National Tobacco Administration v.

COA
FACTS: In 1989, R.A. 6758, an act for the revised compensation and position
classification in the government was passed. Prior to the effectivity of R.A. 6758,
employees of the NTA have been enjoying a Mid-Year Amelioration Benefit, later
renamed to Educational Assistance to reflect the rationale behind.
However, for the years 1993 and 1994, the said benefit was disallowed on the ground
that there was no statutory authority granting the same.
The first sentence of Section 12, R.A. 6758 provides for the allowances excepted
from the prescribed salary rates and a reflection on the nature of subject fringe
benefits enumerated therein indicates that all of them belong to the category on
privilege called allowances usually granted to employees to defray for the
expenses incurred in the performance of their functions.
Here, the challenged financial incentive is in the nature of financial assistance as the
same is awarded to encourage the beneficiaries to pursue further studies and to help
them underwrite the expenses for the education of their children and dependents.
This is covered on the second sentence of Section 12 in relation to Section 17 of
R.A. 6758, considering that: the recipients were incumbents when R.A. 6758 took
effect; were in fact receiving the benefit at the time; and such additional
compensation is distinct and separate from those listed in the first sentence of
Section 12 as the former is not integrated into the standardization salary rate.
Thus, the conclusion that the educational assistance should continue to be authorized.
ISSUE: WON educational assistance given to individuals prior to the enactment of RA
6758 should be continued to be received?
RULING: YES. Proper interpretation of Section 12 RA 6758 depends on the
combination of first and second paragraph.
First sentence states that such other additional compensation not otherwise specified
as may be determined by the DBM shall be deemed included in the standardized salary
rates herein prescribed. The second sentence states such other additional
compensation, whether in cash or in kind, being received by incumbents only as of July
1, 1989 not integrated into the standard shall continue to be authorized.

Apparently conflicting provisions reconciled

Included in the rule of construing statute as a whole, is the reconciling and harmonizing
conflicting provisions because it is by this that the statute will be given effect as a whole.