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Public Sector Union Collective Negotiation Agreement Primer

  1. What is CNA incentive?
  2. This is cash incentive in whatever form provided for in the

CNAs and its supplements, which is granted in PSLMC

Resolution No. 04, s.2002 and PSLMC Resolution No. 02, s.

2003, or the rationalized cash incentive granted to the

government employees concerned who have contributed

either in productivity or cost savings in an agency, in

fulfillment of the commitments in the CNAs or supplements


It excludes such other items that are negotiable, in cash or in

kind, listed under Section 2, Rule XII, PSLMC Resolution No.

2, s. 2004, and non-negotiable concerns specified in PSLMC

Resolution No. 04, s. 2002 and PSLMC Resolution No. 02, s.

2003 and DBM Budget Circular No. 2006-1 dated February

1, 2006.

  1. Where can the CNA incentive be sourced?
  2. The incentive shall be sourced solely from savings generated

as a result of the cost-cutting measures/systems

improvement agreed upon by the union/association and the

agency management. Hence, the incentive cannot be given

upon signing of the agreement by the parties, otherwise, it

will partake of the nature of a signing bonus.

  1. Can an agency/union grant CNA Signing Bonus?
  2. No. Signing Bonus has been declared illegal by the

Supreme Court (Social Security System vs. Commission on

Audit, 384 SCRA 548 dated July 11, 2002)

Download the pdf files at the following link

  1. primercna
  2.  http://www.csc.gov.ph/phocadownload/primercna.pdf
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