Question & AnswerQ&A (Republic Act No. 6721)
All officials and employees whether permanent, temporary, or emergency in nature and contractual personnel whose employment is in the nature of a regular employee, appointive or elective, in all national government agencies, state universities and colleges, government-owned and controlled corporations, government financial institutions, and local government units are covered.
The official or employee must have rendered at least four (4) months of service, including leaves of absence with pay, from January 1 to April 30 of the given year.
Payment shall be made not earlier than May 1 and not later than May 31 of the given year.
No, payment may be received regardless of whether or not the employee remains in service as of October 31 of the same year.
The pro-rated share follows a 20% gradation for every month of service in excess of the four-month requirement: May - 0%, June - 20%, July - 40%, August - 60%, September - 80%, October - 100%.
Payment shall be made within the month of retirement or separation from the service.
No, the benefits authorized herein shall not be applicable to services rendered prior to 2003.
The amount shall be charged against the approved appropriations under the annual General Appropriations Act, and any deficiency shall be charged against available savings of the agency.
The amount required shall be charged wholly from their respective corporate funds.
The required amount shall be charged wholly from their respective local funds.
Cases not covered shall be submitted to the Secretary of Budget and Management for resolution.
All circulars and other issuances inconsistent with this Circular are rescinded or superseded accordingly.
The provisions took effect on January 1, 2003.