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DBM Releases Budget For Government Workers’ PHP7 Thousand Medical Allowance

DBM has officially allocated the PHP7,000 medical allowance budget for government employees in 2025.

DBM Releases Budget For Government Workers’ PHP7 Thousand Medical Allowance

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The Department of Budget and Management has released the budget for government workers’ medical allowance for 2025, Budget Secretary Amenah Pangandaman said on Friday.

“Na-release na rin po siya sa mga departments and agencies natin. May guidelines na rin po ‘yun (It has been released to our departments and agencies. There are guidelines for that as well). That’s the PHP7,000 per employee for their medical allowance,” Pangandaman said, when asked for an update on the granting of medical allowance for government employees.

Government agencies are already starting their process for the granting of medical allowance, Pangandaman added.

“Parang uniform allowance po iyan (It’s like a uniform allowance). They can pool it, ‘yung (the) PHP7,000 per department, puwede po nilang i-pool and then kukuha sila ng kanilang respective (they can get their respective) HMOs (health maintenance organizations),” she said.

The grant is in line with Executive Order (EO) 64 issued by President Ferdinand R. Marcos Jr. on Aug. 2, 2024, which also prescribes the salary increase for government personnel.

The annual medical allowance will be given to each qualified civilian government personnel as a subsidy to avail of HMO-type benefits, according to Budget Circular 2024-6 earlier issued by Pangandaman.

Based on the circular, the medical allowance may be granted in the form of HMO-type product coverage, which could be availed by either government agencies concerned or their respective employees’ organizations or groups.

It can also be in cash form for those who will avail of their own or pay or renew their existing HMO-type benefit.

It may also be given in cash for those who paid their medical expenses, such as but not limited to hospitalization, emergency care, diagnostic tests, and medicines, due to the difficulty in acquiring HMO-product. (PNA)