QuestionsQuestions (EXECUTIVE ORDER NO. 308)
EO 308 allows certain barangay officials—specifically the Barangay Chairman, Barangay Council Members (including the SK Chairman), barangay secretary, and barangay treasurer—to become Pag-IBIG Fund members on a voluntary basis, and it provides how their contributions and the barangay counterpart contributions will be treated.
EO 308 covers: (1) Barangay Chairman, (2) Barangay Council Members, (3) the Chairman of the Sanggunian Kabataan (SK), (4) barangay secretary, and (5) barangay treasurer—provided they applied for and qualified as voluntary members.
EO 308 provides that the honoraria of Barangay Chairman, Barangay Council Members (including the SK Chairman), barangay secretaries, and treasurers shall be considered as salary for purposes of RA 7742.
The significance is that RA 7742’s contribution rules apply based on covered compensation; by treating honoraria as salary, the honoraria become the basis for determining Pag-IBIG employee contributions under RA 7742.
EO 308 states that the membership contribution of qualified voluntary members shall be deducted by their respective barangays from the monthly honoraria they receive in accordance with RA 7742 and its IRR.
The barangay itself is responsible—specifically, through processes of the barangay that deduct the contribution from the monthly honoraria of the member barangay officials.
EO 308 provides that the counterpart contribution shall be provided and sourced from local funds of the respective barangays, with the amount duly appropriated by the sangguniang barangay for that purpose, following RA 7742 and its IRR.
EO 308 limits the employer’s counterpart contribution: it must not exceed the personal services cap under Section 325(a) of the Local Government Code.
EO 308 declares that all pertinent provisions of RA 7742 and its IRR apply to the covered barangay officials who become Pag-IBIG members on a voluntary basis, granting them rights and privileges under the law.
The text cites RA 7742’s reinstated and amended Section 4 (Fund Coverage), which provides mandatory coverage for employees covered by SSS and GSIS and their employers, but makes coverage voluntary for employees with monthly compensation less than Php 4,000. Upon membership, employers contribute as required.
RA 7742 reinstates (with amendments) Section 4 of Presidential Decree No. 1752, which had been repealed by EO 90.
EO 90 relates to the continued administration and functions of the Home Development Mutual Fund, including handling provident contributions for housing loans and developing saving schemes. EO 308 relies on the structure of Pag-IBIG (Home Development Mutual Fund) established by EO 90 and connects voluntary barangay coverage through RA 7742.
The text references the six-year National Shelter Program, aimed at providing increased levels of assistance nationwide, as a policy basis for enabling Pag-IBIG membership for the specified barangay officials.
The text states that the joint circular recognizes leave privileges of barangay officials and treats honoraria received in accordance with law and Local Budget Circular No. 63 (Oct. 22, 1996) as fixed salary.
No. EO 308 applies to those listed who 'have applied and qualified' as members on a voluntary basis. Their membership grants them rights and privileges under RA 7742.
EO 308 states that all orders, rules, or regulations, or parts thereof, inconsistent with EO 308 are repealed or modified accordingly.
EO 308 provides that it takes effect immediately.