Compensation Adjustments for Government Personnel

May 1, 2008

EXECUTIVE ORDER NO. 719

COMPENSATION ADJUSTMENTS FOR GOVERNMENT PERSONNEL

WHEREAS, an efficient and effective civil service is crucial to the continuous development of our country; CaASIc

WHEREAS, the current compensation of government personnel at the administrative/sub-professional and entry professional/technical levels are nearly comparable with those in the private sector, but the gap widens at the higher professional and executive/top management levels, making the latter very uncompetitive;

WHEREAS, the two recent compensation adjustments for government personnel effective July 1, 2006 and July 1, 2007, which accorded priority to those at the sub-professional and lower professional levels in view of limited government funds, have partly uplifted their economic well-being;

WHEREAS, the salaries and base pay of civilian and military/uniformed personnel, respectively, must be raised to address the gap in compensation between the private and public sectors for the government to attract and retain competent public servants; TCIEcH

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by Presidential Decree (P.D.) No. 985, P.D. No. 1597, Republic Act (R.A.) No. 6758, as amended by the Senate and House of Representatives Joint Resolution No. 01 dated March 7, 1994, and R.A. No. 9498, the FY 2008 General Appropriations Act, do hereby order:

SECTION 1. Compensation Adjustments for Government Personnel. — The Department of Budget and Management (DBM) is hereby directed to implement the following compensation adjustments effective July 1, 2008:

a. National Government Agencies (NGAs) Including State Universities and Colleges (SUCs)

i. Civilian Personnel — A ten percent (10%) increase over the basic monthly salaries as of June 30, 2008 of civilian personnel whose positions are covered by the Compensation and Position Classification System under R.A. No. 6758, as amended. The adjusted salaries shall be in accordance with the Salary Schedule marked as Annex "A" of this Executive Order.

ii. Military and Uniformed Personnel — A ten percent (10%) increase over the monthly base pay as of June 30, 2008 of military personnel of the Armed Forces of the Philippines and uniformed personnel under the Department of the Interior and Local Government, Philippine Coast Guard and National Mapping and Resource Information Authority. The adjusted base pay of military and uniformed personnel shall be in accordance with the Base Pay Schedule marked as Annex "B" of this Executive Order.

b. Government-Owned or Controlled Corporations (GOCCs)

 A ten percent (10%) increase over the basic monthly salaries as of June 30, 2008 of GOCC personnel whose positions are covered by the Compensation and Position Classification System under R.A. No. 6758, as amended, subject to the availability of corporate funds.

c. Local Government Units (LGUs)

 A ten percent (10%) increase over the basic monthly salaries as of June 30, 2008 of local government personnel, subject to the availability of local government funds.

SECTION 2. Exclusion. — Personnel of government agencies which are exempted by law from the coverage of R.A. No. 6758, as amended, are not entitled to the compensation adjustments authorized herein.

SECTION 3. Fund Source. — The amounts necessary to implement the compensation adjustments authorized herein shall be sourced, as follows:

a. For NGAs, including SUCs, the amount shall be charged against the appropriate fund source under R.A. No. 9498, the FY 2008 General Appropriations Act. Thereafter, such amounts as are needed shall be included in the annual General Appropriations Act. IAEcCT

b. For GOCCs, the funds required shall be charged against their respective corporate funds. The use of funds for the purpose shall be subject to the approval of their respective governing boards in accordance with applicable laws. GOCCs which do not have adequate or sufficient funds to pay the salary adjustments authorized herein shall partially implement the adjusted rates: Provided, That any partial implementation shall be at a uniform percentage increase for all positions.

c. For LGUs, the funds required shall be charged against their respective local government funds. The use of funds for the purpose shall be subject to the approval of their respective sanggunian pursuant to R.A. No. 7160 and other relevant statutes. LGUs which do not have adequate or sufficient funds to pay the salary adjustments authorized herein shall partially implement the adjusted rates: Provided, That any partial implementation shall be at a uniform percentage increase for all positions. cSIADH

SECTION 4. Allowances and Benefits Based on a Percentage of the Basic Salary and Base Pay of Government Personnel. — Except for the year-end bonus, longevity pay for military and uniformed personnel, government counterpart to the Retirement and Life Insurance Premiums, PAG-I.B.I.G. Contributions, PHILHEALTH Contributions and Employees Compensation Insurance Premiums, all allowances and benefits which are computed at a percentage of salary or base pay shall not be increased notwithstanding the ten percent (10%) salary and base pay increase authorized in this Executive Order.

SECTION 5. Applicability to Certain Constitutional Officials. — The salary increase authorized herein for the President, Vice-President, Senators and Members of the House of Representatives shall take effect only after the expiration of the respective terms of office of the incumbents pursuant to Section 10 of Article VI and Section 6 of Article VII of the 1987 Philippine Constitution.

SECTION 6. Implementing Rules and Regulations. — The DBM shall prepare and issue the necessary rules and regulations to implement the provisions of this Executive Order.

SECTION 7. Effectivity. — The compensation adjustments authorized herein shall take effect on July 1, 2008.

Manila, Philippines, May 1, 2008.

ANNEX A

Monthly Salary Schedule for Civilian Government Personnel
Effective July 1, 2008
(In Pesos)
Salary
Grade	Step 1	Step 2	Step 3	Step 4	Step 5	Step 6	Step 7	Step 8
1	6,149	6,303	6,460	6,622	6,788	6,958	7,131	7,310
2	6,703	6,871	7,042	7,219	7,398	7,583	7,773	7,968
3	7,307	7,489	7,675	7,868	8,063	8,266	8,471	8,684
4	7,891	8,087	8,290	8,496	8,710	8,928	9,150	9,379
5	8,522	8,735	8,953	9,176	9,406	9,642	9,882	10,130
6	9,204	9,434	9,670	9,911	10,160	10,414	10,673	10,941
7	9,848	10,092	10,346	10,604	10,870	11,141	11,420	11,707
8	10,538	10,801	11,070	11,348	11,630	11,921	12,220	12,525
9	11,275	11,557	11,846	12,143	12,446	12,756	13,077	13,401
10	12,026	12,328	12,635	12,951	13,275	13,608	13,948	14,297
11	12,748	13,066	13,392	13,726	14,071	14,423	14,784	15,151
12	13,512	13,850	14,197	14,552	14,915	15,289	15,670	16,061
13	14,323	14,682	15,048	15,424	15,809	16,205	16,611	17,025
14	15,181	15,562	15,950	16,349	16,758	17,178	17,607	18,046
15	16,093	16,494	16,907	17,329	17,763	18,208	18,662	19,130
16	17,059	17,484	17,921	18,371	18,829	19,301	19,784	20,277
17	18,082	18,534	18,997	19,471	19,961	20,459	20,970	21,494
18	19,168	19,647	20,138	20,642	21,158	21,685	22,229	22,784
19	20,318	20,825	21,346	21,880	22,428	22,988	23,562	24,150
20	21,537	22,075	22,626	23,194	23,773	24,367	24,976	25,601
21	22,397	22,958	23,532	24,120	24,722	25,340	25,975	26,623
22	23,294	23,876	24,473	25,084	25,712	26,355	27,014	27,688
23	24,224	24,830	25,453	26,089	26,739	27,409	28,094	28,797
24	25,196	25,825	26,472	27,132	27,812	28,506	29,219	29,950
25	26,203	26,859	27,529	28,218	28,922	29,646	30,386	31,148
26	27,250	27,931	28,631	29,346	30,080	30,831	31,603	32,393
27	28,340	29,050	29,777	30,520	31,282	32,065	32,866	33,689
28	29,474	30,212	30,967	31,740	32,534	33,346	34,181	35,036
29	30,653	31,420	32,205	33,010	33,836	34,682	35,549	36,436
30	34,939	35,813	36,709	37,626	38,566	39,531	40,518	41,530
31	48,915	50,138	51,390	52,675	53,991	55,342	56,725	58,143
32	55,902	57,300	58,732	60,201	61,706	63,248	64,830	66,450
33	69,878

ANNEX B

Monthly Base Pay Schedule for Military and Uniformed Personnel
Effective July 1, 2008
(In Pesos)
		Philippine National
		Police/Bureau of Fire	National Mapping and	Monthly
Armed Forces of the	Philippine Coast	Protection/Bureau of Jail	Resource Information	Base Pay
Philippines	Guard	Management and	Authority
		Penology/Philippine
		Public Safety College
Enlisted Ranks
Candidate Soldier				7,751
Private	Apprentice Seaman	Police/Fire/Jail Officer I	Seaman, Third Class	9,466
Private, First Class	Seaman, Second Class		Seaman, Second Class	10,033
Corporal	Seaman, First Class	Police/Fire/Jail Officer II	Seaman, First Class	10,635
Non-Commissioned
Officers
Sergeant	Petty Officer III		Petty Officer III	11,273
Staff Sergeant	Petty Officer II	Police/Fire/Jail Officer III	Petty Officer II	11,949
Technical Sergeant	Petty Officer I		Petty Officer I	12,667
Master Sergeant	Chief Petty Officer	Senior Police/Senior Fire/	Chief Petty Officer	13,427
		Senior Jail Officer I
Senior Master Sergeant	Senior Chief Petty	Senior Police/Senior Fire/		14,232
	Officer	Senior Jail Officer II
Chief Master Sergeant	Master Chief Petty	Senior Police/Senior Fire/		15,087
	Officer	Senior Jail Officer III
		Senior Police/Senior Fire/		15,992
		Senior Jail Officer IV
Company Grade Officers
Cadet		Cadet		15,992
Probationary Second
Lieutenant				15,992
Second Lieutenant	Ensign		Ensign	17,629
First Lieutenant	Lieutenant, Junior Grade	Inspector	Lieutenant, Junior Grade	18,334
Captain	Lieutenant, Senior Grade	Senior Inspector	Lieutenant, Senior Grade	19,067
Field Grade Officers
Major	Lieutenant Commander	Chief Inspector	Lieutenant Commander	19,831
Lieutenant Colonel	Commander	Superintendent	Commander	20,624
Colonel	Captain	Senior Superintendent	Captain	21,449
General Officers
Brigadier General	Commodore	Chief Superintendent		22,307
Major General	Rear Admiral	Director		23,199
Lieutenant General	Vice Admiral	Deputy Director General		24,127
General		Director General		27,500