DBM assures gov’t workers to get another salary hike next year

Finance Secretary Benjamin Diokno in August said the government may consider another round of annual salary increases for government workers starting in 2024 as the scope of the SSL is only until 2023. (File Photo: Bangko Sentral ng Pilipinas/Facebook)

MANILA – Government workers can expect another salary hike starting next year, the Department of Budget and Management (DBM) said Thursday.

The DBM made this assurance following calls made by federations of government unions for an increase in the national minimum salary to PHP33,000 per month.

“…The last tranche of the modification of the salary schedule for civilian personnel pursuant to Republic Act (RA) No. 11466 or the Salary Standardization Law (SSL) 5 will be implemented in 2023. Hence, government employees concerned will have another salary adjustment by next year,” the DBM said in a press statement.

RA 11466, signed by former President Rodrigo Duterte, gives civilian government employees another round of salary increases broken down into tranches from 2020 to 2023.

The DBM, likewise, clarified that a further increase in salary for government workers must be carried out through a legislative measure.

“Once House Bills or Senate Bills are filed, the DBM is providing comments, inputs, or recommendations on the same,” the agency said.

According to the DBM, the National Expenditure Program (NEP) for 2023 has allocated around PHP47 million under the budget of the Governance Commission for GOCCs (GCG) to support the conduct of a study on the government compensation structure of the different national government agencies and GOCCs.

“This will ensure that the compensation of all civilian personnel will be generally competitive with those in the private sector doing comparable work to attract, retain, and motivate corps of competent and dedicated civil servants,” the DBM said.

The agency said it is also reviewing the rates of the existing benefits being provided to qualified government employees to assess if these may need adjustment in the future.

It is also preparing executive issuance on the proposed grant of gratuity pay to job order and contract of service (COS) workers which will be endorsed to the Office of the President for consideration.

Finance Secretary Benjamin Diokno in August said the government may consider another round of annual salary increases for government workers starting in 2024 as the scope of the SSL is only until 2023.

Diokno said part of the GCG study on compensation structure would also assess the sustainability of further salary hikes amid the limited fiscal space of the government.

Early this month, the Department of Labor and Employment (DOLE) ordered regional wage boards to review the current minimum wage situation of private sector workers amid soaring prices of basic goods and services.

Several lawmakers have urged Malacañang to work with Congress in crafting laws and policies toward hiking the salaries of workers and accelerating job creation.