Title of the Thesis: Rating:

IMPACT OF SALARY INCREASE OF POLICE OFFICERS IN

THE 1ST DISTRICT OF BATANGAS
Members:
1. OLORVIDA, MARIA GAY A.
2. SIMON, GRACHELENE R.
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1. A. Books

 Police Management And Administration

 Government And The Legal Issue In Compensation
 Police Organization And Administration With Police Planning (2nd Edition)
 Police Organization And Administration With Police Planning (1st Edition)
 Wage And Salary Administration
 Human Resource Management
 Intro To Police Misconduct
 Human Behaviour In Organization
 Compesation
 Human Resource Management

1. B. i. News

Police officers to receive pay hite this month

Maan Macapagal, ABS-CBN News

Posted at Jan 11 2018 03:59 PM
http://news.abs-cbn.com/news/01/11/18/police-officers-to-receive-pay-hike-this-month
MANILA - Police officers across all ranks will enjoy higher monthly base pay beginning this
month after President Rodrigo Duterte signed Joint Resolution No. 1 authorizing the salary hike for
the country's uniformed personnel.
With the new monthly base pay, a Police Officer 1 (PO1) will now receive P29,668, a 100 percent
increase from the previous P14, 834 monthly basic pay.
The Philippine National Police chief, who is ranked Director General, will now receive P121,143
from P67,500, or a 79 percent increase.
The increase is not 100 percent for all ranks but declines as the position goes higher, as government
prioritized low-ranking officers amid budget constraints.
The average pay hike for the police across all ranks is 58.7 percent.
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While provisional and officers' allowances have been removed, uniformed personnel will still enjoy
increases in other allowances, among them the longevity pay, flying pay, sea duty pay, and
instructor's duty pay.
The increase in salary means that PNP personnel will also enjoy higher benefits upon retirement,
said Chief Supt. Joselito Vera Cruz, executive officer of the PNP Directorate for Comptrollership.
The PNP is hopeful that the new salary increase will stop, if not minimize, police involvement in
illegal activities, especially low-ranking police officers.
"Dapat sa ating mga kapulisan, suklian natin ang ganitong ipinapakita sa atin na concern ng ating
presidente at ng 2
kapulungan ng Kongreso. Dapat pag-ibayuhin pa natin ang maayos na pagtatrabaho," said Vera
Cruz.
He also reminded police officers to take advantage of the PNP's savings and loans association to
invest their money.
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PNP Spokesperson Chief Supt. Dionardo Carlos said with this reform, they hope the police would
learn to save money and not fall prey to loan sharks.
"'Yung effect is long term dahil 'yung base pay ang lumaki. 'Yung mga allowances na nawala mas
malaki pa rin 'yung matatanggap ng ating pulis. 'Yung may mas malaking take-home pay, sabi nga
po ni Gen. Vera Cruz, iwasan ho natin mangutang, mag-loan, gamitin ho natin 'yung ating financial
literacy para mas maganda 'yung ating buhay," he told reporters.
The Department of Interior and Local Government will roll out the modified base pay schedule for
police officers within two years.

See Maan Macapagal's other Tweets

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Maan Macapagal@maan_macapagal
With the approval and implementation of the Tax Reform for Acceleration and Inclusion (TRAIN),
PNP uniformed personnel will also enjoy lower income tax rates. @ABSCBNNews
@ANCALERTS
11:24 AM - Jan 11, 2018 Twitter Ads info and privacy
1. B. ii.

Salary increases for soldiers, police, but not for teachers, government employees

Anne Marxze Umil January 16, 2018 Alliance of Concerned Teachers, Alliance of Health
Workers, Executive Order 201, goverment employees, Joint Resolution No. 1, military and
uniformed personnel base pay increase, Public School Teachers, salary standardization law
http://bulatlat.com/main/2018/01/16/salary-increases-soldiers-police-not-teachers-government-
employees/
“Civilian employees will be left far behind by their armed counterparts although they have similar,
even higher qualifications, or have spent equal, even more years in government service.”

By ANNE MARXZE D. UMIL

Bulatlat.com
MANILA — Before the year 2017 ended, President Duterte made sure that he would deliver on his
promise to increase the base pay of military and police personnel.

Since the beginning of his presidency in 2016, Duterte vowed to increase the salaries of the military
and the police force. Speaking before the troops of the Western Mindanao Command, President
Duterte said the increase would take effect within that year. However it did not push through.
As soon as 2017 started, Secretary Benjamin Diokno of the Department of Budget and Management
(DBM) said that the increase is “doable” in 2018. True enough, on January 15, 2018, the military
and uniformed personnel received their salary increase.

Duterte recently said that he wants the salary increase of teachers be funded in the second package
of tax reform.
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However, Budget Secretary Benjamin Diokno said that this is not the government’s priority. He
said that the government’s priority is to fund the Duterte administration’s “Build, build, build”
infrastructure program.
The DBM said that Duterte’s pronouncement “needs further study” as the government would need
to allot at least half a trillion pesos to double the salaries of 600,000 public school teachers.

ACT Teachers Party Rep. Antonio Tinio slammed the sponsors of Joint Resolution No. 1,
authorizing the increase of base pay of military and uniformed personnel, saying that it was
approved in haste without further study.
“When the proposed salary increase involves civilian employees, the government claims that it
needs a lot of technical studies. But when the increase is for military and police personnel, their
only bases are the risks of the job and the need to boost their morale.”

Robert Mendoza, Alliance of Health Workers chairman said they are not against the increase on the
base pay of military and uniformed personnel. However, he said, they too are dedicating their life to
serve their countrymen although they are in different fields of work.

“Health workers and other government employees are also committed to serving the Filipino. We
give our life too so we think that we also deserve a higher increase to live a decent life,” he
told Bulatlat.
1. B. iii.

Salary gap of rank-and-file government employees vs. military and uniformed personnel
The last salary increase received by the military and uniformed personnel was during the
administration of President Gloria Macapagal Arroyo under Salary Standardization III (SSL 3).
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Under President Benigno Aquino’s term, their monthly provisional allowance and monthly officers’
allowance was increased. Both were implemented in tranches under Executive Order 201. It is at
the third tranche of implementation this year.
The said EO was highly criticized by progressive groups because of the relatively minimal salary
increase for rank-and-file employees while those in higher positions received higher amounts.
Public school teacher’s entry level salary for instance only received a P2, 000 ($40) increase. Given
in four tranches, they received an increase of P500 ($10) per year.
The rank-and-file employees were once again left behind under Duterte’s Joint Resolution No. 1.
ACT Teachers Partylist noted the non-inclusion of significant pay hikes for all government
employees, except military and uniformed personnel in the General Appropriations Act of 2018.

“This is disheartening for the 1.2 million employees in the civil service, especially the rank-and-
file,” ACT Teachers Partylist Rep. France Castro said in a statement.

“This shows that government could provide the budget if they want to. As the saying goes—
‘Kapag gusto, maraming paraan. Kapag ayaw, maraming dahilan,’” Tinio said. (As the saying
goes — where there’s a will, there’s a way.”)
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The partylist group has been pushing for an increase in the salaries of all government employeesfor
the past years but to no avail even under Duterte.
Salary distortion
During his interpellation in Congress, Tinio said the salary hike in base pay of military and
uniformed personnel would cause a salary distortion. This is because the entry–level positions in
military and uniformed personnel would receive salaries higher than their counterparts and is
already equivalent to higher positions in the government.
“Civilian employees will be left far behind by their armed counterparts although they have similar,
even higher qualifications, or have spent equal, even more years in government service,” he said.

For example, a Police Officer 1 (PO1) and Private will receive P29,668 ($590) while its
counterpart, Teacher 1, Nurse 1 and Guidance Counselor 1 will receive P20,179 ($401).

Tinio explained, “Guidance counselors need a Master’s Degree, but the candidate soldier/trainee in
the Department of National Defense will have an equivalent salary as the Guidance Counselor.
Salaries of an Associate Professor (who needs a Doctoral Degree), and Master Teacher II will be
nearly the same as 1st Lieutenant’s.”

The PO1 and Private’s salary also surpasses the salary of Head Teacher II and a School Nurse II
who have more years of training and experience.

This could also cause demoralization in the ranks of the civilian bureaucracy. “?Teachers who have
been in the service for 10, 20 years said ‘Di pa namin natitikman ang P20, 000 or P30, 000 na
ibibigay sa mga pulis at sundalo ngayon,’” Tinio said. (We have not experienced receiving the P20,
000 or 30,000 salaries that the soldiers and police would now receive.)
“The administration is abandoning the core principles of SSL, including basing the salaries on
objective criteria and the standardizing of salaries per equivalent positions. The sponsors just keep
on reiterating that military and uniformed personnel’s jobs are risky. The administration is now
basing the salaries on subjective criteria,” Tinio said.
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1. B. iv.

Diokno worked for the military and uniformed personnel’s increase in a year
The DBM, in September 2017, has drafted Congress Joint Resolution authorizing compensation
adjustments for military and uniformed personnel. The draft resolution was eventually concurred
with by the Office of the President also on the same month.
In October, Diokno said the government committed to double the salaries of the military and
uniformed personnel. He said the government is “doing everything to honor that commitment.”
In November House Joint Resolution No. 18 authorizing the increase which was authored by House
Speaker Pantaleon Alvarez, Majority Leader Rodolfo Fariñas, Minority Leader Danilo Suarez and
Appropriations Committee chairman Karlo Nograles was also filed in Congress. Sen. Aquilino
“Koko” Pimentel III also within this month filed Joint Resolution No. 9.
On Dec. 12, the Congress ratified the 2018 national budget which also includes the P62 billion
($1.2 billion) funds sourced out from Miscellaneous Personnel Benefits Fund to increase the base
pay of military and uniformed personnel.
No funds for pay hike?

Alliance of Concerned Teachers (ACT) slammed Diokno’s refusal to heed Duterte’s directive to
increase teachers’ salaries.
Benjamin Valbuena, ACT national chairperson, said there are ways to fund the teachers and
government employees’ pay hike. He said Department of Finance (DOF) Undersecretary Karl Chua
has revealed that the Bureau of Internal Revenue and the Bureau of Customs every year has P500 to
P600 billion ($10 billion to $12 billion) in uncollected taxes. Hidden pork barrel and excessive
funds on war on drugs can also be reviewed and rechanneled.
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“If the government is serious in heeding the long time call of teachers and government employees
for salary increases, the government will find the way to fund it using the national budget,” he said.

Meanwhile, Tinio clarified that while they welcome the recent statement of President Duterte on the
salary increases of teachers, they are opposed to the idea that the hike will be dependent on the
administration’s second tax reform proposal. “This is a new propaganda line,” said Tinio. He said
since the beginning the DOF has always said that the administration’s tax reform proposals are
meant to fund infrastructure and not teachers’ pay hikes.

“This is a blatant press release tactic intended to make the new tax package, the centerpiece of
which is the lowering of corporate income tax, more palatable to the public. Don’t use teachers to
deodorize your pro-rich taxes,” he said.

Duterte’s priorities: ‘Build a strong fascist dictatorship’

Kabataan Party Rep. Sarah Elago said the Duterte government has revealed its main priority by how
it allocates its national budget.
“If the Duterte administration chooses to increase the salary of military and uniformed personnel
while remaining deaf to the pleas of workers, teachers, and government employees, then it only
means one thing — he is centralizing our financial resources to establish and build a strong fascist
dictatorship,” said Elago.

She said Duterte intends to reward the military and the police for carrying out the
counterinsurgency program Oplan Kapayapaan and the government’s war on drugs, Oplan Double
Barrel Reloaded “that only resulted to the deaths of thousands of Filipinos.”

Like the past administrations the Duterte administration has chosen to prioritize the military budget,
she said, adding that in the 2018 national budget the government has increased the budget on
waging war against the people and slash the budget for social services.
“The increase in salary is the last push of the Duterte administration to boost the morale of its
troops to continue the killings. Just as Pavlov’s dog was conditioned with the sound of a bell,
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Duterte is conditioning the military and uniformed personnel that the more people they kill, the
more they will be rewarded,” she said.

1. B. v.

Diokno says P39-B allotted for military, police pay hike

By: Marc Jayson Cayabyab- Reporter / @MJcayabyabINQ
INQUIRER.net / 07:11 PM August 22, 2016
http://newsinfo.inquirer.net/808562/diokno-says-p39-b-allotted-for-military-police-pay-hike

Policemen perform pass in review after their flag ceremony at Philippine National Police, Camp
Crame Headquarters, Quezon City, May 16, 2016. INQUIRER PHOTO / NINO JESUS ORBETA

Budget Secretary Benjamin Diokno on Monday said the proposed P3.35 trillion national budget for
2017 would include a P39.5 billion budget for the salary increase of police, military, and other
uniformed personnel.

During the Development Budget Coordinating Committee (DBCC) meeting at the House of
Representatives, Diokno said this amount was earmarked in the budget to fulfill President Duterte’s
promise of improving their pay.

ADVERTISEMENT
As for the salary standardization of government workers which was not passed by the previous
Congress, Diokno said he would propose to Congress the passage of a joint resolution to implement
the four tranches of salary increase for government employees, including public school teachers.

READ: Congress adjourns without ratifying Salary Standardization Law

“Our preference is to have a joint resolution to this. Under the Constitution, you need congressional
action for salary adjustment,” Diokno said.
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Diokno said the second tranche of salary increase for government workers would be “built in” the
department and agency budgets.

He noted that the executive order issued by erstwhile President Benigno Aquino III to implement the
first tranche salary increase following the gridlock in the proposed Salary Standardization law may be
adopted by the current administration to continue the pay hike.

READ: Aquino signs order increasing pay of gov’t employees

“It will be continued… . Our preference is to have it adopted as a joint resolution by Congress by four
tranches. The second tranche is already in the 2017 budget,” Diokno said.

ADVERTISEMENT
During the turn-over of the budget last week, Diokno said the budget of the Philippine National Police
(PNP) and the Armed Forces of the Philippines (AFP) were substantially increased to support the
Duterte administration’s war on drugs, criminality and terrorism.

READ: DBM submits P3.35-T ‘budget for change’ for 2017

Diokno said the proposed budget for the PNP amounted to P110.4 billion, or 24.6 percent higher than
its 2016 budget, for the national police force to hire more personnel and purchase more guns and
patrol vehicles to intensify its suppression of criminality.

Meanwhile, the proposed budget for the AFP is P130.6 billion, or 15 percent higher than the 2016
budget, to complement the AFP Modernization Program, under which P25 billion was allocated to
better equip soldiers for counter terrorism.

Diokno also said the Duterte administration would seek an increase in the salaries of military and
police officers through the passage of a law for a new tranche of salary standardization to increase the
base pay of uniformed personnel and pension of retirees. JE
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1. B. vi.
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Police chief's monthly salary raised to P120,000 Sunday,

January 14, 2018 SunStar

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PHILIPPINE National Police (PNP) chief Ronald Dela Rosa justified the salary increase granted to
uniformed personnel, saying it is government's way of recognizing their performance, especially
when they risk their lives to ensure the safety of the public. “’Yung buhay kasi ng pulis mas
delikado ang trabaho ng pulis at sundalo. Anytime pwede ka mamatay so tama lang rin na bigyan
ng recognition by way of increasing the salary ‘yun ang pagtingin namin,” he said on Friday. Dela
Rosa will get a 79-percent increase, bringing the salary of the PNP chief to at least P120,000 per
month. "Nagulat ako ngayon lumabas sa akin 79 percent ang increase so napakalaki na ng sweldo
ko. Ako na ang pinakamayaman na pulis ngayon in terms of sweldo. Sa sweldo ako ang
pinakamayaman na pulis sa Pilipinas kaya masaya po ako," he said. Some 76,000 men with the rank
of Police Officer (PO) 1 will receive a 100-percent salary increase this year. Other officers will
initially get an average of 58.70-percent increase and the balance will be released the following year
because of the lack of budget. President Rodrigo Duterte signed on January 1 the Joint Resolution 1
which increases the salary of police, military and other uniformed personnel by 100 percent staring
January. Senator Franklin Drilon said the government should review the current salary structure of
government employees including that of uniformed personnel. “It is important that a review of the
compensation package for the civilian personnel is undertaken in order to avoid wage distortion and
inequality and make the salary of government professionals at par with their counterparts in the
military and the police,” he said. “Today a teacher 1 receives P21,000 while a policeman receives
P40,000. Shouldn’t the teacher, shouldn’t the health worker, shouldn’t the entry-level lawyer in the
Department of Justice be the same with everybody?” he added. Presidential Spokesperson Harry
Roque Jr., however, said earlier that the President has given instructions for the granting of a salary
increase to public school teachers. This will be financed by the proceeds from the impending
second tax reform package that will be implemented by the government. Drilon, for his part,
suggested that the House of the Representatives adopt the Senate Resolution no. 575 which asks the
Department of Budget and management to recompute and make adjustments in the base pay of the
government employees below and above salary grade 11 to ensure that their compensation are
proportional or equal to those in the PNP and the military. He said the application of the Senate
resolution is necessary to avoid the demoralization among civilian employees. "The resolution
would address the possible wage distortion by adjusting the Compensation and Position
Classification System and Base Pay Schedule of civilian personnel,” Drilon said. “The resolution
will also eliminate overlaps among salary grade allocations of government personnel taking into
consideration differences in duties, responsibilities, length of service, and other logical bases of
differentiation of the positions,” he added. (Third Anne Peralta-Malonzo/SunStar Philippines)
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1. B. vii.

PNP: Pay hike ‘fitting recognition’ of cops’ service, sacrifice

By: Julliane Love De Jesus- Reporter / @JLDejesusINQ

INQUIRER.net / 04:10 PM January 10, 2018

The Philippine National Police (PNP) on Wednesday said the pay increase for cops, soldiers and other
uniformed personnel is a “fitting recognition” for the service and sacrifices of the police and military.

“The resolution of increasing the salaries of the police and soldiers is a fitting recognition of the
selfless service and sacrifice of the members of the organization,” Chief Superintendent Dionardo
Carlos said in a statement on Wednesday.

“For the PNP, we can only offer our best performance of duty to humbly deserve the recognition by
our people even at the cost of our lives,” Carlos said.

Starting Jan. 1, the base pay of entry Police Officer 1 (PO1) personnel will double, as well as their
counterparts in the military and other uniformed services.

President Rodrigo Duterte officially approved Joint Resolution No. 1, adjusting the salaries of police
officers and soldiers of all ranks, including those from the Bureau of Jail Management and Penology,
Philippine Coast Guard, and National Mapping and Resource Information Authority.

The new monthly rates will now range from P29,668 for PO1 cops to P35,456 for senior police
officer 4 (SPO4) cops. Their pay will be adjusted upward to the range of P49,528 to P149,785
starting Jan. 1, 2019. /je
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1. C. Related Studies

1 . C. I. BACHELOR THESIS: EMPLOYEE MOTIVATION AND

PERFORMANCE. KEIJZERS. 2010

Abstract

Motivation is a topic that is extensively researched. Halfway the twentieth century the first
important motivational theories arose, namely Maslow’s hierarchy of needs (1943), Herzberg’s
two-factor theory (1959) and Vroom’s expectancy theory (1964). Those researches focused on
motivation in general and employee motivation more specifically. In the past years various
definitions of motivation were defined, e.g. Herzberg (1959) defined employee motivation once as
performing a work related action because you want to. It is commonly agreed that employee
motivation can be separated in intrinsic and extrinsic motivation (Staw, 1976). Staw argues that one
of the first attempts to make that distinction was in Herzberg’s Two-Factor Theory (1959).
However, the discussion about intrinsic and extrinsic motivation is more from latter years (e.g.
Amabile, 1993 and Deci & Ryan, 2000). Especially important is the discussion about how intrinsic
and extrinsic motivation can contribute to employees’ performances (Ramlall, 2008). The
relationship between employee motivation and job performance has been studied in the past
(Vroom, 1964). But high correlations between the two were not established. However, later
research concluded that employee motivation and job performance are indeed positively correlated
(Petty et al., 1984). This relationship is studied in this thesis and the aim is to provide managers
useful information how employees’ performances can be increased by motivating them intrinsically
and/or extrinsically.

1. C. II. THE IMPACT OF THE MINIMUM WAGE INCREASE ON WAGES,

EMPLOYMENT AND AVERAGE HOURS PAID. MOJCA LINDIC. 2009]

Abstract
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Already at the end of 1770s, Adam Smith emphasised the importance of an appropriate wage that
would assure workers a decent living, ìIt is but equity...that they who feed, clothe and lodge the
whole body of the people, should have such a share of the produce of their own labour as to be
themselves tolerably well fed, clothed and lodged.î Nowadays, the opinions concerning the
minimum wage are split; some economists and politicians are in favour of the law; former President
Bill Clinton for example stated ìIíve studied the arguments and the evidence for and against a
minimum wage increase. I believe that the weight of the evidence is that a modest increase does not
cost jobs, and may even lure people into the job market. But the most important thing is, you canít
make a living on $4.25 an hour.î However, there are also many sceptics; among them some Nobel
Prize recipients, ìThe high rate of unemployment among teenagers, and especially black teenagers,
is both a scandal and a serious source of social unrest. Yet it is largely a result of minimum wage
laws. We regard the minimum wage law as one of the most, if not the most, antiblack laws on the
statute books.î (Milton Friedman) and ì...no self-respecting economist would claim that increases in
the minimum wage increase employment.î (James M. Buchanan). Minimum wage has therefore
been a subject of interest for policy makers, economists and researchers for decades. In the
beginning, the marginalists and institutionalists debated whether the low-wage labour market can be
characterized as a competitive or a noncompetitive labour market. Later, the focus of discussion
moved to distinguishing the e§ects of the minimum wage increase. The majority of the researchers
found that the minimum wage on average has a negative impact on employment (in favour of this
were especially Neumark and Wascher) while some researchers (especially Card, Katz and
Krueger) concluded the minimum wage increase has no or even a positive ináuence on the
employment. The ináuence of the minimum wage on the working hours and on wages was on
average proved to be positive. Slovenian minimum wage law, introduced in 1995, was recently
modiÖed in February 2010. One of its major changes was the increase in the minimum wage level.
Due to the lack of research on the Slovenian case study, it is hard to predict the e§ects of the
minimum wage increase in the following years but it is expected that the new law will mostly have
a negative impact on the Slovenian labour market. In order to receive plausible indications about
what kind of e§ects the new law will have, the extraordinary minimum wage increase from March
2008 was taken into account. The applied model used the di§erence-in-di§erences method, where
the di§erent treatment groups included the industries that were a§ected the most by the
extraordinary minimum wage increase. The thesis will Örst present the economic theory concerning
the e§ects of the minimum wage increase on the competitive and non-competitive labour markets,
followed by a literature 1 review over research studies that studied minimum wage e§ects. In
Title of the Thesis: Rating:
IMPACT OF SALARY INCREASE OF POLICE OFFICERS IN
THE 1ST DISTRICT OF BATANGAS
Members:
1. OLORVIDA, MARIA GAY A.
2. SIMON, GRACHELENE R.
Topic / Subtopic Submitted: Date Submitted:
OUTLINE FEB. 23, 2018

section 4, an overview of the data is given. The thesis will then proceed with an overview of
Slovenian minimum wage policy and present the empirical evidence and comparison with other EU
countries. Section 6 will introduce the model, present the research question and the method used.
Results of the basic regressions and the sensitivity analyses will be introduced in section 7. Section
8 will discuss the results and provide some recommendations while section 9 will summarise and
conclude. References and appendix are included in sections 10 and 11.

1. C. III. THE IMPACT OF MINIMUM WAGE INCREASES BETWEEN 2007 AND

2009 ON TEEN EMPLOYMENT. CUI. 2012

Abstract

This paper analyzes the employment effects of minimum wage increases at the federal level
between 2007 and 2009 among U.S. teenage workers (ages 16-19). Using the pooled crosssectional
data from the Current Population Survey Outgoing Rotation Groups, and following a model by
Burkhauser et al. (2000a, 2000b), I find that the impact of minimum wage increases on the overall
teen employment is negative and statistically significant. After specifically controlling for the recent
recession, the estimated elasticity for in teen employment is slightly smaller than previous studies. I
also compare the employment effects of minimum wage increases between male and female
teenage workers, among white, black and Asian teenage workers. I find that employment effects do
not concentrate on any particular group. There has been increasing pressure on raising the minimum
wage floor as the economy starts to recover slowly. The results suggest that this policy
recommendation might potentially hinder the recovery of employment. iv
ACKNOWLEDGMENTS This thesis is dedicated to my family in China for their love and support.
I would like to thank my thesis adviser, Professor Gurkan Ay, for his invaluable guidance and
Title of the Thesis: Rating:
IMPACT OF SALARY INCREASE OF POLICE OFFICERS IN
THE 1ST DISTRICT OF BATANGAS
Members:
1. OLORVIDA, MARIA GAY A.
2. SIMON, GRACHELENE R.
Topic / Subtopic Submitted: Date Submitted:
OUTLINE FEB. 23, 2018

advice. I am grateful to Professor Barbara Schone, Professor Adams Thomas and Mike Barker for
their help.

1. C. IV. THE RELATIONSHIP BETWEEN PAY AND PERFORMANCE IN THE

CAMBODIAN CIVIL SERVICE. KORM. 2011

Abstract

The civil service is a major influence in a country‟s development. Thus, government requires a
good civil service, and improvements in public service performance must be a key goal for
accelerating development and reducing poverty. However, in many developing countries, the
capacity of civil services to carry out the necessary functions of government is often severely
constrained. Civil servants do not perform their assigned tasks and they often fail to take
responsibility for their actions. Management systems often function inefficiently. The result is
disappointing performance and poor service quality. While there are many factors contributing to
the disappointing level of civil service performance, pay has been a major concern. It is alleged that
low pay is a primary cause of poor performance. But, there are few empirical investigations that
support this argument. This thesis addresses this problem through a detailed empirical analysis of
the relationship between pay and performance in the Cambodian civil service (CCS). Low pay has
been a constant concern in the CCS since its inception in 1979. By 2009, the average state salary
was US$75.5 per month, which was still below subsistence level income for a family. The gap
between levels of state salaries and cost of living has been widening. These low income conditions
of public servants have led them to pay less attention to their tasks and duties as they have diverted
their time and effort to obtaining other sources of income including corruption and „moonlighting‟
in other jobs. Also, they may have deliberately reduced their performance effort or felt that low pay
justified poor performance. As a result, public service delivery has suffered significantly. Many
have asserted that pay has been closely linked to performance in the CCS and that pay has had a
negative impact on performance. But until now there has been little or no empirical confirmation of
this widely held belief. This thesis provides such confirmation. Interviews with a range of
stakeholders in the Cambodian government, including central government personnel, educational
administrators, and school teachers and principals revealed that pay was either the most important,
or at least a highly significant factor influencing performance, and it either adversely affected job
performance or led to dissatisfaction with civil service jobs. However, pay played little or no role in
motivating people to seek civil service jobs nor iv did it encourage good performance for those
employed. Rather, interviewees pointed to such factors as job security or lifelong employment,
Title of the Thesis: Rating:
IMPACT OF SALARY INCREASE OF POLICE OFFICERS IN
THE 1ST DISTRICT OF BATANGAS
Members:
1. OLORVIDA, MARIA GAY A.
2. SIMON, GRACHELENE R.
Topic / Subtopic Submitted: Date Submitted:
OUTLINE FEB. 23, 2018

social status and prestige, future personal growth and other opportunities, and professionalism as
performance motivating factors. Pay was the most important demotivational factor discouraging
civil servants from performing their jobs well. This link between pay and performance was also
investigated through the application of motivation theories which, with the exception of expectancy
theory, provided relatively poor fit with the Cambodian case. Performance was also investigated in
terms of organisational culture and politics in the CCS and both were found to be significant
influences on behaviour

1. C. V. UNDERSTANDING PAY: PERCEPTIONS, COMMUNICATION AND

IMPACT IN FOR-PROFIT ORGANIZATIONS. DIEKMANN. 2015

ABSTRACT

This qualitative case study investigated pay perceptions and compensation communication in for-
profit companies in the Midwestern United States. The purpose of this study was to explore how
pay-related communication can be improved to benefit employees and their organizations. Labor
costs are the primary expense of most organizations. The ability to optimize compensation
strategies to attract and retain a high-performing workforce is vital to organizational success.
Interviews were conducted with 15 Millennial generation employees to capture what they know
about compensation and learn what would increase their pay satisfaction. Employees articulated
how they think about pay, what pay means to them, why it is a difficult topic to address, and what
advice they would provide to their organizations on communicating pay. The findings were
analyzed using the lenses of symbolic interactionism, social solidarity and secrecy theories. Three
main conclusions surfaced: (1) Employees have limited knowledge of how pay works; (2) Most
employees value transparency around compensation; and (3) The link between pay and
performance is unclear. This research did confirm the lack of compensation information restricts
participants from understanding the relationship of pay and performance. A pay transparency
continuum and a pay communication assessment model were provided to assist organizations in
determining their pay communication approach. Three recommendations were identified to help
organizations enhance pay communication: (1) Recognize the impact of pay secrecy on pay equity
perceptions; (2) Determine the right level of transparency for the organizational culture; and (3)
Transform managers into communication ambassadors for compensation. A future area of study to
Title of the Thesis: Rating:
IMPACT OF SALARY INCREASE OF POLICE OFFICERS IN
THE 1ST DISTRICT OF BATANGAS
Members:
1. OLORVIDA, MARIA GAY A.
2. SIMON, GRACHELENE R.
Topic / Subtopic Submitted: Date Submitted:
OUTLINE FEB. 23, 2018

extend this research would be the influence of organizational culture on pay program design and
communication strategy.