MANILA – The Department of Budget and Management (DBM) has begun implementing the third tranche of the updated salary schedule for civilian government personnel effective January 1, 2026, in line with the commitment of President Ferdinand R. Marcos Jr.

“Pangakong salary increase sa mga kawani ng gobyerno, tinupad ni Pangulong Ferdinand R. Marcos Jr.,” Presidential Communications Office (PCO) Undersecretary and Palace Press Officer Claire Castro said during a press briefing in Malacañang on Monday.

Castro said the salary increase is based on National Budget Circular (NBC) No. 601 dated January 22, which was issued by the DBM under Acting Secretary Rolando Toledo.

She said NBC No. 601 stems from President Marcos’ Executive Order (EO) No. 64, series of 2024, which directed that salary increases for government workers be implemented in four tranches from 2024 to 2027.

“Naniniwala si Pangulong Marcos Jr. na nararapat lang mabigyan ng tamang pagkilala ang mga kawani ng pamahalaan na walang humpay na nagsisilbi sa bayan,” Castro said.

According to Castro, Secretary Toledo said the salary increase mandated under EO No. 64 aims to improve the well-being of government employees and strengthen the civil service.

NBC No. 601 covers all civilian government personnel, whether regular, casual, or contractual; appointive or elective; and full-time or part-time, across the executive, legislative, and judicial branches.

The Circular also applies to civilian personnel in constitutional commissions and constitutional offices, state universities and colleges, and government-owned or controlled corporations (GOCCs) that are not covered by Republic Act No. 10149, or the GOCC Governance Act of 2011, and EO No. 95, series of 2025, which approved the Compensation and Position Classification System (CPCS) II and pay grades for GOCCs.

The DBM said those excluded from the Circular include military and uniformed personnel; GOCCs covered by a CPCS established by the Governance Commission for GOCCs and approved by the President; and individuals engaged without an employer-employee relationship, such as job order and contract of service workers, and consultants.

The fourth and final tranche of the salary increase is set to take effect on January 1, 2027.