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Chapter 1, Overview of the Position Classification and Compensation System, is devoted to the evolution of the PCCS starting from the American Regime up to the enactment of RA No. 6758. It also includes the governing principles, positions covered, parts, and objectives of the PCCS. Chapter 2, The Position Classification Plan (PCP), discusses the concepts and contents of the PCP. It also discusses the position classification factors, the position classification process, including the policies, rules and regulations on the administration and maintenance of the PCP. Chapter 3, The Compensation Plan (CP), contains the concepts of compensation, compensation policy of the State, governing principles of the CP, and the general guidelines governing government compensation. It describes the salary schedule, salary rules, policies and guidelines related to additional compensation and benefits, and states how the CP is maintained. The Responsibility Centers in the Administration of the Position Classification and Compensation System are discussed in Chapter 4 while the Salary Grades of Constitutional and Other Officials and Their Equivalents are discussed in Chapter 5. Chapter 6, Position Classification and Compensation Scheme for Teaching Positions in Elementary and Secondary Schools, comprises topics on the teacher s preparation pay schedule and its coverage, basis of position classification, salary grades, compensation benefits and the career progression system for public school teachers. Chapter 7, Position Classification and Compensation Scheme for Faculty Positions, includes discussions on the common criteria for evaluation, qualitative contribution evaluation, determination of appropriate ranks and salaries, evaluation cycle and the additional compensation for faculty members in State Universities and Colleges. Likewise included in the discussions are the manner, selection and appointments to faculty ranks. Chapter 8, Position Classification and Compensation Scheme for Foreign Service Personnel shows the coverage of Republic Act No. 7157 or The Philippine Foreign Service Act of 1991. It enumerates the designations of Foreign Service personnel when assigned abroad and when recalled to the home office and describes their system of allowances. It likewise discusses the assignment, accreditation, appointment and determination of assimilated ranks of service attaches for compensation purposes. Chapter 9, Position Classification and Compensation Scheme in Local Government Units, includes guidelines on position classification, creation of new positions/offices and of a new class of positions. The compensation scheme includes guidelines on basic pay, adoption of higher salary schedule,

step increments, allowances, and other forms of compensation and benefits. As the need arises, changes in this Manual will be issued by the DBM. The loose leaf form has been adopted for easy insertion of changes in the Manual. The Human Resource Management Officers or equivalent officers of agencies are requested to maintain their copies of the Manual in current status.

Chapter 1: Overview of the Position Classification and Compensation SystemThe Position Classification and Compensation System in the Philippine Government evolved as follows: 1.1 The American Regime During the first three years of the American regime (18981900), there was no formal position classification and salary administration system in the Philippines. The common designations of positions in the government service were clerk, employee, inspector, teacher, translator-interpreter, Stenographer-typist and janitor-messenger. To indicate levels of difficulty, adjectives such as deputy, assistant and chief were used. Salaries were paid in Mexican dollars and SpanishFilipino pesos were set at certain levels. Higher salaries, however, were reserved for the Americans to attract them to join the civil service. Salaries, on the other hand, for new positions were arbitrarily fixed by legislative prerogative. The depreciation, however, of the said currencies coupled with the problems of daily life placed the morale of civil servants on a rather low profile. To resolve the problem, Act No. 5 entitled, An Act for the Establishment and Maintenance of an Efficient and Honest Civil Servants in the Philippines, was enacted by the Philippine Commission on September 19, 1900. Among the salient provisions of said Act were the creation of the Philippine Civil Service Board which was the forerunner of the Civil Service Commission, the delineation of its powers and functions and the establishment of rules and regulations especially those on position classification. Notwithstanding the established salary rules, the Americans were paid higher salaries than Filipinos occupying similar positions in the civil service. 1.1.1 Act No. 102 To uplift the economic status of civil servants and to attract and retain qualified and competent staff, the Philippine Commission passed Act No. 57 in December 1900 directing the Philippine Civil Service Board to conduct a survey of salaries in the civil service. Based on the results of the said survey, a readjustment plan was submitted by the Philippine Civil Service Board to the Philippine Commission which in turn passed Act No. 102 entitled, An Act Regulating the Salaries of Officers and Employees in the Philippine Civil Service, dated March 9, 1901. Act No. 102 categorized officers and employees of the civil service into 2 general groups based on their salaries rather than on their duties and responsibilities. The first group consisted of 10 classes (1 to 10); the second group, 11

classes (A to K); or a total of 21 classes. Exempted from the Act were the officers of the Department of Mindanao and Sulu. The Governor-General, with the consent of the Philippine Commission, fixed the salaries of the officers of this Department. With the establishment of the monetary system of the Philippines, the salary rates provided in the salary scale under Act No. 102 were adjusted from dollars to pesos at the rate of $1 to P2 effective August 26, 1907 pursuant to Act No. 1698. The revised salary scale was followed for many years until the First World War. 1.2 The Commonwealth Regime The economic depression brought about by the First World War forced the Philippine Legislature and private firms to cut the salaries of their employees. Prices of commodities rose steadily. To alleviate the economic plight of the civil servants, the Philippine Legislature created the Government Survey Board in 1936 under Commonwealth Act No. 5 to conduct a factual survey of all government departments and submit recommendations concerning, among others, classification of positions. After a two-year survey, the Board found out that civil servants were paid on the basis of their civil service eligibilities and not on their duties and responsibilities. Promotions, on the other hand, were based on length of service. 1.2.1 Commonwealth Act No. 402 To eliminate the said inequities, a Personnel and Salary Standardization Board was created to classify positions based on duties and responsibilities and standardize salaries of civil service personnel. The recommendations of said Board were put into effect by virtue of Commonwealth Act (CA) No. 402 entitled, An Act to Provide for the Classification of Positions and Standardization of Salaries in the Government, dated September 13, 1938. Said law was patterned after the US Classification Act of 1923, as amended in 1930. CA No. 402 created a Salary Board composed of the Commissioner of Civil Service as Chairman and the Commissioner of the Budget and the Auditor General as Members. It provided for a schedule consisting of 10 grades with 3 salary rates per grade, except Grade 10 which had only 2 salary steps. The classified positions were grouped into 7 services: administrative, professional and scientific, educational, navigation, vigilance, sub-professional, and craft and labor. The law covers all officers and employees embraced in the classified and unclassified service except the following: Elective officers and officers whose compensation was fixed in the Constitution; Officers chosen by the National Assembly in accordance with the Constitution; Employees stationed outside the territorial limits of the Philippines; The President, deans of colleges, directors of schools, the registrar, the business director, and members of the teaching staff of the University of the Philippines; Commissioned and enlisted members in the active service of the Philippine Army;

Persons in the military, naval or civil service of the United States who were appointed or detailed to perform duties in the Government of the Commonwealth; and Employees declared by the President of the Philippines as primarily confidential or highly technical. The law also provided for special groups of positions, the Executive Group and the Judicial Group which were not subject to classification by the Salary Board. It likewise provided for compensation differentials for employees (a) stationed in disease-infected areas; (b) stationed in places subject to criminal elements; (c) assigned for not less than 3 consecutive months to work earlier than 6:00 A.M. or later than 8:00 P.M.; and (d) required to wear uniforms not furnished by the government. During the Second World War, the Salary Board was renamed Salary Committee with the Auditor General as Chairman. The number of national government employees as well as their salaries were reduced due to drastic changes in the organization of the Philippine Government, as well as in the economy. To cushion the effects of inflation, bonuses were granted to government officials and employees based on the number of immediate dependents. 1.3 The Philippine Republic After the Liberation in 1945, the Salary Board was reactivated. The classification of positions made by the Salary Board in 1938 was revised but it was not updated. The rates of pay in CA No. 402 were nominally applied. In 1947, when the government was reorganized, the powers and functions of the said Board were transferred from the Commissioner of the Civil Service to the Commissioner of the Budget. Pursuant to Executive Order (EO) No. 94, s. 1947, the grades of positions and rates of salaries provided under CA No. 402 were converted into 37 grades with single rates. To relieve civil servants from the economic difficulties brought about by the Second World War, Congress enacted 3 minimum wage laws which were adopted for the entire country. However, these laws led employees in the middle and upper pay levels whose salaries were pegged at prewar levels to clamor for higher salaries. Congress sought solution in piece-meal pay increases for certain groups of employees or occupational groups which gave way to pay disparities and inequities. This situation went on for several years until 1957. 1.3.1 The Position Classification and Pay Plans of 1957 On June 4, 1953, the Philippine Government commissioned Louis J. Kroeger and Associates of San Francisco, California, to conduct a position and wage survey, to submit a position classification plan, a pay plan, and cost estimates to carry out the plans. The firm would also train government personnel in position classification and in determining salaries. This undertaking resulted in the establishment of the Position Classification Plan, the Pay Plan, and the Wage and Position Classification Office (WAPCO) under Reorganization Plan Nos. 1- A, 2-A, and 3-A, respectively. The WAPCO classified positions on the bases of duties and responsibilities and qualification requirements. Positions that were sufficiently alike as to duties, level of responsibilities and qualification requirements in terms of education, experience, knowledge,

skills and abilities were given the same descriptive title and the same test of fitness. The Plans covered all positions in the national government and its instrumentalities, including quasi-public corporations. Exempted there from are the following: Elected officials and officers whose compensation were fixed in the Constitution; Officers and employees of the legislative and judicial departments of the government; Secretaries and undersecretaries of departments of the government; Members of the Armed Forces; Officers and employees of the Foreign Service; and Provincial and municipal local officials. The Position Classification Plan consisted of occupational groups, classes and class specifications or standards and the rules and regulations for its administration. The Pay Plan consisted of a salary schedule with 75 salary ranges and the salary rules. Each salary range had 5 salary steps. Each salary step was approximately 5% higher than the immediately preceding step. The spread between the minimum and maximum rates of a salary range was approximately 22%. The Pay Plan also had a built-in mechanism for periodic pay progression to provide incentives for better performance and recognize length of service through step increases. Due to funding constraints, however, these schemes were not implemented. When the Position Classification and Pay Plans were adopted on July 1, 1957, there were 237 occupational groups and 2,259 classes into which 183,000 regular positions were classified. Due to inadequate funds, the salaries of civil servants covered by the Plans were adjusted in 3 installments. The first adjustment was 30% of the difference between the minimum rate of the salary range of the position and the actual salary of the incumbent. The second and third adjustments which were both 35% of the said difference were granted on July 1, 1960 and July 1, 1961, respectively. From 1959 to the middle part of 1976, the concepts and principles of position classification and salary standardization were not fully appreciated by government functionaries because of the inability of the government to grant adequate salary increases. Consequently, exemptions from the coverage of the WAPCO Plans followed one after the other. 1.3.2 The Budgetary Reform Decree on Compensation and Position Classification of 1976 With the advent of the New Society, the President issued on August 22, 1976 Presidential Decree (PD) No. 985 known as The Budgetary Reform Decree on Compensation and Position Classification of 1976, in conformity with the following provision of Article XII-B, Section 6 of the 1973 Constitution: The Batasang Pambansa shall provide for the standardization of compensation of government officials and employees, including those in government-owned and controlled corporations, taking into account the nature of the responsibilities pertaining to, and the qualifications required for, the position concerned. PD No. 985 provided for the creation of the Office of

Compensation and Position Classification (OCPC) and the abolition of the WAPCO. It declared the policy of the government to provide equal pay for substantially equal work and to base differences in pay upon substantive differences in duties and responsibilities and qualification requirements of the positions. In determining rates of pay, due regard shall be given to prevailing rates in private industry for comparable work. The salary schedule under PD No. 985 had 28 salary grades. Each salary grade consisted of 8 steps. The difference between 2 successive salary grades was ten (10) 1% increments. The difference between steps is five (5) 1% increments. The salary steps were increased from 5 to 8 to enable employees to receive salary increases as rewards for exemplary performance. The last 2 or 3 salary steps were intended for the longevity steps of employees who could not be promoted to more difficult positions because of limitations in qualification requirements and/or abilities. The reduction from 75 salary ranges to 28 salary grades required the compression of the existing occupational groups to a more manageable size. It also required the consolidation of 2 or more related classes into a class where duties and responsibilities were sufficiently alike in terms of difficulty, skills and qualification requirements. When PD No. 985 was issued, there were 282 occupational groups and 4,388 classes in which 575,756 regular positions were classified. The National Compensation and Position Classification System provided for in PD No. 985 was applied to all positions, whether permanent, temporary, or emergency in nature, or on full-time or part-time basis. Nine (9) groups of officials and officers were exempted from the coverage of PD No. 985. These exemptions were reduced to 2 groups under PD No. 1597 entitled, Further Rationalizing the System of Compensation and Position Classification in the National Government. They are: (1) elected officials and officers whose compensation were fixed in the Constitution and; (2) local government personnel whose compensation were governed by PD No. 1136. In addition to a standardized salary system, PD No. 985 provided for allowances, bonuses, and other benefits that shall accrue to officials and employees. This law expanded the concept and coverage of compensation administration. 1.3.3 The Compensation and Position Classification Act of 1989 Through the years, the increasing number of exemptions from the coverage of the Compensation and Position Classification System established under PD No. 985 through presidential decrees and other presidential issuances undermined the System which was not fully implemented. Special salary increases and additional compensation were likewise granted to personnel holding positions belonging to certain occupational groups and to personnel of so-called critical government agencies which resulted to the proliferation of several salary schedules under the Compensation Plan. These laws also brought about salary disparities among government agencies which in turn gave rise to demoralization and dissatisfaction among government employees. Thus, the morale among many of the civil

servants declined and the quality of public service deteriorated. Faced by the grim realities of the past, the President signed into law RA No. 6758 entitled, An Act Prescribing a Revised Compensation and Position Classification System in the Government and for Other Purposes or Compensation and Position Classification Act of 1989, on August 21, 1989. This is also popularly known as the Salary Standardization Law (SSL). The law is the culmination of a painstaking study undertaken by the Department of Budget and Management with the end in view of putting into realization the provisions of Section 5, Article IX-B of the 1987 Constitution which mandates that: The Congress shall provide for the standardization of compensation of government officials and employees, including those in government-owned and/or controlled corporations with original charters, taking into account the nature of the responsibilities pertaining to, and the qualifications required for their positions. 1.3.3.1 Principles Governing the Position Classification and Compensation System (PCCS) The PCCS is governed by principles enunciated in RA No. 6758, as follows: All government personnel shall be paid just and equitable wages in accordance with the principle of equal pay for substantially equal work. Differences in pay shall be based upon substantive differences in duties and responsibilities and upon the qualification requirements of positions; Basic compensation for all personnel in the government and government-owned or controlled corporations and financial institutions shall generally be comparable with those in the private sector doing comparable work, and must be in accordance with prevailing laws on minimum wages; The total compensation provided for government personnel must be maintained at a reasonable level in proportion to the national budget; and A review of government compensation rates taking into account possible erosion in purchasing power due to inflation and other factors shall be conducted periodically. 1.3.3.2 Positions Covered by the PCCS The PCCS applies to all positions in national and local governments, government-owned or controlled corporations (GOCCs) and government financial institutions (GFIs), elective or appointive, full-time or part-time, existing or still to be created. It does not apply to those expressly exempted by law from the coverage of the PCCS and those hired as part of a contract, paid on piecework or job order basis, including mail contractors and others similarly situated. 1.3.3.3 Parts of the PCCS The PCCS is composed of the Position Classification Plan (PCP) and the Compensation Plan (CP). The PCP is an orderly scheme which provides the criteria and the standards for the classification of positions. The CP is an orderly scheme for determining rates of compensation for positions. It is based on the principle of equity and requires uniform and definite application. 1.3.3.4 Important Features of the PCCS Grouped classes of positions into 4 main categories, namely:

Professional Supervisory; Professional Non-Supervisory; Sub-Professional Supervisory; and Sub-Professional Non-Supervisory. Revised the salary schedule from 28 to 33 salary grades and prescribed the rules and regulations for its implementation; Assigned the salary grades of constitutional officials and their equivalents and mandated the DBM to determine the officials who are of equivalent rank; Established benchmark positions as an aid to position classification and salary grade allocation; Provided for step increments based on merit or length of service; Reduced the number of classes of positions in the national government from more than 5,000 to about 2,400; and Integrated allowances and other compensation into the standardized salary. 1.3.3.5 Objectives of the PCCS The PCCS serves as a tool for effective management, organizational analysis, budgeting and fiscal control, and as an information tool for the general public or taxpayers. As a tool for effective management: Standardizes salaries, allowances and benefits of officials and employees; enables both the supervisors and employees to understand the job content and pay level of positions; Provides basis for the evaluation of the performance of officials and employees; Raises morale by enabling an employee to identify his/her position in the organization and to understand the job expected of him/her; Provides basis for the development of training programs; and provides the management of a government agency with the necessary standards on which qualification requirements for recruitment, testing, selection and placement can be based. As a tool in organizational analysis: Highlights problems of overlapping and duplication of functions or redundancies in a government agency; Aids in the accurate analysis and review of functions of a government agency. facilitates the preparation of staffing patterns of government agencies; Contributes to the effective placement of an employee with regard to his job and abilities; and As a tool in budgeting and fiscal control: Establishes common terminologies for budget requests for personal services; Provides standardized compensation for similar services among government agencies; Serves as basis for accurate payroll reporting and analysis; and provides a basis for validating allotments and expenditures. As an information tool: Provides information to taxpayers on the kinds of positions in the government and how much these positions are paid. For easy reference, a matrix on the evolution of the PCCS

from the American Regime to the enactment of RA No. 6758 is presented in Annex A of this Chapter. Discussions on the American and Commonwealth Regimes were based on the book by Tomas W. Flores, Compensation and Position Classification in the Philippine Government, 1900-1978, (Malacaang, Manila: Ministry of the Budget, 1978). Annex A The Evolution of the Position Classification and Compensation System in the Philippine Government Particulars American Regime Commonwealth Regime Philippine Republic Legal basis Act No. 102, An Act Regulating the Salaries of Officers and Employees in the Philippine Civil Service, dated March 9, 1901 Commonwealth Act No. 402, An Act to Provide for the Classification of Positions and Standardization of Salaries in the Government, dated September 13, 1938. Reorganization Plan 1- A (The Position Classification Plan), and Reorganization Plan2-A (The Pay Plan) both dated May 5, 1956 Presidential Decree No. 985, Budgetary Reform Decree on Compensation and Position Classification of 1976, dated August 22, 1976 as amended by PD No. 1597, dated June 11, 1978 Republic Act No. 6758, the Compensation and Position Classification Act of 1979, dated August 21, 1989 Bases of classification Salary Duties and responsibilities of the position Duties, responsibilities and qualification requirements of the position Duties, responsibilities and qualification requirements of the position Duties, responsibilities and qualification requirements of the position Coverage Officers and employees of the Philippine Civil Service Officials and employees embraced in the classified and unclassified service all positions in the national government and its instrumentalities, including quasi-public corporations All positions in the national government, including government owned or controlled corporations and government financial institutions All positions in the government, including government- owned and controlled corporations and government financial institutions Exemption Officers and employees of the Department of Mindanao and Sulu 1. Elective officers and officers whose compensation were fixed in the Constitution 2. Officers chosen by the 1. Elected officers and officers whose compensation was fixed in the Constitution 2. Officers and employ1. Elected officers and officers whose compensation were fixed in the Constitution 2. Local government those expressly exempted by subsequent laws Particulars American Regime Commonwealth Regime Philippine Republic National Assembly in accordance with the Constitution 3. Employees stationed outside the territorial limits of the Philippines 4. The President, deans of colleges, directors of schools, the registrar, the business director and members of the teaching staff of the University of the Philippines

5. Commissioned and enlisted members in the active service of the Philippine Army 6. Persons in the military, naval or civil service of the United States who were appointed or detailed to perform duties in the Government of the Commonwealth 7. Employees declared by the President of the Philippines as primarily confidential or highly technical yees of the legislative and judicial departments of the government 3. Secretaries and undersecretaries of departments of the government 4. Members of the Armed Forces 5. Officers and employees of the Foreign Service 6. Provincial, municipal and local official s officials and employees, who were governed by PD No. 1136 Number of services/ occupational services : 7 services19 occupational services Number of occupational groups: 2 groups (first and second) 237 occupational groups 271 occupational groups 206 occupational groups Number of classes of positions 21 classes of positions 2,259 classes of positions Number of classes were reduced from 4,300 to 2,700 Number of classes were reduced from more than 5,000 to 2,541 Salary structure First Group (10 classes 1 to 10) Second Group (11 classes A to K) 10 grades with 3 rates of compensation The highest, Grade 1, had 3 rates. The lowest, Grade 10, had 2 rates. 75 salary ranges with 5 salary steps each 28 salary grades with 8 salary steps each 33 salary grades with 8 salary steps each Agency responsible Civil Service Board composed of the Commissioner of the Civil Service Commission as Chairman and Commissioner of the Budget and the AuditorGeneral as Members Salary Board was renamed Salary Committee during WW II. Chairmanship was transferred to the Auditor- General in 1945 and to the Commissioner of the Budget in 1947. Wage and Position Classification Office (WAPCO), Budget Commission Office of Compensation and Position Classification (OCPC), Budget Commission Compensation and Position Classification Bureau (CPCB), now Organization, Position Classification and Compensation Bureau, Department of Budget and Management

Chapter 2: the Position Classification Plan2.1 The Position Classification Plan The Position Classification Plan (PCP) consists of occupational services, occupational groups, classes in series, specifications or written descriptions of the classes and the rules and procedures for the administration and maintenance of the Plan. 2.2 Concepts of Position Classification 2.2.1 The position is the basic unit of an organization. It is a set of current duties and responsibilities assigned by

competent authority to be performed by an individual either on a full-time or a part-time basis. It may be filled or vacant. 2.2.2 Positions are grouped by class on the basis of similarity of kind and level of difficulty and responsibility of work. 2.2.3 As a general rule, only the duties and responsibilities of the position are considered in position classification and not the incumbent s qualifications, except teaching positions where the incumbent s education, relevant training and experience and other factors are considered. 2.3 Grouping of Classes Under the PCP A class consists of all those positions having sufficiently similar duties, responsibilities and qualification requirements such that they can be given the same position title, salary grade, and for all administrative and compensation purposes, be treated alike. Example: Public Health Nurse The classes in the PCP are grouped into the following: 2.3.1 Series A series consists of one or more classes of positions which are similar as to specialized line of work, arranged by level of difficulty and responsibility. Example: Public Health Nurse. This series is composed of Public Health Nurse I, Public Health Nurse II and Public Health Nurse III. 2.3.2 Occupational Group An occupational group consists of one or more series of classes of positions in the same or related occupation or occupational area. Example: Under the Medicine and Health Service is the Nursing Group. 2.3.3 Occupational Service An occupational service consists of occupational groups of broadly related or similar professions or occupations. Example: The Medicine and Health Service is comprised of the following occupational groups, among others: Dentistry Group, Dietetics Group, Health and Sanitation Group, Medical Group, Medical Technology Group, Nursing Group, etc. 2.4 Categorization of Classes Classes are categorized under RA No. 6758 as follows: 2.4.1 Professional Supervisory (PS) Category This category includes responsible positions of a managerial character involving the exercise of management functions such as planning, organizing, directing, coordinating, controlling and overseeing within delegated authority the activities of an organization, a unit thereof or of a group, requiring some degree of professional, technical or scientific knowledge and experience, and application of managerial or supervisory skills. Positions in this category require intensive and thorough knowledge of a specialized field acquired through completion of bachelor degrees or higher degree courses. The positions in this category are assigned Salary Grade 9 to Salary Grade 33. Examples: Engineer IV, Director II, Elementary School Principal I 2.4.2 Professional Non-Supervisory (PN) Category This category includes positions performing tasks which usually require the exercise of a particular profession or application of knowledge acquired through formal training in a particular field or the exercise of a natural, creative and artistic ability or talent in literature, drama, music and other branches of arts and letters. Also included are positions involved in

research and application of professional knowledge and methods to a variety of technological, economic, social, industrial, and governmental functions; in the performance of technical tasks auxiliary to scientific research and development; and in the performance of religious, educational, legal, artistic or literary functions. These positions require thorough knowledge in the field of arts and sciences or learning acquired through completion of at least four years of college studies. The positions in this category are assigned Salary Grade 8 to Salary Grade 30. Examples: Tourist Receptionist I, Chemist I, College Professor, University Professor 2.4.3 Sub-Professional Supervisory (SS) Category This category includes positions performing supervisory functions over a group of employees engaged in work along technical, manual or clerical lines which are short of professional work, requiring training and moderate experience or lower training but considerable experience and knowledge of a limited subject matter or skills in arts, crafts or trades. These positions require knowledge acquired from secondary or vocational education or completion of up to two years of college education. The positions in this category are assigned Salary Grade 4 to Salary Grade 18. Examples: Bookbinder IV, Electrician Foreman, Chief Bookbinder 2.4.4 Sub-Professional Non-Supervisory (SN) Category This category includes positions involved in routine or repetitive work in support of office or fiscal operations or those engaged in crafts, trades or manual work. These positions usually require skills acquired through training and experience or completion of elementary education, secondary or vocational education or completion of up to two years of college education. The positions in this category are assigned Salary Grade 1 to Salary Grade 10. Examples: Draftsman I, Proofreader II, Dental Aide 2.5 Index of Occupational Services, Position Titles and Salary Grades A listing of the different occupational services, occupational groups and classes in series existing in the PCP is shown in the Index of Occupational Services, Position Titles, and Salary Grades (IOS). It also shows the salary grade assignment of each class. The IOS consists of 3 volumes: Volume I is the Index of Classes by Occupational Services and Occupational Groups. Volume II is the Index of Classes by Alphabetical Order. Volume III is the Index of Classes by Salary Grades. 2.6 Class Specification A class specification is a written description of a class of positions consisting of: class category, class identification, class title, class definition, characteristics and qualifications guide. 2.6.1 Class Category A class category may be either of the following: Professional Supervisory (PS), Professional Non-Supervisory (PN), SubProfessional Supervisory (SS) or Sub-Professional NonSupervisory (SN). 2.6.2 Class Identification (ID) A class ID identifies the class of positions. It shows the alphanumeric acronym and level of a class in a series. The

class IDs are indicated in the IOS. Example: The class ID for Nurse I is NURS1. 2.6.3 Class Title A class title is a brief, concise and descriptive name of a class. As a general rule, a class title has three parts, namely: Root word This shows the general nature of the work such as Sorter, Mechanic, and Inspector. Specialty This shows the field of specialization or field of activity such as Mail Sorter, Aircraft Mechanic, and Meat Inspector. Level This can either be an adjective, a noun or a number which expresses the relative rank or level of the class such as Senior Mail Sorter, Aircraft Mechanic Foreman, and Meat Inspector II. Position Classification Plan Levels of classes As a general rule, the following are the standard levels of classes of positions: Entrance Level or Level I Classes under this level are under immediate supervision, and with detailed rules and procedures, perform the simplest, routine sub-professional or professional work. Examples: Carpenter I, Engineer I, Budget and Management Analyst Journeyman or Level II Classes under this level are under general supervision and with limited latitude for the exercise of independent judgment, perform somewhat difficult but responsible sub-professional or professional work requiring training, some experience and a broad knowledge of a special subject matter. Examples: Radiologic Technologist II, Biologist II Senior Level/Participating Supervisor/Foreman or Level III Classes under this level are under general supervision and with some latitude for the exercise of independent judgment, serve as heads of section or other unit of an organization of similar import, or in the case of those in the crafts and trades, a crew engaged in moderately difficult but routine work; or perform difficult and responsible sub professional or professional work requiring training and moderate experience or lower training but with considerable experience and a very broad knowledge of a special subject matter. Examples: Plumber Foreman, Senior Tax Specialist, Engineer III Supervising Level/General Foreman or Level IV Classes under this level are under direction and with substantial latitude for the exercise of independent judgment, serve as assistant heads of division or other unit of an organization of similar import or in the case of those in the crafts and trades, a large crew or several crews engaged in varied work ranging from routine to difficult and specialized work; or perform very difficult, important and responsible sub-professional or professional work requiring training and moderate experience or a lower training but with considerable experience and thorough knowledge of a special subject matter. Examples: Electrician General Foreman, Supervising Economic Development Specialist, Attorney IV Chief Level or Level V Classes under this level are under direction and with considerable latitude for the exercise of independent judgment, serve as heads of division or other unit of an organization of similar import engaged in varied work ranging from routine to very difficult work; or perform

exceptionally difficult and responsible sub professional or professional work requiring training, considerable experience and demonstrated capacity for sound independent judgment and intimate knowledge of special subject matter. Examples: Chief Photographer, Chief Air Traffic Controller, Forester V, Attorney V Use of Roman Numerals for Levels of Positions For ranking purposes, Roman numerals like I, II, III are used to identify classes in a series when: Duties and responsibilities of the classes are similar, but the size of the organization, educational requirement/ preparation, or some similar factors indicate higher responsibilities and, therefore, a higher level class. Examples: Elementary School Principal I supervises 10 to 29 teachers Elementary School Principal II supervises 30 to 59teachers Teacher I Bachelor s degree for teachers (BSE, BSEE) Teacher II Bachelor s degree for teachers plus 20 MA units Duties and responsibilities of the class are in the same field of specialization with a relatively gradual increase in the complexity of the duties and responsibilities or where each class in the series consists of more than one job type. Examples: Engineer I, Engineer II, Engineer III. 2.6.4 Class Definition A class definition is a general description of the overall duties and responsibilities of a class. It may indicate the alternative use of the class or job type. This usually begins with a statement as to the type of supervision received as follows: Under immediate supervision - This is the closest degree of supervision. The position is subject to continuous and direct control. The position cannot decide on its own, hence, has to refer to specific and detailed guides and instructions. Its work is checked while in process and upon completion. This is the type of supervision received by entrance level positions. Under general supervision - The supervision received is not close, continuous or direct. Supervisory control is in terms of objectives and goals to be reached. The position is able to work with a reasonable degree of independence, referring only unusual or complicated matters to immediate supervisor for advice and direction. Under direction - The supervision received comes in the form of guidance from policies and objectives of the organization. Planning and organizing the details of the work and deciding the methods, systems and procedures are completely entrusted to the employee. This is the type of supervision received by assistant division chiefs and higher level positions. Under administrative or executive direction - This is the type of supervision received where the work of the position is subject only to administrative/executive determination of policy. This is the type of supervision received by heads of office and equivalents. The last portion of the class definition is a general statement, and does related work, to emphasize that the employee may be given other assignments related or incidental to his work. 2.6.5 Characteristics The characteristics portion enumerates specific tasks performed by the class. The typical tasks selected are those

most significant in allocating positions to the class. The tasks are in the present tense verbs, third person, and singular form with the tasks separated by semi-colons. When an alternate job type or types are necessary, separate paragraphs are used to describe separately the job types within a class because they may differ in objectives and in the manner of accomplishing the objectives. Each new paragraph begins with the conjunction, Or. The sequence of the paragraphs follows the order in the general description of the job types in the Definition portion. 2.6.6 Qualifications Guide The qualifications guide states the minimum education, training and experience needed to perform the duties and responsibilities of a class of positions. Annex A of this Chapter is a sample class specification. 2.7 Position Classification Factors A position classification factor is a characteristic/guide which measures or compares the requirements or demands of a position. It influences the grouping of positions into classes or the allocation of a position to a class. 2.7.1 The Basic Classification Factors The 3 basic classification factors are: Skills and Knowledge These measure the extent of formal education and work experience normally required for the satisfactory performance of the duties and responsibilities of a position. Nature of Work This measures the characteristics inherent in the position. It considers the supervisory content of the work, analysis and problem solving required, degree of mental/physical effort and exposure to hazards, and the degree and extent of internal and external relations. Responsibility This measures the accountability of a position for supervision exercised, decisions and actions, degree of control of assets, and accuracy and confidentiality of records and reports. 2.7.2 The Sub-Classification Factors The 3 basic classification factors are divided into the following sub-factors: 2.7.2.1 Skills and Knowledge Education This considers the minimum formal education, applicable training or equivalent knowledge required for the satisfactory performance of the duties and responsibilities of a position. Experience This considers the length of time necessary for an average new employee with the required minimum education to acquire the needed skills for satisfactory performance of the job. 2.7.2.2 Nature of Work Supervision Received This considers the type, frequency and latitude by which assignments and instructions are received, how work methods are followed, and how work is checked for quality and quantity. Analysis and Problem Solving Required This considers the degree of difficulty and complexity of the assigned tasks and the extent to which the work involved requires analytical ability, exercise of judgment and creativity necessary to achieve the desired results.

Mental/Physical Effort This considers the amount and continuity of physical exertion or mental concentration required in the completion of work, taking into consideration the pressure and extent of physical and/or mental effort involved. Internal and External Relationships This refers to the nature of communication and association with others, both within and outside of the office, as required for the satisfactory performance of the duties and responsibilities of a position on a regular basis. Contacts include personal discussions, telephone conversations and written communications. This sub-factor is evaluated according to the nature and limits of contact. Hardship, Hazard and Personal Risk Involved This considers the degree and continuity of exposure to health or accident hazards in the performance of the duties and responsibilities of a position. 2.7.2.3 Responsibility For Work of Others or Supervision Exercised This subfactor considers the responsibility of a position for the various facets of supervision such as work planning and organization, work assignments and review, and the exercise of supervisory functions. For Decision-Making This measures the mental processes involved in weighing facts and conditions to determine appropriate courses of action. It reflects the extent of analysis and planning exercised, the creativity required in developing policies, rules, methods or procedures. It also considers the impact of such decisions. For Accuracy of Records and Reports This considers the accuracy required and importance of information, records and reports prepared or reviewed by a position. For Funds, Property and Equipment This considers the accountability of a position for assets such as cash, negotiable instruments, equipment, supplies, materials and tools. Negligence could result in monetary loss or property damage. 2.7.3 Other Classification Factors Rank of the position in the organizational hierarchy; Functions of the unit where the position is located; Kind and number of existing positions in the unit performing similar or related tasks; Consistency of the classification and salary grade assignment of the positions in the unit, in the agency, and in other government agencies; Other quantitative factors, such as number of elementary/secondary school teachers supervised, etc. 2.8 The Position Classification Process The position classification process is the series of actions leading to the grouping of positions into classes or to the determination of the appropriate class for a given position using the position classification factors as guides. 2.8.1 Steps in the Classification Process There are 3 steps in the classification process. They are factfinding, analysis and evaluation. 2.8.1.1 Fact-Finding 2.8.1.1.1 Fact-finding involves the gathering of facts about the duties and responsibilities of a position. In fact-finding, the 2 sources of facts are as follows:

Primary Sources These include the accomplished Position Description Form, incumbent of the position, the supervisor of the position, organizational charts and work samples; and Secondary Sources These include laws, rules and regulations, standard operating procedures, reports and publications, forms and materials used. 2.8.1.1.2 Fact-finding may employ the following 4 techniques/tools: Use of the Position Description Form (PDF) The PDF is the basic document in the position classification process. The PDF and the instructions for accomplishing the same are attached as Annexes B and C, respectively, of this Chapter. Conduct of Work Audit the conduct of work audit involves the verification of the work through an interview of the incumbent of the position, the immediate supervisor or the next higher supervisor and when necessary, of peers or subordinates. It is intended to validate, clarify, or supplement information gathered from the PDF. Interviews are resorted to under the following circumstances: Information in the PDF is incomplete, unclear, or contains terminology, concepts or procedures not well understood; the tasks of the position involve different levels of difficulty; and The duties and responsibilities stated pertain to different occupations. The information gathered in the work audit are documented in the form of a written audit report containing the following: the title and item number of the position audited; the organizational location of the position; the persons interviewed: names, position titles, and item numbers; an accurate and adequate description of the work performed and the amount of time spent on various duties and responsibilities; and an analysis of the position stating the degrees of the pertinent allocation factors that were considered. Observation of Work Operations This involves gathering facts through mindful watching of a work in process and the recording/summarizing of activities/ actions observed. Data gathered may be documented in the form of a flow chart. Flowcharting is an analytical technique to document the process of work or activities in a clear, concise and logical manner, showing the movements of documents and action taken through various steps from their origin to their final destination. Use of Organizational Charts an organizational chart is a graphic presentation of the units, functions or positions of an agency. The three basic types of organizational charts are: Structural Organization Chart - This chart is a graphic representation of the organizational units in boxes. This chart provides a basis for determining organizational relationships.

Functional Chart - This chart contains the statements of functions of all organizational units indicated in boxes. This chart provides information about the general objective and responsibilities of each unit. The duties and responsibilities of a position are better understood by analyzing the functions of a unit. Position Chart - This chart shows the authorized positions in the organizational unit, listed by item number, position title and salary grade. This chart ascertains the official location of the position and its relation to other positions in the organizational unit. 2.8.1.2 Analysis Analysis is the critical examination of the duties and responsibilities and other facts about the position. The process involves selecting, organizing and commenting upon the duties and responsibilities of the position in terms of the position classification factors to determine the distinguishing characteristics of the position. The steps in the analysis of the duties and responsibilities and other facts about the position follow: Step 1: Organize the facts obtained about the position by listing down its major duties and responsibilities. The major duties and responsibilities represent the primary reason for the position s creation. Typically, they occupy most of the employee s time. They may be performed in a continuous, uninterrupted manner or performed at recurring intervals. Make a separate list for incidental duties and responsibilities which generally occupy a small portion of the employee s time and are not the primary purpose for which the position was created. Step 2: Determine the occupational group and the series on the basis of the kind of work involved in the position. Step 3: Tentatively determine the classes in the series to which the position may be classified using the position classification factors as guides. Step 4: Ascertain whether or not there are written standards or class specifications for the classes in the series. Step 5: Determine the distinguishing characteristics of the classes in the series. Step 6: If no class specifications are available, list the facts pertinent to the position being classified against those of positions already classified in the series. Hereunder is an illustrative example of analyzing a position for classification: Step 1: Facts as organized Location of Position - Accounting Division Immediate Supervisor - Accountant I Positions Supervised - 2 Accounting Clerk I and 1 Accounting Clerk II Actual Duties 50% Supervises and participates in the work of accounting clerks engaged in posting and balancing accounts in the general ledger and maintaining books of accounts; 40% Prepares trial balance and monthly income and expenditures; and 10% Prepares correspondences on bookkeeping matters as may be directed by supervisors. Step 2: Series of classes as determined by the kind of work:

Accounting Clerk and Bookkeeper recording and posting financial transactions and maintaining books of accounts __________________ Note: The classes under the Accounting Group mentioned on this page and on the succeeding 2 pages have been allocated to the corresponding levels of Administrative Officer, Administrative Aide and Administrative Assistant classes pursuant to Budget Circular No. 2004-3 dated March 6, 2004. Step 3: The position appears to be allocable to the class, Bookkeeper. Step 4: Class specifications or written standards are available for the Accounting Clerk and Bookkeeper series. Step 5: Distinguishing characteristics of the following classes have been determined as follows: Accounting Clerk I posts data and updates records for payment and deductions for salaries, wages and other accounts Accounting Clerk II - maintains subsidiary ledgers; reconciles subsidiary ledger balances with controlling account balances in the general ledger Accounting Clerk III supervises the activities of accounting clerks engaged in posting entries from the journals to the subsidiary and general ledgers Bookkeeper supervises the work of accounting clerks; prepares trial balances; maintains the journal or books of original entry; prepares adjusting entries and bank reconciliation Step 6: This is not necessary in this particular case since class specifications or written standards are available. 2.8.1.3 Evaluation After the duties and responsibilities and other facts about the position have been reviewed and analyzed the next step is to evaluate it, i.e., to determine its relative worth. 2.8.1.3.1 The Pre-Determined Class Method The Philippine government s Position Classification Plan adopts the predetermined class method in the evaluation process. Under this method, classes with their appropriate salary grades and written standards are established. Using the position classification factors as guides, the facts pertaining to the position are compared with those in the class specification or standards for the class. If the duties and responsibilities of the position meet the allocation standards for the class, a decision is made to allocate the position to the class. Using the same position in Sub-item 2.8.1.2 as an example, the following last 2 steps constitute the evaluation process: Step 7: All facts about the position are compared with the facts found in the class specifications for the series. Step 8: All facts about the position are found in the class, Bookkeeper. Decide to allocate the position to the class, Bookkeeper, SG-8. 2.8.1.3.2 Evaluation of a Position in the Absence of a Class Specification In the absence of a class specification, a classifier must resort to the following: Determine the series to which the position may be allocated.

Determine whether or not there have been positions classified under the series. If there are positions classified under the series, compare the facts pertaining to the position being classified against those of the positions already classified to the series. If the duties and responsibilities of the position are comparable with those of the classified position, the position is allocated to the particular class in the series. If the duties and responsibilities of the position do not fall within the allocation standards for the class requested or any other existing class, consider recommending the creation of a new class. 2.8.1.3.3 Evaluation of Mixed-Grade Positions Mixed-Grade positions refer to positions in which the work falls partly in one class and partly in another. There is no single rigid rule for determining the classification of this kind of position. Only general guides can be cited because these positions occur under so many circumstances. As a general rule, the preponderant duties and responsibilities or those which take up the majority of the employee s working time must govern. When the position involves a set of duties and responsibilities or a task which enhances the relative value of the position and is paramount in influence or weight even though it does not consume a majority of the employee s time, the position may be classified on that basis. In this case, the following conditions should be observed: The duties and responsibilities serving as the bases for the decision are regular or recurring and are not emergency, infrequent, incidental or temporary in nature. The duties and responsibilities serving as basis for the decision are so different from the other duties and responsibilities as to require materially higher qualifications, which are, or will be reflected in the qualifications standards used in recruiting, testing and selection. 2.9 Administration and Maintenance of the PCP The PCP was designed as guide for the proper classification of positions in the Philippine government based on major duties and responsibilities of the position in pursuance of agency functions. To implement and manage the PCP, the Department of Budget and Management (DBM) formulates and issues policies, standards, rules and procedures. Changes in organization, duties and responsibilities, however, may result from reorganization, new work techniques or procedures, abolition of functions, changes in administrative policies, or a variety of other causes. Effect of such changes on the contents of the PCP must be determined so that the latter could be modified/updated. The administration and maintenance of the PCP, therefore, is a continuous process which rests on those concerned in the DBM and in government agencies. 2.9.1 Rules and Procedures in the Administration of the PCP 2.9.1.1 Original Classification Original classification action is applied to positions classified for the first time such as new positions. The agency submits a request for creation of positions, together with the following: justifications for their creation;

duly accomplished PDFs; organizational charts; funding source; and such other documents as may be necessary. The DBM analyst evaluates the necessity for the creation of positions and classifies the positions. For itemized positions, a corresponding Notice of Organization, Staffing and Classification Action (NOSCA) is issued to the agency. For no itemized positions such as casual or contractual positions, DBM issues a letter authorizing their creation and their corresponding classification. The details in the NOSCA serve as inputs to the Personal Services Itemization and Plantilla of Personnel (PSIPOP) for itemized positions issued by the DBM to agencies each year. The original copy of the agency accomplished PSIPOP is submitted to the DBM. For nonitemized positions, the agency prepares the corresponding Plantilla of Personnel. 2.9.1.2 Reclassification Reclassification is a form of staffing modification and/or position classification action which may be applied only when there has been a substantial change in the regular duties and responsibilities of the incumbent of the position and which may result in a change in any or all of the position attributes: position title, level and salary grade. Such reclassification, however, should not result in a distortion in the staffing pattern nor in an unauthorized change in organizational structure or leveling, not only within the unit where said position is deployed, but also among equivalent or parallel structures in the agency. Reclassification generally involves a change in the position title and may be accompanied by an upward or downward change in salary grade. However, if the salary grade of the position is maintained, the staffing modification and/or position classification action is deemed as retitling, provided that such is within the same occupational group. 2.9.1.2.1 Reclassification may also be applied when: 2.9.1.2.1.1 There are changes in the level/ category of the government entity which will bear on the level of key positions, e.g., President and Vice-President positions in state universities and colleges (SUCs) and General Manager, Assistant 2-21 General Manager, and other Managerial positions in Local Water Districts; 2.9.1.2.1.2 There are changes in quantitative factors used in determining the appropriate position and level in accordance with existing position classification standards, e.g., coverage of agricultural facility for certain positions under the Department of Agriculture; 2.9.1.2.1.3 There are changes in the position titles and salary grades in the Index of Occupational Services, Position Titles and Salary Grades approved by the DBM; and 2.9.1.2.1.4 The reclassification of a position is provided by law or Presidential authority. 2.9.1.2.2 The following shall not be used as bases for the reclassification of positions:

2.9.1.2.2.1 Non-performance of the regular duties and responsibilities of a position by reason of the incumbent s inability or incompetence; 2.9.1.2.2.2 New duties/assignments which are temporary in nature; 2.9.1.2.2.3 Qualifications of the incumbent except those enumerated in items 2.9.1.2.3.1 to 2.9.1.2.3.3 2.9.1.2.3 The following are the instances when reclassification is based on the qualifications of the incumbent: 2.9.1.2.3.1 Implementation of the Equivalents Record Forms (ERFs) of teachers pursuant to Section 14 of Presidential Decree No. 985, as implemented by DBM Circular Letter No. 84040 dated May 30, 1984 and Budget Circular No. 2004-1 dated January 23, 2004; 2.9.1.2.3.2 Implementation of the Master Teachers career path provided under Executive Order No. 500 dated March 21, 1978, as implemented by National Budget Circular (NBC) No. 303 dated April 10, 1979 and National Compensation Circular No. 24 dated May 20, 1983; and 2.9.1.2.3.3 Implementation of NBC No. 461 dated June 1, 1998 for faculty members of SUCs, higher education institutions, and TESDA technical education institutions, and of NBC No. 308 dated May 28, 1979 in the case of faculty members of the University of the Philippines System and the Mindanao State University System. 2.9.1.2.4 A position may be reclassified if the incumbent fully meets the CSC s qualification standards requirement for the position as reclassified, pursuant to CSC law, rules and regulations. 2.9.1.2.5 Reclassification shall not apply to vacant regular positions which necessitate changes in their position titles for being under any of the instances cited in items 2.9.1.2.1.1 to 2.9.1.2.1.4. Instead, they shall be converted, i.e., they shall be abolished and the appropriate positions shall be created. 2.9.1.2.6 Procedural Guidelines 2.9.1.2.6.1 Government agencies shall submit to the DBM Budget and Management Bureau or Regional Office concerned their requests for reclassification of positions as endorsed by agency heads, together with the following: Duly accomplished Position Description Forms (PDFs); Organization, functional and position charts; Justification for the reclassification of the positions; A certification that the incumbent fully meets the qualification standards requirement for the position as reclassified, pursuant to CSC rules and regulations. If no amount is appropriated specifically for the reclassification of positions, a proposal to implement the scrap and build policy, i.e., funded vacant positions are to be offered for abolition which shall be used as funding source for the said purpose; and Justification for the abolition of the funded vacant positions by considering the effects on the operation of the affected units. 2.9.1.2.6.2 The analyst in the DBM Office concerned shall evaluate the requests. Should there be a need to validate, clarify or supplement information gathered from the PDFs, the agencies shall assist the DBM analyst in his/her conduct of position/work audit.

2.9.1.2.6.3 An agency shall be informed of the approval of the reclassification of positions through a Notice of Organization, Staffing and Compensation Action (NOSCA) or through a DBM letter, as the case may be; otherwise, the agency shall be informed of the denial action through a DBM letter. 2.9.1.2.6.4 A request for reconsideration may be made within thirty (30) calendar days after receipt of the NOSCA/DBM action. 2.9.1.2.6.5 Agencies which have been granted budget flexibilities by the DBM may reclassify filled positions provided that the condition in item 2.9.1.2.4 is satisfied; that such are in accordance with the position classification standards and that such are within their budget management authorities. Any additional funding requirement shall be sourced out of the abolition of funded vacant positions. Upon receipt of the budgetary actions made by the agency, the DBM analyst concerned shall evaluate the same. If found in order, the corresponding NOSCA shall be prepared to formalize the change in the GMIS database, subject to approval of the DBM authorities concerned. The NOSCA shall be issued to the agency. However, if upon receipt of the budgetary actions, the reclassification actions made by agencies are not in order, the DBM reserves the right to make alterations therein. 2.9.1.2.6.6 In the implementation of reclassification action, the following salary rules shall apply: 2.9.1.2.6.6.1 An employee whose position is reclassified without change in salary grade shall continue to be paid his present salary. 2.9.1.2.6.6.2 If reclassified to a position with a higher salary grade, the following salary rules on promotion shall apply: 2.9.1.2.6.6.2.1 If the basic salary of the employee in his/her former position is below the hiring rate of the reclassified position, the employee shall be allowed the 1st step or the hiring rate; 2.9.1.2.6.6.2.2 If the present salary falls in between steps, the employee shall be allowed the higher step; 2.9.1.2.6.6.2.3 If the present salary is in excess of the maximum or 8th step, the employee shall be allowed to continue to receive his/her present salary with the excess over the 8th step treated as transition allowance which shall be deducted from any future salary adjustment of the employee. 2.9.1.2.6.6.2.4 If to a lower salary grade, the employee shall be allowed to continue to receive his/her present salary. 2.9.1.3 Reconsideration An agency may request reconsideration of the classification/ reclassification of a position if it believes that the classification/reclassification action made was erroneous on the grounds that pertinent facts were not considered in the evaluation, and that such omission caused the classification error. A request for reconsideration may be made within 30 calendar days after receipt of the NOSCA/DBM action. The agency submits the request for reconsideration together with the following:

Identification of the position which classification is requested for reconsideration; proposed classification of the position; and explanation why the existing classification was erroneous, or a declaration of the facts which, if considered, would have resulted in a different classification. The DBM evaluates the request in accordance with existing position classification standards. The DBM issues a revised NOSCA or a letter if a request concerns casual/contractual positions. For a denied request, the agency is informed through a DBM letter. 2.9.1.4 Upgrading Upgrading of a class involves upward change in the salary grade allocation of the class and consequently all positions allocated to the class, without change in class title, if the duties and responsibilities and other facts about the class so warrant. 2.9.1.5 Retitling Retitling of a class involves a change to a more appropriate title of a class and consequently all positions allocated to the class, without change in salary grade. 2.9.2 Effectivity of Implementation of Classification Actions 2.9.2.1 All classification actions take effect on the date indicated in the NOSCA or DBM letter. For positions in schools and educational institutions, the effectivity is not earlier than June 1 of the current year. For non-itemized positions, the effectivity date is indicated in the DBM letter. 2.9.2.2 A reclassification action takes effect on the date indicated in the NOSCA but not earlier than the date when funds for the purpose are authorized in the General Appropriations Act. For positions under the Department of Education and other schools, the effectivity is not earlier than June 1 of the current year. 2.9.2.3 The implementation of a reconsideration action takes effect on the effectivity date of the original classification/ reclassification of a position. 2.9.2.4 The retitling/upgrading of a position takes effect on the date indicated in the NOSCA. 2.9.3 Maintaining/Updating the PCP The DBM maintains/updates the PCP as follows: 2.9.3.1 Creation of New Occupational Services, Occupational Groups, Classes in Series New occupational services, occupational groups, classes in series may be created when new duties and responsibilities are found to exist or are not comparable to those existing in the PCP such that the positions cannot be allocated to existing classes. 2.9.3.2 Merging, Splitting, Abolition of Occupational Services/Occupational Groups/Classes in Series Existing occupational services, occupational groups, classes in series may be merged, split, or abolished when existing conditions of work assignments on which they were based are modified. These may include splitting of functions, addition of new functions, abolition of functions, changes in work methods due to technological development, organizational development, and changes in work entrance requirements, etc., which may cause the addition to or changes in the duties and responsibilities of a position.

2.9.3.3 Procedure The BMB/DBM Regional Office concerned conducts initial evaluation of the need for creation/ merging/splitting/abolition of occupational services/ occupational groups/classes in series. It submits its recommendations relative thereto, the corresponding draft class specifications and other pertinent documents to OPCCB. Using the position classification factors as guides, the OPCCB breaks down the facts pertaining to the positions and compares them with those of existing classes to ascertain the need for creation of new/modified classes. After deciding that new/modified classes are to be created, OPCCB undertakes the following: determines the occupational service and occupational group; Within the occupational group, determines the different levels of difficulty of duties and responsibilities; Reviews and finalizes the draft class specifications; Allocates each class to a salary grade on the basis of grade level definitions or in the absence thereof, on the basis of comparability with established classes in the PCP; Submits its recommendation for approval of the DBM Secretary; The DBM, through the OPCCB, issues a notice of change in the IOS to all DBM offices and to the government agencies concerned; and The BMB or DBM Regional Office concerned adopts the new/modified class in processing the agency request. 2.9.3.4 Updating/Revision of Class Specifications or Standards Occasionally and following consultations with government agencies, the DBM through the OPCCB updates class specifications or standards. The DBM may revise, supplement or abolish existing class specifications or standards so that as nearly as practicable, positions existing at any given time within the government service shall be covered by current standards. 2.9.3.5 Revision of Rules and Procedures The rules and procedures for implementing the PCP are revised as the need arises to keep pace with changes in administrative policies and other developments in the government. 2.9.3.6 Use of Official Class Titles The class titles found in the IOS shall be the official class titles of positions and shall be used for personnel, budget and fiscal purposes, without precluding the use of alternate titles for internal administration, public convenience, law enforcement, or similar purposes. Annex A SN ELEC1 ELECTRICIAN I Definition Under general supervision, does skilled electrical work in the installation maintenance and repair of electrical wiring and equipment; or of power lines and electrical lighting; or of

electrical generating and utilization equipment; and does related work. Characteristics Follows blueprints and specifications for the installation of channel boards, circuits and outlets and other equipment; installs electrical wiring, conduits, switches, cables, fuse boxes or circuit breakers in buildings, plants and pumping stations and other structures; installs electrical circuits for building automation controls, security devices, fire alarm devices, audio and video systems, communication trunks, air conditioning and refrigeration systems; installs additional circuits for additional lights and appliances; installs electrical equipment such as storage heaters, water heaters and electrical signs; installs electrical wiring in marine craft; tests electrical circuit to ensure safe operation as designed; installs coaxial or fiber optic cable from computers and other telecommunications equipment; regularly inspects electrical wiring and equipment to identify potential problems; takes corrective action immediately; repairs or replaces defective parts of the electrical system. Or interprets electrical transmission and distribution plans; installs electric wires from powerhouse to pole; installs on poles electrical fixtures and equipment such as insulators, transformers, street lighting, lightning arresters and platforms and traffic signals; tests installed electrical equipment and lighting to ensure safe operation; installs connecting wires from main power lines to buildings and other structures; tests, locates and inspects main line and connecting lines to locate source of power failure; repairs or replaces defective parts of the power system and lighting; may operate aerial bucket truck or any large construction equipment. Or determines repairs and replacements to be made on electrical generating, utilization and control equipment using testing instruments; following using diagrams, rewinds armatures and field coils of motors and generators and primary and secondary windings of transformers; checks and repairs electric wiring of motor vehicles and heavy equipment; repairs, rebuilds and recharges storage batteries; repairs magnetic switches and horn relays; repairs water temperature and oil gauges and indicators. Qualifications Guide Any combination of training and experience equivalent to graduation from secondary trade school. Annex B Republic of the Philippines : 1. NAME OF EMPLOYEE DBM-CSC Form No. 1 : (POSITION DESCRIPTION FORM) : (Family Name) (Given Name) (Middle Name) : 2. DEPARTMENT, CORPORATION OR : 3. BUREAU OR OFFICE AGENCY/LOCAL GOVERNMENT UNIT :: 4. DEPARTMENT/BRANCH/DIVISION : 5. WORK STATION/PLACE OF WORK: 6a. PRES. APPROP. : 6b. PREV. APPROP. : 7.a SALARY : 7.b ACT/BOARD RES./ : ACT/BOARD RES./ : AUTHORIZED : OTHER COMPENSATION

ORD. NO. : ORD. NO. : : ITEM NO. : ITEM NO. : ACTUAL : : 8. OFFICIAL DESIGNATION OF : 9. WORKING OR PROPOSED TITLE POSITION : : 10. DBM CLASSIFICATION OF THIS : 11. OCCUPATIONAL GROUP TITLE POSITION : (Leave Blank) : 12. FOR LOCAL GOVERNMENT POSITION, CHECK GOVERNMENTAL UNIT AND UNIT CLASS MUNICIPAL CITY PROVINCE 1st 2nd 3rd 4th 5th 6th 13. STATEMENTS OF DUTIES AND RESPONSIBILITIES. If more space is needed, please attach additional sheets. Percent of Working : Duties and Responsibilities Time : : : : : 14. POSITION TITLE OF IMMEDIATE : 15. POSITION TITLE OF NEXT SUPERVISOR : HIGHER SUPERVISOR: 16. NAMES, TITLES and ITEM NOS. OF THOSE YOU DIRECTLY SUPERVISE (If more than seven (7), list only their item nos. and position titles.) 17. MACHINES, EQUIPMENT, TOOLS, etc. used regularly in performance of work __________________________________________________ 18. CONTACTS : 19. WORKING CONDITIONS Occasional Frequent : General Public : Normal Working Condition Other Agencies : Field Work Supervisors : Field Trips Management : Exposed to Varied Weather Others (Specify) : Others (Specify) 20. I certify that the above answers are accurate and complete. Date Signature of Employee TO BE FILLED OUT BY IMMEDIATE SUPERVISOR 21. Describe briefly the general function of the unit or section. 22. Describe briefly the general function of the position. 23a. Indicate the required qualifications by years and kind of education considered in filling up a vacancy for this position. (Keep the position in mind rather than the qualifications of the present incumbent. This item should be filled for all positions other than teaching.) Education: Experience: 23b. Licenses or certificates required to do this work, if any.

24. I hereby certify that the above answers are accurate and complete. Date Signature and Title of Immediate Supervisor 25. APPROVED: Date Head of Agency Annex C INSTRUCTIONS FOR ACCOMPLISHING THE POSITION DESCRIPTION FORM The following instructions show how the Position Description Form (PDF) should be filled and how the supervisor should review it. THE ADMINSTRATIVE OFFICER The Administrative Officer or equivalent officer of the department, corporation, agency, or local government unit in charge of human resource management functions in which the position is located should fill in Items 1 to 12, except Item 11. Item 1. Name of Employee Write the name of the employee presently occupying the position. Write the word vacant if the position is vacant at the time this form is accomplished. Item 2. Department, Corporation or Agency/Local Government Write down the exact name of the Office. Avoid using abbreviations. (Write Department of Justice instead of DOJ if a department, Social Security System instead of SSS if a corporation, and Rizal Provincial Government instead of Rizal if a local government unit.) Item 3. Bureau or Office Write down the major subdivision of the agency to which the position belongs and is directly under, such as Bureau of Immigration or Financial and Management Service if in the department proper. Item 4. Department/Branch/Division Write down the immediate subdivision of the office indicated in Item 3 where the position is deployed, such as Administrative Services Department, Personnel Branch, or Management Division. Item 5. Work Station/Place of Work Indicate the geographic location of the position, such as Manila, Bataan, Davao, etc. Items 6a and 6b. Appropriations Act/Board Resolution - Write down the present and previous appropriations act, board resolution or ordinance number and the item number of the position in said appropriations act, board resolution or ordinance. Items 7a and 7b. Salary and Other Compensation Write down the salary of the position as authorized in the appropriations act, board resolution or ordinance and the actual salary of the employee occupying the position. If the position is vacant at the time this form is being accomplished, indicate N.A. for not applicable opposite actual salary. Write down the other regular compensation for the position. Item 8. Official Designation of Position Write down the class title of the position as authorized in the appropriations act, board resolution or ordinance. Item 9. Working or Proposed Title Write down the class title of the position as requested. Item 10. DBM Classification of this Position Write down the classification of the position as certified to the agency by the DBM. Leave blank if the position is new and not yet classified.

Item 11. Occupational Group Title Leave this blank. DBM will indicate the occupational group title after the position has been classified. Item 12. For local government positions, check the appropriate local government unit and income class of the unit where the position is authorized. THE EMPLOYEE Writing the statements of duties and responsibilities (position description) is the responsibility of the employee holding the position as well as his/her supervisor so as to insure the adequacy, validity and correctness of the statements made therein. Any duly accomplished PDF submitted, signed and endorsed becomes an official record and a public document. Therefore, care should be taken in accomplishing the PDF. The employee who presently occupies the position should write the description of the duties and responsibilities of the position as performed and understood by him/her. In case the position is vacant, the immediate supervisor of the position shall accomplish the PDF for the position. Below are pointers in writing position descriptions: A. Do not attempt to write down in a single sitting all the duties and responsibilities of the position. Take time and give them a little thought. Note down on a sheet of paper the duties and responsibilities as recalled. Examine the relationship of the position with the other positions in the organization. This will help in visualizing the tasks performed by the position in the overall organizational pattern. B. After all the duties and responsibilities of the position have been written, rearrange them in descending order from the most important to the least important, indicating the percent of working time spent on each of the duties and responsibilities. C. Simple, clear and short statements should be used in discussing the duties and responsibilities. Such statements, therefore, should indicate the what-it-is, the why or purpose, and the how-it-is accomplished. Samples of the work which cannot be adequately described should be attached to the PDF such as reports made, forms accomplished, designs and drawings made, etc. D. Avoid using vague terms such as maintains, checks, helps, and prepares. Explain in detail how the position maintains mechanical equipment and/or records; checks plans and/or reports; helps carpenters or engineers; prepares reports and/or layouts. For example, a statistician may prepare statistical reports, and so does a typist. E. Finally, copy what were written on the sheet of paper to the PDF under Item 13 (Statements of Duties and Responsibilities). It is suggested that before doing so, a final review of the statements be made by asking the following questions: Have all the duties and responsibilities pertinent to the position been written down? Are the duties and responsibilities statements written in the most concise and specific terms possible and outlining the what, why and how? Can the position description be used as an instruction sheet for a new employee of the position?

Item 13. Statements of Duties and Responsibilities. This is the most important part of the form. Write down in detail what are actually done by the position. The Percent of Working Time in the left-hand column should indicate the percentage of working time consumed in performing each statement of duties and responsibilities. List the duties and responsibilities in the order of their importance with the most important duty and responsibility first, the second most important duty second and so on. State fully whether instructions are received in detail or in a general way (work is reviewed closely or from time to time only). Describe also the degree of supervision received and given to subordinates, if a supervisor). Degree of Supervision Received means the amount and type of instructions and guidance usually received from the immediate supervisor, including the rules and regulations, office practices and procedures and the extent the supervisor controls the performance of the subordinate s work. Item 14. Position Title of Immediate Supervisor Write down the authorized position or class title of the first or immediate supervisor. Immediate supervisor refers to the supervisor nearest in level to the position supervised. For example, in a division consisting of seven (7) positions, inclusive of one (1) Information Officer V as chief of division and one (1) Information Officer IV as assistant chief of division, the immediate supervisor is the latter and not the former. Item 15. Position Title of Next Higher Supervisor Write down the authorized position or class title of the next higher supervisor. In the example given in Item 14, this would be the chief of division, the Information Officer V. Item 16. Names, Titles, and Item Numbers of Employees Supervised Directly One supervises employees when one gives work assignments or instructions to them and reviews their work. Write down the names, item numbers, and positions or class titles of the employees supervised. Item 17. Machines, Equipment and Tools Used Write down the machines, equipment or tools used regularly such as a typewriter, mechanic s tools or calculator or those operated regularly such as a water pump, diesel generator or computer. Item 18. Contacts Check the appropriate box to describe the approximate frequency of the contacts required of the position in connection with its work. Item 19. Working Condition Check the appropriate box that describes the working condition of the position. Item 20. Certification by the Employee for Accomplishing the Form Indicate the date the form was fully filled-up. The incumbent of the position signs his/her name. Leave this item blank if the position is vacant. THE SUPERVISOR The first or immediate supervisor should review the accuracy of the statements from Items 13 to 20. He may add to or explain any of the employee s statements that may be inaccurate or incomplete. He/She should also fill in Items 21 to 24.

Item 21. Brief Description of the General Function of the Unit or Section Write a brief description of the function of the unit where the position is deployed. Item 22. Brief Description of the General Function of the Position Write a brief description of the function of the position. Any exception to any statement of duties and responsibilities described by the employee under Item 13 of this form may be indicated. Item 23a. Minimum Qualifications Required The supervisor indicates the suggested minimum number of years of training and experience which will have to be considered of an applicant in filling a vacancy for this position. It is important that the qualifications of the present incumbent of the position should not be considered. Other skills, knowledge s and abilities preferably required of an incumbent of this position should also be indicated. The filling of this item is important especially if the position under consideration is new or proposed. Item 23b. Licenses or Certificates of Proficiency. Indicate licenses or certificates required of an incumbent of this position. If no license or certificate is required, write down None. Item 24. Certification of Immediate Supervisor After reading the statements carefully and giving comments on the adequacy, validity and correctness of the facts stated, the immediate supervisor certifies to the completeness and accuracy of the statements/data in the PDF by signing his/her name and indicating the date of certification. THE AGENCY HEAD Item 25. Approved - The agency head signs his/her name on the space provided to indicate his/her approval of the statements/data in the PDF.

Chapter 3: The Compensation Plan3.1 The Compensation Plan The Compensation Plan (CP) under RA No. 6758 is an orderly scheme for determining rates of compensation of government personnel. It was crafted to attract, motivate and retain good and qualified people to accomplish the Philippine Government s mission and mandates, to encourage personal and career growth, and to reward good performance and length of service. To achieve these goals, the CP has a mix of compensation components, namely; basic pay or salaries, fringe benefits, incentives and nonfinancial rewards which provide reasonable levels of compensation packages within existing government resources, and are administered equitably and fairly. 3.2 Concepts of Compensation 3.2.1 Total Compensation This represents all financial and non-financial rewards and entitlements arising from employment relationship. 3.2.2 Intrinsic Rewards - These are derived from the work environment, which are valued internally by an individual, like quality of work life, job satisfaction, challenge, personal and professional growth opportunities, feeling of belonging, freedom to act, visionary leadership, and the like.

3.2.3 Extrinsic Rewards/Entitlements These comprise all compensation benefits, both monetary and non-monetary, and received directly or indirectly by the employee. 3.2.4 Direct Compensation - These are cash compensation items which are either fixed or variable and are paid to an employee for the performance of work. These include basic pay, cash allowances and fringe benefits. 3.2.5 Indirect Compensation - These are usually non-cash or in-kind benefit items that contribute to the employee s welfare, standard of living and personal development. These include protection programs such as insurances, paid leaves, perquisites and training programs. 3.2.6 Fixed Compensation These are cash compensation items which are regularly granted to all employees. Examples are: basic salaries, Personnel Economic Relief Allowance (PERA), and Additional Compensation (ADCOM). 3.2.7 Variable Compensation - These are cash compensation items which are granted to employees based on certain qualifications or rendition of special services. Examples are, hazard pay, honoraria, night-shift differential pay, and overtime pay. 3.2.8 Basic Pay - This is the primary cash compensation for work performed, excluding any ot