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Honoraria-25% of basic salary only

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Honoraria-25% of basic salary only

Post by migz on Tue Aug 09, 2011 10:00 pm

Hello! good evening...
I just want to be clarified in the interpretation of the provision on honoraria... the IRR states that it should not exceed 25% of the monthly basic salary. If for example there are 5 successfully completed projects in a month, the BAC Chair should have an honorarium of 15,000, but, if the monthly basic salary of the BAC chair is 40,000 then 25% is only 10,000. So, he shall be given only 10,000. Is this how the provision is interpreted?
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Re: Honoraria-25% of basic salary only

Post by engrjhez® on Wed Aug 10, 2011 6:13 pm

migz wrote:Hello! good evening...
I just want to be clarified in the interpretation of the provision on honoraria... the IRR states that it should not exceed 25% of the monthly basic salary. If for example there are 5 successfully completed projects in a month, the BAC Chair should have an honorarium of 15,000, but, if the monthly basic salary of the BAC chair is 40,000 then 25% is only 10,000. So, he shall be given only 10,000. Is this how the provision is interpreted?

The underlined is correct, but we need to qualify a few requirements.

1. The P3,000 is a maximum amount entitled for the BAC Chairman for every successfully completed procurement process;
2. The 25% cap refers to the average monthly (reference is one year). Carefully read, Par. 5.4 is as follows "5.4 The average amount of honoraria per month over one year shall not exceed twenty five percent (25%) of the basic monthly salary. x x x". So for as long as the average monthly salary in a year (in case there is an increase/decrease of salary within the year) is not exceeded, it doesn't matter. There are some months where you may have less than five procurement, while some months you don't;
3. Honoraria is NOT mandatory. The HOPE may or may not grant it depending on availability of funds.

If you want to read similar discussions, follow the links below:
http://gppb.topicsolutions.net/t561-bac-honoraria?highlight=honoraria
http://gppb.topicsolutions.net/t25-honoraria-of-bac-members-secretariat-and-twg?highlight=honoraria
http://gppb.topicsolutions.net/t121-clarification-on-the-grant-of-honoraria?highlight=honoraria
Smile
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Re: Honoraria-25% of basic salary only

Post by migz on Thu Aug 11, 2011 1:48 am

ok.. thanks very much sir for the reply... i got it... so it is for 1 year and average monthly..
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Re: Honoraria-25% of basic salary only

Post by engrjhez® on Thu Aug 11, 2011 8:24 am

migz wrote:ok.. thanks very much sir for the reply... i got it... so it is for 1 year and average monthly..

Yes. That also means the 15,000 you mentioned above may be granted but the accumulated amount must have not exceeded 25% of the basic annual salary (if no changes in the basic monthly for the entire year). Smile
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