RMC No. 85-2021: Publishes the full text of the IATF Memorandum Circular No. 2021-1 dated June 3, 2021, by the Secretary of Department of Budget and Management and Chairman of Administrative Order 25 Inter-Agency Task Force, entitled “Guidelines on the Grant of the Performance-Based Bonus (PBB) for the Fiscal Year 2021 under EO No. 80, s. 2012 and EO No. 201, s. 2016”

Summary

RMC No. 85-2021 publishes the full text of AO 25 IATF Memorandum Circular No. 2021-1, the guidelines on the Performance-Based Bonus (PBB) for Fiscal Year (FY) 2021 under EO No. 80, s. 2012 and EO No. 201, s. 2016.

Key points

1. Coverage. The FY 2021 PBB covers national government departments, bureaus, offices and agencies, including Constitutional Commissions, Congress, the Judiciary, SUCs, GOCCs, Local Water Districts and LGUs. It covers personnel in regular, contractual and casual positions, but not individuals engaged without an employer-employee relationship and funded from the non-Personnel Services budget.
2. Agency eligibility. An agency must satisfy four dimensions: Performance Results, Process Results, Financial Results and Citizen/Client Satisfaction Results. Each is rated 1 to 5, the maximum score is 100 points, and an agency needs at least 70 points, which a rating of 4 in at least three criteria gives. The unit most responsible for any criterion rated below 4 is isolated from the grant.
3. Criteria details. Performance Results are the Congress-approved performance targets, tracked through quarterly BFARs submitted within thirty (30) days after each quarter. Financial Results are scored by Disbursements BUR from 1-19% (rating 1) to 80-100% (rating 5), and Citizen/Client Satisfaction requires the Citizen/Client Satisfaction Survey and resolution of Hotline #8888 and Contact Center ng Bayan complaints.
4. Individual eligibility. Employees in the First, Second and Third Levels need a rating of at least Very Satisfactory. Nine (9) months of service gives the full grant, and three (3) to less than nine (9) months gives a pro-rata share from 40% to 90%.
5. Not eligible. Those not entitled include employees on leave for the entire year and personnel found guilty in administrative or criminal cases by final and executory judgment in FY 2021. They also include officials and employees who failed to submit the 2020 SALN or failed to liquidate FY 2021 cash advances on time.
6. Rates and submission. The maximum PBB is 65% of monthly basic salary as of December 31, 2021 for 100 points, and 45.5% for 70 points. Agencies submit evidence on or before February 28, 2022, and a prohibited act disqualifies the agency from the PBB in the succeeding year.

Who is affected

• National government agencies, SUCs, GOCCs, Local Water Districts and LGUs
• Personnel in regular, contractual and casual positions

Deadlines and effectivity

• Evidence submission: on or before February 28, 2022
• Quarterly BFARs: within thirty (30) days after each quarter
• Full grant: minimum nine (9) months of service

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.