ILOILO CITY, July 8 (PNA) — Employees of local government units (LGUs) can avail of the Productivity Enhancement Incentive (PEI) provided it will not exceed their personnel services (PS) ceiling.
Executive Order 181 (EO 181) has provided guidelines for the provision of the PEI, said Budget and Management regional director Alfonso Bedonia Jr.
Bedonia explained that once the LGU exceeds its PS cap then it will be a subject for disallowance by the Commission on Audit (COA).
He added that it is up for local government units to determine if how much and when they are going to give the incentive as long as it is not earlier than June 1 and not later than end of December 2015, he added.
The PEI provides that the maximum amount shall be the basic one month salary of the employee.
They may source their fund from their savings or available income. They may even pass a supplemental budget for that purpose if they have available sources, he said.
Aside from the PS cap, LGUs should also comply with the requirements of the Good Financial Housekeeping, a component of the 2014 Seal of Good Local Governance of the Department of Interior and Local Government (DILG). (PNA)