Question & AnswerQ&A (DBM LOCAL BUDGET CIRCULAR NO. 56)
All positions in local government units (LGUs), whether permanent, temporary, contractual, casual, or emergency; appointive or elective; full or part-time, now existing or to be created.
1) Consultants and experts hired for specific activities; 2) student laborers, apprentices, and similarly situated individuals; 3) laborers hired under job contracts paid on piecework basis, mail contractors, and others similarly situated.
Present salary means the actual basic salary rate received as of December 31, 1994, exclusive of Personnel Economic Relief Allowance (PERA), additional compensation, allowances, bonuses, honoraria, and other additional forms of compensation.
Transition allowance refers to the excess of the present salary of an incumbent employee over the eighth step of the salary grade allocation of their position.
Yes, the salary grades and corresponding grade allocations under RA 6758 are maintained, but the salary rates are adjusted effective January 1, 1995 pursuant to EO No. 218.
Employees with transition allowance are entitled to the salary adjustment authorized. The excess of their adjusted salary over the prescribed rates is treated as an advance partial implementation of the Revised CPS.
All appointments effective January 1, 1995, and thereafter shall be at the first step of the salary grade allocation of the position, unless the appointee previously received a permanent appointment salary higher than the first step, in which case existing salary rules apply.
No, salary adjustments under this Circular do not apply to devolved national personnel until the salaries of their local counterparts equal those of the devolved personnel.
Contractual employees paid from lump sum appropriations or project funds may receive up to 120% of the adjusted minimum hiring rate of comparable regular positions.
They are prohibited from granting any salary adjustment exceeding the amounts authorized by this Circular.
The Provincial Governor, City or Municipal Mayor is personally liable for payments not in accordance with the Circular and can be required to demand refunds for any excess payments by employees.
No, Section 325(g) of RA 7160 prohibits retroactive implementation of salary adjustments for LGUs that cannot implement them in the current year.
Yes, LGUs lower than special cities and first-class provinces and cities may adopt higher salary schedules of higher-class LGUs if financially capable, uniformly applied, and subject to budgetary and salary grade allocation conditions.
Local Chief Executives, with Sanggunian approval, may grant uniform/clothing allowance up to P1,500 per annum per employee, in lieu of similar grants of the same amount or value.