DBM: Salary hike for gov't workers to be implemented this January

Budget Secretary Amenah Pangandaman on Wednesday signed National Budget Circular No. 597, providing the rules and regulations for the implementation of the second tranche of salary increase for civilian government workers.

The said Circular is issued in line with the implementation of the updated Salary Schedule for the Civilian Personnel pursuant to Executive Order (EO) No. 64, s. 2024, which was signed by President Ferdinand “Bongbong” Marcos Jr. in August 2024.

"Sa pagpapatuloy po ng pangako ng ating Pangulo, ipatutupad po natin ngayong January 2025 ang pangalawang bahagi ng salary increase para sa ating mga kawani ng gobyerno,'' Pangandaman said in a press release.

(Pursuant to the promise of our President, we will implement this January 2025 the second tranche of the salary increase for our government workers.)

''We hope that this second tranche will provide much-needed financial relief and allow our government workers to better support their families, invest in their futures, and enhance their overall quality of life," she added.

Marcos' EO No. 64 states that the updated Salary Schedule shall be implemented in National Government Agencies in four (4) tranches, with the first implementation on January 1, 2024; the second on January 1, 2025; third on January 1, 2026; and the fourth and final tranche beginning on January 1, 2027.

This applies to all civilian government personnel, now existing or hereafter created in the Executive, Legislative, and Judicial Branches, the Constitutional Commissions and other Constitutional Offices, State Universities and Colleges, and Government-Owned and Controlled Corporations (GOCCs) not covered by Republic Act (RA) No. 10149  and EO No. 150, s. 2021, regardless of appointment status, whether regular, casual, or contractual; appointive or elective; and on a full-time or part-time basis.

The said Circular shall not apply to military and uniformed personnel; government agencies that are exempt from RA No. 6758; GOCCs under RA No. 10149 and EO No. 150; individuals engaged without employer-employee relationship and funded from non-Personnel Services appropriations/budgets, such as consultants and experts engaged for a limited period to perform specific activities or services with expected outputs, laborers engaged through job contracts ("pakyaw") and those paid on piecework basis, student workers and apprentices, and those whose services are engaged through job orders, contracts of service, or others similarly situated.

According to the DBM, the amounts required for the salary adjustment of the civilian government personnel in Fiscal Year 2025 shall be charged against the Miscellaneous Personnel Benefits Fund and any available appropriations under the FY 2025 General Appropriations Act, subject to budgeting, accounting, and auditing rules and regulations.

For GOCCs covered by the Circular, the amounts shall be charged against their respective corporate operating budgets, as approved by the DBM. —KG, GMA Integrated News