RA 6758 ,PHILIPPINES

8/17/2019 RA 6758 ,PHILIPPINES

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Republic Act No. 6758August 21, 1989REPUBLIC OF THE PHILIPPINESCONGRESS OF THE PHILIPPINESETRO ANILA

EIGHTH CONGRESS

Republic Act No. 6758

August 21, 1989

AN ACT PRESCRIBIN A RE!ISE" C#$PENSATI#N AN" P#SITI#NC%ASSI&ICATI#N S'STE$ IN T(E #!ERN$ENT AN" R #T(ER

P)RP#SES

Be it enacted by the Senate and House of Representatives of thePhilippines in Congress assembled:

Sectio* 1. Title. – This Act shall be known as the “Co+pe*stio* *-Positio* Clssictio* Act o/ 1989.”

Sectio* 2. Statement of Policy . – It is hereby declared the policy of theState to provide equal pay for substantially equal work and to basedierences in pay upon substantive dierences in duties andresponsibilities and quali!cation require"ents of the positions. Indeter"inin# rates of pay due re#ard shall be #iven to a"on# othersprevailin# rates in the private sector for co"parable work. $or thispurpose the %epart"ent of &ud#et and 'ana#e"ents (%&') is herebydirected to establish and ad"inister a uni!ed *o"pensation and +osition*lassi!cation Syste" hereinafter referred to as the Syste" as providedfor in +residential %ecree ,o. -/ as a"ended that shall be applied forall #overn"ent entities as "andated by the *onstitution.

Sectio* 0. General Provisions. – The followin# principles shall #overnthe *o"pensation and +osition *lassi!cation Syste" of the 0overn"ent1

(a) All #overn"ent personnel shall be paid 2ust and equitable wa#es3 andwhile pay distinctions "ust necessarily e4ist in keepin# with work

distinctions the ratio of co"pensation for those occupyin# hi#her ranksto those at lower ranks should be "aintained at equitable levels #ivin#due consideration to hi#her percenta#e of increases to lower levelpositions and lower percenta#e increases to hi#her level positions3

(b) &asic co"pensation for all personnel in the #overn"ent and#overn"ent5owned or controlled corporations and !nancial institutionsshall #enerally be co"parable with those in the private sector doin#

http://www.gov.ph/1989/08/21/republic-act-no-6758/http://www.gov.ph/1989/08/21/republic-act-no-6758/http://www.gov.ph/1989/08/21/republic-act-no-6758/


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co"parable work and "ust be in accordance with prevailin# laws on"ini"u" wa#es3

(c) The total co"pensation provided for #overn"ent personnel "ust be"aintained at a reasonable level in proportion to the national bud#et3

(d) A review of #overn"ent co"pensation rates takin# into accountpossible erosion in purchasin# power due to in6ation and other factorsshall be conducted periodically.

Sectio* . Coverage. – The *o"pensation and +osition *lassi!cationSyste" herein provided shall apply to all positions appointive or electiveon full or part5ti"e basis now e4istin# or hereafter created in the#overn"ent includin# #overn"ent5owned or controlled corporations and#overn"ent !nancial institutions.

The ter" “#overn"ent” refers to the 74ecutive the 8e#islative and the 9udicial &ranches and the *onstitutional *o""issions and shall includeall but shall not be li"ited to depart"ents bureaus o:ces boardsco""issions courts tribunals councils authorities ad"inistrationscenters institutes state colle#es and universities local #overn"ent unitsand the ar"ed forces. The ter" “#overn"ent5owned or controlledcorporations and !nancial institutions” shall include all corporations and!nancial institutions owned or controlled by the ,ational 0overn"entwhether such corporations and !nancial institutions perfor"#overn"ental or proprietary functions.

Sectio* 5. Position Classication System. – The +osition*lassi!cation Syste" shall consist of classes of positions #rouped intofour "ain cate#ories na"ely1 professional supervisory professional non5supervisory sub5professional supervisory and sub5professional non5supervisory and the rules and re#ulations for its i"ple"entation.

*ate#ori;ation of these classes of positions shall be #uided by thefollowin# considerations1

(a) Professional Supervisory Category . – This cate#ory includes

responsible positions of a "ana#erial character involvin# the e4ercise of "ana#e"ent functions such as plannin# or#ani;in# directin#coordinatin# controllin# and overseein# within dele#ated authority theactivities of an or#ani;ation a unit thereof or of a #roup requirin# so"ede#ree of professional technical or scienti!c knowled#e and e4perienceapplication of "ana#erial or supervisory skills required to carry out theirbasic duties and responsibilities involvin# functional #uidance and control


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leadership as well as line supervision. These positions require intensiveand thorou#h knowled#e of a speciali;ed !eld usually acquired fro"co"pletion of a bachelor


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The positions in this cate#ory are assi#ned Salary 0rade to Salary 0rade?.

Sectio* 6. Index of Occupational Services, Position Titles and Salary Grades of the Compensation and Position Classication

System. – All positions in the #overn"ent covered under Section > hereof shall be allocated to their proper position titles and salary #rades inaccordance with the Inde4 of Bccupational Services +osition Titles andSalary 0rades of the *o"pensation and +osition *lassi!cation Syste"which shall be prepared by the %&'.

Sectio* 7. Salary Schedule. – The %epart"ent of &ud#et and'ana#e"ent is hereby directed to i"ple"ent the Salary Scheduleprescribed below1

Salary Schedule

Grade 1st 2nd 3rd 4th 5th 6th

1-2,000 2,020 2,040 2,061 2,081 2,1022-2,073 2,094 2,115 2,136 2,158 2,179

3- 2,156 2,178 2,200 2,222 2,244 2,266

4-2,250 2,272 2,295 2,318 2,341 2,3645-2,355 2,378 2,402 2,426 2,450 2,475

6-2,473 2,497 2,522 2,547 2,573 2,599

7-2,604 2,630 2,657 2,683 2,710 2,737

8-2,752 2,779 2,807 2,835 2,864 2,8929-2,917 2,946 2,976 3,005 3,036 3,066

10-3,102 3,133 3,164 3,196 3,228 3,260

11-3,309 3,342 3,375 3,409 3,443 3,47712-3,540 3,576 3,611 3,647 3,684 3,721

13-3,800 3,838 3,876 3,915 3,954 3,994

14-4,091 4,132 4,173 4,215 4,257 4,30015-4,418 4,463 4,507 4,552 4,598 4,644

16-4,786 4,834 4,883 4,932 4,981 5,031

17-5,201 5,253 5,306 5,359 5,413 5,467

18-5,670 5,726 5,784 5,841 5,900 5,95919-6,199 6,261 6,323 6,386 6,450 6,515

20-6,798 6,866 6,935 7,004 7,074 7,145

21-7,478 7,553 7,628 7,704 7,781 7,859

22-8,250 8,333 8,416 8,500 8,585 8,67123-9,131 9,222 9,314 9,407 9,501 9,596

24-10,135 10,236 10,339 10,442 10,546 10,65225-11,385 11,499 11,614 11,730 11,847 11,966

26-12,650 12,777 12,904 13,033 13,164 13,295

27-13,915 14,054 14,195 14,337 14,480 14,62528-15,180 15,332 15,485 15,640 15,796 15,954

29-17,075 17,246 17,418 17,592 17,768 17,946


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30-18,975

31-19,550

32-22,00033-25,000

The above Salary Schedule shall be used for positions that are paid on theannual or "onthly rate basis. All salaries in the Salary Schedulee4pressed as "onthly rates in pesos shall represent full co"pensation forfull5ti"e e"ploy"ent re#ardless of where the work is perfor"ed. Salariesfor services rendered on a part5ti"e basis shall be ad2ustedproportionately.

The %epart"ent of &ud#et and 'ana#e"ent shall update the aboveSchedule whenever there are across5the5board salary ad2ust"ents as "aybe provided by law.

The daily wa#e rate shall be deter"ined by dividin# the "onthly salaryrate by twenty5two (@@) workin# days per "onth.

Sectio* 8. Salaries of Constitutional Ocials and their !uivalent . – +ursuant to Section C Article DEIII of the *onstitution thesalary of the followin# o:cials shall be in accordance with the Salary0rades indicated hereunder1

Salary GradesPresident ! the Phili""ines

#ice-President ! the Phili""ines

President ! the SenateS"ea$er ! the %use ! &e"resentati'es

(hie! )ustice ! the Su"re*e (urt

Senatr +e*er ! the %use ! &e"resentati'es

Assciate )ustices ! the Su"re*e (urt

(hair*an ! a (nstitutinal (**issin under Article ., 1987 (nstitutin

+e*er ! a (nstitutinal (**issin under Article ., 1987 (nstitutin

The %epart"ent of &ud#et and 'ana#e"ent is hereby authori;ed to

deter"ine the o:cials who are of equivalent rank to the fore#oin#B:cials where applicable and "ay be assi#ned the sa"e Salary 0radesbased on the followin# #uidelines1

0FA%7 == – This 0rade is assi#ned to the +resident of the Fepublic of the+hilippines as the hi#hest position in the #overn"ent. ,o other position inthe #overn"ent service is considered to be of equivalent rank.


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0FA%7 =@ – This 0rade is li"ited to the Eice5+resident of the Fepublic of the +hilippines and those positions which head the 8e#islative and 9udicial&ranches of the #overn"ent na"ely1 the Senate +resident Speaker of the Gouse of Fepresentatives and *hief 9ustice of the Supre"e *ourt. ,oother positions in the #overn"ent service are considered to be of

equivalent rank.

0FA%7 = – This 0rade is assi#ned to Senators and 'e"bers of theGouse of Fepresentatives and those with equivalent rank as follows1 the74ecutive Secretary %epart"ent Secretary +residential Spokes"anB"buds"an +ress Secretary +residential Assistant with *abinet Fank+residential Adviser ,ational 7cono"ic and %evelop"ent Authority%irector 0eneral *ourt of Appeals +residin# 9ustice Sandi#anbayan+residin# 9ustice Secretary of the Senate Secretary of the Gouse of Fepresentatives and +resident of the Hniversity of the +hilippines.

An entity with a broad functional scope of operations and wide area of covera#e ran#in# fro" top level policy for"ulation to the provision of technical and ad"inistrative support to the units under it with functionsco"parable to the aforesaid positions in the precedin# para#raph can beconsidered or#ani;ationally equivalent to a %epart"ent and its head tothat of a %epart"ent Secretary.

0FA%7 =? – +ositions included are those of %epart"ent Hndersecretary*abinet Hndersecretary +residential Assistant Solicitor 0eneral0overn"ent *orporate *ounsel *ourt Ad"inistrator of the Supre"e

*ourt *hief of Sta of the B:ce of the Eice5+resident ,ational 7cono"icand %evelop"ent Authority %eputy %irector 0eneral +residential'ana#e"ent Sta 74ecutive %irector %eputy B"buds"an Associate

9ustices of the *ourt of Appeals Associate 9ustices of the Sandi#anbayanSpecial +rosecutor Hniversity of the +hilippines 74ecutive Eice5+resident'indanao State Hniversity +resident +olytechnic Hniversity of the+hilippines +resident of and +resident of other state universities andcolle#es of the sa"e class.

Geads of councils co""issions boards and si"ilar entities whoseoperations cut across o:ces or depart"ents or are servin# a si;eable

portion of the #eneral public and whose covera#e is nationwide or whosefunctions are co"parable to the aforecited positions in the precedin#para#raph "ay be placed at this level.

The equivalent rank of positions not "entioned herein or those that "aybe created hereafter shall be deter"ined based on these #uidelines.


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The +rovisions of this Act as far as they up#rade the co"pensation of *onstitutional B:cials and their equivalent under this section shallhowever take eect only in accordance with the *onstitution1 +rovided

That with respect to the +resident and Eice5+resident of the Fepublic of the +hilippines the +resident of the Senate the Speaker of the Gouse of

Fepresentatives the Senators and the 'e"bers of the Gouse of Fepresentatives no increase in salary shall take eect even beyond --@until this Act is a"ended1 +rovided further That the i"ple"entation of this Act with respect to Assistant Secretaries and Hndersecretaries shallbe deferred for one () year fro" the eectivity of this Act and forSecretaries until 9uly --@1 +rovided !nally That in the case of Assistant Secretaries Hndersecretaries and Secretaries the salary ratesauthori;ed herein shall be used in the co"putation of the retire"entbene!ts for those who retire under the e4istin# retire"ent laws within theaforesaid period.

Sectio* 9. Salary Grade "ssignments for Other Positions. – $orpositions below the B:cials "entioned under Section hereof and theirequivalent whether in the ,ational 0overn"ent local #overn"ent units#overn"ent5owned or controlled corporations or !nancial institutions the%epart"ent of &ud#et and 'ana#e"ent is hereby directed to prepare theInde4 of Bccupational Services to be #uided by the &ench"ark +ositionSchedule prescribed hereunder and the followin# factors1 () theeducation and e4perience required to perfor" the duties andresponsibilities of the positions3 (@) the nature and co"ple4ity of the workto be perfor"ed3 (=) the kind of supervision received3 (>) "ental andor

physical strain required in the co"pletion of the work3 (/) nature ande4tent of internal and e4ternal relationships3 (J) kind of supervisione4ercised3 (C) decision5"akin# responsibility3 () responsibility foraccuracy of records and reports3 (-) accountability for funds propertiesand equip"ent3 and (?) hardship ha;ard and personal risk involved inthe 2ob.

/ench*ar$ Psitin Schedule

Psitin itlearer

+essenger

(ler$ ri'er

Stengra"her

+echanic

(ar"enter lectrician

Secretary

/$$ee"er


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Ad*inistrati'e Assistant

ducatin &esearch Assistant

(ashier urse

eacher

Agrarian &e!r* Prgra* echnlgist/udget !!icer

(he*ist

Agriculturist Scial el!are !!icer

ngineer

#eterinarian

egal !!icer Ad*inistrati'e !!icer

entist

Pst*aster #

rester Assciate Pr!essr

&ural %ealth Physician

In no case shall the salary of the chair"an president #eneral "ana#er orad"inistrator and the board of directors of #overn"ent5owned orcontrolled corporations and !nancial institutions e4ceed Salary 0rade =?1+rovided That the +resident "ay in truly e4ceptional cases approvehi#her co"pensation for the aforesaid o:cials.

Sectio* 1. #ocal Government $nits %#G$s&. – The rates of pay in

80Hs shall be deter"ined on the basis of the class and !nancial capabilityof each 80H1 +rovided That such rates of pay shall not e4ceed thefollowin# percenta#es of the rates in the salary schedule prescribed underSection C hereof1

r Pr'inces(ities

S"ecial (ities 1

1st (lass 100 92nd (lass 95 8

3rd (lass 90 8

4th (lass 85 7

5th (lass 80 76th (lass 75 6

Sectio* 11. 'ilitary and Police Personnel . – The base pay of unifor"ed personnel of the Ar"ed $orces of the +hilippines and theInte#rated ,ational +olice shall be as prescribed in the salary schedule forthese personnel in F.A. ,o. JJ= and F.A. ,o. JJ>. The lon#evity pay of


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these personnel shall be as prescribed under F.A. ,o. JJ= and F.A. ,o.=> as a"ended by F.A. ,o. =C@/ and F.A. ,o. JJ>1 +rovided however

That the lon#evity pay of unifor"ed personnel of the Inte#rated ,ational+olice shall include those services rendered as unifor"ed "e"bers of thepolice 2ail and !re depart"ents of the local #overn"ent units prior to the

police inte#ration.

All e4istin# types of allowances authori;ed for unifor"ed personnel of theAr"ed $orces of the +hilippines and Inte#rated ,ational +olice such ascost of livin# allowance lon#evity pay quarters allowance subsistenceallowance clothin# allowance ha;ard pay and other allowances shallcontinue to be authori;ed.

Sectio* 12. Consolidation of "llo(ances and Compensation. – Allallowances e4cept for representation and transportation allowances3clothin# and laundry allowances3 subsistence allowance of "arine o:cersand crew on board #overn"ent vessels and hospital personnel3 ha;ardpay3 allowances of forei#n service personnel stationed abroad3 and suchother additional co"pensation not otherwise speci!ed herein as "ay bedeter"ined by the %&' shall be dee"ed included in the standardi;edsalary rates herein prescribed. Such other additional co"pensationwhether in cash or in kind bein# received by incu"bents only as of 9uly -- not inte#rated into the standardi;ed salary rates shall continue tobe authori;ed.

74istin# additional co"pensation of any national #overn"ent o:cial or

e"ployee paid fro" local funds of a local #overn"ent unit shall beabsorbed into the basic salary of said o:cial or e"ployee and shall bepaid by the ,ational 0overn"ent.

Sectio* 10. Pay "d)ustments. – +ara#raphs (b) and (c) Section / of +residential %ecree ,o. -/ are hereby a"ended to read as follows1

“(b) +ay Feduction – If an e"ployee is "oved fro" a hi#her to a lowerclass he shall not suer a reduction in salary1 +rovided That such"ove"ent is not the result of a disciplinary action or voluntary de"otion.

“(c) Step Incre"ents – 7ective 9anuary --? step incre"ents shall be#ranted based on "erit andor len#th of service in accordance with rulesand re#ulations that will be pro"ul#ated 2ointly by the %&' and the *ivilService *o""ission.”


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Sectio* 1. "dministration of Compensation and PositionClassication System. – Subpara#raph (a) Section C of +residential%ecree ,o. -/ is hereby a"ended to read as follows1

“(a) Ad"inister the co"pensation and position classi!cation syste"

established herein and revise it as necessary.”

Sectio* 15. *eference to Oces and Positions. – All references tothe “*o""issioner of the &ud#et” “&ud#et *o""ission” or“*o""ission” and “B:ce of *o"pensation and +osition *lassi!cation” or“B*+*” in +residential %ecree ,o. -/ and +residential %ecree ,o. /-Cshall read to "ean the Secretary of &ud#et and 'ana#e"ent the%epart"ent of &ud#et and 'ana#e"ent or %&' and the *o"pensationand +osition *lassi!cation &ureau or *+*& respectively.

Sectio* 16. *epeal of Special Salary #a(s and *egulations. – Alllaws decrees e4ecutive orders corporate charters and other issuancesor parts thereof that e4e"pt a#encies fro" the covera#e of the Syste"or that authori;e and !4 position classi!cation salaries pay rates orallowances of speci!ed positions or #roups of o:cials and e"ployees orof a#encies which are inconsistent with the Syste" includin# the provisounder Section @ and Section J of +residential %ecree ,o. -/ are herebyrepealed.

Sectio* 17. Salaries of Incum+ents. – Incu"bents of positionspresently receivin# salaries and additional co"pensationfrin#e bene!ts

includin# those absorbed fro" local #overn"ent units and othere"olu"ents the a##re#ate of which e4ceeds the standardi;ed salary rateas herein prescribed shall continue to receive such e4cess co"pensationwhich shall be referred to as transition allowance. The transitionallowance shall be reduced by the a"ount of salary ad2ust"ent that theincu"bent shall receive in the future.

The transition allowance referred to herein shall be treated as part of thebasic salary for purposes of co"putin# retire"ent pay year5end bonusand other si"ilar bene!ts.

As basis for co"putation of the !rst across5the5board salary ad2ust"ent of incu"bents with transition allowance no incu"bent who is receivin#co"pensation e4ceedin# the standardi;ed salary rate at the ti"e of theeectivity of this Act shall be assi#ned a salary lower than ninety percent(-?K) of his present co"pensation or the standardi;ed salary ratewhichever is hi#her. Subsequent increases shall be based on the resultantad2usted salary.


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Sectio* 18. "dditional Compensation of Commission on "udit Personnel and of Other "gencies. – In order to preserve theindependence and inte#rity of the *o""ission on Audit (*BA) its o:cialsand e"ployees are prohibited fro" receivin# salaries honoraria bonusesallowances or other e"olu"ents fro" any #overn"ent entity local

#overn"ent unit and #overn"ent5owned and controlled corporationsand #overn"ent !nancial institution e4cept those co"pensation paiddirectly be the *BA out of its appropriations and contributions.

0overn"ent entities includin# #overn"ent5owned or controlledcorporations includin# !nancial institutions and local #overn"ent unitsare hereby prohibited fro" assessin# or billin# other #overn"ent entities#overn"ent5owned or controlled corporations includin# !nancialinstitutions or local #overn"ent units for services rendered by its o:cialsand e"ployees as part of their re#ular functions for purposes of payin#additional co"pensation to said o:cials and e"ployees.

Sectio* 19. unding Source. – The fundin# sources for the a"ountsnecessary to i"ple"ent this Act shall be as follows1

(a) $or national #overn"ent entities the a"ount shall be char#ed a#ainstthe appropriations set aside for the purpose in the -- 0eneralAppropriations Act and fro" savin#s #enerated fro" the dierentdepart"ents bureaus o:ces and a#encies. Thereafter such a"ounts asare needed shall be included in the annual 0eneral Appropriations Act.

(b) $or local #overn"ent units the a"ount shall be char#ed a#ainst theirrespective funds. 8ocal #overn"ent units which do not have adequate orsu:cient funds shall only partially i"ple"ent the established rates as"ay be approved by the 9oint *o""ission under Section = of +residential%ecree ,o. =J1 +rovided That any partial i"ple"entation shall beunifor" and proportionate for all positions in each local #overn"ent unit1+rovided further That savin#s fro" ,ational Assistance to 8ocal0overn"ent Hnits (,A80H) funds "ay be used for this purpose.

(c) $or #overn"ent corporations the a"ount shall co"e fro" theirrespective corporate funds.

Sectio* 2. Separa+ility Clause. – If for any reason any section orprovision of this Act is declared to be unconstitutional or invalid the othersections or provisions thereof which are not aected thereby shallcontinue to be in full force and eect.


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Sectio* 21. "pplica+ility of Presidential -ecree .o/ 012 as "mended +y Presidential -ecree .o/ 3204. – All provisions of +residential %ecree ,o. -/ as a"ended by +residential %ecree ,o./-C which are not inconsistent with this Act and are not e4pressly"odi!ed revoked or repealed in this Act shall continue to be in full force

and eect.

Sectio* 22. *epealing Clause. – all laws decrees orders rules orre#ulations or parts thereof inconsistent with the provisions of this Act arehereby repealed a"ended or "odi!ed accordin#ly.

Sectio* 20. 5ectivity . – This Act shall take eect 9uly --. The%&' shall within si4ty (J?) days after its approval allocate all positions intheir appropriate position titles and salary #rades and prepare and issuethe necessary #uidelines to i"ple"ent the sa"e.

Approved1 August 21, 1989

Documents

RA 6758 ,PHILIPPINES