Government employees can anticipate a salary increase starting this August, according to Budget Secretary Amenah Pangandaman. The necessary national and local budget circular has been signed and will soon be published to assist agencies in calculating the new salaries.
Pangandaman noted that agencies can adjust salaries immediately, but the exact implementation date will depend on how quickly each agency processes the computations.
President Ferdinand Marcos Jr. issued Executive Order 64, which increases the salaries of civilian government personnel across the executive, legislative, and judicial branches, as well as constitutional commissions, offices, and government-owned or controlled corporations. Local government units will implement the increases based on their class and financial capacity.
The order excludes military and uniformed personnel, along with contract-based employees, as they follow different salary structures. The wage hike will be rolled out in four tranches, with the first retroactive to January 1, 2024, and the final tranche set for January 1, 2027. The increase for 2025 has already been included in the National Expenditure Program.
The EO also introduces a medical allowance of P7,000 per year starting in 2025, aiming to make government salaries more competitive with the private sector and to address the impact of inflation on government employees.