Government Pay Hike EO Signed

4 May 2012

MANILA, Philippines - President Benigno S. Aquino III has signed Executive Order (EO) No. 76 on the implementation of the P21.7-billion fourth tranche of the Salary Standardization Law (SSL) III.

The EO was signed by the President on April 30, 2012.

Based on the EO, the salary schedule shall take effect on June 1, 2012 among personnel in the Executive, Legislative, and Judicial Branches, the Constitutional Commissions/ Offices, State Universities and Colleges (SUCs), Government-Owned and Controlled Corporations (GOCCs), and Government Financial Institutions (GFIs), whether regular, casual, or contractual in nature, appointive or elective, on full-time or part-time basis.

The salary schedule shall also cover military personnel under the Department of National Defense (DND) and uniformed personnel under the Department of the Interior and Local Government (DILG), Philippine Coast Guard (PCG), and National Mapping and Resource Information Authority (NAMRIA).

However, the salary schedule for personnel working in local government units (LGUs) shall be determined by the Sangguniang Panlalawigan, Panglunsod or Bayan, as the case may be, based on the LGU income class and financial capability and shall take effect not earlier than January 1, 2013. The President, Vice President, and Cabinet officials' fourth tranche shall take effect on July 1, 2012.

There will be no increase in compensation of Senators and Members of the House of Representatives until after the expiration of the full term of all the Members of the Senate and the House of Representatives approving such increase.

The EO also stated that the compensation adjustments shall not include individuals and groups whose services are engaged through job orders, contracts of services, or others similarly situated; and civilian personnel in government entities which are exempted from Republic Act (RA) No. 6758 or the "Compensation and Position Classification Act of 1989."

It will be recalled that the third tranche of the SSL III was implemented on June 1, 2011 and on January 1, 2012 for LGU personnel.