightsizing the 
36 
Executive Branch. 
37 
 
38 


SEC. 7. Creation of a Committee on Rightsizing the Executive Branch – A 
1 
Committee on Rightsizing the Executive Branch is hereby created to oversee the 
2 
implementation of the Rightsizing Program, in accordance with the provisions of this Act.  
3 
 
The Committee shall be composed of the Executive Secretary as Chairperson, 
4 
the Secretary of Department of Budget and Management as Co-Chairperson, with the 
5 
Secretary of Socio-Economic Planning, Secretary of Information and Communication 
6 
Technology, Chairperson of the Civil Service Commission (CSC), and the Head of the 
7 
Presidential Management Staff, as members.  
8 
 
The Committee shall organize Subcommittees composed of experts on 
9 
government operations, organizational development, and human resource management 
10 
to assist in the performance of its functions.  
11 
 
The DBM shall provide the necessary secretariat services to the Committees and 
12 
its subcommittees.  
13 
 
In the spirit of transparency and participatory governance, the Committee shall 
14 
consult the departments/agencies concerned and accredited public sector unions, and 
15 
other stakeholders, relative to the implementation of the Executive Branch Rightsizing 
16 
Program. 
17 
SEC. 8. Powers and Functions of the Committee on Rightsizing the Executive 
18 
Branch – The Committee shall have the following powers and functions:  
19 
(a) To develop the policies, framework, strategies, and mechanisms to be 
20 
adopted in the implementation of the Executive Branch Rightsizing Program;  
21 
(b) To conduct studies on the functions, programs, projects, operations, structure, 
22 
and manpower complement of the different departments/agencies;  
23 
(c) To develop and prepare the rightsized organizational structure of 
24 
department/agencies concerned and the corresponding executive issuance for approval 
25 
by the President;  
26 
(d) To develop and prepare the overall change management program, including 
27 
communication plans, to effectively manage the transition and ensure the smooth 
28 
implementation of the Rightsizing Program;  
29 
(e) To formulate the mechanisms to safeguard the welfare of employees who 
30 
may be affected by the rightsizing efforts, as well as the appropriate organizational 
31 
development program, for approval of the President; 
32 
(f) To monitor the implementation by the different agencies of their respective 
33 
approved Rightsizing Plans, and report to the President any issue that must be 
34 
addressed.  
35 
(g) To engage the services of experts/consultants, through the DBM, to assist the 
36 
Committee and its Subcommittees in the performance of their functions; and  
37 
(h) To formulate the implementing rules and regulations (IRR) of this Act.  
38 


SEC. 9. Submission of the Rightsized Organization Structure and Proposed 
1 
Executive Issuances to the President. – The Committee on Rightsizing the Executive 
2 
Branch shall submit to the President the rightsized organizational structure of agencies 
3 
concerned and the corresponding executive issuances within two hundred fifty (250) 
4 
days from the effectivity of the implementing rules and regulations (IRR) of this Act.  
5 
SEC. 10. Submission of the Detailed Organizational Structure and Staffing to the 
6 
DBM. – The heads of agencies shall prepare and submit to the DBM the detailed 
7 
organizational structure and staffing of their respective agencies within ninety (90) days 
8 
after the approval of the proposed executive issuance by the President; Provided, That 
9 
assistance in the preparation of organizational structure and staffing pattern has been 
10 
extended to the agency by the DBM and the CSC.  
11 
SEC. 11. Retirement Benefits and Separation Incentives for Personnel Who May 
12 
be Affected by the Executive Branch Rightsizing Program. – The affected personnel 
13 
hired on a permanent basis with appointment attested by the CSC, shall be entitled to 
14 
retirement benefits and separation incentives.  
15 
(a) The affected personnel shall be given the option to avail themselves of any of 
16 
the following retirement benefits under existing laws, if qualified:  
17 
(1) Retirement gratuity provided under Republic Act No. 1616 (An Act Further 
18 
Amending Section Twelve of Commonwealth Act Numbered One Hundred Eighty-Six, 
19 
as Amended, by Prescribing Two Other Modes of Retirement and for Other Purposes), 
20 
as amended; or  
21 
(2) Retirement benefit under Republic Act No. 660 (An Act to Amend 
22 
Commonwealth Act Numbered One Hundred and Eighty-Six Entitled “An Act to Create 
23 
and Establish a Government Service Insurance System, to Provide for its 
24 
Administration, and to Appropriate the Necessary Funds Therefor,” and to Provide 
25 
Retirement Insurance and for Other Purposes); or  
26 
(3) Retirement, separation, or unemployment benefit provided under Republic 
27 
Act No. 8291 (An Act Amending Presidential Decree No. 1146, as Amended, Expanding 
28 
and Increasing the Coverage and Benefits of the Government Service Insurance 
29 
System, Instituting Reforms Therein and for Other Purposes)  
30 
The retirement gratuity benefit of affected personnel who are qualified and shall 
31 
avail of Republic Act No. 1616 shall be paid by the Government Service Insurance 
32 
System (GSIS). The GSIS shall no longer pay the refund of retirement premiums (both 
33 
personnel and government shares) of the affected personnel who shall avail of Republic 
34 
Act No. 1616 benefits. 
35 
(b) In addition to said retirement benefits, the affected personnel who would opt 
36 
to retire or be separated shall be entitled to the following applicable separation 
37 
incentives:  
38 
(1) One half (1/2) of the actual monthly basic salary for every year of government 
39 
service, for those who have rendered less than eleven (11) years of service;  
40 


(2) Three fourth (3/4) of the actual monthly basic salary for every year of 
1 
government service, computed starting from the first (1st) year, for those who have 
2 
rendered eleven (11) to less than twenty-one (21) years of service; 
3 
(3) The actual monthly basic salary for every year of government service, 
4 
computed starting from the first (1st) year, for those who have rendered twenty-one (21) 
5 
to less than thirty-one (31) years of service; and  
6 
(4) One and one fourth (1 ¼) of the actual monthly basic salary for every year of 
7 
government service, computed starting from the first (1st) year, for those who have 
8 
rendered thirty-one (31) years of service and above.  
9 
The actual monthly basic salary shall refer to the salary of the affected personnel 
10 
as of the date of approval of the agency’s detailed organizational structure and staffing 
11 
by the DBM.  
12 
A minimum of five (5) years of government service is required in order for affected 
13 
personnel to be entitled to avail of the Program’s separation incentives under Section 
14 
10(b) of this Act: Provided, That for the purpose of computing the total amount of 
15 
separation incentives that an affected personnel shall receive, only the government 
16 
service up to age fifty-nine (59) and a fraction thereof shall be counted. Government 
17 
service starting at the age of sixty (60) shall no longer be subject to the separation 
18 
incentives provided herein, without affecting the original incentive factor determined as 
19 
applicable based on the actual years of service of the affected personnel: Provided, 
20 
further, That for the purpose of complying with the required number of years of services 
21 
under Republic Act No. 8291, the portability scheme under Republic Act No. 7699 (An 
22 
Act Instituting Limited Portability Scheme in the Social Security Insurance Systems by 
23 
Totalizing the Workers’ Creditable Services or Contributions in Each of the Systems) 
24 
may be applied, subject to existing policies and guidelines. 
25 
 
The affected personnel, if with permanent appointment attested by the CSC, who 
26 
will opt not to retire from the service shall be placed in a manpower pool to be organized 
27 
and administered by the CSC. The CSC, in coordination with other government 
28 
agencies and relevant private institutions shall retool the subject personnel and deploy 
29 
them to agencies which require their qualifications, skills, and competencies. The 
30 
number of personnel who will avail of the separation incentives under Section 10 shall 
31 
in no case exceed the number of positions declared for abolition.  
32 
 
The specific guideline to carry out the provisions shall be prescribed in the IRR 
33 
of this Act. 
34 
 
SEC. 12. Other Benefits of Retired/Separated Personnel. – The affected 
35 
personnel who retire or are separated shall in addition to the applicable benefits above, 
36 
be entitled to the following:  
37 
 
(a) Refund of Pag-IBIG contributions, both personal and government of all 
38 
affected members, pursuant to existing rules and regulations of the Home Development 
39 
Mutual Fund; and 
40 
 
(b) Commutation of unused vacation and sick leave credits of the affected 
41 
personnel in accordance with existing rules and regulations. 
42 


 
SEC. 13. Period of Availability of the Retirement Benefits and Separation 
1 
Incentives. – The retirement benefits and separation incentives provided in this Act shall 
2 
be available within sixty (60) days upon approval by the DBM of the detailed rightsized 
3 
organization structure and staffing of departments/agencies concerned. 
4 
 
SEC. 14. Prohibition on Reemployment of Personnel Retired/Separated from the 
5 
Service. – Personnel who retire or are separated from the service as a result of the 
6 
implementation of the Rightsizing Program shall not be reemployed in any agency of the 
7 
Executive Branch, including in GOCCs, for a period of five (5) years, except as teaching 
8 
or medical staff in educational institutions and hospitals, respectively. 
9 
 
The retired/separated personnel under the program who undertake in 
10 
consultancy services for the government shall be governed by Section 7 of Republic Act 
11 
No. 6713 (Code of Conduct and Ethical Standards for Public Officials and Employees). 
12 
 
SEC. 15. Joint Congressional Oversight Committee in Rightsizing Program. – 
13 
There is hereby created an oversight committee to oversee, monitor and evaluate the 
14 
implementation of this Act.  
15 
 
The oversight committee shall be composed of five (5) members each from the 
16 
Senate and House of Representatives which shall include members of the Senate 
17 
Committee on Civil Service, Government Reorganization and Professional Regulation, 
18 
the Senate Committee on Finance, the House Committee on Government 
19 
Reorganization and the House Committee on Appropriations. 
20 
 
SEC. 16. Conduct of an Impact Assessment. – The DBM shall commission the 
21 
conduct of an independent impact assessment on the Executive Branch Rightsizing 
22 
Program three (3) years from its completion to, among others, determine the effects of, 
23 
and gains from, the implementation of the Program.  
24 
 
SEC. 17. Report to Congress. – The President shall submit a report to Congress 
25 
on the results of the Program after the completion of its implementation. 
26 
 
SEC. 18. Sunset Provision. – The authority given to the President under this Act, 
27 
as well as the existence of the Committee on Rightsizing the Executive Branch, shall 
28 
end four (4) years after the effectivity of this Act. 
29 
 
SEC. 19. Implementing Rules and Regulations. - The Committee on Rightsizing 
30 
the Executive Branch shall formulate the necessary IRR within thirty (30) days from the 
31 
organization of the Committee. The IRR shall take effect fifteen (15) days after its 
32 
publication in a newspaper of general circulation. 
33 
 
SEC. 20. Provisions Applicable to Other Branches of Government, Constitutional 
34 
Commissions, Office of the Ombudsman and the LGUs. – The governing principles, 
35 
policies, standards, and guidelines, as well as the conditions and limitations provided in 
36 
this Act shall be followed in the implementation of the Rightsizing Program by other 
37 
branches of government, Constitutional Commissions, Office of the Ombudsman, and 
38 
the LGUs. 
39 
 
The heads of offices shall issue their respective IRR and furnish a copy thereof 
40 
to the Joint Congressional Oversight Committee on the Rightsizing Program and the 
41 
DBM. 
42 


 
SEC. 21. Funding Requirements. – The amount necessary for the initial 
1 
implementation of this Act shall be sourced against any applicable appropriation items 
2 
under the current General Appropriations Act. Subsequent amount needed to continue 
3 
the implementation of the Executive Branch Rightsizing Program in the Executive 
4 
Branch shall be included in the succeeding appropriations. 
5 
 
In the event that the Legislative, Judiciary, Constitutional Commissions and the 
6 
Office of the Ombudsman implement the rightsizing under this Act, the funding 
7 
requirements shall be included in the succeeding appropriations. 
8 
 
SEC. 22. Separability Clause. – If any provision of this Act is declared 
9 
unconstitutional or invalid, the other provisions not otherwise affected shall remain in full 
10 
force and effect. 
11 
 
SEC. 23. Repealing Clause. – If any provision of this Act is declared 
12 
unconstitutional or invalid, the other provisions not otherwise not affected shall remain 
13 
in full force and effect. 
14 
 
SEC. 24. Effectivity. – This Act shall take effect fifteen (15) days after its 
15 
publication in the Official Gazette or in any newspaper of general circulation. 
16 
 
Approved,