President Ferdinand R. Marcos Jr. has issued Administrative Order No. 39 authorizing a one-time gratuity pay of up to ₱7,000 for contract of service (COS) and job order (JO) workers in government for Fiscal Year 2025.
The order covers workers in national government agencies, state universities and colleges, government-owned or -controlled corporations, and local water districts whose contracts remain effective as of December 15, 2025.
Eligible workers who rendered at least four months of actual satisfactory service by December 15 may receive the full ₱7,000, while those with shorter service will receive pro-rated amounts ranging from ₱4,000 to ₱6,000.
The directive clarifies that “actual service” refers to on-site work, though agency heads may consider alternative work arrangements as actual service depending on funds and internal guidelines.
For NGAs and SUCs, the gratuity pay will be charged to available Maintenance and Other Operating Expenses allotments, while GOCCs and local water districts must use their approved corporate operating budgets.
Local government units are encouraged to adopt similar gratuity pay schemes using their respective local funds and, if needed, may pass supplemental budgets to support the payout.
The order states that payments shall not be released earlier than December 15, 2025, and empowers the Department of Budget and Management to issue supplemental guidelines for implementation.
Administrative Order No. 39 takes effect immediately upon publication in the Official Gazette or in a newspaper of general circulation.
