QuestionsQuestions (EXECUTIVE ORDER NO. 150)
EO 150 approves the Compensation and Position Classification System (CPCS) and the Index of Occupational Services, Position Titles, and Job Grades for GOCCs (IOS-G) framework for the GOCC sector covered by RA 10149, repealing EO 203 (s. 2016), and for other related purposes.
EO 150 cites: (1) Section 16, Article XII of the Constitution on GOCCs being subject to economic viability; and (2) Section 5, Article IX-B on Congress standardizing compensation of government officials and employees, including GOCCs with original charters, considering responsibilities and qualifications.
The GCG is mandated to classify GOCCs as needed, conduct compensation studies and recommend a competitive compensation system, and develop a CPCS applicable to all officers and employees of GOCCs whether covered by the Salary Standardization Law or exempt therefrom, subject to the President’s approval.
No. EO 150 states that under Section 9 of RA 10149, notwithstanding any law to the contrary, no GOCC shall be exempt from the coverage of the CPCS developed by the GCG.
The CPCS and IOS-G framework apply to all GOCCs, including GFIs and GICPs/GICPs/GCEs (as collectively referred to in the Order), including their subsidiaries, unless excluded from the coverage of RA 10149. It also provides that the CPCS shall not apply to GOCCs with approved abolition or deactivation orders.
EO 150 authorizes the GCG to convert or revise the existing position classification system of the GOCCs to align with the CPCS. It also provides that all positions will be allocated by the GCG to proper position titles and job grades in the IOS-G.
EO 150 prohibits GOCC governing boards from negotiating the economic terms and conditions of CNAs/CBAs with officers and employees. CNA incentives must be guided by DBM policies and guidelines, and shall also be extended to non-chartered GOCCs for uniformity of allowable incentives.
The monthly basic salary structure and the corresponding allowances, benefits, and incentives become effective upon issuance of the corresponding authorization from the GCG. The GCG En Banc may set a uniform effectivity date across GOCCs, but it cannot be earlier than the effectivity date of the Order itself.
No. EO 150 provides non-diminution of authorized salaries of incumbent officers and employees. 'Authorized salaries' are those duly authorized by the Office of the President and/or by law. A mere approval by the GOCC governing board is not considered 'authorized.'
No. EO 150 states that no additional compensation outside the CPCS shall be granted by the GOCC governing board unless it is recommended by the GCG and approved by the President.
All officers and employees automatically start at Step 1 of the prescribed Monthly Basic Salary Structures in the CPCS, unless otherwise provided. Progressions in step increments may be adjusted, subject to GCG implementing guidelines.
The GCG administers implementation and issues implementing guidelines on affordability, step increments, hiring rates, overtime pay, night shift differential, merit increases, and separation pay programs, considering prevailing private sector practices and the CPCS guiding principles.
EO 150 provides that the DBM shall provide relevant assistance to the GCG in issuing guidelines on compensation adjustments of GOCCs.
Within ninety (90) days from effectivity, the GCG must submit to the OP, through the Executive Secretary, a Consolidated CPCS Report summarizing authorizations issued by the GCG for all covered GOCCs and the status of implementation.
The GCG En Banc must review the CPCS three (3) years after effectivity and every three (3) years thereafter, considering GOCC performance, contribution to the national economy, and possible erosion in purchasing power due to inflation and other factors.
EO 150 states that amounts required for CPCS implementation shall be charged to the GOCC’s Personnel Services appropriations under its approved Corporate Operating Budget. A GOCC is prohibited from sourcing payment from loans, sale of assets for sole purpose of compensation adjustment, or analogous schemes.
EO 150 provides that the GOCC shall undergo mandatory action such as reorganization, merger, streamlining, abolition or privatization pursuant to Section 5(a) of RA 10149 upon recommendation of its Supervising Agency. A separation incentive pay is also provided for affected employees (subject to GCG recommendation and OP approval of lower rates).
EO 150 authorizes the GCG to grant ERI to officers and employees who voluntarily elect to be retired and SIP to those involuntarily separated, in accordance with the separation incentive pay rates under Section 12, unless adjusted rates are recommended by the GCG and approved by the OP. ERI/SIP are in addition to benefits under existing laws.
EO 150 takes effect immediately upon publication in the Official Gazette or in a newspaper of general circulation. It repeals EO No. 203 (s. 2016) and any inconsistent parts of prior orders, rules, regulations, and issuances.