Law Summary
Coverage and Exemptions
- Amends the coverage provisions of P.D. No. 985 regarding position classification and compensation.
- Limits exemptions to elected officials and officers whose salaries are constitutionally fixed.
- Local government officials/employees governed separately by P.D. No. 1136 are excluded.
Repeal of Special Salary Laws and Regulations
- Repeals all laws, decrees, and issuances inconsistent with the National Compensation and Position Classification System.
- Abolishes special salary laws that fix pay rates outside the national system, ensuring uniformity.
Continuity of Salaries for Current Incumbents
- Positions currently paid under special salary laws retain current salaries until fully integrated into the national plan.
- The Budget Commission is tasked with issuing rules for a smooth transition.
- Incumbents of previously excluded positions shall not experience salary reductions in total compensation.
Allowances, Honoraria, and Fringe Benefits
- All allowances, honoraria, and fringe benefits payable to government employees require presidential approval based on the Budget Commission’s recommendation.
- The Budget Commission must continuously review and set policies on benefits and compensation.
- Includes compensation for participation in authorized projects with additional remuneration.
Exemptions from the Civil Service Position Classification Rules
- Agencies or groups exempted by law from the Office of the Civil Service Commission’s (OCPC) rules must still observe guidelines issued by the President.
- Guidelines cover classification, salary rates, allowances, honoraria, overtime, and other compensation.
- Exempt agencies must report classification and compensation details to the President through the Budget Commission.
Repealing Clause
- All existing laws and decrees inconsistent with this decree are repealed or amended accordingly.
Effectivity
- The decree takes effect immediately upon issuance.