Republic of the Philippines

Province of Surigao del Sur

MUNICIPALITY OF MARIHATAG
-oOo-

Office of the Municipal Mayor

EXECUTIVE ORDER NO. 13
(Series of 2015)
PROVIDING THE POLICY GUIDELINES FOR THE HIRING OF PERSONNEL UNDER
CONTRACT OF SERVICES/ JOB ORDER
WHEREAS, the practice of hiring individuals through contract of service or job order
invariably impacts on public personnel administration, notwithstanding the fact that such
contract of service or job order does not create an employment relationship;
WHEREAS, in recognition of the need to augment the LGU Marihatags manpower
complement by way of outsourcing personnel services in the exigency of the service, a clear
definition of the various conditions whereby employment of such job order personnel may be
availed of is imperative so as to put the practice in its proper perspective given the scarce
resources of the local government, in accordance with OP Memo Circular No.1, s. 2010 and its
implementing guidelines; CSC Resolution No. 02-0790 dated 5 June 2002 (as circularized in
CSC Memorandum Circular No. 17, s. 2002), its amendment particularly CSC MC No. 12, s.
2004, the pertinent DBM and Civil Service rules and regulations and the usual government
rules and regulations;
NOW THEREFORE, I, ALAN A. PELENIO , Municipal Mayor of the Municipality of
Marihatag, Province of Surigao del Sur, by virtue of the powers vested upon me by law do
hereby order:
SECTION 1. Title. This order shall be referred to as the Policy Guidelines for the
Hiring of Personnel Under Contract of Services/ Job Order.
SECTION 2. Definitions. Contract of Service or COS refers to the engagement
by a government agency of the services of a person to undertake a specific work or job
requiring special or technical skills not available in the agency, to be accomplished within a
specific period not exceeding one (1) year.
Job Order or JO refers to a contract whereby a worker is hired by a government
agency to do a piece work or intermittent job of short duration not exceeding six (6) months, and
paid on a daily basis.
In either case, the contracts or orders do not establish an employer-employee
relationship, services rendered are not considered government service, and the worker does not
enjoy the benefits enjoyed by regular government employees, such as Personnel Economic
Relief Allowance, Cost of Living Allowance, Representation and Transportation Allowance, midyear bonus, productivity incentive, Christmas bonus, and cash gifts.
For purposes of this Executive Order, contracts of service and job orders shall include
similar arrangements, regardless of designation, where no employer-employee relationship
exists between the hiring agency and the worker such as confidential employees and
consultants not covered by Republic Act No. 9184, as long as they are paid under an agencys
MOOE budget.

SECTION 3. Jobs/Functions to be Directly Outsourced. In general, hiring of

personnel under individual contract of services /job order maybe allowed for the following
jobs/functions:
1.

For jobs that require special or technical skills and the same is not available in the
agency, to be accomplished within a specific period not exceeding one (1) year, such as
Contracts of Services or the hiring of consultants subject to Republic Act 9184, if
applicable, and personnel engaged to perform work for special projects;

2.

For piece work or an intermittent job of short duration not exceeding six (6) months such
as Job Orders and pay is on a daily basis, and the job to be performed is to be
accomplished under the worker's own responsibility and with minimum supervision by
the hiring agency;

3.

For jobs where the functions to be performed are clerical or administrative in nature, or
where the services are ought to be performed by a regular personnel but such services
are needed in the exigency of the service and it is not feasible for the agency to hire said
services under a regular appointment due to budgetary constraints (JO or COS);

4.

For functions performed by a driver/ chauffeur, a bodyguard and a utility worker (JO); or

5.

For jobs requiring frontline and vital services in the agency concerned, as may be
necessary (JO).
SECTION 4. Prohibitions.

1.

Those who have been previously dismissed from the service due to commission of an
administrative offense;

2.

Those who are covered under the rules of nepotism;

3.

Those who are being hired to perform functions pertaining to vacant regular plantilla
positions or those functions which were declared redundant or no longer relevant under
the approved Rationalization Plan;

4.

Those who have reached the compulsory retirement age of sixty-five (65), except that of
consultancy services; and

5.

Those who are found to possess fake or spurious eligibilities (CSC MC No. 12, s. 2004
dated 14 June 2004).

SECTION 5. Provisions in the Contract of Services or Job Order. The following

provisions must be stipulated in the Contract of Services or Job Order:
1.

That the services cannot be performed by a regular personnel and they are necessary in
the exigency of the service;

2.

That the person to be hired signified intent which was considered by the hiring agency;

3.

The person to be hired possesses the education, experience or skills required to perform
the job required;

4.

That the person to be hired has not been previously dismissed from the service by
reason of an administrative case;

5.

That the person to be hired has not reached the compulsory retirement age of sixty-five
(65) years;

6.

That the person to be hired shall perform functions of a specific position for a specific
period of time (to be specified/ indicated);

7.

That the compensation of the person to be hired need not corresponds to the salary
grade of the position/ job to be contracted out on a monthly basis, inclusive of taxes, if
any, subject to accounting and auditing rules and regulations;

8.

For purposes of consistency and cost-effectiveness and depending on the availability of

funds, drivers/chauffeurs of the officials shall be paid the hiring rate for SG-4, SG-5 or
SG-6; the compensation for other positions to be contracted out shall be based on the
hiring rate of the particular salary grade, if feasible;

9.

That the person to be hired is not entitled to benefits enjoyed by government employees
such as PERA, ACA, RATA, and other benefits such as mid-year bonus, productivity
incentive, Christmas bonus, and cash gifts.;

10.

That the person to be hired shall be entitled to year-end bonus equivalent to one (1)
month compensation following the practice under Philippine Labor Laws for the private
sector;

11.

That the person to be hired has no relationship within the third degree of consanguinity
or affinity with the contracting officer and the appointing authority except those holding
positions of trust and confidence in accordance with CSC rules and regulations;

12.

That the services to be rendered shall not be credited as government service and that
the contract of the service and job order are not covered by the Civil Service
Commission rules and regulations but covered by COA rules and regulations;

13.

That there exists no employer-employee relationship between the hiring agency and the
person hired;
SECTION 6. Procedures in Hiring.

1.

The concerned agency head with endorsement from the Municipal Budget Officer shall
submit to the Municipal Mayors Office (MMO) a request for authority to hire personnel
under contract of service/job order. The request must be supported by a justification for
hiring and the statement of functions to be performed, as well as, the Annual Work
Program of the concerned office reflecting the hiring of job order or contract of service
personnel for a specific or a particular program or activity;

2.

Human Resource Management Office (HRMO) must be furnished with a copy of the
request to be able to start searching for qualified applicants if the agency head has no
recommendee/s. Qualified applicants from the active files to be considered for the
position including those who are recommended by the end-user/s, shall undergo basic
basic on-the-job (OJT) training, if the need arises, otherwise the application shall be
automatically given due course;

3.

Preliminary interview of the applicant by the HRMO and in-depth interview by the enduser may be conducted;

4.

Once the MMO approves the recommendations submitted by the agency head and
endorse by the HRMO, a Contract of Services shall be prepared by the MMO staff. The
prospective appointee shall be required by HRMO to accomplish the Personal Data
Sheet Form in triplicate copies;

5.

A certification of Availability of Funds (CAF) and a duly signed Obligation / Request

(OBR) must support the contract;

6.

Said contract shall be endorsed to Office of the Municipal Administrator for review prior
to the signature of the appointing authority;

7.

If required, the prospective appointee shall be requested to undergo physical and

medical examinations by a government medical officer to ensure fitness to the job and
shall be required to submit the following documents: Police clearance, Tax Identification
Number (TIN), and Pag-ibig member's Data Form (MDF), if any;

8.

Once the contract is signed by the appointing authority, the job-order or contract of
service personnel may already assume the position.
SECTION 7. Attendance Monitoring and Payment of Salaries.
1. A personnel hired on a contract of service/job order shall be required to report to the
office observing a work schedule as may be required by his/her immediate supervisor to
be able to perform his/her assigned tasks efficiently and effectively. A written advice on
the chosen schedule, duly signed by the immediate supervisor and acknowledged by the
individual concerned must be furnished the HRMO for timekeeping purposes;
2. He/she shall be required to submit a duly-signed Daily Time Record (DTR) together with
the Accomplishment Report and Certification of Services Rendered to support the claim
for payment of salaries covering the period of services rendered. Payment of salaries
shall be done after every end of the month;
3. DTRs and supporting documents shall be submitted to the MMO staff during the first
week of the ensuing month for the period covering the preceding month;
4. Processing of the salaries shall be done through a general payroll. Individual vouchers
shall be done for initial and last salary; and
5. Any absences, tardiness and under time incurred shall be deducted against his/her
salary based on the number of working days/hours as per schedule agreed upon;
SECTION 8. Other Compensation.

1.

It is understood that the contracted individual is expected to deliver the required

services/obligation as specified under the contract within the period covered;

2.

As for drivers of the officials and staff drivers, they shall be entitled to meal allowance
amounting to _______ per day, after rendering at least three (3) hours of service
exceeding the eight (8) hour service during weekdays; on Saturdays, Sundays and
holidays, they shall be entitled to the full amount of _________, regardless of the
number of hours of service rendered;

3.

Following the practice under Philippine Labor laws, the job-order or contract of service
employee shall be paid year-end bonus equivalent to one (1) month compensation in
accordance with existing government guidelines which is determined on a year to year
basis, subject to availability of funds;

4.

Contract of service or job-order personnel may be allowed to go on official local travel for
the purpose of (a) undertaking official mission/tasks which cannot be performed by/or
assigned to any other regular/permanent official and/or employee of the agency, and/or
(b) performing tasks/activities necessary to be able to fulfill the obligations as contained
in his/her contract of service. In both cases, the travel shall involve the minimum
expenditure and is expected to bring immediate benefit to the agency;

5.

The purpose of official local travel as herein provided shall be clearly and specifically
stated in the approved travel request/order which shall likewise contain the
corresponding entitlements, duly supported by an approved itinerary of travel to provide
basis for payment of travel expenses (meals, hotel/lodging and incidental expenses), on
reimbursement basis, based on the rates provided under the provisions for official local
travel as prescribed by COA Circular No. 96-004 dated April 19, 1995 and Executive
Order No. 298 dated March 23, 2004;

6.

Said reimbursement of actual travel expenses, not to exceed the prescribed rates,
including land transportation fares, shall be subject to the submission of receipts, bus
tickets, and a Certificate of Travel Completed, together with other evidences/proof of
travel completed including a Terminal Report. Procurement of air tickets, for such official

travels shall be made thru canvass to establish the lowest cost offered thru send-bill
arrangement with the airline company/travel agency;
7.

He/she may be allowed to attend in-house and/or outside seminars/training programs of

short duration (maximum of five (5) days) related to/or in connection with his/her
task/functions, as recommended by his immediate supervisor and approved by the Local
Chief Executive concerned, to enable him/her to be more efficient and effective in the
rendition of the contracted service, provided that such attendance shall not hinder the
operation of the workplace to which he/she is assigned. In case where the numbers of
slots/participants are limited, priority, however, shall be given to regular employees of the
agency.
SECTION 9. Renewal of Contract of Service/ Job Order.

1.

A performance evaluation instrument shall be established by the HRMO in coordination

with the Municipal Mayors Office (MMO) which shall serve as basis for the renewal of
the contracts of the concerned personnel;

2.

The performance evaluation form shall be accomplished by the concerned unit I head
and must be submitted with the corresponding recommendations to HRMO one month
prior to the termination of the contract;

3.

Result of the performance evaluation shall be attached to the request for renewal of the
contract to the appointing authority thru the concerned unit / head;

4.

Renewal of contract of service/job order shall be subject to availability of funds as

certified by the Municipal Budget Officer.

5.

Existing contracts of services may be renewed upon favorable recommendation of the

Local Chief Executive. Existing job orders shall be considered automatically renewed as
of the effectivity of this Executive Order but their services shall end on December 31,
2015, in which case they will be required to sign a document for Job Order every six
months thereafter and until such time that a Notice of Termination is furnished the
employee/s concerned indicating the last day of the service for purposes of payroll
computation
SECTION 10. Effectivity. This Executive Order shall take effect immediately.

Done in the Municipality of Marihatag, Province of Surigao del Sur, Philippines,

this _____ day of September, 2015.

ALAN A. PELENIO
Municipal Mayor