Give the SRI in Full: A Call for a ₱20,000 Service Recognition Incentive for Teachers and All Government Employees

This year, the Philippine government took a decisive step to recognize the contributions of public servants. Under Administrative Order No. 40, s. 2025, President Ferdinand “Bongbong” Marcos Jr. authorized a one-time Service Recognition Incentive (SRI) of up to ₱20,000 for qualified government employees for Fiscal Year 2025. The order covers civilian personnel in national government agencies, state universities and colleges, government-owned or -controlled corporations, uniformed personnel, local government units, and other eligible public servants, with payment not earlier than December 15, 2025.

This directive follows the precedent set in previous years and reflects the government’s acknowledgment of the essential role that public servants play in delivering services and implementing policy. However, advocacy continues: the incentive should be granted in full across the board, firmly at ₱20,000, and with sustained policy support for future years.

What the SRI Means and Why It Matters

The Service Recognition Incentive is not merely a year-end bonus; it is a formal recognition of service and sacrifice. Government employees—from teachers and health workers to administrative staff—work under conditions that include heavy workloads, limited resources, and rising living costs. A one-time SRI provides tangible financial relief, helping address inflationary pressures on basic needs like food, transportation, and utilities.

Teachers in particular have faced persistent challenges: adapting to blended and remote learning modes, filling roles beyond instruction, and coping with limited classroom resources. Last year, the Department of Education implemented higher SRI levels following presidential direction—a clear demonstration that policy action can directly impact public sector welfare.

Why ₱20,000 Is Justified

A ₱20,000 incentive is reasonable and proportionate given the current economic environment. It helps offset the diminishing purchasing power of public sector wages amid rising costs of living. Unlike permanent salary increases—which involve long-term budgetary commitments—the SRI provides a one-time boost without fundamentally increasing structural spending, making it a politically and fiscally pragmatic support measure.

A Policy Imperative

The call to “Give the SRI in full. ₱20,000 should be the standard” is more than a slogan. It represents:

• Recognition of service beyond token gestures

• Fair compensation in the face of economic challenges

• Policy consistency across successive years

• Equity among all government employees

Why the SRI Should Be Tax-Free

Equally important is the call for the SRI to be exempt from taxation. Taxing the incentive effectively diminishes its value and contradicts its purpose as financial relief. Government employees already shoulder mandatory deductions throughout the year; taxing a one-time recognition incentive sends the wrong signal.

Making the SRI tax-free would:

• Ensure employees receive the full intended benefit

• Strengthen morale and trust in government policy

• Align the SRI with its role as recognition, not regular income

• Provide genuine relief amid rising living costs

Administrative Order No. 40, s. 2025 establishes an important foundation for SRI in 2025, but the broader goal remains: ensuring that public servants—especially teachers and frontline workers—receive full and consistent recognition for their indispensable contributions to nation-building.

Give the SRI in full. ₱20,000 should be the standard.