This document discusses compensation and benefits in the Philippine public service. It begins by defining compensation as recognition for service, effort, or achievement. It then discusses different compensation philosophies like pay for performance and market competitiveness. It provides formulas for calculating total compensation and outlines various compensation elements like regular salary, bonuses, benefits, incentives, and allowances. The document also discusses factors considered in job pricing and salary increases. It notes the importance of recognition programs. Finally, it encourages joining the public service and outlines the benefits of a government career including job security, promotions, and training opportunities.

1. Marilyn P. Allanigue, MMC

2. A thing given in recognition
of service, effort, or
achievement.
(Wikipedia)

3. Company must formulate a sound
compensation policy on which basis
the elements, design, relative
important, cost, nature, and
frequency of administration of its
cash, near-cash compensation, and
benefits would be strategically
positioned, developed and reviewed.

4.  PAY FOR PERFORMANCE
“We reward outstanding
performance with outstanding pay”
Companies adapt it for pragmatic
reasons – it is flexible and can be
changed to respond to new goals and
priorities.

5. Companies show appreciation
for an employee’s loyalty and
commitment and long service,
or when a company increases
pay levels or introduces a pay
item during hard economic times
to help employees cope with the
cost of living.

6.  MARKET COMPETITIVENESS
This can be seen through the
manner by which a company
approaches its market.
Market rates will be expressed in
terms of total compensation – the
value of benefits, base salaries or
wages, and incentive awards.

7. When a “pay for performance” is
blended with a “market”
philosophy, it means that the
compensation programs are designed
to value and rewards employee’s
performance, as well as the
acquisition and development of
skills and competencies, while
maintaining competitiveness with
the external labor market.

8. Most companies will need an
external reference or benchmark
against which to position salaries.
It may be geographical community
such as industrial zone or city or
region in the country. It can also be
a specific industry like textile, high
technology, or an agricultural
plantation.

9. A + B + D = E
Where:
A. Guaranteed Cash
 Regular Salary
 Fixed and guaranteed allowance
 Fixed / guaranteed bonuses (13th month)
B. Variables or discretionary Compensation
 Commission, profit share, performance bonus,
management incentives
C. Total Cash (A + B)
D. Benefits
E. Total Remuneration (C + D)

10. REGULAR SALARY = basic salary +
fixed and guaranteed allowances
GUARANTEED CASH = regular
salary + fixed and guaranteed
bonuses
TOTAL CASH = guaranteed cash +
variable or discretionary
compensation

11. Pay must be equitable in relation to
what other employees get for what
they do. Equity can be set based
either on qualifications required for
the job; the duties and
responsibilities of the job; the
supply and demand of workers so
that where it is scarce, the rate
may naturally be higher. An
employee pay must be
commensurate to his efforts.

12. Although pay rates must be
adequate for the services each
employee renders, they must
be realistic, based on the
company’s capacity to pay and
to compete in the labor
market so that it can continue
to attract and retain the right
employees.

13. The type of industry and
the cost structure of the
company in running its
business, particularly in the
relative value of salaries
and wages against other
expenses, also dictates the
size of basic salary.

14. The purchasing power of
the money that the
employee receives from his
employer determines the
amount of essential needs
for a descent living that
the employee can provide
for himself and his family.

15. Any regulation on
wages such as minimum
wage or a wage order
adjustment should
dictate a minimum
level of basic salary.

16.  MERIT INCREASE
Merit pay funding (merit
budgets) is the result of the
consideration of several factors:
external salary surveys, economic
considerations, market movement,
internal/external pay equity, and
business performance.

17.  PROMOTION INCREASE
Based on the positioning of
current job skills on the new job.
The skills and knowledge an
associate has will also help
determine where to position pay.
Two categories may be used:
1. New
2. Qualified

18. NEW - is someone who is new to the
band and refers to the minimum time
normally expected for someone to learn
the job and develop the skills
QUALIFIED - is the normal time
expected for an associate to demonstrate
the requisite skills
 SALARY STRUCTURE INCREASE

19. FACTORS IN JOB PRICING
JOB
PRICING
PROCESS
Legal requirements
Output (wage and
salary structure
Labor supply
and demand
Related company policies
e.g. merit rating
Job classification
from job evaluation
Present salary levels
in the company
Company’s
capacity to pay
Union demands/CBA
provision
Rates in other companies
in the industry and
community

20.  SALES INCENTIVE PLAN – total pay
is an outcome of performance against
assigned, meaningful and achievable goals
 MANAGEMENT INCENTIVE PLAN –a
variable compensation are effective tools
in sharpening and directing behaviors to
support company’s objectives
 BENEFITS

21. BENEFITS
• Social Security
created with RA 1161
• Health Insurance / Health Plan
a. Who are covered by the health plan
b. Outpatient and annual physical examination
c. Maternity benefits
d. In-patient benefits
e. Dental benefits
f. Outpatient medical reimbursement
g. Eyeglasses benefits and reimbursement
procedure
h. Wellness programs

22. • Life Insurance
a. Coverage
b. Premium
c. Beneficiary
• Retirement
a. RA 7641 – Retirement Law
b. The key provision of which is a mandatory
retirement pay of 22.5 days of monthly basic
salary for every year of service at age 60.
• Car and car-related benefits

23. • OTHER BENEFITS
Overtime Meal
Transportation Allowance
Provincial Allowance
Standby Allowance

24. Companies use recognition
programs and contest to
focus effort on tactical
objectives and celebrate the
success of teams and
individuals.

25. Maria Luisa Salonga-Agamata, Ph.D., CESO V
Director IV
Public Assistance and Information Office

26. Why should you consider
joining government service|?
“Malaking suweldo at maalwang buhay man ang kapalit ng mangibang-bansa, mas gusto ko dito
sa Pilipinas at makatulong sa mga kababayan natin. Ako po ay naniniwala na mga Pilipino lang
ang tunay na makapagpapaunlad sa ating bansa.”-- Pablo Y. Lasprilla, Jr., Aircraft Mechanic II,
Philippine Air Force, 2010 Presidential or Lingkod Bayan

27.  Uphold and defend the Constitution;
 Lead the nation, promulgate and enforce laws;
 Uplift the poor, educate the ignorant, protect
the weak, and give honest, efficient and
excellent service to the million who rely on
government every day; and
 To make Philippine public service the best we
can give our people.

28. “Public service is a special calling. It is not for
everyone and those who respond to the call pay
a price. The price is submitting to very high
standards of professional conduct; accepting
public scrutiny and accountability; learning to
hold a public trust and to put public interests
ahead of self; respecting the authority of law
and of democratic will; and entering into a
community that values these as the
foundations of good government. The values
of public service are both its pride and its
reward.”
- “A Strong Foundation” by the
Task Force on Public Service Values and Ethics in Canada

29. As a public servant, I have endeavored to be hardworking and selfless, even using my
weekends, at times without pay, to help those in need of my expertise. Others have died
for our country; I want to live for my country!”-- Victorio C. Palabay, Associate Professor III,
College of Technology, Don Mariano Marcos Memorial State University, 2009 CSC or Pagasa

30. Security of tenure/fixed term
Standardized Salary/Benefits
Promotion Structure/Career Pathing
Training and continued education
Recognition

31.  The terms and conditions of employment of all government
employees shall be fixed by law;
 Those employment terms that are not fixed by law may be
subject of negotiation between recognized employees’
association and appropriate gov’t authorities.
Terms and Conditions of Employment
 The Congress shall provide for the standardization of
compensation of government officials and employees
taking into account the nature of responsibilities, and
qualifications required for the position concerned.
Compensation

32. Kung may magagawa ka sa sarili mong pamamaraan, gawin mo na. Kapag pumasok ka sa
public service, dapat kalimutan mo ang sarili mo. Sa halip, isipin mo ang kapakanan ng
nakararami.”-- Senior Fire Officer I Estanislao N. Temblor, Naguilian Fire Station,Bureau of
Fire Protection, 2009 Dangal ng Bayan awardee

33.  QS expresses minimum requirements
for a class of position in terms of:
1. education
2. training and experience
3. civil service eligibility
4. physical fitness
5. other qualities required for a successful
performance
Qualification Standards

34.  The passing grade in CS examinations, except for
examinations covered by special laws, shall be at least
eighty (80) percent;
 Every examinee who obtains a general rating of 80% or
over shall be eligible for appointment;
 The names of those who pass the bar or board
examinations shall be automatically entered in the
register of eligibles under Republic Act No. 1080;
 Eligibility is automatically granted to honor graduates,
subject to the provisions of Presidential Decree No. 907,
as amended.

35.  For Career Service Professional – In English and Filipino;
vocabulary, grammar and correct usage, paragraph
organization, reading comprehension, analogy, logic, and
numerical reasoning
 For Career Service Subprofessional – In English and
Filipino; vocabulary, grammar and correct usage,
paragraph organization, reading comprehension, spelling,
clerical operations, and numerical reasoning

36. One of the CSC’s priority goals is for all state
workers to meet their job competency standards.
The CSC has launched a competency-based project
which is sponsored by the Philippine-Australia
Human Resource and Organizational Development
Facility or PAHRODF.
This project aims to come up with the required
competencies of various positions in the public
sector. Initially, we have identified core
competencies that all CSC officials and employees
should have.
Competency-based HR System in the Philippine civil Service

37.  Career service is characterized by:
1. entrance based on merit and fitness to be
determined by practicable competitive
examination or based on highly technical
qualifications;
2. opportunity for advancement to higher career
positions;
3. security of tenure
Positions in the Civil Service are classified
into career and non-career

38.  Classes of positions in the career service:
1. The first level (includes clerical, tradecrafts, and
custodial service positions which involve non-
professional or sub-professional work in a non-
supervisory capacity requiring less than four years
of collegiate study);
2. The second level (includes professional,
technical, and scientific positions which involve
professional, technical or scientific work in
supervisory or supervisory capacity requiring four
years of collegiate work up to Division Chief; and
3. The third level covers positions in the Career
Executive Service

39.  Non-career service includes:
1. Elective officials and their personal or confidential staff;
2. Secretaries and other officials of Cabinet rank who hold
their positions at the pleasure of the President and their
personal or confidential staff;
3. Chairman and members of commissions and boards with
fixed terms of office and their personal or confidential
staff;
4. Contractual personnel or those whose employment is in
accordance with a special contract to undertake a
specific work or job, to be accomplished within a specific
period and shall not exceed one year; and
5. Emergency and seasonal personnel.

40. “Being a medical officer and a public servant is not an 8 to 5 profession, but a social obligation
that goes beyond the call of duty.”-- Celia Flor C. Brillantes, Medical Officer V, City Government of
Baguio, 2008 Presidential or Lingkod Bayan awardee

41. Nationwide Search for
Outstanding Public Officials and Employees

42. The Civil Service Commission (CSC)
administers the annual Honor Awards
Program (HAP) in accordance with
its constitutional mandate to adopt
measures to promote morale,
efficiency, integrity,
responsiveness and courtesy in the
civil service, as well as to strengthen
the merit and awards systems.
The HONOR AWARDS PROGRAM

43. The program seeks to recognize and
reward state officials and employees
for their outstanding contributions
and achievements in the delivery of
public service.
The HONOR AWARDS PROGRAM

44. AWARD CATEGORIES:
 Presidential or Lingkod Bayan award
 Outstanding Public Officials and Employees
or Dangal ng Bayan award
 Civil Service Commission Pagasa Award

45. 2010 Presidential or Lingkod Bayan
DR. RENATO U. SOLIDUM JR.
Director IV, Philippine Institute of
Volcanology and Seismology, Diliman,
Quezon City
As head of the Philippine Institute of
Volcanology and Seismology (PHIVOLCS),
he leads government efforts to mitigate
the effects of disasters caused by volcanic
eruptions, earthquakes and tsunami.
PHIVOLCS has done such a good job under
Dr. Solidum’s helm that it has gained the
support and confidence of international
funding agencies. The assistance provided
by these organizations has enabled
PHIVOLCS to continually conduct
monitoring and mapping of earthquake
and volcano related hazards at little to no
cost to government. The close
collaboration has also helped the agency
improve its capability and equipment.

46. 2008 Dangal ng Bayan
WENIFREDA V. SOTO, Midwife III,
Municipal Government of Nabua,
Camarines Sur
On countless occasions, she had to
brave strong typhoons and wade
through floodwaters in the middle of
the night when summoned to deliver
babies.

47. 2007 CSC Pagasa awardee
LEOPOLDO B. BATAOIL, Regional
Director, Philippine National Police
Regional Office 1
Improving the image of the Philippine
National Police as guardians of peace
and justice is a serious goal and always a
work in progress, and this is what
former Police Chief Supt. Leopoldo
Bataoil, now representative of the 2nd
District of Pangasinan had in mind when
he implemented socio-economic
programs geared towards building
meaningful public relations and
partnerships in the areas of Caloocan,
Malabon, Navotas and Valenzuela
(CAMANAVA). His initiatives were
ultimately rewarded with the noted
decrease in the crime rate, illegal drug
dealings, and incidences of robbery,
kidnapping, carnapping and snatching.
He also spearheaded educational
projects such as the Pulis ko, Teacher ko
and Edukasyon mo, Sagot ko.

48. 2. Outstanding Public Officials and Employees or
Dangal ng Bayan
• Conferred to an individual for performance of
extraordinary act or public service and consistent
demonstration of exemplary ethical behavior on the basis
of the employee’s observation of the eight norms of
conduct provided under Republic Act No. 6713 or the Code
of Conduct and Ethical Standards for Public Officials and
Employees.
• Awardees receive a trophy designed and executed by
National Artist for Sculpture Napoleon V. Abueva, and a cash
prize of P200,000.00.

49. 3. Civil Service Commission or Pagasa Award
• Conferred to an individual or group of individuals for
outstanding contribution resulting from an idea or
performance which directly benefit more than one
department of the government.
• Awardees receive a gold-gilded medallion expertly
crafted by the Bangko Sentral ng Pilipinas, a plaque
containing the citation and signature of the Chairperson of
the Civil Service Commission, and a cash prize of
P100,000.00.

51. HOPE I WAS ABLE TO SHARE
BENEFICIAL TO ALL OF YOU.
M. ALLANIGUE