WHEREAS, government employees have provided quality service to the Filipino people despite the government's austerity measures;

WHEREAS, in recognition of their contributions, it is but humane and proper to alleviate them from their present financial woes;

WHEREAS, there is a need to help government personnel cope with the rising cost of education;

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

SECTION 1. Except for those covered under Section 3 hereof, all personnel of national government agencies (NGAs), including state universities and colleges (SUCs), government-owned and/or controlled corporations (GOCCs), and government financial institutions (GFIs), under permanent, temporary or casual status, including contractual personnel whose employments are in the same nature as those of regular personnel, and who have rendered at least four (4) months of service as of May 31, 2005, are entitled to receive Educational Assistance (EA) in the amount of One Thousand Pesos (P1,000.00) each.

SEC. 2. Government personnel who have rendered less than four (4) months of service as of May 31, 2005 shall also be entitled to EA on a pro-rated basis, as follows:

                                               

Length 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%

SEC. 3. This benefit shall not be granted to government personnel who were already granted any form of educational assistance or similar benefits, or are entitled to be granted said benefit under existing laws or enabling acts.

SEC. 4. Funding Sources:

a. Except the Constitutional Offices/Fiscal Autonomy Group (CFAG), the amounts necessary for the payment of the EA shall be charged against the funds of the national government.

b. For agencies belonging to the CFAG, the amount shall be charged against their available savings;

c. For GOCCs and GFIs, the amounts shall be charged against their respective corporate funds.

SEC. 5. Payment of this benefit shall be made immediately.

SEC. 6. The Department of Budget and Management shall issue the necessary rules and regulations to implement this Order.

SEC. 7. This Administrative Order shall take effect immediately.

Adopted: 7 June 2005

(SGD.) GLORIA MACAPAGAL-ARROYO

By the President:

(SGD.) EDUARDO R. ERMITA
Executive Secretary