In a groundbreaking move to protect workers from financial distress, Cebu City Hall has officially transitioned to a weekly salary system for its casual employees. This innovative approach aims to prevent workers from falling into debt traps with high-interest lenders.
New Payroll System Takes Effect
The Human Resource Development Office confirmed on Friday, November 14, 2025, that the new weekly payroll system is now operational. More than 2,006 casual workers across various city government departments will benefit from this revised payment schedule.
According to HRDO chief Henry Tomalabcad, the system change follows a City Council resolution directing his office to streamline payroll procedures. The primary goal is ensuring timely salary release for casual and job order employees, with payouts scheduled every Friday.
Combating Debt and Loan Sharks
This strategic shift addresses a long-standing problem observed at City Hall: employees relying on loan sharks and accumulating unmanageable debts. Tomalabcad emphasized that the initiative not only promotes financial stability among workers but also ensures they are not "beholden" to informal lenders charging exorbitant interest rates.
Cebu City currently stands as the only local government unit in the Philippines implementing weekly salary releases for casual workers, while other LGUs maintain the traditional twice-monthly payment system.
Implementation and Compliance
The transition to weekly payments required careful planning and coordination. A consultative meeting with the Management Information and Computer Services and the City Treasurer's Office was conducted on October 27 to finalize implementation details.
A memorandum dated October 27 reminded all departments to strictly comply with the new schedule, which covers casual employees with at least 22 days of accumulated leave credits. Tomalabcad acknowledged that while the new policy may require additional paperwork and compliance steps from departments, the long-term benefits significantly outweigh these administrative adjustments.
The HRDO reports that nearly all casual employees have already received their first weekly payout under the updated system, marking a significant step toward improved financial wellness for Cebu City's government workforce.