Republic of the Philippines

Catanduanes State University

Virac, Catanduanes

College of Business and Accountancy

HIRING PRACTICES OF LOCAL GOVERNMENT UNIT

IN CATANDUANES

Bachelor of Science in Business Administration

Major in Human Resource Management

BUSINESS RESEARCH

GROUP 7

MEMBERS:

YERRO, SAMANTHA KYLE T.

SILBERTINO, RONALYN T.
TATAD, TRISHA ANGELICA E.
REJUSO, FRANCIS AIRA T.
SAN JUAN, SHAYNE LEE
 CHAPTER I

This chapter presents the research problems and its setting, which furthermore includes the

introduction, statement of the problem, scope and delimitation, significance of the study, and the

definition of terms used.

Background of the Study

Hiring is the process of identifying, attracting, selecting, and on boarding individuals to

fill specific roles within an organization. It is a critical function of human resource management

that directly impacts organization’s performance, culture, and overall success. The ultimate goal

of hiring is to find the right candidate who not only possesses the necessary skills and

qualifications needed, but also aligns with the organization’s values and culture.

Right hires can propel an organization forward, fostering innovation, enhancing productivity, and

driving profitability. Conversely, poor hiring decisions can lead to a cascade of negative

outcomes that can hinder an organization’s growth and stability. There are numerous individuals,

who apply for the jobs, but selection is made only of those individuals, who are qualified and

proficient. Both the processes of recruitment and selection are considered important for the

effective functioning of the organizations and they take place simultaneously. They are

imperative for growth and development of the organization (Recruitment and Selection, 2016)

Base on the local government code in section 76, every local government unit shall design and

implement its own organizational structure and staffing pattern taking into consideration its

service requirements and financial capability, subject to the minimum standards and guidelines

prescribed by the Civil Service Commission. For instance, the financial ramifications of poor

hiring decisions can be staggering. According to various studies, the cost of a bad hire can
amount to 30% of the employee’s first-year earnings. This figure encompasses not only the direct

costs associated with recruitment and training but also the indirect costs related to lost

productivity, decreased morale, and potential turnover.

In Local Government Unit (LGU) hiring in the Philippines, merit-based principles are applied to

ensure fairness and transparency. Whereas Merit-based hiring focuses on selecting candidates

based on their qualifications, skills, and performance, rather than external factors like

connections or personal relationships. This approach ensures that positions are filled by the most

capable individuals, which contributes to efficient and effective public service. This process is

supported by clear criteria, objective evaluations, and structured assessments, such as exams or

interviews, to determine a candidate's suitability for the role. By adhering to merit-based

principles, LGUs aim to maintain transparency, fairness, and integrity in their hiring practices.

This study intends to understand the other basis used in the selection process in the

Municipalities of San Miguel, Bato, and Virac, Catanduanes to identify the potential candidate

aside from merit-based approach that was practiced.

Statement of the Problem:

The importance of this study arises from its contribution at both the academic and practical

level, as it tends to reflect the importance of the HRM at the local government hiring practices in

the municipalities of Catanduanes. While hiring processes generally follow national regulations,

their implementation may vary based on local policies, administrative structures, and contextual

factors. Understanding these practices can provide insights into their efficiency, transparency, and

alignment with established guidelines.

Specifically, this study seeks to address the following questions:

1. How do local government units (LGUs) in the municipalities of Catanduanes implement
hiring procedures in accordance with national guidelines?
2. What challenges, if any, are encountered by hiring authorities in the recruitment and
selection process?

3. How do local policies influence employment stability and benefits the different categories of
government workers?
4. How do shifts in local leadership and municipal policies impact employment opportunities
and workforce stability within these LGUs?

Scope and Delimitation

The focus of this study is to conduct an overview about the hiring practices in Catanduanes.

This study covered the implementation of hiring procedures, influence of local policies to

employment stability and the its benefits to the different categories of government workers,

impact to employment opportunities and workforce stability of shifts in local leadership and

municipal policies, and challenges faced by hiring authorities in the recruitment and selection

process, if any. Specifically, it examines the basis of selection beyond the merit-based approach

prescribed by the Civil Service Commission (CSC) and the Local Government Code of the

Philippines. This study limits its coverage on the HR Departments of every municipal office in

Catanduanes. It will exclude hiring processes in private enterprises and national government

agencies.

Significance of the Study

The result of the study will be beneficial to the following:

To the organization, The result of the study will reduce the costs associated with recruitment,

training, and employee turnover. Employee’s positive hiring practices can lead to the increase of

employee satisfaction and retention

To hiring authorities, This study will help identify effective recruitment strategies, interview

techniques, and on boarding processes that can lead to a better hiring outcome. The findings of

this study can help attract top talent and improve an organization’s reputation.

To residents, The findings of this study will serve as a guide to those who are interested in

applying in the municipal offices in Catanduanes. The residents will be aware of the

organization’s hiring practices and can help identify or address potential biases and

discriminatory practices that will ensure fairness and equity in the hiring practice.

To future researchers, This study will serve as a guide for future researchers providing them

information related to this study. The result of this study can also be used as a reference for future

studies.

Definition of Terms

This section provides clear definitions of key terms used in this study to ensure a common

understanding of important concepts.

Civil Service Commission (CSC) - is responsible for the policies, plans, and programs

concerning all civil service employees. It is tasked with overseeing the integrity of government

actions and processes.

Hiring - is the process of finding and selecting the best candidates for a job.

Human Resources (HR) - is a department within an organization responsible for managing

various aspects related to the employees. This includes recruitment, onboarding, training and
development, performance management, employee relations, and ensuring compliance with labor

laws and regulations.

Local Government Unit (LGU) - In the Philippines, local government is divided into three

levels: provinces and independent cities, component cities and municipalities, and barangays, all

of which are collectively known as local government units (LGUs).

Merit-based Hiring- is defined as a process that focuses on selecting candidates based on

their skills, experience, and potential that suitable for the job

Public service - refers to the services provided by the government or publicly funded bodies for

the benefit of citizens.

Recruitment - involves attracting qualified candidates to apply for the job.

Selection - is the process of evaluating the candidates and choosing the best one for the job.

CHAPTER II

This chapter presents the review of related literature and studies including the synthesis state

of the art, gaps bridged by the study, and conceptual framework.

REVIEW OF RELATED LITERATURE AND STUDIES

Related Literature

The recruitment practices of Local Government Units (LGUs) play a vital role in promoting

efficient governance, transparency, and accountability in the public sector. Ensuring that hiring
 processes align with national principles of merit, competence, and fairness is essential for

improving public service delivery and upholding good governance. This review seeks to examine

current literature on the methods, challenges, and innovations related to LGU hiring practices,

drawing insights from both local and international contexts.

A. Foreign literature

According to Dessler (2017), Hiring is a foundational function of human resource

management that impacts the performance and operational effectiveness of public institutions. In

the context of local government units (LGUs), hiring is guided by both national laws and internal

policies. effective hiring procedures ensure that organizations acquire the right talent while

minimizing turnover and increasing productivity. The Local Government Code of the Philippines

(RA 7160) mandates that each LGU create its own staffing pattern and hiring process, following

standards set by the Civil Service Commission (CSC).

The merit system is crucial in promoting fairness, efficiency, and accountability in public

employment. According to Denhardt and Denhardt (2015), Recruitment in the public sector

needs to strike a balance between merit-based principles and sensitivity to local political and

social contexts. To promote fairness and equal access, public personnel systems typically

implement uniform hiring procedures designed to minimize bias.

Merit-based hiring systems prioritize transparency, objectivity, and competence in filling

government positions. According to the CSC (2020), selection should be based on merit and
 fitness, measured through education, experience, training, and eligibility. Structured evaluations

such as panel interviews and qualifying examinations are commonly used to assess applicants.

Despite merit-based systems, many local government units continue to struggle with political

patronage. According to Atkinson and Messing (2018), political loyalty sometimes becomes a key

factor in hiring decisions, particularly during election years. This undermines the principle of

equal opportunity and may lead to inefficiencies and high turnover.

Skills-based hiring focuses on identifying the specific skills needed for a job and evaluating

applicants based on how well their abilities match those requirements. According to the article

American Progress Organization (2022), Following the Great Recession, many employers—

including those in state and local government—began relying heavily on academic degrees as

stand-ins for actual skills. Adopting skills-based hiring practices can counter this trend by

broadening access to employment for individuals who possess the necessary competencies, even

without formal degrees, and by offering advancement opportunities for current employees with

relevant skill sets.

B. Local literature

The hiring of personnel in Philippine local government units is primarily governed by the 1987

Philippine Constitution, the Local Government Code of 1991 (Republic Act No. 7160), and

Republic Act No. 6713, known as the Code of Conduct and Ethical Standards for Public Officials

and Employees. These legal instruments emphasize the importance of merit, fitness, and equal

opportunity in public sector hiring.

According to Anderson J. (2013). As a field, we often relate merit and neutrality to the technical

skills needed to be the “best” candidate for a job, but that was not necessarily what civil service

reformers had in mind. The civil service system was meant to replace widespread political

patronage, but the myth around the origins of the civil service system masked inequalities built

into early testing requirements and institutionalized racial inequities in hiring practices. In this

article argue the founding myth of bureaucratic neutrality was so powerful that it continues to

reverberate in our field. It trace the current reverberations of the myth of neutrality through

modern hiring practices and the contemporary legal landscape. By using an institutionalism

framework, it present a systematic review of this rationalized myth in public employment.

In Atienza (2006) study, it indicates that both applicants and hiring authorities encounter

various challenges during the recruitment process. Applicants often face obstacles such as limited

access to information, complex requirements, and perceptions of bias or favoritism, which can

discourage their participation. On the other hand, hiring authorities are frequently hindered by

resource limitations, approval delays, and political pressure, which can affect the fairness and

integrity of the hiring process. These challenges highlight the discrepancy between formal

recruitment procedures and the actual practices at the local level.

A big hurdle for many LGUs is simply that their HR function isn’t set up to handle recruitment

smoothly. When HR offices are understaffed, personnel lack proper training, and hiring rules

aren’t clearly defined, the result is slow, inefficient—and sometimes even corrupt—hiring

practices. Tuplano’s (2023) study of the Sorsogon Provincial Government found that these gaps
make it tough for LGUs to stick to national standards. Without a dedicated HR team in place, the

hiring process drags on, and vacant positions start to pile up.

According to Manasan (2009), the uneven implementation of employment policies within

LGUs has contributed to the emergence of a dual labor structure, wherein non-regular personnel

are more susceptible to job instability and insecurity. Employment conditions within LGUs are

influenced by local ordinances and executive actions, which can impact the job security, benefits,

and overall working conditions for government employees. Permanent staff enjoy the security of

tenure as guaranteed by civil service laws, but many casual, job order, and contract-of-service

workers face job insecurity and lack full access to benefit.

Related Studies

This section presents studies that are relevant to the hiring practices of Local Government

Units (LGUs). These studies provide empirical evidence on the implementation of recruitment,

selection, and human resource management strategies in the public sector. By examining

previous research, this section aims to identify common trends, challenges, and best practices that

influence public sector hiring, particularly within the Philippine context. The reviewed studies

not only reinforce the theoretical foundations of the current research but also serve as

benchmarks for understanding the effectiveness, fairness, and transparency of LGU hiring

systems. Moreover, they highlight how organizational support, governance, and strategic HR

initiatives impact employee performance, retention, and commitment in local government

settings. This foundation helps establish the relevance and necessity of the present study, which

focuses on the municipalities in Catanduanes.

 Several studies have examined the recruitment and staffing practices in Local Government

Units (LGUs) across the Philippines. Chico, Celocia, Celocia Jr., and Villabas (2022) conducted a

study in Panabo City, Davao del Norte, which showed a strong correlation between effective

human resource management (HRM) practices and high employee performance in LGUs. The

findings suggested that transparent and strategic recruitment processes positively affect

organizational productivity and morale. Meanwhile, Pajarillo (2022) analyzed the staffing pattern

of selected LGUs in Ilocos Sur and found that gender representation, educational attainment, and

the nature of employment (permanent vs. casual) were key concerns that affected the efficiency

of public service delivery. He recommended continuous reassessment of staffing structures to

meet community needs effectively

DeCenzo& Robbins (2005) stated that human resource managers must be engaged during the

strategic planning process and in employment planning to ensure that appropriate staff are

available to meet the laid down requirements.

Ishii et.al (2014) in their empirical study came up with a comparative study for the HRM in

local government in two cities in Philippine and two cities in Thailand. They addressed the

problem of the local government in these two countries through the HRM practices and in

particular their recruitment and selection process.

According to the study of Acero (2016) regarding the work values of government officials. In

the light of ASEAN integration, he found out that among different participants, only department
heads have a high level of work values. This may be possible for government workers because

various career experiences can also have resulted in different concerns about professional values,

as supported by Muangdang et al. (2015)

Bachita and Bayoneta (2021) explored the implementation of public employment services in a

Philippine LGU and assessed components such as labor market information, job referral and

placement, and career coaching. Their findings emphasized the necessity for local ordinances to

strengthen these services and ensure broader accessibility for job

On the other hand, Calugay (2020) proposed the institutionalization of certification programs

for LGU personnel to build professional credibility and minimize political interference in hiring

decisions. Her research, published in the Philippine Journal of Public Administration, stressed the

role of competency certification in improving government efficiency and service quality.

Several recent studies have also contributed to the understanding of hiring practices in Local

Government Units (LGUs) in the Philippines. Andrin et.al (2023), investigated the correlation

between organizational support and employee commitment in the LGUs of Surigao City. They

found that perceived organizational support significantly influenced employees’ commitment to

their work, emphasizing the importance of consistent HR practices.

Lastly, Arzaga (2016), in her master’s thesis at De La Salle University, suggested procedural

reforms to improve recruitment and selection in government agencies. Her study highlighted the

importance of structured interviews, merit-based evaluations, and standardized job descriptions to

reduce bias and enhance the hiring process.

 According to Tejero et al. (2022), local government units (LGUs) in rural areas of the

Philippines face significant challenges in the production, recruitment, and retention of human

resources for health (HRH).

Synthesis of the related literature and studies

The studies and literature we've looked at provide a comprehensive understanding of hiring

and recruitment procedures in Local Government Units (LGUs), emphasizing both theoretical

framework and actual challenges. When evaluated as a whole, they emphasize how important

transparent, merit-based hiring is to effective public service delivery and good governance. Both

local and foreign sources acknowledge that structured and fair hiring practices have a significant

effect on employee satisfaction, organizational effectiveness, and the legitimacy of public

institutions. Both local and foreign sources acknowledge that structured and fair hiring practices

have a significant effect on employee satisfaction, organizational effectiveness, and the

legitimacy of public institutions.

Foreign literature, such as the works of Dessler (2017) and Denhardt and Denhardt (2015),

emphasize that hiring in public institutions is not merely an administrative task but a strategic

function of human resource management. Foreign literature, such as the works of Dessler (2017)

and Denhardt and Denhardt (2015), emphasize that hiring in public institutions is not merely an

administrative task but a strategic function of human resource management. They claim that

hiring procedures based on qualifications, merit, and fair assessment improve operational

effectiveness and lower employee turnover. However, the literature also suggests that even with
well-designed policies, implementation can be affected by political meddling and outdated hiring

structures. For instance, Atkinson and Messing (2018) illustrate how political loyalty continues to

affect hiring decisions in some situations, compromising the concepts of fairness and equal

opportunity.

Similarly, local literature affirms that Philippine LGUs are guided by legal frameworks such as

the 1987 Constitution, Republic Act No. 7160 (Local Government Code), and RA 6713 (Code of

Conduct and Ethical Standards for Public Officials and Employees). These laws support the merit

system as a defense against bias and nepotism. However, in other scholars such as Anderson

(2013) and Atienza (2006) point out that formal adherence to these regulations does not

necessarily result in equal practice. They draw attention to the existence of systemic issues, such

as limited access to information, complicated application procedures, and delays caused by

political influence or ineffective bureaucracy. These factors often lead to a gap between policy

and reality, which reduces public trust in LGU hiring processes.

Moreover, another local litreture by Tuplano (2023) and Manasan (2009) reveal that many

LGUs lack the institutional capacity to implement hiring processes effectively. A dual labor

structure, where non-regular employees experience job insecurity and limited benefits, can often

be the result of inadequate employees, insufficient HR training, and unclear guidelines. These

operational weaknesses represent the larger structural problems in local administration and make

it more difficult to implement merit-based hiring practices.

 We’ve also examined research studies, such as those by Pajarillo (2022), Arzaga (2016), and

Chico et al. (2022), highlight the significance of competency-based hiring, transparency, and

institutional reforms in improving local public service delivery. The results also demonstrate a

strong correlation between perceptions of fairness and organizational support and employee

performance and commitment.

Overall, despite the existence of a framework for strategic and equitable hiring, political,

administrative, and structural limitations make it difficult for LGUs to consistently follow this

framework. This synthesis supports the goal of the present study, which is to investigate

employment processes in the Municipalities of Catanduanes and highlight areas that require

reform as well as those that are effective, particularly beyond the merit-based approach.

Gap/s Bridged by the Present Study

The existing studies are relevant to the present study in a way that it focuses on hiring process

management. Since employees are the most essential in an organization, allowing understanding

on hiring processes will help educate the employees and people on the hiring process in a

particular area in Catanduanes. LGU’s uses the same techniques on hiring, the merit-based

approach, where in candidates are selected based on their skills, qualification, and potential

contribution to an organization, rather than the education or connection factor. Therefore, an

attempt is made to study the hiring process in Catanduanes to identify other factors that affects

hiring process in the different municipality.

Conceptual Framework

This figure illustrate the relationship between the hiring practices of Local Government Units in

Catanduanes and the resulting employment outcomes.

Independent Variables Dependent Variables

Hiring Practices of LGU Emplyoment Outcomes in LGUs

-Implementation of National Hiring -Transparency and Fairness of Hiring
Guidelines - Employment Stability
-Merit-Based Approach -Workforce Efficiency and Effectiveness
-Local Policy Influences - Job Opportunities in LGU’s
-leadership shifts
-Recruitment and Selection Challenges
Figure1. Conceptual Paradigm

CHAPTER 3

This chapter presents the methods and procedures to be used in the study. This includes the

research design, sources of data, research instrument, population of the study, data gathering

procedure, and statistical treatment.

Research Design