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Pres. Duterte Fulfills Promise by Announcing Salary Increase for Government Employees, PNP & the AFP

President Rody Duterte fulfilled one of his campaign promise easing the lives of government employees after the Department of Budget Management (DBM) issued guidelines for second tranche of compensation adjustment for civilian personnel or government employees as well as the PNP and members of the Armed Forces of the Philippines (AFP).


According to the DBM's announcement starting January 1, 2017, teachers, health workers, soldiers, policemen, and all other civil servants will receive a bigger take home pay. Visit PhilNews.xyz

The announcement of DBM is in line with President Rody Duterte's pledge to raise the compensation of the country's public sector civilian workers and military and uniformed personnel (MUP).

During the announcement of the salary increase for government employees, PNP and AFP, the Philippine President was quoted as saying "These are the people who help and protect the Philippines. We want them to feel satisfied about their jobs, inspire them to be more productive workers and allow them to provide for their families. Raising their wages is only just,” said President Duterte.

The salary increase for all government employees is pursuant to Executive Order No. 201 s. 2016 (EO 201), which grants a compensation adjustment for government workers and additional allowances for MUP in four tranches, the DBM issued National Budget Circular No. 568 and Local Budget Circular No. 113.


National Budget Circular No. 568 outlines the guidelines, rules, and regulations for the implementation of the second tranche of EO 201 for civilian personnel in the Executive, Legislative, and Judicial branches, the Constitutional Commissions and other Constitutional Offices, State Universities and Colleges (SUCs), and government-owned-and-controlled corporations (GOCCs) covered by the Compensation and Position Classification System (CPCS), under Republic Act No. 6758.

Local Budget Circular No. 113 on the other hand covers all positions for salaried local government unit (LGU) personnel and all positions for barangay personnel which are paid monthly honoraria.

In a news report posted by the Philippine Information Agency (PIA), once implemented by the Duterte admin, a Teacher 1 will get an annual compensation package of P324,962 while a Nurse 1 will get P398,822, bringing their total compensation to twice that of their private sector counterparts.

For the Military and Uniformed Personnel (MUP) they are now entitled to a provisional allowance, mid-year and year-end bonus, an enhanced Performance-Based Bous subject to accomplishment of performance targets, as well as an increase in the hazard pay from P390.00 to P540.00 per month. 

Thus, in 2017, the total annual compensation for a Police Officer 1 (PO1) and a military Private will be P399,396. This represents a 14 percent increase in compensation for a PO1 and a 10 percent increase in compensation for a Private. The substantial increase in allowances will more justly reward our brave policemen and soldiers who put their lives on the line for the country.

Managers and executives will also receive substantial pay increases of 15 to 27 percent so the government may attract and retain the best talent. A Division Chief will receive an amount ofP1,097,863annually; a Director IV-level position P1,659,491 annually; a Secretary-level post P2,595,137 annually; and a highest-ranking General, P2,144,283 per annum. This scheme intends to position their compensation packages closer to that of the private sector, in line with the principle of "equal pay for work of equal value."

Funding for compensation adjustments of national government agencies is provided for in the General Appropriations Act (GAA) for FY 2017. For covered GOCCs and GFIs, funding will be sourced from their respective corporate operating budgets. While for LGU personnel, the amount shall be sourced from LGU funds authorized by their respective sanggunian.

To learn more about the Salary Increase just visit the official site of the Department of Budget and Management.

Source: Philippine Information Agency

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