[SEAL]

(Sgd.) CORAZON C. AQUINO President of the Philippines

1.1 government-owned and controlled corporations;

1.2 agencies adopting the OP Pay
Plan (Annex 1);

1.3 critical or OCPC-exempt agen-
cies which have their own spe-
cial pay plans (Annex 2);
1.4 positions allocated to upgraded
classes in the National Com-
pensation and Position Class-
ification Plans in recently
reorganized agencies and whose
staffing patterns have been ap-
proved only in 1985;

1.5 positions in government agen-
cies given special salary in-
creases under E.O. 1059, E.O.
1060 and E.O. 1065 for lawyers,
allied medical personnel and
postal workers, respectively.
and under specific Presidential
approval; and

1.6 Career Executive Service Officers (CESO) and equivalent and higher positions for whom a separate pay plan will be submitted by the Ministry of Budget and Management.

2.0 An additional cost-of-living allowance (COLA) based on their adjusted salary levels, as follows:

4.0 Employees of excluded agencies whose total compensation may fall below those of their counterparts in the covered agencies shall be given such salary and COLA increases as may be necessary to raise their total compensation equal to the adjusted salaries and COLAS of equivalent positions in the covered agencies as may be determined by the MBM. In no case, however. should such increases be more than the maximum amounts authorized under 1.0 and 2.0 above.

5.0 An additional two-step increase (approximately ten percent) in the basic pay of national teachers and SUC faculty. In effect, teachers will actually receive a total of 4-step increase or approximately 20% in basic pay (1.0 5.0). 6.0 An adjustment of the salaries and cost-of-living allowances of local teachers to bring them to the level of national teachers as adjusted under 2.0 and 5.0 above.

SOURCE OF FUNDS

7.0 Funds needed to implement this Order with respect to National Government personnel shall be taken from:

7.1 Salary lapses and other personal
services savings of the ministry/
bureau/office/agency/state uni-
versity/college concerned as a
first priority funding source.
7.2 The lump sum appropriation for
salary increases incorporated
in the budgets of National Gov-
ernment agencies and offices.
7.3 Funds re-aligned from less-es-
sential and non-essential gov-
ernment activities and those re-
allocated from other low-prior-
ity programs of the government.
7.4 Any remaining deficiency shall
be covered by the Salary Ad-

justment Fund authorized in CY 1986 General Appropriations Act.

8.0 Funds for the salary and COLA adjustment of local teachers shall be charged against the internal revenue allotments to Local Government Units and available local government funds.

9.0 Local government units are likewise authorized to grant the same two-step salary increase and additional COLA provided herein, subject to availability of local government funds and to the rules and conditions to be prescribed by the Joint Commission on Local Government Personnel Administra

ANNEX 1

LIST OF AGENCIES ADOPTING THE OP (Office of the President) PAY PLAN NOT INCLUDED IN THE 10% SALARY ADJUSTMENT

OFFICE OF THE PRESIDENT (Proper)

Presidential Management Staff

Office of Budget and Management
National Computer Center

Commission on Filipino Overseas
National Cartography Authority
National Manpower and Youth Council
National Science Technology
Authority

National Academy of Science and
Technology

Philippine Council for Agriculture and
Resources Research Development
Philippine Council for Health Research
and Development

Food and Nutrition Research Institute
Philippine Council for Industry and
Energy Research and Development
Forest Product Research and
Development

Materials Science Research Institute
National Institute of Science and
Technology

Philippine Institute of Volcanology
and Seismology

Philippine Invention Development
Institute

Science Promotion Institute

National Research Council of the Philippines

Philippine Science High School

Movie and Television Review and Classification Board