ADMINISTRATIVE
CIRCULAR NO. 7
TO: THE
COURT
OF APPEALS, SANDIGANBAYAN, COURT OF TAX APPEALS, REGIONAL TRIAL COURTS,
METROPOLITAN TRIAL COURTS, MUNICIPAL TRIAL COURTS IN CITIES, MUNICIPAL
TRIAL COURTS, MUNICIPAL CIRCUIT TRIAL COURTS AND SHARI'A COURTS
SUBJECT:
IMPLEMENTING
GUIDELINES OF R. A NO. 6683 DATED DECEMBER 2, 1989.
Quoted
hereunder,
for the information and guidance of all concerned, are the implementing
guidelines of R. A. No. 6683 dated December 2, 1988:chanrobles virtual law library
"1.0. PURPOSE
This
Circular is
issued to provide the rules and regulations for the implementation of
R.
A. No. 6683 dated December 2, 1988, an Act providing benefits for early
retirement and voluntary separation from the government service of
civilian
personnel as well as involuntary separation of civil service officers
and
employees pursuant to various Executive Orders authorizing government
reorganization
after the ratification of the 1987 Constitution, appropriating funds
therefor,
and for other purposes.
2.0. COVERAGE
AND
EXEMPTION
The
provision of
R. A. No. 6683 shall apply to civilian officials and employees of the
National
Government, including government-owned and/or controlled corporations
with
original charters and local government units who voluntarily elect in
writing
to be retired or separation from government service and is accepted by
the head of the agency/corporation/local government unit concerned.
2.1.
Benefits herein
prescribed shall apply to all regular and temporary personnel to the
National
Government with appointment papers approved by the Civil Service
Commission
[CSC] and position duly classified and salary rate certified by the
Department
of Budget and Management [DBM], who have rendered at least a total of
two
[2] years of satisfactory service as of the date of
separation/retirement.
In the case of casual and emergency personnel, it shall be based on
agency
records provided their positions are classified by the DBM.cralaw:red
2.2.
Officials and
employees who were previously separated from the government service not
for cause but as a result of the reorganization pursuant to various
Executive
Orders authorizing government reorganization issued after the
ratification
of the 1987 Constitution are likewise covered and entitled to avail of
the incentive benefits under R.A. No. 6683.cralaw:red
2.3.
Excluded from
the benefits under R. A. No. 6683 are the following:chanroblesvirtuallawlibrary
(a)
Experts and
consultants hired by agencies for a limited period to perform specific
activities or services with a definite expected output; i.e.,
membership
in Task Force, Part-Time Consultant/Employees.
(b) Uniformed
personnel
of the Armed Forces of the Philippine Constabulary and Integrated
National
Police [PC-INP].
(c)
Appointive officials
and employees who retire or elect to be separated from the service for
optional retirement with gratuity under R.A. No. 1616, 4968 or with
pension
under C.A. No. 186, as amended by R.A. No. 660 or P.D. No. 1146, as
amended,
or vice-versa.cralaw:red
(d)
Officials and
employees who retired voluntarily prior to the enactment of this law
and
have received the corresponding benefits of that retirement/separation.cralaw:red
(e)
Officials and
employees with pending cases punishable by mandatory separation from
the
service under existing civil service laws, rules and regulations: Provided,
That if such officials and employees apply in writing within the
prescribed
period for the availment of the benefits herein authorized, shall be
allowed
only if acquitted or cleared of all charges and their application
accepted
and approved by the head of office concerned.cralaw:red
3.0. BENEFITS
AUTHORIZED UNDER R.A. NO. 6683
Benefits
that can
be availed of by officials and employees who will elect to retire or be
separated from government service under this Plan shall be as followes:chanroblesvirtuallawlibrary
3.1. Early
retirement
and Voluntary Separation Benefits
Equivalent
to one
and one-fourth [1 1/4] months basic salary for every year or respective
government services or the equivalent nearest fraction thereof
favorable
to availing officials and employees on the basis of the highest salary
received in the course of their employment in the government in effect
at the date of filing, but in no case shall the benefit to be paid to
any
official or employees be less that Ten thousand pesos [P10,000.00].
Any appointive official and employee, however, who has previously been
found guilty in any administrative proceeding and whose position or
salary
has been reduced in rank or in amount shall be paid on the basis of his
last salary. Likewise, any appointive official and employee who is
promoted
after the effectivity of this Act shall be paid based on highest salary
received prior to such promotion.
3.2. Additional
Benefits
In
addition to
the benefits above authorized, covered officials and employees who
retire
or voluntarily elect to be separated from the service under this Plan
shall
also be entitled to the following:chanroblesvirtuallawlibrary
(a)
Return of GSIS
personal contributions pertaining to retirement only and the payment of
the corresponding share of the government with interest earned pursuant
to existing rules and regularions of the Government Service Insurance
System.
(b)
Commutation of
unused vacation and sick leaves in accordance with existing rules and
regulations
on the matter.cralaw:red
(c) An
additional
ten percent (10%) of the amount corresponding to what they will receive
from the thirty-first (31st) year onward for those with thirty-one (31)
years or more of government service.cralaw:red
4.0. PERIOD
OF APPLICABILITY
4.1. The
incentive
benefits for early retirement and voluntary separation shall be
entertained
only if filed within a period of two [2] months from the issuance of
this
Circular.
4.2.
Applications
may be filed either in the regional or central offices.
5.0. RULES
AND REGULATIONS
5.1.
Acceptance
of applications for early retirement and voluntary separation from the
service herein authorized shall be subject to the discretion of the
heads
of government offices or agencies concerned. For this purpose, "head
of government office or agency" shall refer to the following:chanroblesvirtuallawlibrary
(a)
Secretary,
in case of bureaus, divisions and other offices under a department;
(b)
Governor or Mayor,
as the case may be, in the case of the local government units;
(c) The
Chief Justice
in the case of the employees of the Judiciary
(d) Senate
President
or the Speaker of the House of Representatives, as the case may be, in
the case of employees of the legislature;
(e) The
Chairman,
in the case of the Constitutional Commissions; and cralaw:red
(f) The
overall superior,
in the case of other offices not within the authority of those
previously
mentioned.cralaw:red
5.2. The
application
for early retirement or voluntary separation shall be accepted unless
the
services of the applicant shall be deemed necessary.
5.3.
Application
of those with pending administrative cases punishable by dismisssal or
removal and those with criminal cases of grave nature committed in
relation
to their relation to their office shall be both held in abeyance until
the final disposition of such cases without prejudice to their
receiving
benefits under this law in case of acquittal.cralaw:red
5.4.
Officials and
employees qualified and are authorized to retire or be separated from
government
service by the head offices concerned shall be paid gratuity or
separation
benefits and additional benefits prescribed in Paragraph 4.0. above.
The
oldest employees who are the most senior in the service will be given
priority
in the payment of benefits. Any provision of law to the contrary
notwithstanding,
the only documents or supporting papers to be submitted by appointive
officials
and employees who wish to avail themselves of the benefits herein
authorized
are the following:chanroblesvirtuallawlibrary
(a) A
duly approved
application under oath for early retirement or voluntary separation in
accordance with R.A. No. 6683, including a duly certified statement of
the number of years of service in the government and the rate of
highest
salary received;
(b) Money and
property
clearance from the agency concerned;
(c) A
simplified
statement of assets and liabilities, networth, and financial and
business
interests in the case of regular employees; and cralaw:red
(d)
Certification
by the head of office or his duly authorized representative that there
is no pending administrative case and clearance from the Fiscal's
Office
that there is no pending criminal case against the employee.cralaw:red
5.5. The
processing
and actual payment of benefits shall be undertaken by the respective
offices
of officials and employees concerned and shall be completed within
fifteen
[15] days from the date of submission of all the required supporting
documents
5.6. No
official
or employee shall be separated/retired or be paid benefits under R. A.
No. 6683 unless his application for early retirement or voluntary
separation
shall have been accepted by the head of agency concerned.cralaw:red
5.7.
Officials and
employees who are retired or separated from government service under R.
A. No. 6683 shall not be eligible for re-employment in the government
whether
on a permanent, temporary, casual, or emergency status within a period
of five [5] years after separation; unless they refund the benefits
they
have received. Those who will be re-employed in the government shall be
treated as new entrants insofar as GSIS coverage is concerned.cralaw:red
5.8.
Positions vacated
through the early retirement or separation of their incumbents shall be
abolished and in the case of casual and emergency employees, the lump
sum
corresponding to the amounts for salaries or abolished positions shall
be proportionately reduced. Positions vacated, however, wherein the
exigencies
of the service require their retention, shall be certified within sixty
[60] days from the time of approval or acceptance of the application
for
retirement or separation of their incumbents by the head of office or
agency.cralaw:red
5.9.
Positions vacated
but retained shall be filled by personnel chosen from among the most
deserving
employees in the agency concerned or from any other agency.cralaw:red
5.10. Those
who were
involuntarily separated/phased out as a result or reorganization after
the ratification of the 1987 Constitution, but have been re-employed in
the government service at the enactment of this law and who choose to
avail
of benefits provided herein, shall only be entitled to the differential
benefits and shall be subject to the same restriction on re-employment
under Section 5.7. hereof.
6.0. FUNDING
SOURCE
6.1. For
officials
and employees of National Government regular agecies/offices
Benefits
herein
granted shall be paid from the three billion pesos or so much thereof
as
may be necessary, appropriated for the purpose under R. A. No. 6683 out
of any funds in the National Tresury not otherwise appropriated.
6.2. For
officials
and employees of government-owned and/or controlled corporations with
original
charters
Benefits
herein
granted shall be paid from the internal funds of the respective
corporations.
However, government-owned and/or controlled corporations with original
charters which may not be able to adequately fund the incentive
benefits
herein authorized may be allowed to avail of the three billion peso
fund
appropriated for the purpose but only up to the extent to twenty-five
percent
[25%] of their total requirements which should be later deducted by the
Department of Budget and Management from whatever budgetary allocation
and assistance that a particular corporation may get from the National
Government in the future.
6.3. For
officials
and employees of Local Government Units
Benefits
herein
granted shall be paid from available funds of each Local Government
Unit
against which the salaries or wages of officials and employees involved
are charged. However, Local Government Units which may not be able to
adequately
fund the incentive benefits may be allowed to avail of the three
billion
peso-fund appropriated for the purpose but only up to extent to
twenty-five
percent (25%) of their total requirements.
6.4.
Notwithstanding
the above provisions, however, all savings accruing from the abolition
of positions pursuant hereto shall be earmarked and used exclusively
for
the payment of the benefits under R. A. No. 6683. Availment from the
three
billion peso-fund appropriated for the purpose will be allowed only
after
the savings generated as a result thereof have been fully considered.
To
insure prompt payment of benefits, the Department of Budget and
Management
shall allocate to all national government agencies tentatively the
three
[3] billion peso fund based on the ratio on an agency's 1988 Personal
Services
budget, and immediately released the Advice of Allotment for fifty
percent
(50%) of such share and Funding Warrant equivalent to one-half (1/2) of
the Advice Allotment so issued. Further releases of Advice Allotments
and
Funding Warrants shall then be based on submission by the agencies of
approved
claims filed and claims paid using the form attached herewith as Annex
A; to be submitted as soon as additional Advice Allotment and/or
Funding
Warrant as needed.
6.5.
Agencies should
remit to DBM within fifteen [15] days from payment of the claims filed
under this Act, any unused amount for funding any deficiencies in other
agencies.
7.0. REPORT
OF COMPLIANCE
Heads of
government
agencies, including government-owned and/or controlled corporations
with
original charters and local government units, shall submit to the
Department
of Budget and Management [DBM], the Civil Service Commission [CSC] and
the Commission on Audit [COA] within three [3] months from the
effectivity
of R. A. No. 6683 report on the implementation made in their respective
offices/agencies/corporations which will include among others the total
number of employees affected, type of nature of positions involved and
number of those retained and abolished, total amount spent and an
evaluation
thereof of the program. Said report must be duly certified by the Head
of Office which will be the basis of the report that will be submitted
to Congress by the DBM and CSC within six [6] months from the date of
the
effectivity of the Act as stipulated under Section 13 of R. A. 6683.
8.0. SPECIAL
PENAL
CLAUSE
Any
government
official who compels an employee under any guise whatsoever to retire
or
be separated from government service by virtue of this Act or otherwise
violate provisions hereof shall, upon conviction, be punished by a fine
not exceeding one thousand pesos [P1,000.00] or by
imprisonment
not exceeding six [6] months or both such fine and imprisonment in the
discretion of the court.
9.0. RESPONSIBILITY
OF THE HEAD OF AGENCY
The head
of department/bureau/office/regional
office, agency or entity of the National Government concerned shall be
held personally liable for any payment of early retirement benefits not
in accordance with the provisions of this Circular, without prejudice,
however, to the filing of a criminal case against the recipient
employee.
10.0. REPEALING
CLAUSE
All laws,
rules
and regulations or part thereof, that authorize the payment of
incentive
benefits for early retirement and voluntary separation inconsistent
with
the provisions of R. A. No. 6683 are deemed repealed or modified
accordingly.
11.0. EFFECTIVITY
DATE
This
Circular shall
take effect upon publication in two [2] newspapers of general
circulation.
[Sgd.]
SAMILO
N. BARLONGAYCommissionerCivil
Service
Commisson[Sgd.]
GUILLERMO
N. CARAGUESecretary[Acting
as
Chairman] Department
of Budget and Management
January 13,
1989.
[Sgd.]
MARCELO
B. FERNANChief
Justice |