Home Business and Money Contractual government workers to receive year-end gratuity pay or bonus

Contractual government workers to receive year-end gratuity pay or bonus

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President Rodrigo Duterte has signed Administrative Order No. 2, which authorizes the grant of gratuity pay or bonus for government workers on job order or who are employed on a contractual basis.

Government employees on job orders or contract of service (COS) do not enjoy benefits accorded to regular employees like the “Mid-Year” and “Year-End” bonuses, Performance Based Bonuses (PBB), Personal Economic Relief Allowance (PERA), among others, considering that they have no employee-employer relatonship with the government.

“Granting a year end gratuity pay to these workers is a well-deserved recognition of their hard work,” the administrative order stated.

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All workers whose services are engaged through JO and COS and who have rendered a total or an aggregate of at least four (4) months of satisfactory service as of December 15, 2016 and whose contracts are still effective as of same date, may be granted a one-time Gratuity Pay not exceeding Php 2,000 each.

Those who have rendered less than four (4) months of satisfactory service as of December 15, 2016 and with effective contacts as of the same date may also be granted with a one-time Gratuity Pay not exceeding Php 1,000 each.

The AO covers those workers whose services are engaged through JO, COS and similar schemes by national government agencies, state universities, government owned and controlled corporations, abd government financial institutions.

 

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