The Marcos administration is reportedly reviewing the compensation system for state workers in order to make it competitive with private sector compensation packages. The goal is to attract more Filipinos to work for the government. Budget Secretary Amenah Pangandaman announced that the Department of Budget and Management is also conducting a review of the benefits received by different ranks of the civil service to determine if adjustments need to be made.
As part of this effort, the administration has proposed an allocation of P16.95 billion in the 2024 national budget for a new salary hike for government workers. Pangandaman stated that these increases may be considered starting in 2024, as the modified salary schedule for civil personnel was implemented over four years, from 2020 to 2023.
The salary hikes are intended to encourage Filipinos to enter government service and motivate those who are already government employees to perform well. Additionally, the Marcos administration has allocated P48 million from the 2023 budget to conduct a comprehensive review of the Compensation and Position Classification System for the government sector.
The final cost requirement of the proposed salary increase will be determined once the results of the study have been presented and finalized. The Department of Budget and Management is also proposing an allocation of P1.368 billion to fund an additional P1,000 in the uniform or clothing allowance for over 1.3 million government employees.
