DBM National Budget Circular No. 483 (2002)

(NAR) VOL. 13 NOS. 1-4 / OCTOBER-DECEMBER 2002

[ DBM NATIONAL BUDGET CIRCULAR NO. 483, OCTOBER 29, 2002, October 29, 2002 ]

GUIDELINES FOR THE INITIAL IMPLEMENTATION OF THE NEW SALARY STRUCTURE FOR OFFICERS AND ENLISTED PERSONNEL OF THE AFP

1.0 Purpose This Circular is being issued to prescribe rules and regulations to govern the initial implementation of the new salary structure for the officers and enlisted personnel of the AFP pursuant to Section 2 of Republic Act (RA) No. 9166, "An Act Promoting the Welfare of the Armed Forces of the Philippines by Increasing the Rate of Base Pay and Other Benefits of its Officers and Enlisted Personnel, and for Other Purposes". 2.0 Coverage This Circular cover all officers and enlisted personnel of the AFP who are in the active service, cadets of the Philippine Military Academy, officer candidates and candidate soldiers. 3.0 Policy Statements

Section 2 of RA 9166 provides that the rate of base pay of officers and enlisted personnel of the AFP shall be adjusted in accordance with the following salary grade assignments per rank: Rank Salary Grade General 30 Lieutenant General 29 Major General 28 Brigadier General 27 Colonel 26 Lieutenant Colonel 25 Major 24 Captain 23 First Lieutenant 22 Second Lieutenant 21 Cadet/P2 Lt. 19 Chief Master Sergeant 18 Senior Master Sergeant 17 Master Sergeant 16Technical Sergeant 15 Staff Sergeant 14 Sergeant 13 Corporal 12 Private First Class 11 Private 10 Candidate Soldier 7 3.2 Section 6 of the Implementing Rules and Regulations (IRR) of RA 9166 provides, among others, that the rate of pay for each corresponding salary grade shall be equal to the base pay of the Philippine National Police (PNP) uniformed personnel as adjusted under RA 8551, which was based on the salary schedule for civilian personnel in Annex B under National Budget Circular (NBC) No. 458 s.

1997. 3.3 Section 13 of the IRR of RA 9166 provides, among others, that the increase in base pay shall be implemented in three (3) phases; the initial phase of which shall be implemented not later than October 1, 2002 at a uniform rate of twenty percent (20%) of the base pay increase/differential authorized for each rank. 4.0 Implementing Rules 4.1 The present base pay of an officer and enlisted personnel of the AFP for purposes of this Circular shall mean the base pay received as of September 30, 2002 as prescribed under Section 5.2.1 of NBC 474, corresponding to their designated ranks. 4.2 The base pay of the officers and enlisted personnel of the AFP shall be adjusted effective October 1, 2002 in accordance with the rates prescribed in the First Interim Salary Schedule hereto attached and marked as Annex A of this Circular. 4.3 The rates contained in said Salary Schedule shall be used as basis for computing longevity pay, year-end bonus and retirement benefits. The existing rates of all other allowances and collateral benefits shall be maintained. 5.0 Prohibition Unless allowed by law and/or executive order, the Secretary of the Department of National Defense is prohibited from granting any adjustment in excess of the amounts herein authorized. 6.0 Funding Source The amount necessary to initially implement the new Salary Schedule shall be charged against the appropriations savings of each Major Service and KBU of the AFP. 7.0 Responsibility of the Major Service and KBU CommandersThe Commanders of the Major Services and KBUs shall be held liable for any payment of salary adjustment not in accordance with the provisions of this Circular, without prejudice however, to the refund of any excess payment by the personnel concerned. 8.0 Saving Clause Case not covered by the provisions of this Circular shall be referred to the Secretary of Budget and Management for resolution. 9.0 Effectivity This Circular shall take effect October 1, 2002 Adopted: 29 Oct. 2002 (SGD). EMILIA T. BONCODIN Secretary ANNEX A FIRST INTERIM SALARY SCHEDULE For AFP Officers and Enlisted Personnel Effective October 1, 2002 AFP Rank Present Monthly Adjustment Adjusted Base pay Per NBC Monthly Base No. 474 Pay General 19,173 1,165 20,338 Lieutenant General 18,596 668 19,264 Major General 17,671 684 18,355 Brigadier General 17,094 637 17,731 Colonel 16,170 666 16,836 Lieutenant Colonel 15,477 654 16,131 Major 14,900 626 15,526 Captain 14,322 602 14,924 First Lieutenant 13,860 561 14,421 Second Lieutenant 13,167 572 13,739 Prob. 2nd Lieutenant 12,243 459 12,702 Cadet 11,319 644 11,963 Chief Master Sergeant 11,492 445 11,937 Sr. Master Sergeant 10,655 457 11,112 Master Sergeant 9,818 478 10,296 Technical Sergeant 8,893 524 9,417 Staff Sergeant 7,854 602 8,456 Sergeant 7,393 571 7,964Corporal 6,468 640 7,108 Private, First Class 6,121 600 6,721 Private 5,775 566 6,341 Candidate Soldier 4,620 485 5,105