Policy on Salary Guide for EC Employees
- Establish a salary guide serving as a basis for just and equitable wages
- Wages to correspond with cooperatives’ classification and financial standing
- Salaries must not be lower than minimum wages prescribed by the Labor Code or DOLE Regional Wage Boards
Mechanics of Implementation
- EC management recommends revised salary schedule via Board Resolution
- Submission of resolution, personnel plantilla with salaries, and a 3-year cash flow projection to NEA for review
- Submission deadline: first semester of the year, complying with NEA Memorandum No. 2006-023
- Institutional Development Department reviews and forwards recommendation for final approval by NEA Administrator
- NEA communicates final approval within the second semester
- If new wage order sets a basic rate higher than the Rank 1 position salary, EC must adjust salaries accordingly
- If an already approved scale exceeds latest wage order, EC can inform NEA if it still chooses to incorporate changes
- Salary guide does not guarantee automatic entitlement above any Collective Bargaining Agreement increases
- ECs must maintain approved job ranks to prevent salary distortion
- Modified salary scales require NEA final approval
General Provisions
- Salary scale adoption suspended if:
- EC posts cumulative net losses for six consecutive months prior to evaluation
- Key Performance Indicators show marked downtrend compared to previous year
- EC retrogresses in categorization
- Salary scale upgrades must be based on increased revenue or improved operations
- Salary increases should not cause EC to increase power rates to cover costs
- Revised salary scales require explicit NEA approval (salaries excluded from liberalized cash operating budget)
- After NEA approval, EC may implement yearly merit-based salary step increases without prior NEA approval
- Merit increases must be submitted to NEA Finance Department for budget purposes
- Across-the-board salary increases are disallowed due to counter-productivity
Amendatory Clause
- This memorandum supersedes the Revised Salary Guide dated 11 September 2003
Effectivity
- Guidelines take effect 15 days after submission to the University of the Philippines Law Center in compliance with EO No. 292
- Officially adopted on 12 May 2008 by NEA Administrator Edita S. Bueno