September 20th, 2008

No Christmas bonus for gov’t workers before Nov. 15

Philippine Star

Malacañang clarified yesterday that the year-end Christmas bonus of government employees could not be released before Nov. 15 of each year as stipulated by law.

Budget Secretary Rolando Andaya, Jr. said the existing budgetary laws prevent them from paying the year-end bonus and cash gift of government personnel before Nov. 15 even though the government would want to do this.

“The rules and regulations for Republic Act 6686, which authorizes the grant of an annual Christmas bonus to national and local government officials and employees, provide that said bonus shall be paid not earlier than Nov. 15 of each year,” Andaya said.

Former budget secretary Benjamin Diokno urged the government to release the Christmas bonus this September in order to boost consumer spending and the economy as a whole.

“Much as we want to release the Christmas bonus now, even much earlier than what is already early for a year-end bonus, we cannot do so since the law prohibits it,” Andaya said.

Andaya belied reports that the release of the year-end benefits would be delayed as claimed by some sectors.

“We assure everyone that the cash requirements for the year-end benefits are intact and will be released promptly on the day specified by law to help with additional cash requirements during the holiday season,” Andaya said.

He added that employees who retired before Oct. 31, the period of reckoning, that they will still receive their year-end benefits on a pro-rated basis.

Meanwhile, Andaya described as “an absolute lie” the reports that the DBM has not yet released funds for the salary adjustments of government employees this year.

He said that every government worker can attest that they have been receiving the 10 percent increase in their pay as provided for under Executive Order 719 which took effect last July.

EO 719 provides for a 10 percent increase in the monthly salary of government civilian workers, military personnel of the Armed Forces of the Philippines and uniformed personnel of the Department of the Interior and Local Government, Philippine Coast Guard, and the National Mapping and Resource Information Authority, as well as government-owned and controlled corporations (GOCC) personnel and local government employees.

“There is no reason why the increase cannot be given to our hardworking government employees. The salary adjustment is funded in the 2008 GAA under the Miscellaneous Personnel Benefits Fund,” Andaya said.

“The initial release, in fact, that the department made for the purpose covered the requirements for July to September this year. It is impossible that government workers have not received the increase yet,” he added.

– Marvin Sy

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