Implementation of the Second Tranche Salary Schedule for Civilian Personnel in NGAs, GOCCs, and GFIs
- Effective June 24, 2010, the second tranche of the modified Salary Schedule is implemented.
- Applies to personnel in National Government Agencies (NGAs), Government-Owned or Controlled Corporations (GOCCs), and Government Financial Institutions (GFIs).
- Does not apply to officials or employees whose terms are conterminous with the incumbent President.
Implementation of the Second Tranche Base Pay Schedule for Military and Uniformed Personnel
- Effective June 24, 2010, the second tranche of the modified Base Pay Schedule is implemented.
- Covers military personnel under the Department of National Defense and uniformed personnel under specified agencies.
Implementation of the Second Tranche Salary Schedule for Local Government Unit (LGU) Personnel
- The sanggunian (local legislative council) determines implementation based on LGU income class and financial capability.
- Salary rates shall not exceed prescribed percentages of the national salary rates, varying by income classification of LGUs.
- Percentages range from 100% for first-class provinces/cities to as low as 65% for sixth-class municipalities.
- Personal Services cost must not exceed LGU budget limitations under R.A. No. 7160.
- No diminution in basic salaries for incumbents to comply with budget limit.
- The Department of Budget and Management to issue schedules per income class, effective not earlier than January 1, 2010.
Applicability to Certain Constitutional Officials
- Salaries prescribed do not apply to the incumbent President, Vice-President, and Members of Congress (including Senators) whose full terms expire in 2013.
Funding Sources for Implementation
- NGAs: Charged against the appropriation under the Miscellaneous Personnel Benefits Fund in the FY 2010 General Appropriations Act and from any available savings.
- GOCCs and GFIs: Charged against their authorized corporate operating budgets.
- LGUs: Charged against their respective local government funds.
Provision for Insufficiency of Funds
- GOCCs and GFIs without sufficient funds must implement salary schedules at uniform percentages of the prescribed rates.
- LGUs without sufficient funds shall also implement salary schedules at uniform percentages of the designated Second Tranche schedules.
Rules and Regulations
- The Department of Budget and Management (DBM) is mandated to prepare and issue the necessary implementing rules and regulations for this Executive Order.
Effectivity
- The Executive Order takes effect immediately upon issuance on June 23, 2010.