EXECUTIVE ORDER NO. 611, July 01, 2007

[ EXECUTIVE ORDER NO. 611, July 01, 2007 ]

AUTHORIZING COMPENSATION ADJUSTMENTS TO GOVERNMENT PERSONNEL

WHEREAS , an efficient and effective civil service is crucial to the continuous development of our country;

WHEREAS , the basic salary of government employees has not been increased since July 2001, or for more than 5 years, notwithstanding periodic wage adjustments granted to the private sector, and the continuous rise in the prices of basic commodities;

WHEREAS , the subsistence allowance of the military and uniformed personnel was last adjusted in 1998, while the hazard pay has remained at P120/month since its initial grant in 1987;

WHEREAS , there is an imperative need to improve the morale of the civil service through a more competitive compensation system that supports the economic well being of government personnel;

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO , President of the Republic of the Philippines, by virtue of the powers vested in me by Presidential Decree (P.D. No. 1597, Republic Act (R.A.) No. 6758, as amended by the Senate and House of Representatives Joint Resolution No. 1 dated March 7, 1994, and R.A. No. 9336, do hereby order:

Section 1. New Salary Schedule of Civilian Government Personnel. - The Department of Budget and Management (DBM) is hereby directed to implement a ten percent (10%) increase over the basic monthly salaries as of June 30, 2007 of civilian government personnel whose positions are covered by the Compensation and Position Classification System under R.A. No. 6758, as amended, effective July 1, 2007.

The adjusted salaries of civilian government personnel shall be in accordance with the Salary Schedule marked as Annex "A" of this Executive Order. Provided that the adjustments shall be the designated salary step of the employee in the salary grade allocation of his or her position as of June 30, 2007.

Section 2. Subsistence Allowance and Hazard Pay of Military and Uniformed Personnel - Military personnel of the Armed Forces of the Philippines and all uniformed personnel under the Department of the Interior and Local Government, Philippine coast Guard, and National Mapping and Resource Information Authority are hereby granted a Thirty Pesos (P30) per day increase in their subsistence allowance and a One Hundred Twenty Pesos (P120) per month increase in their hazard pay effective July 1, 2007.

Section 3. Coverage - The ten percent (10%) salary increase authorized herein shall cover civilian officials and employees of National Government Agencies (NGAs) including State Universities and Colleges, Government Owned and/or Controlled Corporations (GOCCs), Government Financial Institutions (GFIs) and Local Government Units (LGUs), which are covered by the Compensation and Position Classification System under R.A. No. 6758, as amended.

Government agencies which are exempted by law from the coverage of R.A. No. 6758, as amended, shall not be entitled to any of the compensation adjustments provided herein.

Section 4. Fund Source . - The amounts necessary to implement the compensation adjustments authorized herein shall be sourced, as follows:

a.) For NGAs, the amount shall be charged against the appropriate fund source under the FY 2007 General Appropriations Act. Thereafter, such amounts as are needed shall be included in the annual General Appropriations Act.

b.) For GOCCs and CFIs, the amount shall be taken from their respective corporate funds.

c.) For LGUs, the amount shall come from their respective local funds.

Section 5. Uniform Percentage Increase in Case of Insufficiency of Funds. - GOCCs, GFIs and LGUs, which do not have adequate or sufficient funds to pay the compensation adjustments authorized herein, shall only partially implement the adjusted rates: Provided, that any partial implementation shall be a uniform increase for all positions.

Section 6. Allowances and Benefits Based on a Percentage of the Basic Salary of Civilian Personnel . - Except for the year-end bonus and fixed personnel benefit contributions, there shall be no corresponding increase in the present allowances and benefits being received by or paid for civilian government personnel, which are computed at a percentage of their basic salaries, notwithstanding the ten percent (10%) salary increase authorized herein.

Section 7. Applicability to Certain Constitutional Officials. - The salary increase authorized herein for the President, Vice-President, Senators and members of the House of Representatives shall take effect only after the expiration of the respective terms of office of the incumbent officials pursuant to Section 10 of Article VI and Section 6 of Article VII of the 1987 Constitution.

Section 8. Implementing Rules and Regulations. - The DBM shall prepare and issue the necessary rules and regulations to implement the provisions of this Executive Order.

Section 9. Effectivity . - The compensations adjustments authorized herein shall take effect on July 1, 2007.

Manila, Philippines, 14 March 2007

GLORIA MACAPAGAL-ARROYO

By the President:

EDUARDO R. ERMITA Executive Secretary

ANNEX "A"

Monthly Salary Schedule for Civilian Personnel Effective July 1, 2007

Salary Grade

STEP 1

STEP 2

STEP 3

STEP 4

STEP 5

STEP 6

STEP 7

STEP 8

1

5,590

5,730

5,873

6,020

6,171

6,325

6,483

6,645

2

6,094

6,246

6,402

6,563

6,725

6,894

7,066

7,244

3

6,643

6,808

6,977

7,153

7,330

7,515

7,701

7,895

4

7,174

7,352

7,536

7,724

7,918

8,116

8,318

8,526

5

7,747

7,941

8,139

9,010

9,236

9,467

9,703

9,946

6

8,367

8,576

8,791

9,010

9,236

9,467

9,703

9,946

7

8,953

9,175

9,405

9,640

9,882

10,128

10,382

10,643

8

9,580

9,819

10,054

10,316

10,573

10,837

11,109

11,386

9

10,250

10,506

10,769

11,039

11,315

11,596

11,888

12,183

10

10,933

11,207

11,486

11,774

12,068

12,371

12,680

12,997

11

11,589

11,878

12,175

12,478

12,792

13,112

13,440

13,774

12

12,284

12,591

12,906

13,229

13,559

13,899

14,245

14,601

13

13,021

13,347

13,680

14,022

14,372

14,732

15,101

15,477

14

13,801

14,147

14,500

14,863

15,235

15,616

16,006

16,405

15

14,630

14,995

15,370

15,754

16,148

16,553

16,965

17,391

16

15,508

15,895

16,292

16,701

17,117

17,546

17,985

18,434

17

16,438

16,849

17,270

17,701

18,146

18,599

19,064

19,540

18

17,425

17,861

18,307

18,765

19,235

19,714

20,208

20,713

19

18,471

18,932

19,405

19,891

20,389

20,898

21,420

21,955

20

19,579

20,068

20,569

21,085

21,612

22,152

22,705

23,274

21

20,361

20,871

21,393

21,927

22,475

23,036

23,614

24,203

22

21,176

21,705

22,245

22,804

23,375

23,959

24,558

25,171

23

22,022

22,573

23,139

23,717

24,308

24,917

25,540

26,179

24

22,905

23,477

24,065

24,665

25,284

25,915

26,563

27,227

25

23,821

24,417

25,026

25,653

26,293

26,951

27,624

28,316

26

24,773

25,392

26,028

26,678

27,345

28,028

28,730

29,448

27

25,761

26,409

27,070

27,745

28,438

29,150

29,878

30,626

28

26,795

27,465

28,152

28,855

29,576

30,315

31,074

31,851

29

27,866

28,564

29,277

30,009

30,760

31,529

32,317

33,124

30

31,763

32,557

33,372

34,205

35,060

35,937

36,835

37,755

31

44,468

45,580

46,718

47,886

49,083

50,311

51,568

52,857

32

50,820

52,091

53,393

57,729

56,096

57,498

58,936

60,409

33

63,525