DBM: First Tranche of Government Pay Hikes Worth P57.91 Billion to be Release Next Week

The Department of Budget and Management (DBM) announced to the media that all government agencies will obtain next week the first tranche of pay hikes for their employees. According to DBM’s announcement a total of 59.91 billion will be subject to agency disposal any time.

DBM

The pay hike for government employees was granted after President Aquino’s Executive Order 201 mandated that it will be release to all the workers who are under the national government’s payroll.

In an official statement by Budget Secretary Florencio Abad, he stated “This will ensure that they will get at least the first tranche of the pay increase that we have planned for them,” Budget Secretary Florencio Abad.

The DBM head added further that “The Human Resource Office of agencies will, of course, need time to implement the procedures for salary adjustment and process the release of funds to employees,” he added.

The Budget Department also issued two memorandum circulars for various government agencies, GOCC’s and other branches of government detailing the guidelines for EO 201 for both national and local governments.

Under the circulars, employee salaries will be adjusted retroactively to Jan. 1, 2016 for those who entered service by Dec. 31 last year. Salary differentials would be given to the 1.3 million civilian personnel, including those employed by qualified state corporations, to cover the first month of the year.

Consultants, contract workers and paid interns are not covered by the salary hike, the agency said. Military and uniformed personnel, meanwhile, were granted provisional and officers’ allowances in lieu of an increase in basic pay. Their hazard pay was also hiked to P390 per month from the original P240.

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