The country’s 1.5 million government employees, military and police personnel are assured of 10 percent increase in their salaries and allowances in July following the passage of P1.126 trillion 2007 national budget.

        Sen. Franklin Drilon, Senate finance committee chairman pointed this out on Tuesday after his counterpart, Albay Rep. Jose Ma. S. Salceda, signed the Bicameral Conference Report on a pending measure that will grant a 10 percent salary increase to all government employees.

        The amount P10.3 billion for the pay increase has already been provided in the 2007 national budget under the Unprogrammed Fund to allow the immediate release of the funds for the salary increase as soon as the law is approved by the President, Drilon said.

        Sen. Joker Arroyo said Budget Sec. Rolando Andaya Jr. has confirmed that Malacañang had already set aside the amount of P10.3 billion to implement the salary hike. “The only problem left to be threshed out is the manner by which the wage hike for state workers will be implemented.”

        The legislated salary increase for government employees was in July 2001 when a five percent increase on their basic salary was granted. Thereafter, a P1,000 increase in additional compensation was granted in 2006.

        The 2007 General Appropriation Act also carries an increase in the subsistence allowance and hazard pay of military and police personnel effective July. The bill will be presented next week to President Macapagal-Arroyo for her signature.

        On Tuesday, President Arroyo lauded Congress for “putting the interest of the people in the frontline” by finally passing the P1.126 trillion budget for 2007, the first trillion-peso national appropriations in Philippine history.

        “This is brand new day for the Filipino people towards greater social, economic and political stability,” the President said in a statement.