REPUBLIC ACT NO. 7430 - AN ACT
PROVIDING FOR OPTIMUM UTILIZATION OF PERSONNEL IN GOVERNMENT SERVICE
THROUGH A SYSTEM OF ATTRITION, PROVIDING PENALTIES FOR VIOLATION
THEREOF, AND FOR OTHER PURPOSES
Section 1. Declaration of Policy. — It is the policy of the
State to give highest priority to measures that will promote morale,
efficiency, integrity, responsiveness and progressiveness in the civil
service. Towards this end, optimum utilization of personnel shall be
assured through the institution of a system of attrition in
government.
Sec. 2. Definition of Terms. — As used in this
Act, the following terms shall mean:
(a) "Attrition" — The reduction of personnel as a
result of resignation, retirement, dismissal in accordance with
existing laws, death or transfer to another office; and
(b) "Government" — Includes the National Government,
and all its instrumentalities or agencies including government-owned or
controlled corporations and their subsidiaries, excluding local
government units.
Sec. 3. Attrition. — Within five (5) years from
the approval of this Act, no appointment shall be made to fill vacated
positions in any government office as a result of resignation,
retirement, dismissal, death or transfer to another office of an
officer or employee: provided, however, that this prohibition shall not
apply in the following instances:
(a) Where the position is head of a primary organic
unit such as chief of division;
(b) Where the position is the lone position in the
organizational unit and it corresponds to a particular expertise that
is intrinsic to the desired basic capability of the unit concerned;
(c) Where the positions are basic positions for the
initial operations of newly created or activated agencies or, in the
case of other agencies, where the positions are vital and necessary for
the continued and efficient operation of said agencies;
(d) Where the positions are difficult to fill
considering the qualifications required therefore, as in the case of
doctors, lawyers and other professionals;
(e) Where the positions are found in agencies
declared to be understaffed;
(f) Positions in Congress or in the Judiciary;
(g) Appointments or designations extended by the
President;
(h) Where the positions are found in local government
units;
(i) Teaching personnel; and
(j) Where the replacement come from existing
employees.
Provided, further, that exemptions from this prohibition shall require
authorization by the Civil Service Commission: provided, finally, that
no appointment shall be issued by the appointing authority nor approved
by the Civil Service Commission without said authorization.
Appointments made in violation of this Act shall be null and void.
Sec. 4. Penalty. — Any appointing authority who
makes an appointment in violation of this Act shall, upon conviction,
be punished by imprisonment of not less than three (3) months but not
exceeding six (6) months or by a fine of not less than Three thousand
pesos (P3,000) but not exceeding Five thousand pesos (P5,000), or both
such imprisonment and fine, at the discretion of the court.
In addition, the appointing official shall be personally liable for the
salary that would have accrued had the employment been lawful, and the
disbursing official shall make payment to the employee of such amount
from the salary of the appointing authority.
Sec. 5. Annual Reports. — The Civil Service
Commission, as the central personnel agency of the Government, shall
monitor and render an annual report to the President and the Congress
on the extent of compliance with the law.
The report shall include, among others, the following:
(a) Total number of positions authorized in the
agency's annual budget;
(b) Total number of officers and employees at the end
of the year;
(c) Total number of officers and employees separated
from the service during the year categorized as follows:
(1) Those who resigned;
(2) Those who retired;
(3) Those who were dismissed from the service;
(4) Those who died; and
(5) Those who transferred to another agency.
(d) Total number of new personnel recruited during
the year; and
(e) Total number of vacancies at the end of the
year.
The Commission shall also conduct a personnel effectiveness audit of
all government agencies to determine optimum utilization of personnel.
The audit reports shall, among others, include information on whether
the agency is overstaffed or understaffed and its minimum and maximum
personnel requirements.
The Commission shall likewise conduct and prepare a work study which
shall contain among others; the evaluation and effectiveness of the
program during the five-year period of its enforcement and the
feasibility of extending the same to another period. The Commission
shall submit its audit reports and work study together with its
recommendations to the President and the Congress of the Philippines.
Sec. 6. Rules and Regulations. — The Civil Service
Commission shall issue the necessary rules and regulations for the
effective implementation of this Act.
Sec. 7. Repealing Clause. — All laws, presidential
decrees, executive orders, other executive issuances, or parts thereof,
which are inconsistent with this Act are hereby repealed or modified
accordingly.
Sec. 8. Effectivity Clause. — This Act shall take
effect fifteen (15) days after its publication in at least two (2)
newspapers of general circulation.
Approved: April 15, 1992
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