Rules and Regulations Governing the Grant of Step Increments to Officials in the Career Executive Service

November 19, 1992 REVENUE MEMORANDUM CIRCULAR NO. 53-92 SUBJECT : Rules and Regulations Governing the Grant of Step Increments to Officials in the Career Executive Service TO : All Revenue Officials and Employees and Others Concerned For the information and guidance of all revenue officials and employees, quoted hereunder is Career Executive Service Board Circular No. 10, series of 1992 dated July 1, 1992. "1.0 Purpose . Pursuant to the provisions of the CES law and Memorandum Order No. 372 of the Office of the President dated 3 July 1991 and by virtue of the Career Executive Service Board's authority under Presidential Decree No. 1, as amended, the following rules and regulations are issued to govern the grant of Step Increments to officials in the Career Executive Service (CES). 2.0 Coverage . These rules and regulations shall apply to all officials in the Career Executive Service whether they are Career Executive Service Officers (CESOs) or incumbents of Career Executive Service (CES) positions. Career Executive Service Officers (CESOs) are those officials in the CES who possess CES eligibility and have been appointed by the President to the various ranks in the CES. Incumbents of CES positions are those officials appointed to CES positions but who have not been appointed by the President to ranks in the CES. aisa dc 3.0 Positions in the Career Executive Service (CES) . The Career Executive Service (CES) includes the positions of Undersecretary, Assistant Secretary, Bureau Director, Assistant Bureau Director, Regional Director (department-wide and bureau-wide), Assistant Regional Director (department-wide and bureau-wide), Chief of Department Service and positions of equivalent category as may be identified by the Career Executive Service Board (CESB) as belonging to the Career Executive Service. 4.0 Step Increments . Step Increments shall be granted to all deserving officials in the Career Executive Service (CES) on account of merit and length of service. 5.0 Step Increment Based on Merit . Meritorious performance by an official in the Career Executive Service as determined by the results of the annual CES Performance Evaluation System (CESPES) administered by the Career Executive Service Board for a particular performance period shall entitle him to step increments based on merit in accordance with the following schedule: 5.1 An official who obtains a "Very Satisfactory" or "Slightly More Than Very Satisfactory" performance rating during the performance rating period immediately preceding shall be entitled to one (1) step increment in the salary grade of his rank in the case of a CESO, or in the salary grade of his position in the case of an incumbent of a CES position; PROVIDED , that a CESO who is assigned to a position with a salary grade higher than that of his CES rank shall, in addition to the step increment in the salary grade of his rank, be entitled to an increase in his "assignment allowance" corresponding to a one (1) step increment based on the salary grade of his position; PROVIDED FURTHER , that in case a CESO is reassigned to a position with a salary grade equal to or lower than that of his rank, or is promoted to a rank with a salary grade equal to that of the position he occupies, he shall carry the step increment/s to the salary grade of his rank; PROVIDED FINALLY , that in case a CESO is promoted to a rank with a salary grade higher than that of his position, he shall not carry the step increment but rather shall start at step 1 of the salary grade of the higher rank. 5.2 An official who obtains an "Almost Outstanding" or "Outstanding" performance rating during the performance rating period immediately preceding shall be entitled to a two (2) step increment in the salary grade of his rank in the case of a CESO, or in the salary grade of his position in the case of an incumbent of a CES position; PROVIDED , that a CESO who is assigned to a position with a salary grade higher than that of his CES rank shall, in addition to the step increments in the salary grade of his rank, be entitled to an increase in his "assignment allowance" corresponding to a two-step increment based on the salary grade of his position; PROVIDED FURTHER , that in case a CESO is reassigned to a position with a salary grade equal to or lower than that of his rank, or is promoted to a rank with a salary grade equal to that of the position he occupies, he shall carry the step increments to salary grade of his rank; PROVIDED FINALLY, that in case a CESO is promoted to a rank with a salary grade higher than that of his position, he shall not carry the step increments but rather shall start at step 1 of the salary grade of the higher rank. The rating period immediately preceding referred to above shall mean the annual performance evaluation under the CES Performance Evaluation System (CESPES) covering the period from January to December of every year. casia 6.0 Step Increment Based on Length of Service . A one (1) step increment based on length of service shall be granted to an official in the Career Executive Service for every three (3) years of continuous satisfactory service in a particular CES position or rank as the case may be: PROVIDED that in the case of a CESO who is awarded the one-step increment on the basis of continuous satisfactory service in a particular position, the following shall further apply: (a) If the rank of a CESO has a salary grade that is equal to that of the CES position to which he is assigned, he shall be allowed to enjoy the salary step increment computed on the basis of the salary grade of his rank. (b) If the rank of a CESO has a salary grade that is lower than that of the CES position to which he is assigned, he shall, in addition to the step increment in the salary grade of his rank, be entitled to an increase in his "assignment allowance" corresponding to a one (1) step increment based on the salary grade of his position. (c) If the rank of a CESO has a salary grade that is higher than that of the CES position to which he is assigned, he shall not be allowed to enjoy the salary step increment. A CESO who has rendered three years of continuous satisfactory service in both a particular position and a CES rank shall be entitled to only one one-step increment based on length of service. Satisfactory service shall likewise be determined by the results of the annual CES Performance Evaluation System (CESPES) administered by the Board. 7.0 Steps for CESO Rank I, Salary Grade 30 . As authorized under the CSC-DBM Joint Circular No. 1, s. 1990 dated 29 March 1990 issued pursuant to Section 13 of R.A. 6758, the succeeding step after the first step for CESO Rank I, salary grade 30, shall be computed at one percent (1%) of the immediately preceding derived step of the salary grade allocation. 8.0 Restrictions/Limitations . The following restrictions/limitations shall be observed in the grant of step increments, to wit: 8.1 The adjusted salary of an official after the grant of step increments shall not exceed the maximum step of the salary of his rank in the case of a CESO or of his position in the case of a CESO or of his position in the case of an incumbent of a CES position. 8.2 The total number of recipients of step increments based on merit in any one (1) calendar year shall not be more than ten percent (10%) of the total number of CES positions in the department or agency; Provided that the total number of recipients of two step increments shall not exceed three percent (3%) thereof. In the event the number of officials in the CES who may be entitled to merit increases shall exceed the ten percent (10%) and three percent (3%) limits set above, the department of agency concerned shall force-rank and decide who among the officials qualified to receive the step increments based on merit shall be entitled to it. acd 9.0 Transitory Provisions . A CESO whose basic salary is computed on the basis of his position as provided for in CES Board Circular No. 9-A, series of 1991 shall have his step increment/s computed on the basis of the salary grade of his position. 10.0 Qualification(s) for Other Incentives and Awards . As authorized under CSC-DBM Joint Circular No. 1, series of 1990 dated 29 March 1990, those granted step increments under these Rules may still qualify for other existing incentives and awards, provided they meet the criteria of said awards. 11.0 Incorporation in Basic Salary . As authorized under CSC-DBM Joint Circular No. 1, series of 1990 dated 29 March 1990, step increments granted to officials in the Career Executive Service shall be treated as part of their basic salary. 12.0 Notification by the CESB . The Board after having determined the CESPES results shall notify the head of the department or agency of the CESOs and CES incumbents in said department who may qualify for the grant of step increments. 13.0 Payment of Step Increments . Payment of the Step increments as aforestated shall be made by the department or agency concerned chargeable against savings and/or the appropriation of said department or agency. 14.0 Submission of Reports . A report on the Step Increments granted under these rules shall be submitted by the head of the department or agency to the Department of Budget and Management and the Career Executive Service Board. acd 15.0 Amendment . The Career Executive Service Board may amend or modify these rules as may be found necessary. 16.0 Effectivity . These rules and regulations shall take effect immediately. Done in the Municipality of Pasig, Metro Manila, this first day of July, nineteen hundred and ninety-two. (Sgd.) Patricia A. Sto. Tomas Chairman Career Executive Service Board Attested by: (Sgd.) Elmor D. Juridico" Executive Director, CESB All revenue officials and employees are enjoined to give this circular as wide a publicity as possible. (SGD.) JOSE U. ONG Commissioner of Internal Revenue