DBM has already issued National Budget Circular No. 579
(Dated January 24, 2020)
Implementation of the First Tranche of the Modified Salary Schedule for Civilian Personnel in the National Government pursuant to Republic Act (RA) No. 11466
Relevant provisions of NBC 579:
1. Purpose of NBC –
The Circular is issued to prescribe the guidelines, rules, and regulations for the implementation of the first tranche of the modified Salary Schedule for Civilian Personnel and the grant of additional benefits stipulated in RA No. 11466.
2. Procedural Guidelines –
11.1 The Human Resource Management Officer (HRMO)/Administrative Officer (AQ) of a national government agency (NGA) or GOCC shall prepare Notices of Salary Adjustment (NOSA5) for incumbent civilian personnel by following the format marked as Annex ‘B-i” or Annex “B-2”, whichever is applicable, for approval by the Head of Agency.
For personnel whose actual monthly salaries as of December 31, 2019, exceed the rates corresponding to Step 8 of the salary grade allocations of their positions in Annex “A”, the HRMO/AO shall no longer prepare NOSAs.
ii .2 The NQSAs shall be issued to the personnel concerned, copy furnished the Government Service Insurance System (GSIS) if they are members thereof.
11.3 The salary adjustment under this Circular shall be subject to the usual accounting and auditing rules and regulations, and to appropriate readjustment if found not in order. The personnel concerned shall refund any overpayments received
3. Release of Funds-
The DBM shall release to the agencies concerned the Special Allotment Release Orders (SAROs) to implement the first tranche of the salary adjustment prescribed under RA No. 11466, to wit:
13.1.1 For the full year requirements of the salary adjustment, based on data from the Government Manpower Information System, chargeable against the MBPF under the FY 2020 GAA; and
13.1.2 For the related fixed expenditures of regular personnel, i.e., RLIP requirements, chargeable against automatic appropriations.
13.1.3 The SARO shall be released directly to the operating units of the agencies concerned based on the number of filled positions as of December 31, 2019.
13.2 The DBM shall issue the corresponding Notice of Cash Allocation, with monthly breakdown, to cover the total annual requirement, i.e., January 2020 to December 2020, for this salary adjustment and related fixed expenditures, consistent with applicable guidelines.
4. Effectivity – starting January 1, 2020
Download official copy of National Budget Circular No. 579 through this link: DOWNLOAD