On March 16, the council passed a resolution asking Fernandez to allocate funds for the increase in the additional compensation allowance of the City Hall employees.
The resolution was in relation to President Gloria Macapagal-Arroyo's Administrative Order No. 144 giving an increase of benefits to all government employees in the country.
On March 2, the Department of Budget and Management has issued Budget Circular No. 2006-2 implementing the President's order.
All City Hall employees who are receiving P500 additional compensation allowance are covered by the increase, which will "retroact" to January 1. They will now receive a P1,500 allowance once the City Budget Office would release the funds.