WHEREAS, on July 23, 1987, the Secretary of Justice rendered an opinion relative to Section 13, Article VII in conjunction with Section 7, paragraph 2, Article IX-B of the Constitution, to the effect that if it is allowed by law or by the primary functions of their position, members of the Cabinet, undersecretaries and assistant secretaries may hold any other office or employment in the government, including government-owned or controlled corporations;

WHEREAS, it is necessary to enact a law to comply with or implement the constitutional provision allowing appointive officials to hold offices or employment in the government, and to allow then to receive compensation therefore;

WHEREAS, it is likewise necessary to regulate the number of positions that a member of the Cabinet, undersecretary or assistant secretary or other appointive officials may hold to ensure efficiency and to give meaning and effect toe the intent and spirit of the aforesaid constitutional provision; and

WHEREAS, in order to safeguard the interests of the government in government-owned or controlled corporations, it is also necessary that some government officials be made members of the boards of such corporations.

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby order:

SECTION 1. Even if allowed by law or by the primary functions of his position, a member of the Cabinet, undersecretary, assistant secretary or other appointive official of the Executive Department may, in addition to his primary position, hold not more than two positions in the government and government corporations and receive the corresponding compensation therefor: Provided, that this limitation shall not apply to ad hoc bodies or committees, or to boards, councils or bodies of which the President is the Chairman.

SEC. 2. If a member of the Cabinet, undersecretary, assistant secretary or other appointive official of the Executive Department holds more positions that what is allowed in Section 1 hereof, they must relinquish the excess positions in favor of a subordinate official who is next in rank, but in no case shall any official hold more than two positions other than his primary position.

SEC. 3. In order to fully protect the interests of the government in government-owned or controlled corporations, at least one-third (1/3) of the members of the Boards of such corporations should either be a Secretary, or undersecretary, or assistant secretary.

SEC. 4. All officials affected by this Executive Order are hereby required to submit to the Office of the President their compliance therewith.

SEC. 5. All laws, orders, rules and regulations or parts thereof which are inconsistent with this Executive Order are hereby repealed or modified accordingly.

SEC. 6. This Executive Order shall take effect immediately.

DONE in the City of Manila, this 25th day of July in the year of Our Lord, nineteen hundred and eighty-seven.


By the President:

(Sgd.) JOKER P. ARROYO
Executive Secretary