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

EIGHTEENTH CONGRESS
First Regular Session
3278

House Bill No.

Introduced by
HON. YEDDA MARIE K. ROMUALDEZ

ar
HON. FERDINAND MARTIN G. ROMUALDEZ

AN ACT
MODIFYING THE SALARY SCHEDULE FOR CIVILIAN
GOVERNMENT PERSONNEL

EXPLANATORY NOTE

The government is the backbone of civilized society. It serves as the primary
medium through which the state can ensure that all Filipinos can enjoy all the rights
and privileges enshrined in our Constitution. Each day, our government employees
continue to make important and unquantifiable contributions to ensure our physical
safety and security, and the continued and robust growth of our economy. In
recognition of their invaluable contributions, our civil servants, the people who
dedicate their everyday lives to the service of the Filipino people, must be given an
Opportunity to pursue a career in the service that would allow them to enjoy
competitive wages, enough to address their personal needs and that of their families.

Aside from the duty of the government to promote and protect the general
welfare of workers already in its service, there exists a similarly important need to
attract prospective employees into the service and provide a compelling reason for
them to remain. As our population grows, so shall the need for more competent,
skilled, and capable public servants.


At the onset of the 1970s, Filipino migration numbers were relatively low at
about a few thousand per year. The number began exceeding the 1 million mark in
2006. By the year 2016, more than 2.5 million Filipinos have chosen to pursue a career
abroad.

Evidently, there is a need to provide Filipinos a sound and convincing reason to
remain in the country, pursue a fruitful career in the civil service, and hopefully, choose
to stay in this path. In so doing, the best and the brightest will eventually answer the
call to serve.

This legislative measure does not singularly aim to benefit those who are
already in the service. Due regard is given to the pressing need to attract the best and
most highly qualified public servants possible. Executive Order No. 201, s. 2016, has
taken certain steps towards that direction. This legislative measure aims to take it a
step further.

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

Rep. YEDD/ IE K. ROMUALDEZ
Representativd)|Tingog Sinirangan

+ Philippine Overseas Employment Administration (POEA), "Compendium of OFW Statistics,” available
at http://www.poea.gov.ph/ofwstat/compendium/2015-2016%200ES%201.pdf


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

EIGHTEENTH CONGRESS
First Regular Session

78
House Bill No.

Introduced by
HON. YEDDA MARIE K. ROMUALDEZ

al
HON. FERDINAND MARTIN G. ROMUALDEZ

AN ACT
MODIFYING THE SALARY SCHEDULE FOR CIVILIAN
GOVERNMENT PERSONNEL

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

Section 1. Declaration of Policy. — It is the declared policy of the State, under
Section 5 Article IX-B of the Constitution, to provide for the standardization of
compensation of government officials and employees, including those in government-
owned or controlled corporations with original charters, taking into account the
nature of the responsibilities pertaining to and the qualifications required for their
positions.

Sec. 2. Compensation Adjustment Strategy. — The existing Compensation and
Position Classification System (CPCS) is hereby revised or updated to conform with
the following:

a) The adoption of a compensation structure for all civilian government
personnel that is highly competitive with the private sector, with the end in
view of attracting, retaining and motivating a corps of highly competent and
highly productive civil servants;

b) Raising of the minimum salary for Salary Grade 1 from the current rate of


Eleven Thousand Sixty Eight Pesos (P11,068) to Eleven Thousand Six
Hundred Fifty Six Pesos (P11,656) to make the current CPCS even more
competitive with the market rates.

Sec. 3. Coverage. —The modified Salary Schedule authorized herein shall apply
to all civilian personnel in the Executive, Legislative and Judicial Branches,
Constitutional Commissions and other Constitutional Offices, Government-Owned or
Controlled Corporations (GOCCs) not covered by RA No. 10149, and local government
units (LGUs); regardless of appointment status, whether regular, contractual or
casual; appointive or elective; and on full-time or part-time basis, as herein provided.

However, individuals whose services are engaged through job orders, contracts of
service, consultancy contracts, and service contracts with no employer-employee
relationship are excluded from the salary increase authorized herein.

Sec 4. Modified Salary Schedule for Civilian Personnel. — The modified Salary
Schedule for Civilian Personnel shall be as follows:

Salary | Step 1 | Step2 | Step3 | Step4 | Step5 | Step6 | Step7 | Steps

1 11,656 | 11,747 | 11,842 [11,935 | 12,031 | 12,122 | 12,222 | 12,319
2 12,348 | 12,436 | 12,524 | 12,614 | 12,702 | 12,793 | 12,885 | 12,975
3 13,042] 13,137 | 13,223 | 13,323 [13,418 [13,512 | 13,610 | 13,705
4 13,777 | 13,876 | 13,974 | 14,074 | 14,173 [14,274 | 14,376 | 14,478
5 14,553 | 14,642 | 14,760 | 14,866 | 14,970 | 15,077 | 15,184 | 15,292
6
7
8
2

15,371 | 15,481 | 15,590 | 15,702 | 15,813 | 15,926 | 16,039 | 16,153
16,236 | 16,353 | 16,468 | 16,585 | 16,703 | 16,823 | 16,941 | 17,061
17,248 | 17,401 | 17,555 | 17,707 | 17,863 | 18,021 | 18,179 | 18,339
18,491 | 18,638 | 18,786 | 18,936 | 19,086 | 19,237 | 19,390 | 19,545

10 19,762 | 19,920 | 20,078 | 20,238 [20,395 | 20,546 | 20,723 | 20,888
it 21,345 [21,657 [21,975 [22,297 [22,620 | 22,953 | 23,288 | 23,630
12 23,755 | 24,064 | 24,375 | 24,692 [25,014 [25,338 | 25,667 | 26,001
B 26,283 | 26,623 | 26,967 | 27,320 | 27,674 [28,033 | 28,396 | 28,766
4 29,075 | 29,454 | 29,838 | 30,224 [30,616 [31,015 | 31,416 | 31,825
15 32,131 | 32,539 [32,956 | 33,375 [33,799 [34,232 | 34,667 | 35,108

16 35,505 | 34,960 [36,417 [36,789 [37,352 [37,827 | 38,308 | 38,794



7 39,237 [39,737 [40,241 40,757 41,275 [41,288 | 42,331 | 42,674
18 43,360 [43,911 | 44,469 | 45,038 | 45,612 | 46,192 | 46,779 | 47,373
19 48,676 | 49,540 [50,414 [51,303 [52,214 | 53,129 | 54,067 | 55,021
20 55,633 | 56,614 | 57,614 | 58,630 | 59,667 | 60,720 | 61,792 | 62,683
21 63,578 | 64,707 | 65,844 | 67,007 | 68,191 | 69,395 | 70,622 | 71,671
2 72,665 | 73,950 [75,250 | 76,580 | 77,934 | 79,314 | 80,707 | 82,134
23 83,027 | 84,505 | 86,001 | 87,521 | 89,062 | 90,639 | 92,306 | 93,866
24 94,909 [96,579 [98,290 | 100,019 | 101,792 | 103,584 | 105,419 | 107,275
25 109,666 | 111,603 | 113,574 | 115,579 | 117,620 | 119,697 | 121,811 | 123,962
26 125,333 | 127,547 | 129,800 | 132,089 | 134,421 | 136,795 | 139,210 | 141,670
7 143,239 | 145,765 | 148,340 | 150,960 | 153,622 | 156,339 | 159,096 | 161,901
2B 163,698 | 166,589 | 169,530 | 172,524 | 175,570 | 178,673 | 161,829 | 185,041
29 187,076 | 190,383 | 193,747 | 197,172 | 200,658 | 204,206 | 207,790 | 211,491
30 213,821 | 217,577 | 221,426 | 225,344 | 229,330 | 233,360 | 237,460 | 241,693,
31 335,383 | 342,669 | 350,097 | 357,682 | 365,440 | 373,360 | 381,450 | 389,722,
32 403,981 | 413,057 | 422,338 | 431,830 | 441,531 | 451,454 | 461,602 | 471,973,
33 520,445 | 536,059

Sec. 5. Compensation Adjustment for LGU Personnel. — The modified Salary

Schedule authorized herein for civilian personnel may likewise be granted to LGU
Personnel, subject to the following:
a) Authorization from their respective sanggunian as provided under Sections

447(a), 458(a) and 468(a) of RA No. 7160; and

b) Compliance with the Personnel Services (PS) limitation set under Sections 325

and 331 of RA No. 7160.

LGUs shall likewise comply with the following rule in the implementation of the
modified salary schedule:
i, The implementation of the modified Salary Schedule for LGU personnel,
including the rate of Representation and Transportation Allowances, shall
further correspond to the LGU's income classification and shall not therefore
exceed the percentage of the Salary Schedule in Section 3 hereof, as

follows:


Percentage of the Salary Schedules
For Provinces/Cities For Municipalities

‘Special Cities 100%

1* Class 100% 90%
2°¢ Class 95% 85%
3" Class 90% 80%
4" Class 85% 75%
5® Class 80% 70%
6" Class 75% 65%

Sec. 6. Implementation Schedule. — The modified Salary Schedule for civilian
Personnel authorized herein shall be implemented in National Government Agencies,
subject to appropriations by Congress, beginning January 1, 2020.

For covered GOCCs and LGUs, the implementation of the compensation
adjustments shall begin on January 1, 2020 depending on their respective financial
capability. GOCCs 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/LGU.

Sec. 7. Retroactive Application. — The implementation of the modified Salary
Schedule for civilian personnel, shall be effective January 1, 2020. For covered GOCCs
and LGUs, the retroactive application shall be subject to their financial capabilities and
compliance with other requirements under existing laws.

Sec. 8. Exempt Entities. — The following exempt entities shall not be covered by
the modified Salary Schedule authorized herein:

() Government agencies, including GOCCs that are exempted from the
Coverage of RA No. 6758, as amended, as provided in their respective
enabling law or charter; and

(ii) GOCCs governed by the CPCS established by the Governance
Commission for GOCCs (GCG) and approved by the President of the
Philippines, under RA No. 10149.

They shall be governed by their respective CPCS which shall be made effective

upon the recommendation of the Department of Budget and Management (DBM) or


the GCG, as the case may be, and approval by the President of the Philippines.

Sec. 9. Applicability to Certain Officials. — Consistent with the policy under
Section 6 of Article VII and Section 10 of Article VI of the Constitution, the salaries
authorized herein for the President, Vice President and Members of Congress shall
take effect only after the expiration of the respective terms of the incumbents. The
implementation of this Act with respect to the regular members of the Cabinet shall
be effective starting July 1, 2020.

Sec. 10. Funding Source. — The funding sources for the amounts necessary to
implement this Act shall be as follows:

) For national government agencies, the amount needed for the compensation
adjustment for the year 2020 shall be charged against appropriations to be
Provided in the 2020 General Appropriations Act (GAA). The DBM, following
the compensation adjustment strategy embodied in Section 2 hereof, and
Consistent with its authority under Section 7 of RA No. 6758, as amended, shall
then be authorized to implement or adjust the compensation corresponding to
the appropriations provided in the GAA.

b) For GOCCs, the amounts shall come from their respective corporate funds in
the corporate operating budgets approved by DBM.

c) For LGUs, the amounts shall be charged against their respective funds in
accordance with the pertinent provisions of this Act and RA No. 7160.

Sec. 11. Implementing Guidelines. — The DBM, within 30 days from the
effectivity of the FY 2020 GAA, shall issue the guidelines necessary to implement the
provisions of this Act.

Sec. 12. Separability Clause. — Should any provision of this Act be declared
invalid or unconstitutional, the other provisions unaffected thereby shall remain valid
and subsisting.

Sec 13. Repealing Clause. — All other laws, decrees, executive orders,
proclamations and other executive issuances, which are not consistent with or contrary
to the provisions of this Act, are hereby repealed or amended.

Sec. 14. Effectivity Cause. — This Act shall take effect fifteen (15) days after
its complete publication in the Official Gazzette or in a newspaper of general
Circulation.


Approved,