EXECUTIVE ORDER NO. 31, July 23, 1986

[ EXECUTIVE ORDER NO. 31, July 23, 1986 ]

GRANTING COMPENSATION ADJUSTMENTS TO GOVERNMENT PERSONNEL

WHEREAS, it is necessary that the salaries of government employees be adjusted to help them cope with the increasing cost of living;

WHEREAS, the economic plight of public school teachers should be given special attention particularly so when they are in the forefront of the educational thrust of the government;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by virtue of the power vested in me by law, do hereby order and direct:

1.0 The increase in basic salary of government personnel by two (2) salary steps (approximately equivalent to ten percent), excluding:

government-owned and controlled corporations;

agencies adopting the OP Pay Plan (Annex 1)

critical or OCPC-exempt agencies which have their own special pay plans (Annex 2);

positions allocated to upgraded classes in the National Compensation and Position Classification Plans in recently reorganized agencies and whose staffing patterns have been approved only in 1985.

positions in government agencies given special salary increases under E.O. 1059, E.O. 1060 and E.O. 1065 for lawyers, allied medical personnel and postal workers respectively and under specific Presidential approval; and

Career Executive Service Officers (CESO) and equivalent and higher positions for whom a separate pay plan will be submitted by the Ministry of Budget and Management.

2.0 An additional cost-of-living allowance (COLA based on their adjusted salary levels, as follows:

Salary Level

Additional COLA Per Month

P2,500 and below

P150

P2,501 to P3,000

50

3.0 The following shall be excluded from the additional COLA:

3.1 Employees of government-owned and controlled corporations; and

3.2 Employees of agencies who are already receiving cash emoluments other than the standard basic pay and allowances under the National Compensation and Position Classification Plan.

4.0 Employees of excluded agencies whose total compensation may fall below those of their counterparts in the covered agencies shall be given such salary and COLA increases as may be necessary to raise their total compensation equal to the adjusted salaries and COLAs of equivalent positions in the covered agencies as may be determined by the MBM.In no case, however, should such increases be more than the maximum amounts authorized under 1.0 and 2.0 above.

5.0 An additional two-step increase (approximately ten percent) in the basic pay of national teachers and SUC faculty. In effect, teachers will actually receive a total of 4-step increase or approximately 20% in basic pay (1.0 + 5.0).

6.0 An adjustment of the salaries and cost-of-living allowances of local teachers to bring them to the level of national teachers as adjusted under 2.0 and 5.0 above.

SOURCE OF FUNDS

7.0 Funds needed to implement this Order with respect to National Government personnel shall be taken from:

7.1 Salary lapses and other personal services savings of the ministry/bureau/office/agency/state university/college concerned as a first priority funding source.

7.1 Salary lapses and other personal services savings of the ministry/bureau/office/agency/state university/college concerned as a first priority funding source.

7.2 The lump sum appropriation for salary increase incorporated in the budgets of National Government agencies and offices.

Funds re-aligned from less-essential and non-essential government activities and those re-allocated from other low-priority programs of the Government.

Any remaining deficiency shall be covered by the Salary Adjustment Fund authorized in CY 1986 General Appropriations Act.

8.0 Funds for the salary and COLA adjustment of local teachers shall be charged against the internal revenue allotments to Local Government Units and available local government funds.

9.0 Local government units are likewise authorized to grant the same two-step salary increase and additional COLA provided herein, subject to availability of local government funds and to the rules and conditions to be prescribed by the Joint Commission on Local Government Personnel Administration.

10.0 The Ministry of Budget and Management is hereby directed to conduct a study to review, upgrade and revise the compensation structure of Career Executive Service Officers (CESOs) and equivalent and higher positions consistent with the policy to provide adequate compensation commensurate with their responsibilities and taking into consideration comparable levels in the private sector.

11.0 The rules and regulations to implement this Order shall be formulated and issued by the Ministry of Budget and Management.

EFFECTIVITY

12.0 This Executive Order shall take effect on July 1, 1986.

DONE in the City of Manila, this 23rd day of July, in the Year of Our Lord, Nineteen hundred and eighty-six

(Sgd.) CORAZON C. AQUINO President of the Philippines

By the President:

(Sgd.) JOKER P. ARROYO Executive Secretary

ANNEX 1

LIST OF AGENCIES ADOPTING THE OP (OFFICE OF THE PRESIDENT) PAY PLAN NOT INCLUDED IN THE 10% SALARY ADJUSTMENT

OFFICE OF THE PRESIDENT (Proper)

Presidential Management Staff Office of Budget and Management National Computer Center Commission on Filipino Overseas National Cartography Authority National Manpower and Youth Council National Science Technology Authority National Academy of Science and Technology Phil. Council for Agriculture and Resources Research Devt Phil Council for Health Research and Development Food and Nutrition Research Institute Phil. Council for Industry and Energy Research and Devt. Forest Product Research and Development Materials Science Research Institute National Institute of Science and Technology Philippine Institute of Volcanology and Seismology Philippine Invention Development Institute Science Promotion Institute National Research Council of the Philippines Philippine Institute of Volcanology and Seismology Philippine Invention Development Institute Science Promotion Institute National Research Council of the Philippines Philippine Science High School Movie and Television Review and Classification Board Videogram Regulatory Board Youth Development Affairs Ilocos Norte Project Development Office National Commission Concerning Disabled Persons Office of the Vice President

OFFICE OF THE PRIME MINISTER (Proper)

Central Visayas Regional Project Office

NATIONAL ECONOMIC AND DEVELOPMENT AUTHORITY (Proper)

Tariff Commission National Tax Research Center National Census Statistics Office

MINISTRY OF FINANCE (Proper)

Bureau of the Treasury Insurance Commission Securities and Exchange Commission

MINISTRY OF FOREIGN AFFAIRS (Proper)

MINISTRY OF HEALTH

Research Institute for Tropical Medicine

MINISTRY OF HUMAN SETTLEMENTS (Proper)

Human Settlements Regulatory Commission Intramuros Administration Philippine Human Resources Development Center KKK Secretariat

MINISTRY OF SOCIAL SERVICES AND DEVELOPMENT

Population Commission

MINISTRY OF TRADE AND INDUSTRY