2 bonus schemes suspended, streamlined system proposed

President Ferdinand Marcos Jr. —INQUIRER.net file photo/Ryan Leagogo

MANILA, Philippines — President Ferdinand Marcos Jr. has ordered the review and overhaul of two performance evaluation schemes due to its duplication with existing mechanisms—a move that may affect bonuses given to government employees.

Executive Order No. 61 suspended the implementation of the Results-Based Performance Management System and Performance-Based Incentive System, which are effectively bonus schemes.

Likely to be affected are the performance evaluation schemes called Productivity Enhancement Incentive, an across-the-board P5,000 bonus given before Dec. 15 of every year, and the the Performance-Based Bonus which may reach up to two months’ worth of a government worker’s basic salary. Both are under the Performance-Based Incentive System.

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EO 61, dated June 3, said both the Performance-Based Incentive System and the Results-Based Performance Management System are “duplicative and redundant” with internal and external audit and evaluation systems and lacked a review mechanism.

To review and streamline the bonuses, the President created a technical working group (TWG) composed of the budget secretary as chairperson and the executive secretary as cochair, with the finance secretary, socio-economic planning secretary and director general of the Anti-Red Tape Authority as members.

Transition plan

The TWG will submit recommendations to the President within six months and create a transition plan for the grant of a new performance-based bonus to government employees within the next three months.

The new bonus scheme will “integrate, streamline and align the new government performance management system” with other programs and systems as provided for by existing laws and issuances.

“The new government performance management and incentives systems shall be aligned with ease of doing business initiatives, the Philippine Development Plan, the socio-economic agenda of the administration and international standards and best practices,” EO 61 read.