Question & AnswerQ&A (EXECUTIVE ORDER NO. 389)
The main purpose is to implement the fourth and final year salary increases authorized by the Joint Senate and House of Representatives Resolution No. 1, Series of 1994 for all national government civilian and uniformed personnel.
The salary increases take effect in two phases: 50% on January 1, 1997, and the remaining 50% on November 1, 1997.
The originally recommended 35-Grade Salary Schedule was modified to a 33-Grade Salary Schedule consistent with RA No. 6758.
Officials and employees of National Government Agencies (NGAs), Government-Owned and Controlled Corporations (GOCCs), Government Financial Institutions (GFIs), and Local Government Units (LGUs) whose basic salaries conform to the Third Interim Salary Schedule under Executive Order No. 290.
No, those exempted by law from the Compensation and Position Classification System and those who do not follow the prescribed Salary Schedule are not entitled.
Their benefits will be computed based on the Salary Schedule in Annex B corresponding to their designated salary step, with retirees having the option to retire under RA No. 660.
PERA and ADCOM will continue to be paid as allowances and will not be integrated into basic pay.
LGUs may set their own schedule depending on financial capability but must comply with the schedule and percentage application requirements set forth in RA No. 6758.
No, there shall be no corresponding increase in allowances and benefits based on a percentage of basic salary despite the salary increases.
The President, the Vice President, and Members of Congress are explicitly prohibited from benefiting from the salary adjustment under Section 11.