House Majority Leader and Camarines Sur Rep. Rolando Andaya Jr. on Friday welcomed the release of funds for the salary increases of government workers.
“Finally, Secretary Diokno has come to his senses. Now, he realizes that he has to implement the law granting salary increases to civil servants even under a reenacted budget,” Andaya said.
Andaya said he recently got hold of the two Department of Budget and Management Circulars, which authorize the local government units and government-owned and -controlled-corporations to release the fourth tranche of the wage hike to their employees under the Salary Standardization Law.
The DBM Circulars—Local Budget Circular No. 118 and Corporate Budget Circular No. 23—were both signed by Diokno on Jan. 15.
Diokno had earlier declared that the 2019 national budget—which has been delayed in Congress—had to be passed before he could release funds for the pay increases.
“We have been telling Secretary Diokno all along. There is no basis for the delay in the release and disbursement of funds as there are available alternative sources of funds for the fourth tranche of personnel benefits,” Andaya said.
The two alternatives to raise the P42.7 billion necessary for the fourth tranche of increases are the Miscellaneous Personnel Benefits Fund and savings from the 2018 budget.
The MPBF currently has P99.446 billion, which is “allowed to be used for payments of personal benefits, such as deficiencies in authorized salaries, bonuses, allowances, associated premiums and other similar personnel benefits of national government personnel.”
Andaya said at least P75 billion from the MPBF fund is allotted for “payment of compensation adjustment” and “funding requirements for staffing modifications and upgrading and salaries.”