Rationalization Rationalization ProgramProgram

USec Teresita Samson USec Teresita Samson CastilloCastillo

Co-Chair, DENR Change Management TeamCo-Chair, DENR Change Management Team

Executive Order No. 366Executive Order No. 366

Directing a Strategic Review of the

Operations and Organizations of the

Executive Branch and Providing Options

and Incentives for Government Employees

who may be Affected by the

Rationalization of the Functions and

Agencies of the Executive Branch

What is the Rationalization What is the Rationalization Program?Program?

The Rationalization Program is a move to transform the Executive Branch into a more effective and efficient government.

It aims to:

• focus government efforts on its vital functions and channel government resources to these core public services; and

• improve the efficiency of government services, within affordable levels, and in the most accountable manner

Why do we need to rationalize Why do we need to rationalize government operations?government operations?

• to keep pace with changing demands and technologies;

• what may have been a relevant undertaking for the government a number of years ago may no longer be necessary at the present time;

• since EO 192, laws that broaden mandate of the agency have been issued;

• priority areas in DENR operations have changed in view of emerging ENR concerns

What are the benefits of this What are the benefits of this program?program?

• Strengthened vital government functions;

• More resources to fund priority programs and projects of the government;

• Improved and faster service delivery;

• More satisfied clients of government services;

• Increased morale among government employees.

DENR Through the YearsDENR Through the Years

PRE-MARCOS

1954-1966

MARCOS1966-1986

AQUINO1986-1992

RAMOS1992-1998

ESTRADA1998-2001

ARROYO2001-2010

Department of Agriculture and Natural Resources (DANR): Act #2666, Nov. 18, 1916

Department of Natural Resources: PD 461, May 17, 1974 Ministry of Natural Resources: June 22, 1978

Department of Energy, Environment, and Natural Resources: EO # 131, Jan. 30, 1987 Department of Environment and Natural Resources: EO # 192, June 10, 1987

Department of Environment and Natural Resources

Department of Environment and Natural Resources

Department of Environment and Natural Resources

•Transfer of NWRB to DENR (EO 123)

•Creation of the RBCO (EO 510)

•Transfer of the LRA to DENR (EO 690)

Recent ENR LawsRecent ENR Laws

Republic Act 7942: Philippine Mining Act of 1995

Republic Act 8749: Philippine Clean Air Act of 1999

Republic Act 9072: National Caves and Cave Resources Management and Protection Act of 2001

Republic Act 9003: Ecological Solid Waste Management Act of 2000

Republic Act 9147: Wildlife Resources Conservation and Protection Act of 2001

Republic Act 9175: Chain Saw Act of 2002

Republic Act 9275: Clean Water Act of 2004

Administrative Order 70: Strengthening the Internal Control Systems of Government Offices, Agencies, GOCCs

DENR Change Management DENR Change Management TeamTeam

Chair USec Mary Ann Lucille L. SeringCo-Chair USec Teresita Samson CastilloMembers USec Demetrio L. Ignacio

USec Eleazar P. QuintoUSec Manuel D. GerochiASec Analiza Rebuelta-TehDir. Eriberto C. ArgeteOIC Dir. Elvira S. CaparasRED Corazon C. DavisRED Ernesto D. Adobo, Jr.OIC RED Lormelyn E. ClaudioRepresentatives: Staff Bureaus,

EMB, MGBUnion Representatives

Head Secretariat Dir. Ramon M. Ezpeleta

DENR CMT Decision ProcessDENR CMT Decision Process

DENR CMTDENR CMT

DENR DENR ExeComExeCom

DBM/CSCDBM/CSCOD OD ConsultantConsultant

ss

SecretarySecretary

REDs/Bureau REDs/Bureau Directors/Heads Directors/Heads

of Attached of Attached AgencyAgency

Sub-CMTsSub-CMTs

CMT CMT SecretariatSecretariat

Rationalization Six-Step Rationalization Six-Step ProcessProcess

Mandate/ Mandate/ Functions Functions

ReviewReviewStructure Structure ReviewReview

Staffing ReviewStaffing Review

Resource Resource Allocation Allocation

ReviewReviewImplementation Implementation

PlanningPlanning

IntegrationIntegration

DENR CMT AccomplishmentsDENR CMT Accomplishments

1: Mandate / Functions Review1: Mandate / Functions Review

To determine the core functions, programs and projects of the DENR as well as overlapping, redundant or outdated functions, programs and projects that have to be scaled down, phased out, transferred or discontinued.

To determine the core functions, programs and projects of the DENR as well as overlapping, redundant or outdated functions, programs and projects that have to be scaled down, phased out, transferred or discontinued.

Goa

ls:

Con

tent

s:

Reformulate the DENR Policy Note to align it with the vision, thrusts and priorities of the newly-designated DENR Secretary, Jose L. Atienza, Jr.

Secure affirmation by Sec. Atienza of the DENR Vision-Mission Statements and Roadmap/Policy Shifts/Paradigms

Reformulate the DENR Policy Note to align it with the vision, thrusts and priorities of the newly-designated DENR Secretary, Jose L. Atienza, Jr.

Secure affirmation by Sec. Atienza of the DENR Vision-Mission Statements and Roadmap/Policy Shifts/Paradigms

Res

ults

: N

ext S

teps

:

ENR Sector Performance Assessment by development partners (UNDP, WB, GTZ, EU)Focused Group DiscussionsConduct of Strategic Planning Workshop

• Review of Vision, Mission, Thrusts and Goals (VMTG)• Formulation of DENR Policy Note and Roadmap

ENR Sector performance gaps and areas for improvementReformulated DENR Vision and Mission StatementsDENR RoadmapDENR Policy Shift/ParadigmDENR Policy Note

ENR Sector Performance Assessment by development partners (UNDP, WB, GTZ, EU)Focused Group DiscussionsConduct of Strategic Planning Workshop

• Review of Vision, Mission, Thrusts and Goals (VMTG)• Formulation of DENR Policy Note and Roadmap

ENR Sector performance gaps and areas for improvementReformulated DENR Vision and Mission StatementsDENR RoadmapDENR Policy Shift/ParadigmDENR Policy Note

DENR CMT AccomplishmentsDENR CMT Accomplishments

2: Structure Review2: Structure Review

Goa

ls:

Con

tent

s:

Res

ults

: N

ext S

teps

:

To define the most effective strructure that will support the performance or implementation of the core functions, programs and projects identified in step 1To define the most effective strructure that will support the performance or implementation of the core functions, programs and projects identified in step 1

Prepare Management Structure under Sec. Atienza‘s administrationFinalize the rationalized structure integrating the CMT action on the preliminary comments of

the DBM:• SCO/PAO, FASPO, ENRA• Rationalized PENROs/CENROs

Approval of Organization Structure by Execom, Mancom and its endorsement to the DBM by the Secretary

Prepare Management Structure under Sec. Atienza‘s administrationFinalize the rationalized structure integrating the CMT action on the preliminary comments of

the DBM:• SCO/PAO, FASPO, ENRA• Rationalized PENROs/CENROs

Approval of Organization Structure by Execom, Mancom and its endorsement to the DBM by the Secretary

CMT Workshops/MeetingsOrganization Structure (OS) Review Workshop

• Formulation of Rationalized OS and corresponding Functional Statements (FS)• Rationalizing the distribution/creation of field office units (CENROs)

Regional ConsultationsDBM Consultation

• DBM Preliminary Technical ReviewRationalized role and function of PENROs and CENROs, rationalized distribution of CENROsProposed Management Structure

CMT Workshops/MeetingsOrganization Structure (OS) Review Workshop

• Formulation of Rationalized OS and corresponding Functional Statements (FS)• Rationalizing the distribution/creation of field office units (CENROs)

Regional ConsultationsDBM Consultation

• DBM Preliminary Technical ReviewRationalized role and function of PENROs and CENROs, rationalized distribution of CENROsProposed Management Structure

DENR CMT AccomplishmentsDENR CMT Accomplishments

3: Staffing Review3: Staffing Review

Goa

ls:

Con

tent

s:

Res

ults

: N

ext S

teps

:

To identify the skills and competency requirements of the proposed structure given a refocused set of functions, programs and projectsTo identify the skills and competency requirements of the proposed structure given a refocused set of functions, programs and projects

Consolidate the staffing proposals of the various units and determine the final PS requirement• Follow up submission of staffing proposals from the various units• Ensure compliance with prescribed CMT guidelines on staffing

Consolidate the staffing proposals of the various units and determine the final PS requirement• Follow up submission of staffing proposals from the various units• Ensure compliance with prescribed CMT guidelines on staffing

CMT Workshops/MeetingsStaffing Review WorkshopRegional ConsultationsFocused Group Discussions (one-on-one discussions with the REDs)

Staffing pattern model for ROs, PENROs and CENROsStaffing Guidelines Rationalized Staffing Pattern and Plantilla of Personnel per organizational unitList of Affected EmployeesList of Employees Willing to be Rationalized out

CMT Workshops/MeetingsStaffing Review WorkshopRegional ConsultationsFocused Group Discussions (one-on-one discussions with the REDs)

Staffing pattern model for ROs, PENROs and CENROsStaffing Guidelines Rationalized Staffing Pattern and Plantilla of Personnel per organizational unitList of Affected EmployeesList of Employees Willing to be Rationalized out

DENR CMT AccomplishmentsDENR CMT Accomplishments

4: Resource Allocation Review4: Resource Allocation Review

Goa

ls:

Con

tent

s:

Res

ults

: N

ext S

teps

:

To establish the net improvement in budgetary (PS, CO, MOOE) support for core functions, programs and projectsTo establish the net improvement in budgetary (PS, CO, MOOE) support for core functions, programs and projects

Complete outputs from Structure and Staffing Review processes Complete outputs from Structure and Staffing Review processes

CMT Meetings/WorkshopResource Allocation Review Workshop

• Proposed Dispositive Actions for Physical Resources affected by rationalization• Projected Savings on PS, CO, MOOE with the implementation of the Rationalization Plan

CMT Meetings/WorkshopResource Allocation Review Workshop

• Proposed Dispositive Actions for Physical Resources affected by rationalization• Projected Savings on PS, CO, MOOE with the implementation of the Rationalization Plan

DENR CMT AccomplishmentsDENR CMT Accomplishments

5: Implementation Planning5: Implementation Planning

Goa

ls:

Con

tent

s:

Res

ults

: N

ext S

teps

:

To define the operational requirements (e.g., monetary benefits and alternative employment to retirees, preferred areas and agencies of reassignment for transferees) of facilitating the implementation of the DENR Rationalization Plan

To define the operational requirements (e.g., monetary benefits and alternative employment to retirees, preferred areas and agencies of reassignment for transferees) of facilitating the implementation of the DENR Rationalization Plan

Provide regular updates to employees of DENR on the status of DENR rationalization process Assign a unit/person to handle Implementation Planning (including preparation of

Communications Plan and formulation of Impact Mitigation Strategies)

Provide regular updates to employees of DENR on the status of DENR rationalization process Assign a unit/person to handle Implementation Planning (including preparation of

Communications Plan and formulation of Impact Mitigation Strategies)

Implementation Schedule Internal and External Communications Plan Profile of Affected Personnel Computation of Incentives and other monetary benefits (Retirees/Separatees) Preferred Agencies/Areas of Reasssignment (Transferees) Impact Mitigation Strategies (e.g., Livelihood assistance, skills training) Profile of personnel who intend to go into business

CMT Rationalization Bulletin CMT Advisory (9 issues) Regional IEC

Implementation Schedule Internal and External Communications Plan Profile of Affected Personnel Computation of Incentives and other monetary benefits (Retirees/Separatees) Preferred Agencies/Areas of Reasssignment (Transferees) Impact Mitigation Strategies (e.g., Livelihood assistance, skills training) Profile of personnel who intend to go into business

CMT Rationalization Bulletin CMT Advisory (9 issues) Regional IEC

DENR CMT AccomplishmentsDENR CMT Accomplishments

6: Integration6: Integration

Goa

ls:

Con

tent

s:

Res

ults

: N

ext S

teps

:

To integrate the outputs of the previous steps into a cohesive Rationalization Plan of the DepartmentTo integrate the outputs of the previous steps into a cohesive Rationalization Plan of the Department

Complete outputs of all previous stepsComplete outputs of all previous steps

DENR Rationalization PlanDraft Executive OrderDENR Rationalization PlanDraft Executive Order

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

• Option 1 - remain in government service, if with permanent appointment; or

 

• Option 2 - avail of retirement/separation benefits, if qualified, plus the applicable

incentive.

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

• Incentive Package under Executive Order No. 366:

½ of the present monthly basic salary for every year of government service, for those who have rendered less than 21 years of service;

 ¾ of the present monthly basic salary for every year of government service, computed starting from the 1st year, for those who have rendered 21 to less than 31 years of service; and

 the present monthly basic salary for every year of government service, computed starting from the 1st year, for those who have rendered 31 years of service and above.

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

Incentive Package under Executive Order No. 366:

For the purpose of computing the total amount of

incentive that an affected personnel would receive,

only his/her government service up to age 59 and a

fraction thereof would be counted. Thus, government

service starting at the age of 60 would no longer be

subject to the incentive to be provided under the

Program.

Basic monthly salary shall be based on amount as of

June 30, 2007, prior to the ten percent (10%) increase.

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

Incentive Package under Executive Order No. 366:

I = IF x BMS x Y

  Where:

I =Incentive

IF =Incentive factor of 0.50 mo./y, 0.75 mo./y, or

1.00 mo./y, as the case may be

BMS =Present basic monthly salary of the

employee

Y =Length of government service in years,

months and days converted in years

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

The retirement/separation package would be available as soon as an affected employee decides to retire/be separated. However, it would still be available up to two (2) months after the DBM’s approval of the Rationalization Plan.

Incentives would be given on a one-time basis but benefits under existing retirement/separation laws would follow the provisions of the specific applicable laws.

The DBM will provide a “seed fund” to departments/agencies upon submission to the DBM of their respective Rationalization Plans containing the list of personnel opting to retire/be separated with the computation of the incentives that they are entitled to receive.

Benefits Available for Affected Benefits Available for Affected EmployeesEmployees

• Retirement gratuity provided under RA 1616 plus the refund of retirement premiums, without incentive;

• Retirement benefit provided under RA 660 plus the applicable incentive;

• Applicable retirement, separation or unemployment benefit provided under RA 8291 plus the applicable incentive; or

• Separation gratuity under RA 6656, unemployment benefit under RA 8291, plus the appropriate incentive

Thank you!Thank you!