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Thursday, April 25, 2024

House approves Rightsizing Law

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THE House of Representatives has approved on third and final reading House Bill 5707, also known as the “Rightsizing the National Government Act” which seeks to streamline the bureaucracy and improve the quality and efficiency of government service delivery.

The proposed Rightsizing Law was among the priority legislations cited by  President Duterte in his 2nd State of the Nation Address.

Also approved on third reading is House Bill 5865 or the Magna Carta of Filipino Seafarers.

According to the primary author of both bills, House Appropriations Committee Chairman and Davao City Congressman Karlo Alexei Nograles, the proposed Rightsizing Law  would reshape the government into a “lean and mean” bureaucracy as it rationalizes the functions and all government offices and their individual staff.

The measure would cover all agencies of the executive branch, including departments, bureaus, offices, commissions, boards, councils, and all other entities attached to or under their administrative supervisions and government-owned or -controlled corporations not covered by Republic Act No.10149 or the GOCC Governance Act of 2011.

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The  measure provides for the optional adoption of the rightsizing program by the Legislature, the Judiciary, the Constitutional Commissions, the Office of the Ombudsman, and Local Government Units.

“This measure would correct the overlapping and duplication of functions of our government offices and their staff. This will ensure the long term sustainability of our government service through resource mobilization and cost effective public expenditure management,” said Nograles.

Under the bill, the President of the Philippines is granted the authority  to “rightsize” the bureaucracy by abolishing government positions that are considered to be non-performing and unnecessary. It provides for the creation of the Committee on Rightsizing the Executive Branch to oversee the implementation of the Act.

The Committee shall be composed of the Executive Secretary as the Chairperson, and the Secretary of the Department of Budget and Management (DBM) as Co-Chairperson and with the Secretary of Socio-Economic Planning, Chairperson of the Civil Service Commission (CSC), and the Head of the Presidential Management Staff as members.

The proposal mandates the submission to the President the “rightsized” organizational structure of agencies concerned and the corresponding executive issuances within 250 days from the effectivity of the IRR of the Act.

The heads of agencies  are required to  prepare and submit to the DBM the detailed organizational structure and staffing of their respective agencies within 90 days after the approval of the proposed executive issuances by the President.

The affected personnel hired on a permanent basis and with appointments attested by the CSC, shall be entitled to retirement benefits and separation incentives with an option to avail themselves of retirement gratuity provided under Republic Act (RA) No. 1616; or Retirement benefits under RA No. 660; or Retirement, separation or unemployment benefit provided under RA No. 8291.

In addition to the said retirement benefits, the affected personnel who would opt to retire or be separated shall be entitled to the following applicable separation incentives: 1)     One half of the actual monthly basic salary for every year of government service, for those who have rendered  less than 11 years of service; 2)     Three fourth of the actual monthly basic salary for every year of government service, computed starting from the first year, for those who have rendered 11 to less than 21 years of service; 3)     The actual monthly basic salary for every year of government service, computed starting from the first year for those who have rendered 21 to less than 31 years of service; and 4)     One and one fourth of the actual monthly basic salary for every year of government service, computed starting from the first year, for those who have rendered 31 years of service and above.

A minimum of five years of government service is required in order for an affected personnel to be entitled to avail of the Program’s separation incentives provided under this measure.

Also approved on third reading is the proposed HB  5865 or the “Magna Carta of Filipino Seafarers,” which aims to improve seafarers’ working conditions, terms of employment and career prospects, and to uplift the socio-economic well-being of their families. 

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