WHEREAS, the robust growth of the economy and the commendable effort exerted government agencies in attaining efficiency in government operations have contributed to the generation of savings;

WHEREAS, government personnel have contributed to this effort by discharging their duties with dispatch and providing quality service to the Filipino people;

WHEREAS, the government is cognizant of the contribution of government personnel in this effort;

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 of the Philippines, by virtue of the powers vested in me bylaw, do hereby order1

SECTION 1. All personnel of the government who are employed by National Government Agencies (NGAs) and Government Owned or Controlled Corporations (GOCCs) including Government Financial Institutions (GFIs), whether hired on permanent, temporary casual or contractual basis, and who have rendered at least four (4) months of service as of November 30, 2007, are entitled to receive a one time grant of a maximum of Ten Thousand PeSOs (P10.000.00) each as Performance Bonus (PerB).

SECTION 2. Government personnel who have rendered less than four (4) months of service as of November 30,2007 shall also be entitled to PerB 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%

SECTION 3. The PerB shall be granted to all government personnel who have not received any additional year-end benefit in FY 2007, over and above the benefit authorized under R.A. 6686, as amended by R.A. No. 8441.

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

a. For national government agencies except the Constitutional Offices/Fiscal Autonomy Group (CFAG), the amount required shall be charged against:

1) Additional funds to be released by the DBM to cover P7,000 for each govern ment personnel, chargeable against savings from the unreleased appropriations under the FY 2007 budget which shall be pooled by DBM for the purpose; and

2) Savings in the respective agency allotment for the remaining P3,000 for each government personnel. In the event that the agency savings is insufficient to cover in full the remaining P3.000 per employee, partial implementation of the benefit herein authorized shall be made, provided that said partial implementation shall be uniform for all positions, subject to the limitations set forth under Section 2 of this Order.

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

c. For GOCCs and GFIs, the amount needed shall be charged against savings from their respective approved corporate budget.

GOCCs and 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 this benefit shall be made not earlier than December 15,2007.

SECTION 6. The implementing rules and regulations covering this Order shaii be issued by the DBM.

SECTION 7. This Order shall take effect immediately.

Adopted: 12 Dec. 2007

(SGD.) GLORIA MACAPAGAL-ARROYO

BY THE PRESIDENT:

(SGD.) EDUARDO R. ERMITA
Executive Secretary