Question & AnswerQ&A (Republic Act No. 6758)
Republic Act No. 6758 is officially titled the "Compensation and Position Classification Act of 1989."
The primary policy is to provide equal pay for substantially equal work and to base pay differences upon substantive differences in duties, responsibilities, and qualifications, considering also prevailing private sector rates.
The Department of Budget and Management (DBM) is directed to establish and administer the unified Compensation and Position Classification System.
It applies to all positions in the government, including appointive or elective, full or part-time, in the Executive, Legislative, and Judicial branches, Constitutional Commissions, local government units, government-owned or controlled corporations, and government financial institutions.
The four categories are: Professional Supervisory, Professional Non-Supervisory, Sub-Professional Supervisory, and Sub-Professional Non-Supervisory.
Positions require managerial functions and intensive knowledge usually acquired from completion of a bachelor's degree or higher, involving professional, technical or scientific knowledge and supervisory skills.
Salary Grade 9 to Salary Grade 33.
Step increments shall be granted based on merit and/or length of service, effective January 1, 1990, following rules by the DBM and Civil Service Commission; also, pay reductions due to demotion do not apply if voluntary or not disciplinary.
The President of the Philippines is assigned Salary Grade 33, the highest grade.
Generally, no; however, the President of the Philippines may approve higher compensation in exceptional cases.
Rates of pay depend on the class and financial capability of the LGU but should not exceed specified percentages of the national government's salary schedule.
All allowances except specific ones like representation, transportation, clothing and laundry, subsistence for certain personnel, hazard pay, and certain foreign service allowances are deemed included in the standardized salary rates.
They shall continue receiving the excess as a transition allowance, which forms part of the basic salary for computing retirement, bonuses, and similar benefits, and will be reduced by future increases.
COA officials and employees are prohibited from receiving any salaries, bonuses, or allowances from entities other than the COA itself from its appropriations to preserve independence.
The Act took effect on July 1, 1989.