Qualified civilian government employees are set to receive the second tranche of their salary increase starting January 2025, following the issuance of National Budget Circular No. 597, signed on Wednesday.
Department of Budget and Management (DBM) Secretary Amenah Pangandaman signed the National Budget Circular implementing the updated salary schedule for civilian personnel, in accordance with Executive Order No. 64, signed by President Ferdinand Marcos Jr. in August of last year.
"The circular prescribes the guidelines for implementing the new salary rates for all civilian government personnel, regardless of appointment status, effective January 1, 2025," DBM said in a social media post.
In a report by RH Leth Narciso, it was stated that Pangandaman announced the implementation of the second phase of the salary increase for government employees this January, as part of the president's commitment.
“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," Pangandaman added.
Executive Order No. 64 mandates the implementation of the updated salary schedule for national government agencies in four tranches: the first in January 2024, the second this January 2025, the third in January 2026, and the final tranche in January 2027.
Furthermore, the second tranche will cover qualified civilian government personnel in the Executive, Legislative, and Judicial branches, as well as those in Constitutional Commissions, other Constitutional Offices, State Universities and Colleges, and Government-Owned and Controlled Corporations (GOCCs).
Employees, whether regular, casual, contractual, appointive, elective, or employed on a full-time or part-time basis, are eligible for the second tranche.
However, the said circular does not apply to several types of employees, including:
- Military and uniformed personnel
- Government agencies that are exempt from RA No. 6758 or the Compensation and Position Classification Act of 1989
- GOCCs under RA No. 10149 and EO No. 150
- Individuals engaged without employer-employee relationship and funded from non-Personnel Services appropriations/budgets (i.e. consultants and experts, job contracts, student workers and apprentices, job orders)
The DBM stated that the funds needed for this year’s salary adjustment for civilian government personnel will be sourced from the Miscellaneous Personnel Benefits Fund and any available appropriations under the 2025 Genaral Appropriations Act.
Moreover, for GOCCs included in the Circular, the necessary funds will be sourced from their respective corporate operating budgets.