To: Undersecretaries
Assistant Secretaries
Bureau Directors
Directors of Services/Centers and Heads of Units
Regional Directors
Schools Division/City Superintendents
Chiefs of Divisions

1. The Implementing Rules and Regulations (IRR) of Executive Order No. 366 dated October 4, 2004 (Directing Strategic Review of the Operations and Organizations of the Executive Branch and Providing Options and Incentives for Government Employees Who May Be Affected by the Rationalization of the Functions and Agencies of the Executive Branch) took effect on June 4, 2005.
2. In compliance with Section 10 of the said IRR, the Department of Budget and Management (DBM) had been notified that the rationalization efforts of DepED would start on July 1, 2005.
3. In view hereof and in compliance with DBM Circular Letter No. 2005-8 dated June 3, 2005, copy enclosed, all offices in DepED shall observe the following policies on personnel actions effective July 1, 2005 and until the approval by the President of the DepED Rationalization Plan:
   1. No-filling of vacant regular/permanent/itemized positions, either through original appointment, promotion, transfer or reemployment;
   2. Non-renewal of the appointments of personnel on temporary status and of the contracts of personnel under contractual/casual/job order basis; and
   3. Non-hiring of contractual/casual employees, including job orders.
4. Teaching positions in schools under DepED which are funded within agency budgets for personnel services are exempted from said prohibition, pursuant to the provisions of CSC-DBM Joint Circular No. 03, s. 2004 as disseminated under DepED Order No. 7, s. 2005.
5. Immediate dissemination and strict compliance with this Order is directed.

Encl.:
As stated
References:
DepED Order: (No. 7, s. 2005)
DepED Memorandum: No. 451, s. 2005
Allotment: 1—(D.O. 50-97)

To be indicated in the Perpetual index under the following subjects:
CHANGE
LEGISLATION
POLICY
PROMOTION
TRANSFER

DO_s2005_034