Proportional Cash Gift for Shorter Service Periods
- Applicable for officials and employees with less than four months of service from January 1 to October 31, employed as of October 31.
- Entitlement to a percentage of the cash gift based on actual length of service:
- 3 months but less than 4 months: 40% of cash gift.
- 2 months but not less than 3 months: 30%.
- 1 month but not less than 2 months: 20%.
- Less than 1 month: 10%.
Funding for Implementation
- For 1997, funding for national officials, employees, and barangay chairmen taken from:
- Current year appropriations for the Miscellaneous Personnel Benefit Fund.
- Appropriation savings and reserves authorized under RA No. 8250 (General Appropriation Act for 1997).
- For succeeding years, funds to be included in the annual General Appropriations Act.
Benefits for Local Government Officials and Employees
- Local government units (LGUs) officials and employees entitled to the same benefits as national government employees.
- Benefits charged against respective local funds.
- For 1997, LGUs allowed to realign budgets to prioritize funding for these benefits.
- Any budget deficiency may be recorded as accounts payable to be paid with first priority in following years.
Cash Gift for Barangay Chairmen
- Each barangay chairman shall receive a cash gift of P5,000.
- Payment to come from funds provided for in the Act.
- Implementation follows rules stated for government employees.
Limitations on Receiving Christmas Bonuses
- No official or employee shall receive a Christmas bonus exceeding one month basic salary plus the stated cash gift.
- Prohibition applies to bonuses from all sources to prevent duplications or excess payments.
Repeal and Modification of Inconsistent Provisions
- All laws, executive issuances, rules, and regulations inconsistent with this Act are considered amended, repealed, or modified accordingly.
Effectivity
- The Act takes effect immediately upon approval on December 22, 1997.