Government Budgeting · 25 Mar 2020

Guidelines on the grant of COVID-19 Hazard Pay

The Department of Budget and Management (DBM) released Budget Circular (BC) No. 2020-1 dated March 24, 2020 to provide guidelines on the grant of COVID-19 hazard pay, pursuant to Administrative Order No. 26 recently issued by President Duterte.

Who are entitled?

The following employees may be granted COVID-19 hazard pay, provided they meet the conditions provided in the implementing Circular, viz:

1. Civilian personnel in national government agencies (NGAs), including those in state universities and colleges (SUCs) and goverment-owned and controlled corporations (GOCCs), occupying regular, contractual or casual positions.

2. Military personnel of the Armed Forces of the Philippines (AFP), Department of National Defense( DND); and uniformed personnel of the Philippine National Police (PNP), Bureau of Fire Protection (BFP), and Bureau of Jail Management and Penology (BJMP) under the Department of the Interior and Local Government (DILG); Bureau of Corrections (BuCor) under the Department of Justice (DOJ); Philippine Coast Guard (PCG) under the Department of Transportation (DOTr); and the National Mapping and Resource Information Authority (NAMRIA) under the Department of Environment and Natural Resources (DENR).

3. Employees in the Legislative and Judicial Departments and other offices vested with fiscal autonomy (i.e. Commission on Audit, Commission on Elections, Civil Service Commission).

4. Employees in local government units (LGUs).

5. Employees in local water districts (LWDs).

6. Workers engaged through contract of service (COS), job order (JO), or other similar schemes.

Condition on the grant of COVID-19 Hazard Pay

The COVID-19 Hazard Pay may be granted by the heads of government agencies to government personnel, contract of service and job order workers, without the need for further approval by the DBM, provided the personnel/workers have been authorized to physically report for work at their respective offices or work stations on the prescribed official working hours by the head of agency/office during the period of implementation of Enhanced Community Quarantine (ECQ) measures in the area of such office or work station. (Item 4.3, BC No. 2020-1)

Note: This may be evidenced by an Office Order and a daily time record (DTR) or similar documents evidencing authority and attendance of the employee/worker concerned.

How much COVID-19 Hazard Pay may be granted?

The COVID-19 Hazard pay to be granted shall not exceed P500/day per person.

The total rate of the COVID-19 Hazard Pay shall be based on the number of days an employee/worker physically reports for work during the ECQ period.

Government personnel who are already entitled to existing hazard benefits may be granted COVID-19 Hazard Pay

Personnel who are already entitled to Hazard Pay, Hazardous Duty Pay, Hazard Allowance or other similar benefits under existing laws, issuances, rules, and regulations, such as public health workers, public social workers, science and technology personnel, and military and uniformed personnel, shall continue to be entitled to such benefits or the COVID-19 Hazard Pay, whichever is higher. (Item 4.6, BC No. 2020-1)

Fund Source

NGAs, including SUCs – charge requirements for government personnel against available released Personnel Services (PS) allotment, while the requirements for COS and JO workers shall be charged against maintenance and other operating expenses (MOOE) allotments, provided that all authorized mandatory expenses shall have been paid first.

Legislative and Judicial Branches, and Other Offices vested with Fiscal Autonomy – the same as above.

GOCCs – charge requirements against approved corporate operating budgets (COB).

LWDs – charge requirements against Board of Directors (BOD)-approved COB.

Should the NGA, SUC, Legislative and Judicial Branches and Offices vested with Fiscal Autonomy, GOCC, or LWD have insufficient PS or MOOE allotments, as the case may be, to fully cover the COVID-19 Hazard Pay at the rate of P500/day per person, a lower but uniform rate may be granted for all qualified personnel.

Grant of the COVID-19 Hazard Pay in LGUs

The grant of COVID-19 Hazard Pay for the personnel/workers of LGUs shall be determined by their respective Sanggunian depending on the financial capability of the LGU, subject to: 1) PS limitations in the case of regular personnel, and available MOOE allotment in the case of COS/JO workers, and 2) the conditions set in the Circular.

Just the same, should the LGU have insufficient fund, to fully cover the COVID-19 Hazard Pay at the rate of P500/day per person, a lower but uniform rate may be granted for all qualified personnel.

Effectivity of the grant of COVID-19 Hazard Pay

While the AO and Circular authorizing and implementing the grant of COVID-19 Hazard Pay were issued belatedly, the COVID-19 Hazard Pay shall be granted beginning March 17, 2020.

[Download Full Text of Budget Circular No. 2020-1]

Source: Department of Budget and Management

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