THE Marcos Jr. administration is setting aside at least P16.95 billion for the salary increase of government employees next year, the Department of Budget and Management (DBM) said.
The DBM said the allocation is in line with the provisions of the Miscellaneous Personnel Benefits Fund (MPBF).
DBM Secretary Amenah F. Pangandaman said the funding allows the national government to pursue compensation adjustment starting next year.
The DBM added that about P1.368 billion is included in the 2024 National Expenditure Program (NEP) to bankroll the additional P1,000 in uniform or clothing allowance of over 1.3 million government employees.
“The DBM has likewise been conducting a parallel review of the various benefits received across different ranks of the civil service to determine the need to adjust them,” it said in a statement on Wednesday.
The DBM noted that the last tranche of salary hikes for government employees as mandated by the Salary Standardization Law was implemented last January.
The DBM said a P48-million budget has been allocated to the Governance Commission for GOCCs this year for the conduct of a comprehensive review of the Compensation and Position Classification System for the government sector.
Pangandaman said President Marcos Jr. has instructed the DBM to conduct a study to determine if the compensation that civilian government personnel are receiving is “competitive” compared to those working in the private sector.
“The final cost requirement [of the increase] shall be determined once the results of the study have been presented and finalized,” Pangandaman added.
