Salary Standardization Law 2024/2025 | Employee Grade Table

Here is the Salary Standardization Law 2024/2025 and how to check your salary grade as a government employee in Philippines.

The Salary Standardization Law 2024/2025 enacts a system of salary classification used in Philippines to determine the payment due government employees. According to the Salary Standardization Law, The salary Grade of government workers is scheduled to increase in four tranches starting from January 2024 up to 2027.

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About Salary Standardization Law

• The Salary Standardization Law aims to enhance the purchasing power of around 2.46 million civil servants in the country who have been affected by inflation. It does so by raising the salaries of government officials and employees. The primary objectives of this law are to attract and retain skilled and dedicated civil servants and to enhance productivity within the public sector.
• Republic Act No. 11466, also known as the “Salary Standardization Law of 2019,” was enacted by the national government to adjust the salaries of government employees. This adjustment was carried out in four stages, spanning from January 1, 2020, to January 1, 2024. Nevertheless, the adjusted salaries still fall short, especially as the country is grappling with the aftermath of the pandemic. Government workers find it challenging to support their families due to a substantial 120% increase in inflation between April 2019 and April 2023.
• The proposed law aims to increase the income of government employees, resulting in higher disposable income, increased consumer spending, and, consequently, a stimulated economy with greater revenue generation.
• Under the Salary Standardization Law, the government is required to implement salary increases for government officials and employees in four phases. These salary adjustments will commence on January 1, 2024, and continue annually until the final phase in 2027, with an annual across-the-board increase of ten percent (10%) for four (4) years.
• By enacting this law, the government intends to improve the living conditions of the 2.46 million public servants, ultimately motivating government personnel and revitalizing the public service sector. Therefore, the approval of this bill is earnestly requested in light of the aforementioned considerations.

Salary Standardization Law

Section 1

• Title. – This legislation shall be referred to as the “Salary Standardization Law VI.”

Section 2

• Policy Declaration. – In alignment with the constitutional directive that the State must establish a uniform salary structure for government officials and employees, encompassing those within government-owned or -controlled corporations holding original charters, while taking into consideration the specific duties, responsibilities, and qualifications tied to their positions, the State shall: ]
• (a) Implement a salary framework that is generally comparable to that of the private sector for similar work, while adhering to existing salary and position classification laws. This is aimed at attracting, retaining, and motivating a pool of skilled civil servants.
• (b) Maintain fair and reasonable compensation for government personnel, recognizing substantial variations in job roles, responsibilities, accountabilities, and qualification criteria.
• (c) Standardize and rationalize compensation for all civilian government personnel across all government entities, fostering an environment conducive to social justice, integrity, efficiency, productivity, accountability, and excellence in public service.
• (d) Factor in the government’s financial capacity and ensure the efficient allocation of funds for personnel services, maintaining a realistic level relative to overall government expenditure.
• (e) Conduct periodic reviews of the salary and position classification system, taking into account evolving skills and competency requirements, potential erosion of purchasing power due to inflation, and other relevant factors.

Section 3

• Coverage. This law applies to all positions held by civilian government personnel in the Executive, Legislative, and Judicial Branches, as well as Constitutional Commissions, State Universities and Colleges (SUCs), Government-Owned or -Controlled Corporations (GOCCs) not covered by RA 10149, Government Financial Institutions (GFIs), and local government units (LGUs). It encompasses positions with various appointment statuses, including regular, casual, or contractual, whether appointive or elective, and whether on a full-time or part-time basis. This coverage applies to existing positions and those created in the future.

Section 4

• Exclusions. – The following are not subject to the provisions of this law: (a) Military and uniformed personnel. (b) GOCCs under Republic Act No. 10149, which will be subject to a Compensation and Position Classification System (CPCS) established by the Governance Commission for GOCCs (GCG) and approved by the President of the Philippines. (c) Individuals engaged through job orders, service contracts, consultancy agreements, or similar arrangements without an employer-employee relationship.

Section 5

• Exempt Entities. – Exempt entities refer to: (a) Government agencies not covered by the CPCS authorized under Republic Act 6758, as amended. (b) GOCCs governed by the CPCS established by GCG under Republic Act 10149. (c) Entities authorized by law and having their own approved compensation and position classification systems. These systems become effective upon recommendation by the Department of Budget and Management (DBM) or GCG, as applicable, and approval by the President of the Philippines.

Section 6

• Applicability to Certain Officials. – Pursuant to Section 6 of Article VII and Section 10 of Article VI of the Constitution, the salaries prescribed in this law for the President of the Philippines, Vice-President of the Philippines, and Members of Congress will take effect only after the conclusion of the respective terms of the incumbent officeholders.

Salary Grade

• The modified Salary Schedule for Civilian Personnel shall be as follows:

Salary Grade FIRST TRANCHE

Salary Grade SECOND TRANCHE

Salary Grade THIRD TRANCHE

Salary Grade FOURTH TRANCHE

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