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PBBM issues EO creating new pay system for GOCCs

Manila Bulletin

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September 19, 2025

President Ferdinand R. Marcos Jr. has issued Executive Order (EO) No. 95 establishing a new Compensation and Position Classification System II (CPCS II) for government-owned and -controlled corporations (GOCCs), replacing the previous framework issued in 2021.

- By ARGYLL CYRUS GEDUCOS

The EO, signed on Sept. 16, directs the Governance Commission for GOCCs (GCG) to implement the updated system, which was developed after consultations with stakeholders and a review of CPCS I.

The CPCS II seeks to correct job grade distortions, rationalize pay structures, and improve employee health benefits.

Under the new rules, CPCS II applies to all GOCCs, Government Financial Institutions, and other corporate entities not excluded under Republic Act No. 10149. It covers all positions, whether regular, contractual, or casual, in both chartered and non-chartered corporations. GOCCs under merger, consolidation, or privatization, however, are excluded from the system.

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