December 4, 2022

The city council passed an ordinance adopting Administrative Order 38 which authorizes the grant of gratuity pay for fiscal year 2020 to job order and contract of service workers in the government.
The ordinance authored by Councilor Betty Lourdes Tabanda is awaiting Mayor Benjamin Magalong’s approval.
The AO was issued by President Rodrigo Duterte through Executive Secretary Salvador Medialdea on Dec. 28, 2020.
Section 5 of the administrative order provides that local government units are encouraged to grant gratuity pay using available funds of the LGU.
Under the ordinance and the AO, all job order workers who have rendered a total or an aggregate of at least four months of satisfactory performance of services as of Dec. 15, 2020 and whose contracts were effective as of the same date, may be granted a one-time gratuity pay not exceeding P3,000.
Those who have rendered less than four months of service may also be granted the one-time gratuity pay on a prorated basis as follows:
Three months or more but less than four months – not exceeding P2,000;
Two months or more but less than three months – not exceeding P1,500; and
Less than two months – not exceeding P1,000.
The gratuity pay will come from an obligated fund in the amount of P950,000 under the Office of the Mayor.
Job order and contractual workers do not have the same benefits of government employees as they have no “employer-employee relationship” with the government.
“A year-end gratuity pay to these workers is a well-deserved recognition of their hard work,” the AO states.
In 2020, an administrative order was also issued authorizing the grant of gratuity pay to job order and contract of service workers for fiscal year 2019. – Jordan G. Habbiling