EXECUTIVE ORDER NO. 184
EXECUTIVE ORDER NO. 184 - DIRECTING
THE REORGANIZATION AND STREAMLINING OF THE NATIONAL DEVELOPMENT COMPANY
WHEREAS,
the Philippines needs to build its competitive strength to be able to
cope with the forces of global change while propelling the country to
sustained economic growth;
WHEREAS, the National Development Company (NDC), created by
Commonwealth Act No. 182 to serve as an agency of the government in the
furtherance of its economic policies, was directed under Presidential
Decree No. 1648 as amended, to give the necessary impetus to national
economic development;
WHEREAS, in line with the government’s goal of global competitiveness,
and its strategy of economic liberalization and increased private
sector participation, there is a need to reorganize NDC in order to:
(a)
Redirect and refocus its thrusts and priorities to position the
country’s competitive advantage in the international environment by
assisting in the efforts to market it as a premier investment site;
(b) Realign
the programs and priorities of the company in support of the present
government’s economic agenda and to synchronize its tasks with the
Department of Trade and Industry’s concerns and policies;
(c) Invest in
areas where investments gaps exist in synergy with government financial
institutions, large cooperatives, rural banks and NGOs;
(d) Attain
optimum efficiency in the allocation of resources by streamlining its
operations, minimizing organizational levels, reducing span of control
with the end view of maximizing the utilization of resources but
ensuring the minimum disruption of operations; and
(e)
Restructure its organization by ensuring that its manpower possesses
the necessary skills and competencies needed for its proper role, scope
and focus and to enable the organization to become more responsive,
dynamic and cost efficient.
WHEREAS, it is the policy of government to continuously improve and
upgrade efficiencies in the delivery of public services, particularly
those services that are directed to vital sectors of the economy and
society, and to put in place highly qualified professionals
competitively chosen in their fields of experience and expertise;
WHEREAS, the government is cognizant of the need to reorganize as and
when it is imperative to do so to eliminate redundancies, improve
efficiencies and achieve cost savings, within the confines of the law
as provided for by R.A. 6656, an Act which provides personnel-related
guidelines in the implementation of government reorganization;
WHEREAS, pursuant to Executive Order No. 124, the Department of Trade
and Industry (DTI) to which the NDC is an attached agency, is
authorized to make operational/structural adjustments in the Department
to achieve effectiveness and efficiency in accomplishing its mandate;
NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic
of the Philippines, by virtue of the powers vested in me by law, do
hereby order the reorganization of the NDC, as follows:
Section 1. Refocusing of Operations. — NDC in
fulfillment of its role as the government’s investment arm, shall:
a.
Adopt a new investment philosophy and strategy by actively sourcing
funds and investing the same in a portfolio of socially relevant and
commercially-driven projects, the returns from which shall balance out
the generation of income streams and insure sustainable financial
returns to uphold the government’s shareholder value;
b. Adopt a
more aggressive divestment policy and clearer exit mechanism on its
equity investments which could be best handled by the private sector;
c. Act as a
holding company to manage its subsidiaries where government investments
are placed, ensure that their growth potentials are maximized to
enhance government’s shareholder value and adopt control mechanisms to
effectively monitor the performance of its subsidiaries.
The company shall review its operations following a set of criteria for
measuring its performance to attain its mission, plans and goals and in
consonance with the above refocused functions.
Sec. 2. Staffing. — The NDC shall establish the
most appropriate staffing pattern and qualification standards for all
positions under the new structure, provided that the cost of fully
implementing the said staffing pattern shall not exceed the actual cost
of personal services in the immediately preceding year. The revised
organization structure and staffing pattern (OSSP) shall be subject to
the approval of the Department of Budget and Management (DBM).
The DBM shall review and issue the final OSSP within thirty (30) days
from the signing of this Order.
Sec. 3. Personnel Selection Committee. — An
independent Personnel Selection Committee shall be created by the DTI
Secretary to recommend: a) what positions in the newly DBM-approved
structure will be opened for filling-up consistent with the objectives
of cost efficiency and effective service; b) the qualification
standards for positions in the new structure which should at least meet
the requirements of the Civil Service Commission (CSC); and c)
selection of personnel to fill-up opened positions who should be
competitively chosen with the end of setting up a highly professional
and development-oriented organization. The Committee shall serve its
purpose until such time that the new organization can set up
appropriate internal rules and regulations on personnel recruitment,
selection and hiring.
Sec. 4. Separation Package. — NDC personnel shall
be entitled to separation pay which shall be two (2) months of the
latest compensation for every year of service in the government, which
shall be in addition to all gratuities and benefits to which they may
be entitled under existing laws; provided, however that those who avail
of such privileges and opt to start their government service anew by
virtue of being absorbed by the reorganized NDC or any other government
entity shall refund the government the full amount of the separation
benefit so received.
Sec. 5. Compensation. — In line with Section 11 of
PD 1648, NDC’s Revised Charter, the salaries, allowances and fringe
benefits of NDC officials and employees shall be in accordance with
R.A. 6758 and other existing laws, rules and regulations on
compensation.
Sec. 6. Personnel-Related Movements. — All
personnel-related movements resulting from the reorganization shall be
implemented within CSC rules and regulations.
Sec. 7. Implementing Guidelines. — The DTI
Secretary is hereby authorized to promulgate implementing rules and
regulations, as necessary to ensure the orderly reorganization of NDC.
Sec. 8. All Executive orders, issuance, orders,
rules and regulations which are inconsistent with the Executive Order
are hereby revoked, amended or modified accordingly.
Sec. 9. If any provision of this Executive Order
shall be held unconstitutional, the remainder of the Order not
otherwise affected shall remain in effect.
Sec. 10. Effectivity. — This Executive Order shall
take effect immediately.
DONE in the City of Manila,
this 10th day of March, in the year of Our Lord, Two Thousand and Three.
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Since 19.07.98.