The purpose of this Circular is to consolidate all previously issued guidelines implementing the provisions under the annual General Appropriations Act on the grant of year-end bonus and cash gift authorized under Republic Act No. 6686 and the advance payment of one-half (1/2) thereof to all government personnel in the national government, government-owned and -controlled corporations, government financial institutions, and local government units for FY 1996 and years thereafter.


2.1       All government personnel, whether appointive or elective, under regular, temporary or casual status, and contractual personnel whose employment is in the nature of a regular employee who are under the following instances from January 1 to April 30 or from July 1 to October 31 of each year and shall still be or are still in the service, respectively, as of October 31 of the same year:

2.1.1 those who have rendered at least a total of four (4) months of service including leaves of absence with pay;

2.1.2.       those who are on approved leave without pay but have rendered at least a total of four (4) months of service provided they are not yet dropped from the rolls; and

2.1.3 those who have rendered less than four (4) months of service.

2.2       All barangay chairmen, councilmen, secretaries, and treasurers of barangays created pursuant to the Local Government Code, who are occupying such positions as of October 31 of each year regardless of the period of their tenure as of October 31 of the same year.


All government personnel under the following instances as of April 30 or as of October 31, as the case may be, of each year shall not be entitled to the benefits authorized herein:

3.1       those with pending cases, viz;

3.1.1 when under preventive suspension, until exonerated;

3.1.2 when formally charged in administrative cases, i.e., their offices have found, after preliminary investigation, that a prima facie case exists against them and the requisite written formal charge has been issued by the disciplining authority;

3.1.3 when they have cases pending before the Office of the Ombudsman, the Prosecutor ™s Office or of other administrative bodies which relate to acts or omissions in connection with their official duties or functions and where it has already been resolved by the Offices concerned that there exist prima facie cases; and

3.1.4 when there is pending criminal information filed against them in Courts which relate to acts or omissions in connection with their official duties or functions.

3.2       those who are formally charged in administrative cases and/or meted penalties; thereafter, they shall be entitled thereto unless subsequently formally charged and/or meted penalties for another offense. Accordingly, those with pending cases are only disqualified to receive the benefits authorized herein during the first year of the pendency of the cases.

3.2.1        In this regard, if the penalty meted out to an employee is only a reprimand, such penalty is not one that can be made the basis of disqualification to receive the said benefits.

3.3       those who are absent without leave (AWOL);

3.4       those who are no longer in the service due to retirement/resignation/separation/death or for whatever reasons; and

3.5       those who are hired not as part of the organic manpower of agencies but as consultants or experts for a limited period to perform specific activities or services with expected outputs; student laborers, apprentices, laborers, of contracted projects (pakiao); mail contractors including those paid on piecework basis; and other similarly situated.


4.1       The benefits of government personnel covered under Items 2.1.1 and 2.1.2 hereof shall consist of a bonus equivalent to their actual basic monthly salaries/daily wages as of October 31 of each year, exclusive of allowances and other forms of compensation usually paid in addition to their basic pay, and a cash gift of P1,000.

4.2       The benefits of contractual personnel shall consist of a bonus equivalent to their monthly contractual rates as of October 31 of each year, exclusive of the twenty (20%) premium, if any, and all allowances and other forms of compensation usually paid in addition to their basic pay, and cash gift of P1,000.

4.3       Government personnel may, however, exercise the option to receive advance payment of one-half (1/2) the benefits authorized herein not earlier than May 15 but not later than May 31 of each year.  The balance thereof shall be paid not earlier than November 15 but not later than November 30 of each year.

4.4       Government personnel who did not exercise the said option shall be paid the full amount of the same benefits not earlier than November 15 but not later than November 30 of each year.

4.5       The benefits of government personnel who are full-time or part-time detail with another government agency or special project shall be drawn from their respective mother agency. In the case of those who are paid from project funds, the benefits shall be drawn from the source where they draw their salaries. No one shall receive benefits from more than one source.

4.6       Government personnel who are employed on a part-time basis are entitled to the benefits provided herein corresponding to the basic salary he is actually receiving and a pro-rata amount of the cash gift.

4.7       The benefits of government personnel who transferred from one agency to another shall be granted by their new office.

4.8       Government personnel covered under Item 2.1.3 hereof shall be entitled solely to the Cash Gift pro-rated as follows:

Length of Service
Amount

3 months but less than 4 months P400.00

2 months but less than 3 months 300.00

1 month but less than 2 months 200.00

Less than 1 month 100.00

4.9       Barangay Officials covered under Item 2.2 hereof shall be entitled only to cash gift otherwise known as Christmas Bonus of P1,000.00 each.

4.10    Government personnel who received advance payment of one-half (1/2) of the benefits authorized herein but are no longer in the service as of October 31 of the same year shall be made to refund the same through deduction from whatever benefits are due them.

4.11    Government personnel who were granted the benefits authorized herein but have been found to be covered Items 3.1 and 3.2 hereof after the grant of such benefits shall be made to refund the same if they are allowed to continue to receive their salaries. Otherwise, the refund shall start upon their reinstatement.

4.11.1      In case they opted to transfer to other agencies after serving their penalties, the amount to be refunded shall be deducted from the monetized value of their accumulated leave credits. Where they have no accumulated leave credits or the monetized value is insufficient, they shall be made by their new agencies to refund the amount through payroll upon their transfer.

4.11.2      In case they died, opted to retire/resign or are separated from the government service, the amount shall be deducted from whatever benefits are due them.


5.1       For national government agencies, the amount required shall be charged against the approved appropriations for the purpose under the annual General Appropriations Act (GAA).

5.2       For government-owned and/or- controlled corporations and government financial institutions, the amount required shall be sourced fully from their respective corporate funds.

5.3       For local government units, the amounts required shall be sourced fully from their respective local funds.

5.4       In the case of Barangays, the amounts required form part of the Internal Revenue Allotment released by the Regional Coordination Service and the Regional Offices of the Department of Budget and Management directly to the Barangays.


The heads of concerned government agencies shall be held responsible and personally liable for any grant of loan herein authorized not in accordance with the provisions of this Circular without prejudice, however, to the refund of any excess payment by the official or employee concerned.


Agencies are hereby prohibited from granting additional benefits other than those authorized under this Circular.  Consequently, all administrative authorizations to grant any or other forms of benefits or other similar compensation in FY 1996 and thereafter which partake the nature of the benefits authorized herein that are inconsistent with the declared policy on the matter shall be rendered nugatory and unenforceable.


All circulars and other issuances which are inconsistent with the provisions of this Circular are hereby repealed or superseded accordingly.


Cases not covered by the provisions of this Circular shall be submitted to the Secretary of Budget and Management for appropriate evaluation and resolution.


Payment of the benefits herein authorized shall not earlier than May 15 but not later than May 31 or not earlier than November 15 but not later than November 30 of each year, as the case may be.

Adopted: 31 Oct. 1996