Title
Salary Standardization Law of 2019
Law
Republic Act No. 11466
Decision Date
Jan 8, 2020
Republic Act No. 11466 establishes a standardized salary schedule for civilian government personnel, ensuring equitable compensation, performance-based incentives, and additional benefits across all government branches while promoting social justice and efficiency in the civil service.

Law Summary

Statement of Policy

  • Establishes a just and equitable compensation system for all government personnel.
  • Ensures pay differences reflect duties, responsibilities, accountabilities, qualifications.
  • Standardization and rationalization across agencies to promote social justice, integrity, efficiency, productivity, accountability, and excellence.
  • Compensation should be competitive with the private sector to attract and retain competent civil servants.
  • Performance-based incentives reward outstanding personnel and organizations.
  • Compensation scheme considers government financial capacity and prioritizes efficient allocation of funds.

Coverage

  • Applies to all civilian government personnel across the Executive, Legislative, Judicial branches, Constitutional Commissions/offices, GOCCs not covered by RA 10149, and LGUs.
  • Covers regular, contractual, casual, appointive, elective, full-time, and part-time government personnel.

Exclusions

  • Military and uniformed personnel.
  • GOCCs under RA 10149 covered by Governance Commission for GOCCs' Compensation and Position Classification System.
  • Individuals engaged through job orders, contracts of service, consultancy, or service contracts without employer-employee relationship.

Position Classification System

  • Maintains three categories of positions: Sub-professional, Professional, and Executive.
  • Department of Budget and Management (DBM) regularly reviews and updates the Index of Occupational Services (IOS) reflecting job duties, complexities, skills, and competencies.

Compensation System

  • Continues Total Compensation Framework composed of:
    • Basic Salaries including Step Increments;
    • Standard Allowances and Benefits;
    • Specific-Purpose Allowances and Benefits;
    • Incentives.

Salary Schedule

  • Modified salary schedule implemented in four tranches from 2020 to 2023.
  • Covers monthly remuneration with detailed salaries per Salary Grade and Step.
  • Part-time personnel receive proportionate remuneration based on actual services.
  • Casual personnel paid daily rates based on dividing monthly salary by 22 working days.

Mid-Year Bonus

  • One (1) month basic salary awarded as Mid-Year Bonus after four months of satisfactory service.
  • Existing Year-End Bonus (one month basic salary) and Cash Gift (₱5,000) remain.
  • Bonuses tied to specified dates (e.g., Mid-Year not before May 15, Year-End in November).

Program on Awards and Incentives for Service Excellence (PRAISE)

  • Incentives system under CSC per Administrative Code.
  • Monetary and non-monetary rewards with guidelines issued by CSC in consultation with DBM.

Compensation Adjustment for Local Government Unit (LGU) Personnel

  • LGU personnel may receive modified salary and incentives respecting LGU budget Personnel Services limits.
  • Salary caps aligned with LGU income classification and as percentage of national schedule.
  • Barangay personnel receive honoraria per income classification, eligible for Year-End Bonus and Cash Gift.
  • Partial implementation must be uniform across positions within LGUs.

Implementation Schedule

  • NGAs implementation in four tranches (2020 to 2023).
  • GOCCs and LGUs have at least four years for implementation based on financial capacity; not earlier than 2020.

Exempt Entities

  • Entities not covered by RA 6758 CPCS, GOCCs covered by GCG CPCS under RA 10149, and those with their own approved systems.
  • Exempt entities governed by own approved compensation and position classification systems.

Applicability to Certain Officials

  • Salaries for President, Vice-President, and Members of Congress take effect only after current terms expire, per constitutional provisions.

Funding Sources

  • NGAs: From available and subsequent General Appropriations Acts.
  • GOCCs: Corporate funds within operating budgets approved by DBM; partial implementation allowed if funds insufficient.
  • LGUs: Charged against local government funds as governed by law.

Implementing Guidelines

  • DBM responsible for issuing guidelines for implementing the Act's specific provisions.

Separability Clause

  • Invalidity of one provision does not affect the validity of other provisions.

Continuity of Related Laws

  • Existing laws and orders consistent with or not modified by this Act remain effective.

Repealing Clause

  • Prior inconsistent laws, decrees, orders, rules, or regulations repealed or amended accordingly.

Effectivity

  • Act takes effect on January 1, 2020.

Analyze Cases Smarter, Faster
Jur is a legal research platform serving the Philippines with case digests and jurisprudence resources.