[ ADMINISTRATIVE ORDER NO. 164, December 11, 2006 ]

AUTHORIZING THE GRANT OF PERFORMANCE BONUS FOR FY 2006



WHEREAS, government agencies exerted commendable efforts towards sustaining sound fiscal performance;

WHEREAS, the government personnel played an important role in achieving sound fiscal performance and in providing quality service to the Filipino people;

WHEREAS, it is the policy of the government to improve the economic welfare of government personnel;

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic Philippines, by virtue of the powers vested in me by law, do hereby order:

SECTION 1. All personnel of national government, including government-owned or controlled corporations (GOCCs) and government financial institutions (GFIs), whether hired or permanent, temporary, casual or contractual basis and who have rendered at least four (4) months of service as of November 30, 2006, are entitled to receive a Performance Bonus (PerB) in the amount not to exceed Six Thousand Pesos (P6,000.00) each.

SECTION 2. Government personnel who have rendered less than four (4) months of service as of November 30, 2006 shall also be entitled to PerB on a pro-rated basis as follows:

Legth of Service
 Percentage
3 months but less than 4 months 40%
2 months but less than 3 months 30%
1 month but less than 2 months 20 %
Less than 1 month 10%

SECTION 3. The PerB shall be granted to all government personnel who have not received any additional benefit in FY 2065 over and above the year-end benefit authorized under R.A. No. 6686, as amended by R.A. No. 8441.

SECTION 4. Funds needed to implement this Order shall be charged against the following:

  1. For national government agencies except the Constitutional Offices/Fiscal Autonomy Group (CFAG):

    • Available savings of the departments/agencies; and
    • All unreleased appropriations under the FY 2006 budget, which shall be pooled for the purpose;

  2. For agencies belonging to the CFAG, the amount shall be charged against their available savings; and
  3. For GOCCs/GFIs, the amount needed shall be charged against their respective corporate funds.

    • GOCCs/GFIs which do not have adequate or sufficient resources may partially implement the benefit herein authorized, provided that the partial implementation shall be uniform for all positions.
SECTION 5. Payment of benefit shall be made not earlier than December 15, 2006.

SECTION 6. The implementing rules and regulations covering this Administrative Order shall be issued by the Department of Budget and Management.

SECTION 7. This Order shall take effect immediately.

DONE in the City of Manila, this 11th day of December in the year of Our Lord, Two Thousand and Six.

(Sgd.) GLORIA MACAPAGAL-ARROYO

By the President:

(Sgd.) EDUARDO R. ERMITA
Executive Secretary