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January 24, 2019

MEMORANDUM No�-2019-008-7

TO ALL ELECTRIC COOPERATIVES (ECs)

SUBJECT Revised Salary Scale for EC General Managers

I. PURPOSE

The General Manager (GM) of an Electric Cooperative (EC) manages a very intricate
electricity business with several segments under the RA 9136 thus, compensation
must essentially be competitive and within the standards of the industry to attract and
retain competent executives in the EC. The revised salary scale shall likewise enable
the GMs to cope with the prevailing rate of inflation.

Salary increase shall mean higher expectations from the GM in terms of

accomplishments and commitment. The point rating system is revised to include the
EC Overall Performance Assessment Rating as basis for salary upgrading.

II. POLICY

It shall be the policy of this Office to establish a Salary Scale for General Managers
that is attractive to competent professionals, be responsive as well to prevailing
economic conditions, and to maintain a roster of adequately compensated, highly
motivated and performance-oriented General Managers.

Ill. POINT RA TING SYSTEM

---··- -----·---······-----·--· ----------------�-

Overall
Parameters Equivalent Point
Rating
1. EC Overall Performance 95 95%
A?.s.essm�nt Rati�g
2. Others 5%
Completion of Sitio 5
Electrification /Barangay Line
Enhancement Projects
funded by subsidy
- -· -
TOTAC.SCORE 100 100%

REPUBLIC OF THE PHILIPPINES

--·-··---ttv-•i:tW·�tR---- ?'!ATIONAL ELRC11UFlCATION ADM!NI/,TRATION
Ofi�1ili .i 11;, ·1�tl�MiL i��tiillSlllATIVE REGISTER QUP.7.0NCITY
AJ..,,.,,,tt.1i..., t,:utu d"d t.toqulalions OFFICE OF THE CORPORATI� SF.CRl'.TARY

TIJ) 11'\ I
JAN 3 1 2019
CERTIFr: 'TRUE COPY

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(02) 929-1909
www.nea.gov.ph
IV. STEP INCREMENTS

A. Outstanding Performance
In addition to the criteria, a General Manager who maintains his coop's "AAA"
rating under the EC Overall Performance Assessment Rating for a number of
consecutive years is entitled to step increases reckoned from the base salary of
the rank corresponding to the total number of points garnered, as provided below:

�-----------······------··�--------�
No. of consecutive Years Step l�crease
at least 3 1
4 to 6 2
7-11 3
12 and beyond 4

B. Professional Upgrading

1. A General Manager who finishes the Chief Executive Officer Competency­

based Leadership Program Self-Development Course or its equivalent as
determined by tile NEA is entitled to a one-time rank increment; and

2. A General Manager who has earned a masteral/post graduate degree during

his incumbency one (1) year prior to retirement is also entitled to a one-time
rank increment.

V. MECHANICS OF IMPLEMENTATION

1. The Board of Directors may grant a salary increase to the GM based on good
performance every two (2) years. The increase shall be guided by a point system
in the EC Overall Performance Assessment Rating; the results should be at
least 90% to qualify for the salary upgrading;

2. The Board may grant the salary increase for the score of ninety seven (97) and
above prescribed in the revised salary scale if any of the following instances are
also present:

a) The GM manages several business segments of the EC pursuant to RA

9136;and
b) The GM oversees the operations of other related businesses of the EC;

Such businesses must

• be earning profit.
The EC Board may grant the salary equivalent to the score of 97 and above in
the revised salary scale if any of the instances cited in the policy is present and
earning profit or additional revenue to the cooperative. In the absence of such
instances, the highest salary that may be granted shall only be equivalent to the
score of 96.

3. Salary upgrading shall be suspended/deferred in any one of the following

instances:

a) Cumulative loss immediately preceding the six (6) months operation;

b) Marked downtrend on previous years operations based on performance
evaluation;
c) Pending administrative case with NEA;
 d) With adverse findings in the NEA audit report and after evaluation of
Managements' justifications; and
e) Non-submittal/non-compliance to reportorial requirements.

4. Any adjustment in the General Manager's salary shall take effect only upon
approval by the NEA Administrator.

Attached are the Salary Scales according to the classification of the ECs.

VI. AMENDATORY CLAUSE

This supersedes Memorandum 2015-019, Series of 2015, "New Salary Scales for
General Managers".

VII. EFFECTIVITY

This Policy shall take effect fifteen (15) days upon filing with the University of the
Philippines (UP) Law Center pursuant to the Presidential Memorandum Circular No.
11, dated October 9, 1992.

�
EDGARDO R. MASONGSONG
Administrator
NATIONAL ELECTRIFICATION
ADMINISTAATION

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NE,\-OA25971!1 �

Approved by the NEA Board of Administrators in its meeting held on 24 January 2019.
 GMs Salary Scale for Small ECs

STEPS
Score Rank Base Step Inc.
Rank Inc. 1 2 3 4
99-100 10 220,000 16,308 4,403 224,403 228,807 233,210 237,613
98 9 203,692 15,099 3,262 206,954 210,215 213,477 216,738
97 8 188,594 13,980 3,020 191,613 194,633 197,653 200,673
96 . 7 174,614 12,943 2,796 177,410 180,206 183-,002 185,798
95 6 161,671 11,984 2,589 164,259 166,848 169,437 172,025
94 5 149,687 11,096 2,397 152,084 154,480 156,877 159,274
93 4 138,591 10,273 2,219 140,810 143,030 145,249 147,468
92 3 128.318 9,512 2,055 130,373 132,427 134,482 136,537
91 2 118,807 8,807 1,902 120,709 122,611 124,514 126,416
90 1 110,000 1,761 111,761 113,523 115,284 117,045
 GMs Salary Scale for Medium ECs

STEPS
Score Rank Base Step Inc.
Rank Inc. 1 2 3 4
99-100 10 240,000 17,790 4,804 244,804 249,607 254,411 259,214
98 9 222,210 16,471 3,558 225,768 229,326 232,884 236,442
97 8 205,739 15 . 250 3,294 209,033 212,327 215.621 218,916
96 7 . 190,488 14,120 3,050 -193,538 196,588 199,638 202,688
95 6 176,368 13,073 2,824 179,192 182,016 184,840 187,664
94 5 163,295 12,104 2,615 165,909 168,524 171,139 173,753
93 4 151,191 11,207 2,421 153,611 156,032 158,453 160,874
92 3 139,983 10,376 2,241 142,225 144,466 146,708 148,949
91 2 129,607 9,607 2,075 131,682 133,758 135,833 137,908
90 1 120,000 1,921 121,921 123,843 125,764 127,686
 GMs Salary Scale for Large ECs

STEPS
Step Inc.
Score Rank Base Rank Inc. 1 2 3 4
99-100 10 260,000 19,273 5,204 265,204 270,408 275,612 280,816
98 9 240,727 17,844 3,855 244,582 248,436 252,291 256,145
97 8 222,883 16,521 3,569 226,452 230,021 233,590 237,159
96 7 206,362 15,297 3,304 209,666 212,971 216,275 219,579
95 6 191,065 14,163 3,059 194,125 197,184 200,243 203,303
94 .. 5 176,903 13,113 2,833 179,735 182,568 185,400 188,233
93 4 163,790 12,141 2,623 166,412 169,035 171,658 174,280
92 3 151,649 11,241 2,428 154,077 156,505 158,933 161,362
91 2 140,408 10,408 2,248 142,656 144,904 147,152 149,401
90 1 130,000 2,082 132,082 134,163 136,245 138,326
 GMs Salary Scale for Extra Large ECs

STEPS
Rank Inc. Step Inc.
Score Rank Base 1 2 3 4
99-100 10 280,000 20,755 5,604 285,604 291,208 296,813 302,417
98 9 259,245 19,217 4,151 263,396 267,547 271,698 275,849
97 8 240,028, 17,792 3,843 243,872 247,715 251,558 255,402
· 96 7 222,236 16,473 3,558 225,795 229,353 232,911 236,470
95 6 205,763 15,252 3,295 209,057 212,352 215,647 218,941
94 5 190,511 14,122 3,050 193,561 196,611 199,662 202,712
93 4 176,389 13,075 2,824 179,213 182,038 184,862 187,686
92 3 163,314 12,106 2,615 165,929 168,544 171,159 173,774
91 2 151,208 11,208 2,421 153,630 156,051 158,472 160,893
90 1 140,000 2,242 142,242 144,483 146,725 148,967
 ' .

. .
GMs Salary Scale for Mega Large ECs

STEPS
Score Rank Base Rank Inc. Step Inc.
1 2 3 4
99-100 10 300,000 22,238 6,004 306,004 312,009 318,013 324,018
98 9 277,762 20,589 4,448 282,210 286,657 · 291,105 295,552
97 8 257,173 19,063 4,118 261,291 265,409 269,527 273,645
96 7 238,110 17,650 3,813 241,923 245,735 249,548 253,361
95 6 220,460 16,342 3,530 223,990 227,520 231,050 234,580
94 5 204,119 15,130 3,268 207,387 210,655 213,924 217,192
93 4 188,988 14,009 3,026 192,014 195,040 198.066 201,092
92 3 174,979 12,970 2,802 177,781 180,583 183,385 186,186
91 2 162,009 12,009 2,594 164,603 167,197 169,791 172,385
90 1 150,000 2,402 152,402 154,804 157,205 159,607
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January 30, 2019

THE DIRECTOR
Office of the National Administrative Register
University of the Philippines Law Center
U:P Law Center, Diliman
Quezon City

Sir:

Pursuant to Book VII, Chapter 2, Section 3 of the 1987 Administrative Code of the
Philippines, we are respectfully submitting to the U.P Law Center for filling, publication and
recording the attached certified true copies of the "REVISED SALARY SCALE FOR
ELECTRIC COOPERATIVE GENERAL MANAGERS" promulgated by the National
Electrification Administration (NEA) in accordance with its authority under Section 5 of
P.D. No. 269 as ainen<i;ed.

Thank yo� v�ry.much for.the usual and kind assistance of the U.P Law Center.

Very truly yours.

ATTY.ALEXANDERPAUL T.RIVERA
Acting Deputy· Administrator for Legal 'services
Ap.d Corp.orate Board Secretary V

(02) 929-1909
www.nea.gov.ph