The Department of Budget and Management (DBM) issued its latest policy on processing of requests for monetization of leave credits.
The Civil Service Commission (CSC) issues guidelines when it comes to the administration of leave credits of government employees (see CSC MC No. 41, s. 1998 and CSC MC No. 16, s. 2002) while the DBM issues guidelines pertaining to the release and utilization of funds under the General Appropriations Act (GAA) which includes funds for monetization of leave credits.
Monetization of leave credits (MLC) means payment of the monetary value of the leave credits requested by a government employee to be monetized.
In previous years, and as provided under specific special provisions of the GAA, the monetization of leave credits of national government personnel was required to be charged against a Special Purpose Fund called the Pension Gratuity Fund (PGF).
However, for this year, due to the limited appropriations for PGF, the funds required for the payment of MLC shall instead be charged against any available released Personnel Services (PS).
[You May Want to Know About: Frontloading of Available Allotment for Personnel Services (PS)]
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Agencies may, however, still request funds from DBM, charged against the PGF, for MLC due to reasons of critical health, medical, and hospital needs of the employee and the immediate members of his/her family.
Requests for MLC for reasons other than these reasons will only be processed by the DBM on a case to case basis subject to extraordinary conditions which would justify release of MLC.
[Download DBM Circular Letter No. 2021-4 dated March 3, 2021]
Open Forum
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