QuestionsQuestions (DBM LOCAL BUDGET CIRCULAR NO. 56)
It prescribes the rules and regulations governing the second phase implementation of the Revised Compensation and Position Classification System (CPCS) mandated by Executive Order (EO) No. 218, including the ₱1,000 basic salary increase effective January 1, 1995, and other related compensation matters.
All positions in local government units (LGUs), whether permanent, temporary, contractual, casual, or emergency, whether appointive or elective, and on full- or part-time basis, whether existing or later created.
Consultants and experts hired for limited periods with expected outputs; student laborers/apprentices and similarly situated persons; and laborers hired under pakiao/job contract, those paid on piecework basis (including mail contractors), and similarly situated.
The actual basic salary rates received as of December 31, 1994, exclusive of PERA, Additional Compensation, representation and transportation allowances, bonus/cash gifts, honoraria, and any other additional compensation.
It is the excess of the present salary over the eighth step of the grade allocation of the employee’s position.
Salary grades and their grade allocation under the salary schedule prescribed in RA 6758 are maintained, but salary rates are adjusted effective January 1, 1995 pursuant to EO No. 218 as shown in the Interim Salary Schedules (Annexes A to H).
They receive the salary rates corresponding to their designated salary steps in the salary grade allocation of their positions as of December 31, 1994.
They are entitled to the authorized salary adjustment; any excess of their adjusted salary over the prescribed rates is treated as advance implementation of the Revised CPCS (per Joint Senate and House Resolution No. 1, s. 1994).
Appointments are made at the first step of the salary grade allocation of the position under Section 5.1. However, if the appointee previously received under an approved permanent appointment a salary higher than the first step, the existing salary rules apply.
No. The adjustment does not apply to devolved national personnel until the salary rates of their local counterparts have equaled the salary rates of the devolved personnel, except as provided under paragraph 6.0 of the Circular.
They continue to be paid as allowances and are not integrated into the basic salary rates in the Interim Salary Schedules.
Contractual employees whose salaries are paid from lump sum appropriations or project funds may be entitled to not more than 120% of the adjusted minimum hiring rate of comparable regular positions.
Divide the monthly salary rate in the Interim Salary Schedules by 22 working days. The total wages received in a month must not exceed the monthly salary rate.
For computing retirement pay, year-end bonus, and other similar benefits.
Their salary rates (whether locally-paid and devolved or otherwise) shall follow the Annexed Interim Salary Schedules. If the LGU lacks adequate funds, it may partially implement the rates uniformly and proportionately, with possible financial assistance from the Department of Health for differentials under EO No. 215 and Administrative Order No. 170.
Local Chief Executives and concerned Sanggunian bodies are prohibited from granting any adjustment in excess of the amounts authorized in the Circular.
From the LGU’s respective funds, which must be provided for in an appropriation ordinance enacted by the local Sanggunian.
Salary increases shall be partial and proportionate for all positions, using a uniform rate/amount such that no official or employee receives a salary increase higher than that of any other employee in the same LGU, subject to Section 5.5.
The Provincial Governor, City Mayor, or Municipal Mayor concerned is held personally liable, without prejudice to the refund of any excess payment by the employee concerned.
Salary adjustments are subject to mandatory GSIS life and retirement insurance premiums and HDMF contributions (if the recipient is a GSIS and HDMF member), pursuant to RA 660 and CA 186.