1. Introduction
In the Philippine public sector, every promotion for a public‑school teacher is both a personnel action under the Civil Service Commission (CSC) and a budget action under the Department of Budget and Management (DBM).
The bridge that links these two tracks is the Notice of Organization, Staffing and Compensation Action (NOSCA). Understanding how the NOSCA works—and how it interacts with the rules on teacher promotion—prevents costly delays, disallowances, and even the voiding of an appointment.
2. Statutory and Regulatory Framework
| Level | Instrument | Key Provisions Relevant to NOSCA & Promotion |
|---|---|---|
| Constitution | 1987 Phil. Constitution, Art. IX‑B (Civil Service) | Merit system; no appointments without appropriation. |
| Statutes | • Magna Carta for Public School Teachers (RA 4670) • Governance of Basic Education Act (RA 9155) • Salary Standardization Laws (SSL I–VI) |
Sets security of tenure, defines teacher grades, and standardizes salary allocations. |
| Joint Issuances | Joint CSC‑DBM Circular No. 1‑91 (and later updates) | Defines plantilla, NOSCA, reclassification, and step increment mechanics. |
| DBM Circulars | • National Budget Circular (NBC) No. 461 • Budget Circulars on Teacher Position Classification (latest: BC No. 2020‑4) |
Provides points system for academic/technical qualifications and governs rank‑up to Instructor/Professor equivalents. |
| CSC Rules | CSC MC No. 40, s. 1998 (Revised Omnibus Rules); CSC Resolution No. 1600289 (2016 Qualification Standards Manual) | Prescribes selection, ranking, EQ/AQ criteria, original appointment, and promotion process. |
| DepEd Orders | • DO No. 66, s. 2007 (SPMS) • DO No. 3, s. 2016 (Hiring & Promotion Guidelines) • DO No. 42, s. 2007 (School‑Based Management) • DO No. 51, s. 2023 (Career Progression for Teachers) |
Operationalizes promotion criteria, creates the School Personnel Selection Board (SPSB), and anchors qualifications on the Philippine Professional Standards for Teachers (PPST). |
3. What Exactly Is a NOSCA?
- Definition – A NOSCA is the DBM’s formal notice approving, modifying, or reallocating positions, items, salary grades, steps, and funding in an agency’s plantilla.
- Legal Effect – It constitutes the funding authority required by §4(3) of the Administrative Code of 1987: “No position shall be created nor any salary increase granted without a corresponding appropriation.”
- Scope – A single NOSCA covers:
- Creation or abolition of positions;
- Upgrading/downgrading of salary grades;
- Conversion (e.g., Teacher III to Master Teacher I);
- Implementation of SSL tranches and step increments;
- Realignment of vacant items for priority programs.
Without an updated NOSCA, the Commission on Audit (COA) will treat a promoted teacher’s payroll as unsupported by allotment, exposing principal officials to disallowance under COA Circular 2009‑006.
4. The Promotion Workflow in Practice
graph LR
A[Vacancy or Upgradable Item] --> B[SPSB Ranking & Selection]
B --> C[DepEd Division Office HR endorses]
C --> D[CSC Field Office issues attested Appointment]
D --> E[DBM Regional Office evaluates plantilla]
E --> F[DBM issues NOSCA]
F --> G[Payroll implements higher SG/Step]
G --> H[COA post‑audit]4.1 Key Actors
| Actor | Principal Role |
|---|---|
| School Personnel Selection Board (SPSB) | Ranks candidates, prepares Comparative Assessment Results (CAR). |
| Schools Division Superintendent (SDS) | Signs the appointment; certifies funds available subject to NOSCA. |
| CSC Field Office | Checks compliance with qualification standards; attests the appointment. |
| DBM Regional Office | Issues or amends NOSCA; returns disapproved NOSCAs with explanation. |
| COA Auditor | Validates NOSCA during payroll audit; flags any “promotion without NOSCA.” |
4.2 Timing “Catch‑22”
By long‑standing practice, the appointment is prepared before the NOSCA, otherwise the DBM will not adjust the plantilla because there is no incumbent. The SDS therefore writes on the face of the appointment:
“This appointment is issued subject to the issuance of an amended NOSCA by the DBM.”
The CSC allows this conditional funding clause but only for promotions, not for new‑item creations (CSC Opinion 26‑11‑1999).
5. Qualification and Ranking Rules for Teachers
- Hierarchy of Teaching Positions (DepEd / DBM as of 2024)
| Level | Position | Salary Grade (SSL VI, Tranche 3) |
|---|---|---|
| Entry | Teacher I | SG 11 |
| Teacher II | SG 12 | |
| Teacher III | SG 13 | |
| Career Progression | Master Teacher I | SG 18 |
| Master Teacher II | SG 19 | |
| Master Teacher III | SG 20 | |
| Master Teacher IV | SG 21 | |
| School Leadership† | Head Teacher I–VI | SG 15 – 21 |
| Principal I–IV | SG 19 – 26 |
† Under RA 9155, promotion to Principal tracks moves from teacher to school manager; NOSCA conversion is needed.
Ranking Factors (DO 3‑2016, superseded in 2023 by DO 51 but still widely followed)
- Performance rating (35 %)
- Potential & observed competencies (25 %)
- Relevant experience (20 %)
- Specialized training (10 %)
- Leadership & awards (10 %)
“Merit Point” System for Master Teacher Promotion (NBC 461)
- Teaching experience (max 20 pts)
- Leadership & potential (max 20 pts)
- Scholarship & professional growth (max 25 pts)
- Meritorious accomplishments (max 35 pts)
- TOTAL: 100 pts; minimum cut‑off is 70 pts with at least Very Satisfactory (VS) IPCRF.
6. The NOSCA Amendment Cycle
| When Triggered | Common Scenarios | Documentary Requirements |
|---|---|---|
| 1. Rank‑up (Teacher I → II, etc.) | Vacancy due to retirement, reclassification, or division‑wide equalization | – Attested appointment – SPSB CAR – Updated plantilla report |
| 2. Conversion to Master Teacher | Teacher III reaches performance & merit‑point threshold; school meets MOOE % requirement | – NBC 461 Form 1 & 2 – Certification of pupils/students population ≥ 200 – Endorsement of Regional Director |
| 3. Re‑itemization for K to 12 or SHS | Split/combine items; create “Teacher I (TVL Track)” or “Guidance Counselor I” | – DBM Position Classification Form (PCF) I – Division staffing proposal |
| 4. Step Increment for Length of Service | Every three years of continuous satisfactory service without promotion | – Latest appointment – Service record & CS Form 5 |
The DBM strives for a 45‑day turnaround under JMC No. 2012‑1, but in practice processing may extend to six months when plantilla balances are tight.
7. Common Legal Pitfalls
| Pitfall | Why It Happens | Consequence | Cure |
|---|---|---|---|
| Promotion without NOSCA | Appointment effected but DBM disapproves or delays NOSCA | COA disallowance; refund of salary differential | Request reconsideration; charge to savings under Sec. 53, GAA. |
| Qualification Mismatch | Teacher promoted despite lacking required units in Education or LET eligibility | CSC invalidates appointment; reversion to former position & refund of overpaid salaries | Special waiver only for high‑school teachers in tech‑voc under RA 10533. |
| Over‑classification | Division creates more Master Teacher items than 10 % ceiling of total teaching items | DBM disapproves; NOSCA withheld | Submit division‑wide staffing pattern; convert excess MT items back to Teacher III. |
| Salary Overlap | Head Teacher out‑ranks Master Teacher in SG; MT declines promotion | Career Progression framework (DO 51‑2023) now offers higher SG for MT IV & equivalent | Allow voluntary lateral transfer; avoid forced conversion. |
8. Jurisprudence at a Glance
| Case | G.R. No. / Date | Doctrine |
|---|---|---|
| Abellera v. CSC | G.R. 144199, 13 Dec 2000 | A temporary appointment cannot ripen into permanent without meeting the eligibility, notwithstanding length of service or NOSCA issuance. |
| CSC v. Alvarez | G.R. 143352, 26 Nov 2002 | An appointment conditioned on NOSCA remains valid; once NOSCA is issued it retroacts to the date of appointment. |
| DepEd v. COA | G.R. 190837, 26 Feb 2014 | COA may disallow salaries paid on upgraded items when the NOSCA was later disapproved, but good‑faith employees are not personally liable; refund is chargeable to erring officials. |
| DBM v. CSC | G.R. 242864, 7 Sept 2021 | DBM’s authority to classify positions is exclusive; CSC cannot ignore NOSCA classifications when checking qualification standards. |
9. Interaction with the 2023 Career Progression System
The long‑anticipated Career Progression System for Public School Teachers (DepEd Order 51, s. 2023) creates new ranks—Teacher IV to Teacher VII—between Teacher III (SG 13) and Master Teacher I (SG 18). For each new rank, DBM needs to:
- Allocate new salary grades (Teacher IV = SG 14; … Teacher VII = SG 17—for now mirroring the natural progression);
- Issue revised NOSCAs to every division, identifying items to be converted or newly funded;
- Absorb savings from the 2025 General Appropriations Act (GAA) to fund differentials.
Until those NOSCAs reach the field, divisions may only “appointment tag” successful candidates as Teacher IV‑designate without salary adjustment. The CSC has provisionally allowed this tagging through Resolution No. 2200618 (Dec 6 2023), provided the NOSCA follows within one fiscal year.
10. Practical Tips for School HR and Aspiring Promotees
- Check the Item Number. Confirm that the plantilla item exists and is vacant through the division HRIS before applying.
- Keep Your e‑QIS Updated. The Enhanced‑Qualification Index Sheet auto‑computes ranking points and reduces SPSB queries.
- Secure Certified True Copies Early. Delays often come from missing TORs, PRC renewal, or outdated IPCRF ratings.
- Monitor DBM Tracking. Each region now uses the DBM CTS portal; follow up using the NOSCA control number.
- Mind the 30‑Day Rule. If the NOSCA has not been issued within 30 days of the CSC attestation, remind the SDS to send a follow‑up request to avoid COA findings later.
- Document Everything. Keep PDFs of the NOSCA, appointment, and assumption to duty; COA requires them during agency audits for three prior years.
11. Conclusion
The NOSCA is not a mere formality—it is the budgetary backbone of every teacher promotion. Mastery of the NOSCA lifecycle, from SPSB ranking to COA audit, allows both administrators and classroom teachers to navigate the promotion maze with confidence, avoid legal landmines, and focus on what ultimately matters: delivering quality education to Filipino learners.
Updated as of 17 April 2025, Manila.