Government workers can expect their third tranche of salary increase next year as approximately Php24 billion has been set aside in the proposed 2018 budget for it. According to Budget Secretary Benjamin E. Diokno, this is pursuant to Executive Order No., 201, s. 2016 which grants compensation adjustment for government workers in four tranches.
Starting January 2018, all civilian workers in the Executive, Legislative, and Judicial Branches; constitutional commissions and offices, and state universities and colleges (SUCs) will have increase in their compensation package.
“We have set aside P24 billion for the third tranche of salary standardization law, which
would benefit 1.2 million government workers,” Diokno said in a breakfast forum in Manila.
Employees in government-owned and controlled corporations (GOCCs) covered by the Compensation and Position Classification System (CPCS) under RA No. 6758, all positions of salaried loyal government units and all positions for barangay personnel paid monthly honoraria are included in the salary hike.
Government personnel’s pay will increase by 45% for the four tranches of adjustments.
Aside from the increased basic salary, government employees will continue to receive standard allowances and benefits, such as the mid-year and year-end bonus, each equal to one month basic salary, cash gift and Productivity Enhancement Incentive (PCI).
Employees working in government agencies that are exempted from RA No.6758, as amended, GOCCs governed by the CPCS established by the Governance Commission for GOCCs (GCG) and approved by the President are not included in the hike. Personnel without employer-employee relationship and funded from non-Personnel Services appropriations are also not included in the hike.
The guidelines for implementation of the third tranche of compensation adjustment will be released in January 2018.
The fourth and last tranche is scheduled for implementation in 2019.