Updated Guidelines on the Grant of FY 2022 Year-end Bonus, Cash Gift, PBB

Updated Guidelines on the Grant of FY 2022 Year-end  Bonus,  Cash Gift, PBB

Government workers nationwide will receive their year-end bonus and cash gift starting November 15. The year-end bonus is equivalent to a full month's salary, while the cash gift amounts to 5,000 pesos.

The release of the year-end bonus and cash gift is pursuant to Budget Circular No. 2016 4, which mandates that the said incentives be given not earlier than November 15 of the current year to qualified personnel satisfying the following conditions:

Employee has rendered at least a total or an aggregate of four (4) months of service from January 1 to October 31 of the current year;

Employee remains to be in the government service as of October 31 of the current year;

Those who have rendered at least a total or an aggregate of four (4) months of service from January 1 of the current year but who have retired or separated from government service before October 31 of the same year shall be granted within the month of retirement or separation, a prorated share of the: a) Year-End Bonus based on the monthly basic pay immediately preceding the date of retirement or separation; and b) Cash Gift of Php 5,000.00, as follows:

Those who have rendered a total or an aggregate of less than four (4) months of service from January 1 to October 31 of the current year and are still in the government service as of October 31 of the same year, shall be entitled solely to a pro rated Cash Gift pursuant to Section 2 of RA 8441, as follows:

The Year-End Bonus and Cash Gift of personnel hired on part time service in one or more agencies shall be in direct proportion to the number of hours or days of part-time services rendered.

The Year-End Bonus and Cash Gift of personnel on detail with another government agency shall be paid by the parent agency, while those on secondment shall be paid by the recipient agency.

The Year-End Bonus and Cash Gift of personnel transferred from one agency to another shall be paid by the new agency.

A compulsory retiree, whose services have been extended, may be granted Year-End Bonus and Cash Gift, subject to pertinent provisions of the Circular.

Those who are formally charged administrative and/or criminal cases which are pending for resolution, shall be entitled to Year-End Bonus and Cash Gift until found guilty by final and executor judgment, provided that:

Those found guilty shall not be entitled to the Year-End Bonus and Cash Gift in the year of the finality of the decision. The personnel shall refund the Year-End Bonus and Cash Gift received for that year;

If the penalty imposed is only reprimand, the personnel concerned shall be entitled to Year-end Bonus and Cash Gift.

The 14-th month pay and other benefits, including productivity incentives and Christmas bonuses, are exempted from tax if they do not exceed P90,000, according to Republic Act 10963 or the Tax Reform for Acceleration and Inclusion (TRAIN) law,

Updated Rules and Regulations on the Grant of the Year End Bonus and Cash Gift for FY 2016 and Years Thereafter

Background:

Executive Order (EO) No. 201, s. 2016, entitled "Modifying the Salary Schedule for Civilian Government Personnel and Authorizing the Grant of Additional Benefits for Both Civilian and Military and Uniformed Personnel," provided for the adoption of a compensation adjustment strategy that will ensure that the government compensation structure is comparable with the prevailing rates in the private sector, thereby attracting and retaining competent and committed civil servants.

The compensation adjustment strategy includes the following:

1.2.1 Increase in the basic salary of civilian personnel;

1.2.2 Grant of new and increased rates of certain allowances for the military and uniformed personnel;

1.2.3 Grant of a Mid-Year Bonus equivalent to one-month basic salary not earlier than May 15 of every year, as an additional benefit; and

1.2.4 Enhancement of the existing Performance-Based Bonus.

Updated Rules and Regulations on the Grant of the Year End Bonus and Cash Gift for FY 2016 and Years Thereafter - DOWNLOAD