Question Engineering Consultancy

Good day!

I am a municipal engineer, can I establish my own engineering consultancy and register in DTI / SEC with services offered to clients outside the municipality ONLY?

Thank you.

Hi,

As a matter of policy, the Office for Legal Affairs refrains from rendering categorical opinion on matters and issues that may later on be the subject of an administrative proceeding before the Commission either via an appeal or a complaint. This is to preclude the possibility of prejudgment should an actual administrative case be commenced or instituted based on the said matters or issues.

Nonetheless, this Office would like to invite your attention to Section 7(b) of Republic Act No. 6713 (Code of Conduct and Ethical Standards for Public Officials and Employees) which provides, as follows:

“Section 7. Prohibited Acts and Transactions. - In addition to acts and omissions of public officials and employees now prescribed in the Constitution and existing laws, the following shall constitute prohibited acts and transactions of any public official and employee and are hereby declared to be unlawful:

x x x

“(b) Outside employment and other activities related thereto. - Public officials and employees during their incumbency shall not:
“(1) Own, control, manage or accept employment as officer, employee, consultant, counsel, broker, agent, trustee or nominee in any private enterprise regulated, supervised or licensed by their office unless expressly allowed by law;
“(2) Engage in the private practice of their profession unless authorized by the Constitution or law, provided, that such practice will not conflict or tend to conflict with their official functions; or

“(3) Recommend any person to any position in a private enterprise which has a regular or pending official transaction with their office.
“These prohibitions shall continue to apply for a period of one (1) year after resignation, retirement, or separation from public office, except in the case of subparagraph (b) (2) above, but the professional concerned cannot practice his profession in connection with any matter before the office he used to be with, in which case the one-year prohibition shall likewise apply.”

Corollarily, Section 18, Rule XIII of the Revised Omnibus Rules on Appointments and Other Personnel Actions states that:

“Sec. 18. Unless otherwise provided by law, no officer or employee shall engage directly or indirectly in any private business or profession without a written permission from the head of agency. Provided that this prohibition will be absolute in the case of those officers and employees whose duties and responsibilities require that their entire time be at the disposal of the government: Provided further, that if an employee is granted permission to engage in outside activities, the time devoted outside of office hours should be fixed by the head of the agency so that it will not impair in any way the efficiency of the officer or employee nor pose a conflict or tend to conflict with the official functions.”

Thus, unless you obtain the necessary permission from the proper authority, not the CSC but oftentimes the agency head, outside employment or interest in another entity, public or private, is legally restricted.