SAN MIGUEL, Manila Good news for government employees as they may now receive their medical allowance with the Department of Budget and Management (DBM)'s approval of Budget Circular 2024-6, which lays out the guidelines, rules and regulations on the granting of the P7,000 incentive for 2025.

According to budget and management secretary Amenah' Mina' Pangandaman, the grant is in line with Executive Order (EO) 64, s. 2024, which also prescribed a salary increase for government personnel, signed by President Ferdinand 'Bongbong' Marcos Jr. on August 2, 2024.

"This is a promise fulfilled," Pangandaman proudly enthused in a statement.

She announced that the annual medical allowance will be given to qualified civilian government personnel as a subsidy to avail of health maintenance organization (HMO)-type benefits.

"This has been my dream for a long time for our fellow public servants. By 2025, they can receive a medical allowance to help them get an HMO for their health-related expenses," she asserted.

Budget Circular 2024-6 covers all civilian government personnel in national government agencies, including state universities and colleges (SUCs) and government-owned and controlled corporations (GOCCs) not covered by Republic Act 10149 and EO 150, s. 2021.

"All government workers, regardless of appointment status, whether regular, casual or contractual; appointive or elective; and on a full-time or part-time basis, are eligible for the medical grant," Pangandaman clarified.

"Employees in the local government units and local water districts are also covered," she added.

The budget chief likewise cited that 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/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.

"This medical allowance is not just a benefit, it's a vital investment in safeguarding a healthy workforce and ensuring that they perform at their best," she said.