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WHEREAS, the afore-quoted law likewise provides that “a person who meets such managerial experience and other requirements and passes examinations, as may be prescribed by the Board, shall be included in the register of career executive eligibles and upon appointment to appropriate class in the Career Executive Service, become an active member of the service” and that “the appointment to appropriate classes in the Career Executive Service shall be made by the President from a list of career executive eligibles recommended by the Board. Such appointments shall be made on the basis of ranks;”

WHEREAS, Presidential Decree No. 1 reiterates that “Members of the Career Executive Service shall be classified according to rank based on broad levels of responsibility, on personal qualifications and on demonstrated competence.  Salary and status shall be based on rank, not on the position occupied at any given time.  The number and classification of ranks in the service shall be recommended by the Board and reviewed and approved by the President;”

WHEREAS, pursuant to this provision of law, the Office of the President issued Memorandum Circular No. 796 s. 1974 which provides for the ranking structure of the Career Executive Service where CES Rank I, with the corresponding equivalent position Undersecretary is the highest rank, and CES Rank V with the corresponding equivalent position of Assistant Regional/Director (Bureau Wide regionalization) is the lowest;

WHEREAS, the President, by virtue of Memorandum Order No. 372, s. 1991 dated July 3, 1991, issued a modified ranking structure and salary schedule in the Career Executive Service with CES Rank I with the corresponding  salary grade 30 of  as the highest rank, and CES Rank VI with the corresponding salary grade of 26 as the lowest rank, and further directed the Career Executive Service Board to establish the mechanics for the classification of members of the CES in accordance with the said ranking structure and to issue the corresponding rules and regulations;

WHEREAS, pursuant to Memorandum Order No. 372, s. 1991 of the Office of the President and CESB Resolution No. 91-11, the Board issued CESB Circular No. 8, s. 1991 dated July 15, 1991 for the implementation of the Modified Ranking Structure in the Career Executive Service;

WHEREAS, the Board issued CESB Resolution No. 39, s. 1991 dated November 25, 1991 entitled “Simplified CES Ranking System” which simplified the process of determining the appropriate CES rank to which a qualified CES Eligible or CESO may be recommended for appointment to CES rank by the President;

WHEREAS, the Board, through CESB Resolution No. 54, s. 1992 dated January 20, 1992 entitled “Modified System of Determining Ranks in the CES,” adopted a refined system for the determination of ranks of CES Eligibles being considered for appointment to CES ranks;

WHEREAS, in response to the ever-changing needs of the bureaucracy, the Board deemed it necessary to review the policies previously adopted in the appointment and promotion in CES Rank pursuant to the modified ranking structure issued by the President through M.O. No. 372 with the end view of transforming members of the CES into Career Executive Service Officers (CESOs) who are truly leaders, change agents, experts, a cut above the rest in the bureaucracy, and indeed can make a difference in the government service;

WHEREFORE, the abovementioned premises considered, the Board RESOLVES, as it is hereby RESOLVED, to adopt the Revised Policy on Original and Promotional Appointment to Career Executive Service (CES) Ranks, stated herewith as follows:

ARTICLE I
Original Appointment to Career Executive Service (CES) Ranks

SECTION 1.       Ranking Structure in the Career Executive Service. — There are six ranks in the Career Executive Service (CES) Ranking Structure, to wit:

In the above ranking structure, the six rank levels (CESO I-VI) are given the corresponding salary grades ranging from salary grade 25-30.  Career Executive Service Officer (CESO) I shall be the highest rank with an equivalent salary grade of 30, while Career Executive Service Officer (CESO) IV shall be the lowest rank with an equivalent salary grade of 25.

CES rank levels I, II and III shall be considered as Senior CES rank levels and occupants thereof shall be known as Senior CESOs.

SECTION 2.       Membership in the CES — Upon inclusion of his/her name in the Roster of CES Eligibles after the conferment of CES Eligibility and compliance with the other requirements prescribed by the Board, a CES Eligible assigned to any CES position and appointed by the President to a CES Rank becomes a member of the CES.

SECTION 3.       Original Appointment to CES Rank. — Appointment to appropriate classes, based on ranks in the CES, shall be made by the President from a list of CES Eligibles recommended by the Board.

Only a CES Eligible assigned to a CES position may be appointed by the President to a CES Rank.  The entry rank in the CES shall be CESO Rank VI regardless of the position to which a CES Eligible is assigned.

SECTION 4.       Basis for Original Appointment to CESO Rank VI. — The original appointment to CESO Rank VI of a CES Eligible by the President shall be based on three (3) major criteria, to wit:

a.      Broad Levels of Responsibility;

b.      Personal Qualifications; and

c.       Demonstrated Competence

SECTION 5.       Broad Levels of Responsibility. — The level of managerial responsibility that a CES Eligible performs shall be one of the criteria to be considered for original appointment by the President to CESO Rank VI.  It shall be reckoned in terms of the general duties and responsibilities that a CES Eligible performs or exercise.

A CES Eligible shall only be recommended by the Board for appointment to CESO Rank VI by the President, if he/she, among other criteria, is assigned to any of the following CES positions, namely: Undersecretary, Assistant Secretary, Bureau Director, Assistant Bureau Director, Regional Director, Assistant Regional Director, Chief of Department Service and other officers of equivalent rank as may be identified by the Board.

SECTION 6.       Personal Qualifications. — A CES Eligible assigned to a CES position, prior to his/her original appointment to CESO Rank VI, must possess the following minimum personal qualifications:

SECTION 7.       Demonstrated Competence — The level of performance of a CES Eligible shall be considered in his/her original appointment to CESO Rank VI.

The level of performance of a CES Eligible shall be based on his/her Career Executive Service Performance Evaluation System (CESPES) rating in the CES position to which he/she is assigned.

The baseline rating for original appointment to CES rank shall be “Very Satisfactory”.  A CES Eligible, who obtained a performance rating below “Very Satisfactory”, shall not be recommended by the Board to the President for appointment to CESO Rank VI.

ARTICLE II
Promotional Appointment to Career Executive Service (CES) Ranks

SECTION 1.       Upward Vertical Movement or Promotional Appointment to CES Rank — The hierarchical CES ranking structure where the system of entry starts at the bottom rank allows a CESO to grow in rank as he/she grows professionally and improves in competence, even if, overtime, he/she remains to occupy the same CES position.

SECTION 2.       Qualification Requirements for Promotional Appointment to the Next Higher CES Rank — A CESO shall be promoted by the President to the higher CES rank upon the recommendation of the Board.

The promotional appointment of a CESO to the next higher CES rank shall be made by the President based on three (3) major criteria, namely:

1.         Broad Levels of Responsibility;

2.         Personal Qualifications; and

3.         Demonstrated Competence

SECTION 3.       Broad Levels of Responsibility — The level of managerial responsibility that a CESO performs shall be one of the considerations of the Board in determining whether he/she shall be recommended to the President for promotion in CES rank.

A CESO shall be recommended by the Board for promotional appointment to the next higher CES rank, provided he/she is assigned to any of the following CES positions, namely: Undersecretary, Assistant Secretary, Bureau Director, Assistant Bureau Director, Regional Director, Assistant Regional Director, Chief of Department Service and other officers of equivalent rank as may be identified by the Board.

Moreover, a CESO, regardless of the CES position to which he/she is assigned, may be recommended by the Board for promotional appointment to the next higher CES rank even without being promoted to a higher CES position provided all the other requirements established by the Board are complied with.

SECTION 4.       Personal Qualifications — In order to be recommended for promotional appointment to a higher CES rank, a CESO must first meet the minimum personal qualification requirements of the said higher CES rank.  There are three (3) personal qualification requirements for each rank, namely: Experience on CES Rank, Training and Eligibility.

For purposes of promotional appointment to CES ranks, a CESO should obtain a CESPES rating of Very Satisfactory for every year of experience in the CES rank provided in the preceding table.

An Outstanding CESPES rating received by a CESO during the year shall be equivalent to two (2) years of experience in the CES rank.

A CESO who receives an Outstanding and a Very Satisfactory CESPES rating shall be considered to have met the three (3) years of experience in the CES rank and may be recommended by the Board for promotional appointment to a CES rank.

The computation of either an Outstanding or Very Satisfactory CESPES rating shall be cumulative in nature.

An Unsatisfactory CESPES rating received by a CESO before he/she could complete the three (3) Very Satisfactory or the Outstanding/Very Satisfactory CESPES requirements referred to in the preceding paragraphs shall obliterate his/her previously obtained Outstanding and/or Very Satisfactory ratings.  Hence, the CESO concerned shall be required to start once more accumulating Outstanding and/or Very Satisfactory ratings pursuant to the rules provided in the preceding paragraphs of this section before he/she can be recommended by the Board for promotion to a higher CES rank.

SECTION 5.       Demonstrated Competence — The Board shall consider the performance rating of a CESO obtained from the CESPES, which should either be Very Satisfactory or Outstanding in recommending him/her for promotional appointment to the next higher CES Rank.

The Outstanding or Very Satisfactory CESPES rating of a CESO, who is qualified for promotional appointment to the next higher CES Rank, shall be subjected to a validation by the Board.  The Board shall devise a mechanism in validating the said CESPES rating.

SECTION 6.       Screening Process Prior to an Entry to a Senior CES Rank Level — In addition to the requirements for promotional appointment to CES ranks as provided in the preceding sections, a CESO Rank IV shall be required to hurdle a screening process established by the Board prior to his/her entry to a Senior CESO Rank III.

ARTICLE III
Common Provisions

SECTION 1.       Grant of Assignment Allowance — A CESO shall be compensated according to his/her rank and shall be provided with attractive salaries, fringe benefits and reasonable allowances.

A CESO Rank VI, who is assigned to a higher CES position, which has the corresponding salary grade higher than that of his/her rank, shall continue to receive the salary of his/her rank.  However, he/she shall be entitled to an assignment allowance which is the difference between the salary of the rank and that of the higher CES position to which he/she is assigned.

A CESO, who is promoted to a higher CES rank shall receive the salary of his/her new higher rank.  However, if the CESO is assigned to a position higher than his/her rank, he/she shall be entitled to an assignment allowance which is the difference between the salary of the rank and that of the CES position.

A CESO shall enjoy the said assignment allowance for the duration of his/her assignment to the said CES position.

SECTION 2.       Additional Requirements for Original and Promotional Appointment to CES Ranks — In addition to the three (3) major criteria for original or promotional appointment to CES rank, a CESO or CES Eligible is required to submit to the Board the following documentary requirements:

a.      Endorsement letter from the Department Secretary or Agency Head;

b.      Clearances from the following offices:

1.         Department or Agency of the CESO or CES Eligible;

2.         Civil Service Commission;

3.         Sandiganbayan;

4.         Presidential Anti-Graft Commission;

c.       Self-certification issued by the CESO or CES Eligible under stating that he/she has no pending administrative or criminal cases;

d.      Copy of service record duly certified by the Office Personnel/Administrative Officer; and,

e.      Copies of training certificates duly certified by an authorized personnel of duly accredited training institutions.

SECTION 3.       Endorsement of a Department Secretary or Agency Head for Original or Promotional Appointment to CES Rank — The Department Secretary or Agency Head concerned shall endorse a qualified CES Eligible assigned to a CES position for appointment to CES rank after a maximum period of one (1) year of service during his/her assignment to the said CES position.  For this purpose, the Board shall send an official communication to the Department Secretary or Agency Head allowing him/her thirty (30) days from the lapse of the one (1) year service to make the necessary action, whether he/she is willing to endorse the qualified CES Eligible for original or promotional appointment to CES rank.  Failure on the part of the Department Secretary or Agency Head to act within the thirty (30) day period provided above shall constrain the Board to consider the CESPES rating obtained by the CES Eligible during the said one year period in lieu of the formal endorsement of the Department Secretary or Head of Agency provided the same is at least “Very Satisfactory”.

A Department Secretary or Head of Agency cannot endorse to the Board a qualified CES Eligible for original or promotional appointment to CES rank within six (6) months prior to the end of the former’s term or tenure, provided however, that an endorsement made by a Department Secretary or Head of Agency, within six (6) months to one (1) year prior to his/her death, disability, unforeseen resignation, removal, abolition of office or any other similar act shall be considered valid.

ARTICLE IV
Final Provisions

SECTION 1.       Separability Clause — If any section or part of this resolution shall be held to be invalid, the remaining provisions shall be given full force and effect as if the part held invalid had not been included therein.

SECTION 2.       Repealing Clause — All existing CES rules and regulations, circulars and memoranda inconsistent with this resolution are hereby repealed or amended accordingly.

SECTION 3.       Effectivity — This resolution shall take effect fifteen (15) days after publication in a newspaper of general circulation or in the official gazette.

Adopted: 10 Sept. 2002