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Including COLA in State Workers' Salary Legal - SC

Manila Bulletin, March 23, 2010 | Article details

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Including COLA in State Workers' Salary Legal - SC


The Supreme Court has unanimously affirmed the legality of two circulars of the Department of Budget Management (DBM) that integrated the cost of living allowances (COLA) into the basic salary of government workers.The circulars the National Compensation Circular (NCC) 59 and Corporate Compensation Circular (CCC) 10 were issued in 1989 in line with the implementation of Republic Act 6758 or the Salary Standardization Law.In a 23-page decision penned by Associate Justice Roberto A. Abad, the High Court said it found the inclusion of COLA in the standardized salary rates of civil servants proper.The court said RA 6758 did not bar the DBM from identifying for the purpose of

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