Increase in Salaries of Positions in the Ministry of Finance

January 15, 1981

LETTER OF INSTRUCTIONS NO. 1102-A

WHEREAS, so many personnel in the Ministry of Finance are receiving only P390 to P490 per month, plus a cost-of-living allowance of P100 each, so that after the statutory salary deductions like GSIS premiums, Medicare contributions and others, their residual take-home pay is no longer sufficient to meet basic family needs;

WHEREAS, the personnel in the middle and higher brackets in the same Ministry receive much lower salaries than comparable personnel in the Bureau of Customs and Bureau of Internal Revenue although they actually exercise derivative supervisory authority over the latter, considering that under the law, the said personnel of the Ministry of Finance review the work of the Internal Revenue and Customs personnel in the course of their work of assisting the Minister of Finance exercise his power of control and supervision over the said Bureaus;

WHEREAS, only 55% of the total personnel force of the Ministry of Finance are filled due to the difficulty in recruiting the needed additional personnel primarily because of the low salaries, thus affecting adversely some vital activities of the Ministry; and

WHEREAS, under P.D. No. 985 the Salary and Wage schedule shall be revised periodically subject to the approval of the President.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, do hereby order and direct:

1. That the salaries of positions in the Ministry of Finance are hereby increased by 25% effective January 1, 1981;

2. That the necessary amount to defray the new salary adjustments shall be taken from the savings of the Ministry of Finance;

3. That to the extent the above savings are insufficient the Ministry of the Budget is hereby directed to release the needed funds out of the Salary Adjustment Fund and/or the Special Activities Fund;

4. That the revised salary rates for all positions in the Ministry of Finance shall be incorporated in subsequent Appropriation Acts; and

5. That this LOI shall take effect on January 1, 1981.

DONE in the City of Manila, this 15th day of January, in the year of Our Lord, Nineteen Hundred and Eighty-One.