TO: The Heads of National Government Agencies including State Universities and Colleges, Government-Owned or Controlled Corporations, Local Government Units, and all Others Concerned
SUBJECT : Clarification on the Procedure for the Release of Year-End Bonus (YEB) and Cash Gift for FY 2015
1.0 This Circular is being issued to clarify the release of YEB and Cash Gift pursuant to Section 59, General Provisions of the FY 2015 General Appropriations Act which states:
"Section 59. Year-End Bonus and Cash Gift. The year-end bonus equivalent to one (1) month basic salary and additional cash gift of Five Thousand Pesos (P5,000) provided under R.A. No. 6686, as amended by R.A. No. 8441, shall be granted to all National Government officials and employees, whether under regular, temporary, casual or contractual status, on full-time or part-time basis, who have rendered at least a total of four (4) months of service including leaves of absence with pay from January 1 to October 31 of each year, and who are still in the service as of October 31 of the same year. One half (1/2) of said year-end bonus and cash gift may be paid not earlier than May 1, for employees who have rendered at least a total of four (4) months of service have been rendered regardless of whether or not they will still be in the service as of October 31 of the same year, except if the one (1) month productivity enhancement incentives has been granted to them, in which case they will receive the full year-end bonus not later than November 15 of the same year. )00C If )oo( "The grant of the year-end bonus and/or cash gift shall be subject to the provisions of B.C. No. 2010-1 dated April 28, 2010 and such other pertinent guidelines issued by the DBM." (Underscoring supplied)
2.0 To ensure uniform application of the above provisio, the remaining half or balance of the YEB and Cash Gift shall be released not earlier than November 15, 2015 following Budget Circular No. 2010-1 dated April 28, 2010.
3.0 The requirement under Section 59 of the FY 2015 GAA to release the YEB and Cash Gift not later than November 15 shall apply only to agencies which have not yet released their one-month YEB and Cash Gift in full.