Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

EIGHTEENTH CONGRESS
First Regular Session

4500
HOUSE BILL No.

Introduced by RAM Party-list REPRESENTATIVE ALOYSIA T. LIM

EXPLANATORY NOTE

In 2016, Executive Order 201, entitled, Modifying the Salary Schedule for Civilian
Government Personnel and Authorizing the Grant of Additional Benefits for Both Civilian and
Military and Uniformed Personnel, was signed by the President to bring government
compensation closer to that of the private sector and to maximize the take home pay of
government workers. It was implemented in four tranches which ended this year.

Despite the adjustments, salaries remain inadequate due to inflation. Rising prices of
basic commodities, surging tuition and other fees in private basic and higher educational
institutions, soaring fuel prices, and skyrocketing fees on health services gobble the beneficial
effects of said increases. As a result, the state of our estimated 1.8M government workers
remains the same, if not worse.

The challenge for the government is to implement a timely adjustment in order to
keep government salary, competitive; retain, attract and motivate talented civil servants; and
increase the purchasing power of its personnel. This includes periodic review of salaries vis-
a-vis inflation and fiscal position of the government.

This bill seeks to provide a ten percent (10%) salary increase, yearly, to government
personnel for a period of three (3) years. The first tranche of salary increase shall be
implemented on January 01, 2020 and every year thereafter until the final tranche in 2022.

This measure will alleviate the living conditions of government personnel and
motivate them to work productively and efficiently in the service of the country.

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



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

EIGHTEENTH CONGRESS
First Regular Session

4500

HOUSE BILL No.

Introduced by RAM Party-list REPRESENTATIVE ALOYSIA T. LIM

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

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

SECTION 1. Title. - This Act shall be known as the “Salary Standardization Law of 2020.”

SECTION 2. Declaration of Policy. - It is hereby declared the policy of the State to provide
adequate social services, promote full employment, raise the standard of living and improve
the quality of life of its people. Likewise, it guarantees that workers are entitled to a security
of tenure, humane conditions at work and a living wage.

The State ensures that the compensation is just and equitable by taking into account
fiscal realities, proper allocation of personal services cost, responsibilities and qualification of
positions, and its competitiveness vis-a-vis the salary of the private sector.

The State shall conduct timely and periodic review of the compensation, considering
the changes in skills and competency requirement in the bureaucracy, competitiveness
relative to the salaries of the private sector and inflation.

SECTION 3. Coverage. — The salary schedule herein provided shall apply to all civilian
government personnel in the Executive, Legislative and Judicial Branches, Constitutional
Commissions, Government-owned and Controlled Corporations (GOCCs) not covered by
Republic Act No. 10149, and Local Government Units (LGUs). This shall cover regular,
contractual or casual, appointive or elective, and full-time or part-time government
personnel.



SECTION 4. Salary Schedule. The modified Salary Schedule for civilian government personnel
to be implemented in three (3) tranches shall be as follows:

FIRST TRANCHE
sTepi | step2 | step3 |stepa [STEPS | STEPG | STEP7 | STEPS
a2i7s_| 12276 | 12379 | 12483 | 12587 | 12692 | 12799 | 12905 |
12937 | 13036 | 13136 | 13237 | 13339 | 13441 | 13544 | 13648
13713_| 13818 | 13924 | 14032 | 14139 | 14247 | 14357 | 14467
14535_| 14648 | 14760 | 14873 | 14988 | 15102 | 15219 | 15335
1sao8_| 15527 | 15645 | 15765 | 15886 | 16008 | 16132 | 16255
16332 | 16457 | 16584 | 16711 | 16840 | 16969 | 17100 | 17230
37312_| 17445 | 17579 | 17714 | 17850 | 17987 | 18125 | 18264
18434 | 18601 | 18769 | 18939 | 19109 | 19282 | 19457 | 19633
19773 | 19938 | 20105 | 20273 | 20442 | 20613 | 20786 | 20959
2iis6 | 21333 | 21512 | 21683 | 21872 | 22056 | 22240 | 22426
22829 | 23142 | 23460 | 23781 | 24107 | 24438 | 24772 | 25112
25232 | 25544 | 25861 | 26181 | 26506 | 26835 | 27167 | 27503
27755 | 28100 | 28447 | 28799 | 29157 | 29517 | 29883 | 30253
30531 | 30909 | 31292 | 31680 | 32072 | 32469 | 32871 | 33278
33584 | 34000 | 34421 | 34848 | 35279 | 35716 | 36158 | 36607
36942 | 37400 | 37863 | 38332 | 38807 | 39288 | 39775 | 40267
4063s | 41140 | 41649 | 42165 | 42688 | 43217 | 43751 | 44294
aa7o1 | 42254 | 45815 | 46382 | 46957 | 47539 | 48127 | 48723
49796 | so609 | 51435 | 52274 | 53128 | 53995 | 54877 | 55772
56271 | 57188 | se122 | 59070 | 60035 | 61015 | 62010 | 63022
63586 | 64623 | 65678 | 66749 | 67839 | 68946 | 70071 | 71215
71851 | 73024 | 74216 | 75427 | 76658 | 77910 | 79181 | 80473
g1192_| 82517 | 93864 | 85232 | 86624 | 88037 | 89474 | 90935
91747 | 93244 | 94766 | 96313 | 97885 | 99483 | 101107 | 102757
104591 | 106299 | 108033 | 109797 | 111see | 113410 | 115261 | 117142
digiss | 120117 | 122078 | 124070 | 126095 | 128153 | 130244 | 132371
133552 | 135732 | 137948 | 140199 | 142487 | 144813 | 147177 | 149579
150915 | 153377 | 155881 | 158425 | 161010 | 163639 | 166310 | 169024
170533 | 173317 | 176145 | 179021 | 181942 | 184912 | 187930 | 190997
192702 | 195847 | 199044 | 202293 | 205594 212361 | 215827
283590 | 289128 | 29476 | 300533 | 306404 318490 | 324710
338102 | 344920 | 351876 | 358972 | 306211 | 373596 | 381131 | 388817
426906 | 439713 [ |

RIBS )BIS|R) R/S) G/S |B S/o /e|~lajualwin ins

RRB

B)8/8/8/B/8 81s



2ND TRANCHE

SG|STEP1 | STEP2 |STEP3 |STEP4 | STEPS |STEPG6 | STEP7

1 | 13392] 13504] _13617| _13731| 13846 _13961| 14078

2 | 14231| 14340] 14450 14561| _14672| _14785| 14899

3 | 15084/ 15200| 15316| 15435| 15553| 15672| 15793

4 | 1s989| 16112| 16236 | _16360| _16486| 16612| 16740

5 | 16948| 17079| 17210| 17342| _17475| 17609 1745

6 | 17965| 18103] 18242| 18382| 18524| _18665| 18809

7 | 19043 | 19189 19337| 19486 | 19635 | 19786 | 19937

8 | 20277| 20461| 20646 | 20833 21020| 21210 | 21402

9 | 21750| 21931 22115| 22300 _22487| _22674| 22864

10 | 23272 663 | 23861 | 24060| 24262 24464

a1 | 25112 2s806| 26159| 26517| _26881| 27249

12[ 27755 28447 | 28799| 29156 | 29518 | 29883

13 | 30531 31292| 31679 32072| 32469 32871

14 | 33584 3aaz1| _34a4a| 35279| 35716| 36158

15 |36943| 37400| 37863| 38333| 38807| 39287| 39774

16 | 40637| 41140| 41649 | 42165 | 46843216 | 43752

a7 | 44700| 45254 | 45814| _46382| 46956 | 47538 | 48127
1s[_49171| 49779 50397| _51020| _s16s2| _52293| 52940

a9 | sa775|__55670| _56578| _57502| _ssaai| 59394| 60364

20 | 61898| 62907| _63934| 64977| 66038 | 67116 | 68211

21| 69944 | 7108s| 72245| 73424| 74623| _75840| 77078

22 | 79036| 80326, _81637| 82970| 84324 —85701| 87099

23 | 39311| 90768) _92250| _93756| 95286 | 96841| 98421 | 100028
24 | 100921 | 102568 | 104243 105944| 107673 | 109431 | 111217| 113032
25 | 115050| 116928 | 118837| 120776 | 122747 | 124751 | 126787 | 128857
26 | 130007 | 132128 | 134286 | 136477| 138705 | 140969 | 143269 | 145608
27 | 146907 | 149306 | 151742 | 154219 | 156736 | 159294 | 161894 | 164537
28 | 166006 | 168715 | 171469 | 174268| 177111| 180003| 182941| 185926
29 | 187586 | 190649 | 193760 | 196923 | 200136 | 203403 206722| 210097
30 | 211973| 215432| 218948 | 222523| 226154| 229846 | 233597 | 237409
31 | 3119¢9| 318041 | 324253 | 330587| 337044 343627 350339 | 357181
32| 371912| 379412 | 387063 | 394869| 402832| 410956 | 419244 | 427699
33 | 469596 | 483684



‘THIRD TRANCHE

sc[stepa [step2 |step3 |stepa |steps | STEP6 | STEP7 | STEPS
1 | 14732 | 14854 | 14979 | 15104 | 15231 | 15357 | 15486 | 15615
2 | 15654 | 15774 | 15895 | 16017 | 16140 | 16263 | 16389 | 16514
3 | 16592 | 16720 | 16848 | 16978 | 17109 | 17239 | 17372 | 17505
4 | 17588 | 17724 | 17859 | 17996 | 18135 | 18273 | 18414 | 18555
5 | 18643 | 18787 | 18931 | 19076 | 19222 | 19370 | 19519 | 19668
6 | 19761 | 19913 20376 | 20532 | 20690 | 20849
7 | 20947 | 21108 21598 | 21765 | 21931 | 22100
8 | 22305 | 22507 23122 | 23331 | 23543 | 23756
9 | 23925 | 24124 24735 | 24942 | 25151 | 25361
10 | 25599 | 25813 26466 | 26688 | 26910

31 | 27624 | 28002 29169 | 29569 | 29974 | 30385
32 | 30530 | 30908 32072 | 32470 | 32872 | 33279
13 | 33584 | 34000 | 34421 35279 | 35716 | 36158 | 36606
14 | 36942 | 37400 | 37863 38807 | 39287 | 39774 | 40267
15 | 40637 | 41140 | 41650 42688 | 43216 | 43751 | 44294
16 | 44700 | 45254 | 45814 46956 | 47538 | 48128 | 48723
17 | 49170 | 49779 | 50396 51652 | 52292 | 52939 | 53595
1s | 5408s | 54757 | 55436 56818 | 57522 | 58234 | 58955
19 | 60253 | 61237 | 62236 64285 | 65333 | 66401 | 67484
20 | 68087 | 69197 | 70327 72642 | 73828 | 75032 | 76257
21 | 76938 | 78194 | 79470 8208s | 83424 | 84786 | 86170
22 | 86940 | 88358 | 89801 92756 | 94271 | 95809 | 97372
23 | 98242 | 99845 | 101475 | 103131 | 104815 | 106525 | 108264 | 110031
24 | 111013 | 112825 | 114667 | 116538 | 118440 | 120374 | 122339 | 124335
25 | 126555 | 128621 | 130720 | 132854 | 135022 | 137226 | 139466 | 141742
26 | 143008 | 145341 | 147714 | 150125 | 152575 | 155065 | 157596 | 160169
27 | 161598 | 164236 | 166917 | 169641 | 172410 | 175223 | 178084 | 180991
28 | 182607 | 185587 | 188616 | 191685 | 194822 | 198004 | 201235 | 204519
29 | 206345 | 209714 | 213136 | 216615 | 220150 | 223744 | 227395 | 231107
30 | 233170 | 236975 | 240843 | 244775 | 248769 | 252830 | 256956 | 261150
31 | 343144 | 349845 | 356679 | 363645 | 370749 | 377989 | 385372 | 392899
32 | 409103 | 417354 | 425770 | 434356 | 443115 | 452052 | 461169 | 470469
33 | 516556 | 532053

SECTION 5. Salary for Local Government Personnel - The salaries of the Local Government
Unit (LGU) personnel shall be based on the rates provided herein and determined by the
Department of Budget and Management (DBM) subject to the relevant provisions of

Republic Act 7160.

SECTION 6. Non-diminution in the Basic Salaries of Incumbent Employees. - There shall be no
inution of the basic salaries of incumbent personnel as a result of the implementation of

di

this Act.



SECTION 7. implementation Schedule. ~ The modified Salary Schedule provided herein shall
be implemented in National Government agencies in three (3) equal yearly tranches but in no
case beyond three (3) years. Provided, That the initial implementation shall take effect on
January 01, 2020.

For the GOCCs and LGUs, the implementation period shall be within three (3) years
subject to their financial capability. Provided, further, That the initial implementation shall not
be earlier than January 01, 2020.

SECTION 8. Periodic Review of Compensation. — The Department of Budget and Management
shall review the compensation of civilian government personnel every three (3) years and
recommend to the President and Congress a just and competitive remuneration.

SECTION 9. Appropriations. - The funding sources for the amounts necessary to implement
this Act shall be as follows:

(a) For the national government agencies, the amount shall be included in the FY 2020
General Appropriations Act. Thereafter, such amounts shall be included in the annual
General Appropriations Act.

(b) For GOCCs, the amounts shall come from their respective corporate funds in the
operating budget approved by the Department of Budget and Management.
Government corporations which do not have adequate or sufficient funds shall only
partially implement the established rates. Provided, That any partial implementation
shall be in uniform proportion of the established rates for all positions in each
government corporation; and

(c) For LGUs, the amounts shall be charged against their respective local government
funds in accordance with the pertinent provisions of this Act and of Republic Act 7160.

SECTION 10. Implementing Rules and Regulations. - The Department of Budget and
Management shall issue, within sixty (60) days after the approval of this Act, the guidelines
necessary to implement the same.

SECTION 11. Repealing Clause. — All laws, decrees, orders, rules and regulations or parts
thereof inconsistent with the provisions of this Act are hereby repealed, amended, or
modified, accordingly.

SECTION 12. Separability Clause. - if any section or provision of this Act is declared
unconstitutional or invalid, the other sections or provisions hereof which are not affected,
shall continue to be in full force and effect.

SECTION 13. Effectivity. - This Act shall take effect on January 01, 2020 after its publication in
the Official Gazette or in two (2) newspapers of general circulation.

Approved,