Government civilian employees are set to receive the second part of their salary increase this January after Budget Secretary Amenah Pangandaman signed the related circular specifying the rules for the salary adjustment.
The National Budget Circular No. 597 pertains to the implementation of the latest Salary Schedule for Civilian Personnel, in response to Executive Order (EO) No. 64. This was signed by President Ferdinand Marcos Jr. in August 2024, outlining a four-part salary increase for civilian government workers to be implemented each January from 2024 through 2027.
"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 stated.
The increase applies to civilian employees in the executive, legislative, and judicial branches of government, as well as workers in constitutional commissions and other constitutional offices, state universities and colleges, and government-owned and controlled corporations (GOCCs) not covered by Republic Act (RA) No. 10149 and EO No. 150, regardless of appointment status - regular, casual or contractual; appointive or elective; or whether on a full-time or part-time basis.
However, uniformed personnel such as the military, police, government agencies not covered by RA No. 6758, GOCCs under RA No. 10149 and EO No. 150, and individuals in an employer-employee relationship funded by non-personnel services appropriations/budgets are not included in the increase. Student workers, apprentices and persons engaged in job orders, contracts of service, or similar situations are also excluded.
The expenses for the government employees' salary adjustment will come from the Miscellaneous Personnel Benefits Fund and any possible source under the 2025 General Appropriations Act.
For the GOCCs included in the circular, the funds will come from their operating budget, based on DBM approval.
