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 this yesterday.
“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.
Diokno said the salary adjustment will 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 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 from the basic salary increase, government workers will continue to receive standard
allowances and benefits such as 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.