Palace seeks P67-B budget to raise gov’t workers’ incentives

Malacañang is proposing about P50.6 billion to raise the pay of government   workers next year, Budget Secretary Florencio “Butch” Abad told a Senate hearing on Wednesday.

“We set aside about P56 billion but we still have not put together a proposal based on a recently completed compensation and benefits survey that we will have to take up with the President and the Cabinet,” Abad said, responding to the queries of Senate President Franklin Drilon during the hearing of the Senate committee on finance.

READ: Senate body starts deliberations on proposed P3.002-T 2016 budget

“But we’re looking at, if at all, there’s going to be a new round of an SSL (Salary Standardization Law), this will be implemented next year,” he added.

But in a separate statement later, Senate President Pro Tempore Ralph Recto said the proposed budget for the salary hike of government workers was only P50.6 billion.

Aside from the budget to adjust the salary of public workers, Abad said Malacañang is also proposing another P16.8-billion performance-based incentives for 2016.

“So we’re talking roughly about P67 billion both in performance-based incentive system and compensation adjustment for our public sector employees?” Drilon asked.

“That’s correct, more or less, Mr. Chair,” Abad said.

Recto said the P50.6 billion-budget being sought for the pay hike “translates into an average P3,000 monthly increase per employee.”

The senator arrived at the figure by dividing the proposed P50.6 billion by 1,295,056 employees in the government payroll and using 13 compensable months in a year.

“I think a P3,000 average per month increase is the floor being sought. And I have to stress the fact that I am using an average here. It may not also be uniform kasi iba-iba ang rates ng sweldo, (because different rates are used in salaries)” he said.

“Secondly, I am assuming a January starting date. So if the increase would take effect July, then we’re looking at an average P6,000 monthly adjustment. Kaya nga maraming (That’s why there are several) variables,” said Recto.

It was also possible that the mulled pay hike in 2016, he said, “may just be the first installment of a bigger pay adjustment that will be implemented in phases.” He recalled that in the initial implementation of SSL III, the public sector pay guide in current use was spread out over four years.

Recto reiterated his call that any pay hike should prioritize teachers, policemen, firemen and soldiers, as they constitute about four-fifths of the government workforce. IDL