Report civil service policies

Republic of the PhilippinesEULOGIO “AMANG” RODRIGUEZ

INSTITUTE OF SCIENCE AND TECHNOLOGYNagtahan, Sampaloc, Manila

GRADUATE PROGRAMMASTER IN PUBLIC ADMINISTRATION

TOPIC: E. SALARIES F. BENIFITS

CIVIL SERVICE POLICIES

1

Presented by:

LOUIE A. MEDINACELI

DR. LOURDES BANDOYProfessor

SALARIES

Economic considerations play a great part in your choice of job. Salaries and other financial rewards greatly influence your stay in public service.

It must be remembered however that total compensation in the civil service includes considerable rewards which are not directly financial. There are non-monetary rewards which are unique to the public service.

SALARY STANDARDIZATION

It is the policy of the government to provide equal pay for substantially equal work.

Your salary is based on your position title which is allocated to a certain salary grade. A salary grade consists of several steps with corresponding salary rates. You initially receive the first step of the salary grade to which your position is allocated. If your performance is satisfactory, your salary may be increased from one step to another without a promotion.

Under Republic Act No. 6758 ( An Act Prescribing a Revised Compensation and Position Classification System in the Government for other Purposes) approved on August 21, 1989, your salary shall now be at par with those in other branches of the government occupying comparable positions.

There are basic principles governing the Compensation and Position Classification system of the government:

1. All government personnel shall be paid just and equitable wages. While pay distinctions must necessarily exist in keeping with work distinctions, the ratio of compensation for those occupying higher ranks to those at lower ranks should be maintained at equitable levels, giving due consideration to higher percentage increases to lower level positions and lower percentage increases to higher level positions;

SALARY STANDARDIZATION

SALARY STANDARDIZATION

There are basic principles governing the Compensation and Position Classification system of the government:

2. 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 in accordance with prevailing laws on minimum wages;

3. The total compensation provided for government personnel must be maintained at a reasonable level in proportion to the national budget;

There are basic principles governing the Compensation and Position Classification system of the government:

4. A review of government compensation rates, taking into account possible erosion in purchasing power due to inflation ant other factors, shall be conducted periodically.

The Salary Schedule under RA No. 6758 is composed of 33 grades, from grade 1 to grade 33, with corresponding salary rates. Your position is allocated to a certain grade and your salary shall correspond to the rate assigned to the grade.

SALARY STANDARDIZATION

SALARY STANDARDIZATION

The assignment of a position to a salary grade depends on the following factors:

education and experience required to perform the duties and responsibilities of the position

nature and complexity of the work to be performed kind of supervision received mental and/or physical strain required in the completion of the work nature and extent of internal and external relationships kind of supervision exercised decision making responsibility responsibility for accuracy of records and reports Accountability for funds, properties and equipment Hardship, hazard and personal risk involved in the job

PAYMENT OF SALARIES

Your salary starts on the first day of your service and its initial payment shall be made through a voucher. You need to submit supporting documents such a certified true copy of your appointment, Oath of Office, Statement of Assets and Liabilities, and Certificate of Assumption to Duty. Subsequent monthly payments shall be made to you through a payroll in two or four installments.

DEDUCTIONS FROM AND WITHHOLDING OF SALARIES

The usual deductions from your salary include withholding tax, GSIS life and retirement premiums, and PHILHEALTH premiums. If your monthly income is at least P4,000.00, payment of the PAGIBIG fund is mandatory (RA No. 7742). If you earn a salary less than P4,000.00 monthly, your membership and payment for PAGIBIG premium is voluntary. The other grounds for deduction includes a settled claim against you by the government and your authorization for deduction on your membership in an employee savings and loan association.

Your salary may be withheld should you take an authorized leave of absence or be under suspension or separated from the service until you obtain clearances from money and property accountabilities.

ADDITIONAL COMPENSATION

There are times when your office has unusually heavy workload which can not be finished within the regular office hours. You may be required to render overtime. The head of office may authorized the payment of overtime pay corresponding to the number of hours rendered but in no case should it be more than 50% of your monthly salary.

BENEFITS

The government as your employer expects you to perform your duties of serving the public with efficiency and effectiveness. In return, it provides you with benefits and related welfare services, to the extent that it can afford.

UNIFORM ALLOWANCEAside from your salary, you also get an annual allowance

for your expenses for office uniform. This can come in cash alone for the clothing materials with cash for the sewing cost.

LEAVE BENEFITS

Vacation Leave – After six months of continuous and satisfactory service, you are entitled to a seven and a half-day vacation leave with pay, excluding Saturdays, Sundays and public holidays. You can take these days off on a straight basis or every after a few days until you exhaust the allowable leave.

File your application for vacation leave at least five days in advance. Its approval though, is discretionary. You can go on vacation leave only if there is not much need for your services in the office on the days of your absence. Your leave credits are cumulative; they are carried over to the next year if not exhausted during the past years.

LEAVE BENEFITS

Sick Leave – When you get sick, you may avail of the 15- day sick leave privilege granted for those who have rendered at least one year of service. You may also go on sick leave if a member of your family becomes ill or dies.

You enjoy the balance of your 15-day annual sick leave privilege in the next year if you do not exhaust it during the year. File your application for sick leave within three days upon your return to office. It must be accompanied by a medical certificate if your leave is for five (5) or more days.

LEAVE BENEFITS

Maternity Leave – With a permanent appointment, a married woman employee can enjoy a 60-day maternity leave with full pay after rendering an aggregate of two or more years of service.

Vacation Service Credit – If you are a teacher, you earn vacation service credit for the service you render on Saturdays, Sundays and holidays during the school vacation. You can use your vacation service credit to offset your absences during school days.

Solo Parent Leave (CSC MC No. 8 s. 2004) - Shall refer to leave benefits granted to a solo parent to enable said parent to perform parental duties and responsibilities where physical presence is required. A solo parent is entitled seven (7) days a year.

LEAVE BENEFITS

Forced Leave – With your tight schedule of work in the office, you need a rest to reinvigorate yourself. Should you have a accumulated vacation leave of 10 or more days at the start of the year, you will be required to go on vacation leave within a calendar year for (5) five days which need not be successive. The five-day leave credit shall be forfeited if you do not use them within a given year. Should you have less than 10 days accumulated vacation leave, you have the option to go on scheduled vacation leave or not.

*as amended by CSC Memorandum Circular No. 8, s. 1995

Terminal Leave – Should you decide to resign or retire or should you be terminated, you may apply for a terminal leave with your unspent leave credits converted to cash based on your monthly salary.

GSIS BENEFITS

The Government Service Insurance System (GSIS) grants you additional benefits.

Benefits under RA No. 8291 or the Government Service Insurance Act of 1997 can be availed or by an eligible member in the event of the following contingency occurring on or after June 24, 1997.

Unemployment Benefit – will be payable to eligible members who will be voluntarily separated from the service due to reorganization, merger or privatization.

GSIS BENEFITS

Separation Benefit – A cash payment of 18 times the basic monthly pension at the time of separation and a life pension to start at age 60 will be given to those who separate from the service with at least 15 years service and are below 60 years of age.

Retirement Benefit – A member is eligible for retirement benefit when he has satisfied all the following conditions:

He/she has rendered at least 15 years of serviceHe/she is at least 60 years of age at time of retirement; andHe/she is not receiving a monthly pension benefit from

permanent disability.

GSIS BENEFITS

The following are the other features of retirement benefit:Retirement shall be compulsory at age 65.

Employees who entered the service before June 1, 1977 and who have not received any separation or retirement benefits have the option to retire under Republic Act Nos. 1616, 660 or 8291.

Retirement benefits shall be paid on the last day of service in government if all requirements are submitted to the GSIS at least thirty (30) days prior to the effective date of retirement.

GSIS BENEFITS

How much is the retirement benefit?

Under RA 8291, a retiree has two (2) options:

1. The 5-year lump sum (60 X Basic Monthly Pension) plus the basic monthly pension for life starting at the end of the 5-year guaranteed period; or

2. The cash payment (18 x Basic Monthly Pension) plus the basic monthly pension for life starting immediately upon retirement.

GSIS BENEFITSSeparation Benefit – There are two types of separation benefits and eligibility requirements, as discussed below:

A member who has rendered at least three years but less than 15 years of service is eligible for separation benefit in the form of a cash payment equivalent to 100% of the average Monthly Compensation for every year of service payable upon reaching age 60 or upon separation, whichever comes later, if he is not receiving a monthly pension benefit from permanent total disability.

A member who has rendered at least 15 years of service and who is below 60 years of age at time of resignation or separation is eligible for separation benefit in the form of a cash payment equivalent to 18 times the Basic Monthly Pension payable at the time of separation plus the basic monthly pension for life starting at age 60.

GSIS BENEFITS

Permanent Total Disability Benefit – A member is eligible for permanent total disability benefit if he:

Becomes permanently and totally disabled when he/she is in the service and has paid at least 180 monthly contributions. He shall be paid the permanent total disability benefit in the form of a monthly income benefit for life equivalent to the basic monthly pension plus a cash payment equivalent to 18 times his basic monthly pension effective on the date of disability.

A member who becomes permanently and totally disabled is eligible for permanent total disability benefits in the form of a monthly income benefit for life equivalent to the basic monthly pension when:

GSIS BENEFITS

he/she is in the service at the time of disability; or he/she is separated from the service and has paid 36 monthly

contributions within the last 5 years immediately preceding the disability or has paid a total of at least 180 monthly contributions.

A member who becomes permanently and totally disabled when/ he/she is separated from the service with at least three years of service but has not paid 36 monthly contributions within the last five years immediately preceding the disability is eligible for permanent total disability benefits in the form of a cash payment equivalent to 100% of the average monthly compensation (AMC) for every year of service he paid contributions but not less than P12,000.00.

GSIS BENEFITS

Permanent Partial Disability – A member who becomes permanently partially disabled is eligible for permanent partial disability benefits in the form of a cash payment equivalent to the basic monthly pension times the number of months specified in the schedule of disabilities or Table of Loss Percentages when:

he/she is in the service at the time of disability; orhe/she is separated from the service and has paid 36 monthly

contributions within the last five years immediately preceding the disability or has paid a total of at least 180 monthly contributions.

GSIS BENEFITS

Temporary Total Disability – A member who suffer temporary total disability for reasons not due to grave misconduct, notorious negligence, habitual intoxication, or willful intention to kill himself or another may be entitled to benefits if:

he/she is in the service at the time of his disability and has exhausted his sick leave credits; or

Separated, he has rendered at least three years of service and has paid at least six monthly contributions in the 12 month period immediately preceding his disability.

GSIS BENEFITS

Funeral Benefit The following are eligible for funeral benefits:

an active member a member who has been separated from the service, but who may be entitled to

future separation or retirements benefits; or a pensioner a retiree who at the time of his retirement was at least 60 years of age but who

opted to retire under Republic Act No. 1616 Those who retired under Republic Act No. 1616 prior to the effectivity of this

Act with at least twenty (20) years of service regardless of age.

The amount of the funeral benefit shall initially be Twelve Thousand pesos (P 12,000.00). It shall be increased to at least Eighteen thousand pesos (P18,000.00) after five (5) years.

GSIS BENEFITS

Life Insurance – shall be compulsory for all employees. The following are the benefit features of the coverage:

Maturity Benefit – upon maturity of the life insurance, the face amount less any indebtedness shall be paid to the member;

Death Benefit – When a member dies prior to the maturity of his insurance and during its continuance, the GSIS shall pay to the designated beneficiaries or to his legal heirs, as the case may be, the face amount of his compulsory insurance.

Accidental Death Benefit (ADB) – When the death of the member is accidental, the GSIS shall pay the designated beneficiaries or the legal heirs, as case may be, an additional amount equivalent to the compulsory insurance;

GSIS BENEFITS

Waiver of Premiums – When the member is separated from the service due to permanent total disability, as determined by the GSIS, the premiums that may become due and payable during the period of disability shall be deemed waived and considered paid.

Cash Surrender Value (CSV) – After his insurance shall have been in force for one (1) year, a member separated from the service prior to the maturity of the insurance may be paid the cash value less any indebtedness thereon unless the term of his separation provides otherwise;

Insurance Loans – Upon application, a member who has been insured for at least one (1) year may be granted an insurance loan in an amount not exceeding fifty percent (50%) of the cash value of his insurance at the time of application.

Dividends – An annual dividend may be granted to all members of the GSIS hose life insurance is in force for at least on (1) year in accordance wit a dividend allocation formula to be determined by the GSIS.

PAG-IBIG (Home Development Mutual Fund)

This fund was set-up mainly for housing purposes. By virtue of Republic Act 7742 which became effective January 1, 1995, membership in the Fund shall be mandatory for those employees with monthly income of at least P4,000.00. However, employees whose monthly compensation is less than P4,000.00 membership shall be voluntary. The government pays a counterpart contribution of your monthly remittance for PAGIBIG.

Beside granting you a housing loan to finance the acquisition of a house and lot package or a lot alone, or the construction or improvement of a house, other benefits include:

Total Accumulated Value (TAV) – This will be granted to you upon the termination of your membership such as when you retire, go abroad permanently, or are terminated, or upon the maturity of your membership. TAV includes your contributions and the governments.

Death Dividends - This is granted to your beneficiaries upon your death, in addition to your total accumulated savings plus earned dividends.

Fixed dividends – This Will be given to you if you ha ve no outstanding loan.

Loans – other kinds of loans beside housing loan, which include provident, appliance and furniture loans and multipurpose loan.

PAG-IBIG (Home Development Mutual Fund)

PHILHEALTH

The Philippine Health Insurance Corporation (PhilHealth) was created in 1995 to create a universal health coverage for the Philippines. It is a tax-exempt, government-owned and government-controlled corporation (GOCC) of the Philippines, and is attached to the Department of Health. It states its goal as insuring a sustainable national health insurance program for all.[1] In 2010, it claimed to have achieved "universal" coverage with 86% of the population, although the 2008 National Demographic Health Survey showed that only 38 percent of respondents were aware of at least one household member being enrolled in PhilHealth.[2] Nevertheless, this social insurance program provides a means for the healthy to pay for the care of the sick and for those who can afford medical care to subsidize those who cannot. Both local[3] and national government allocate funds to subsidize the indigent

Employees Compensation Program

In the Event of work-related injury death , you are given adequate, tax-exempt income benefit and medical or related benefits.

For your work-related injury and the resulting disability or death to be compensated, your injury must have been sustained during your working hours and at your place of work, and you must have been performing your official functions.

On the other hand, for your sickness and the resulting disability or death to be compensated, the sickness must be the result of an occupational disease (see your Personnel Unit for the list) or chances for contracting the diseases has been increased by your working conditions.

ECC benefits include Cash Income which covers: In the Event of work-related injury death , you are given adequate, tax-exempt income benefit and medical or related benefits.

Temporary Total Disability (TTD) – A disability which prevents you from performing your work for a continuous period not exceeding 120 days but not to exceed 240 days.

EMPLOYEES COMPENSATION PROGRAM