Question & AnswerQ&A (EXECUTIVE ORDER NO. 719)
The purpose of Executive Order No. 719 is to implement a 10% compensation adjustment for government personnel to address the compensation gap between the public and private sectors and to attract and retain competent public servants.
The order seeks to adjust salaries across various levels but addresses the gap particularly at the higher professional and executive/top management levels, while also covering sub-professional and lower professional levels.
The salary adjustments take effect on July 1, 2008.
The adjustments cover National Government Agencies (NGAs) including State Universities and Colleges (SUCs), government-owned or controlled corporations (GOCCs), and local government units (LGUs) personnel whose positions are covered by R.A. No. 6758, as amended.
Yes, military personnel of the Armed Forces of the Philippines and uniformed personnel under the DILG, Philippine Coast Guard, and National Mapping and Resource Information Authority receive a 10% increase over their monthly base pay as of June 30, 2008.
No, personnel of government agencies exempted by law from R.A. No. 6758 coverage are excluded from the compensation adjustments.
For NGAs and SUCs, funds are charged against the FY 2008 General Appropriations Act; for GOCCs, funds come from their corporate funds subject to governing board approval; and for LGUs, funds come from their local government funds subject to local sanggunian approval.
Yes, they may partially implement the salary adjustments at a uniform percentage increase for all positions if funds are insufficient.
No, except for the year-end bonus, longevity pay for military and uniformed personnel, government contributions to retirement and insurance premiums, PAG-IBIG, PhilHealth, and Employees Compensation premiums, other allowances and benefits computed as a percentage of salary or base pay are not increased.
The salary increase for these constitutional officials takes effect only after the expiration of the terms of the incumbents, pursuant to the 1987 Philippine Constitution.