Granting Congressional Approval of a 10% Salary Adjustment for NPC Officials and Employees

December 15, 2009

JOINT RESOLUTION NO. 6

JOINT RESOLUTION GRANTING CONGRESSIONAL APPROVAL OF A TEN PERCENT (10%) SALARY ADJUSTMENT FOR THE OFFICIALS AND EMPLOYEES OF THE NATIONAL POWER CORPORATION (NPC) AS APPROVED BY THE OFFICE OF THE PRESIDENT OF THE PHILIPPINES

WHEREAS, the Office of the President approved on December 24, 2008 the grant of a ten percent (10%) salary adjustment for the officials and employees of the National Power Corporation (NPC), the National Transmission Corporation (TransCo) and the Power Sector Assets and Liabilities Management Corporation (PSALM) effective July 2008;

WHEREAS, the approval provided that the funding requirement for the first six (6) months adjustment (July-December 2008) shall be charged against the respective corporate savings of the said three (3) corporations in FY 2008 and thereafter, in their respective corporate operating budget (COB);

WHEREAS, the approval also provided that the funding requirement will have to comply with Special Provision No. 5, FY 2008 NPC Budget, under the General Appropriations Act of 2008 or Republic Act No. 9498 before it could implement any salary increase and include the funding requirement in its corporate budget;

WHEREAS, Special Provision No. 5 of the FY 2008 Budget under Republic Act No. 9498 explicitly states that: "No amounts authorized herein shall be used to cover payment of new/additional cash compensation such as salaries and allowances, unless approved by Congress";

WHEREAS, the salary increase for FY 2009 cannot also be implemented considering that a similar requirement was imposed by Special Provision No. 1, FY 2009 NPC Budget under Republic Act No. 9524, otherwise known as General Appropriations Act of 2009, which provides that "Appropriations for personal services may be augmented by savings from the corporate budget for any salary increase/additional personal benefits as approved by Congress"; CSIcTa

WHEREAS, congressional approval in both instances is a condition sine qua non to any grant of new/additional cash compensation such as salaries and allowances for the NPC;

WHEREAS, the ten percent (10%) salary adjustment have already been implemented by the PSALM and the TRANSCO beginning March 2009;

WHEREAS, the NPC cannot implement the aforesaid salary increase/adjustment pending compliance with the abovementioned restrictions;

WHEREAS, the foregoing considered, there is a necessity to seek the requisite congressional approval to implement the ten percent (10%) salary adjustment: Now, therefore, be it

Resolved, as it is hereby resolved by the House of Representatives, the Senate concurring, That the congressional approval requested by the National Power Corporation to implement the ten percent (10%) salary adjustment approved by the Office of the President be granted.

Approved: December 15, 2009