Gov't workers to receive third tranche of pay hike in January -DBM

Government workers will receive the third tranche of their salary increase next year as around P24 billion has been appropriated in the 2018 national budget for the government workers' pay hike, Budget Secretary Benjamin Diokno announced Wednesday.

"We have set aside P24 billion for the third tranche of salary standardization law, which would benefit 1.2 million government workers," Diokno said in a breakfast forum in Manila.

The Budget chief said the salary adjustment  be implemented starting January 2018.

"The third tranche will effectively increase the compensation package of all civilian employees in the Executive, Legislative, and Judicial branches; employees in constitutional commissions and offices, state universities and colleges," Diokno said.

Also entitled for the third tranche of the pay hike are employees in government-owned and controlled corporations (GOCCs) covered by the Compensation and Position Classification System (CPCS) under the Republic Act No. 6758, as amended; all positions for salaried loyal government units; and all positions for barangay personnel paid a monthly honoraria.

The increase in government workers' salary is pursuant to Executive Order No. 201 series of 2016, which grants a compensation adjustments to be given in four tranches.

Diokno said, in general, government workers' pay will increase by 45 percent for the four tranches of adjustments.

"Aside form the basic salary increase, government workers will continue to receive standard allowances and benefits such as a mid-year bonuses and a year-end bonus, each equal to one month basic pay, cash gift, and the Productivity Enhancement Incentive," the Budget chief said.

The Department of Budget and Management is set to release the guidelines for implementation of the third tranche of compensation adjustment in January 2018.

The fourth and last tranche is scheduled for implementation in fiscal year 2019.

Diokno clarified that the four-tranche salary increase does not cover governed agencies, including GOCCs, that are exempted from RA 6758; and those hired without employer-employee relationship and funded from non-Presidential services appropriations. -NB, GMA News