EDITORIAL

DepEd-ARMM Owes GSIS, 

Pag-IBIG Fund P2 B

The Department of Education (DepEd) in the Autonomous Region in Muslim Mindanao (ARMM) has racked up close to P2.15 billion in unpaid and unremitted contributions to the Government Service Insurance System (GSIS) and the Home Development Mutual Fund (Pag-IBIG Fund) since 1997. 

Senate committee on finance chairman Franklin Drilon revealed the anomaly after receiving documents from the present leadership of the ARMM as part of its submissions for its proposed budget for 2013. 

Drilon said, acting ARMM Gov. Mujiv Hataman cited the discrepancies in the contributions and remittances of the DepEd in ARMM over the years, particularly during the previous administration.

“This is a ghost of the past that continues to haunt us. This is a manifestation of how the past administration and the past leaders of ARMM were remiss in their obligations to the public,” Drilon stressed.

Of the P2.15 billion, P907.06 million covers unpaid premiums and loan amortizations.

Another P1.24 billion represents the interest accrued over the years for the unpaid or late payment of premiums and loan amortizations reported by Marvin Sy 

Escudero Proposes To Expand Retired Gov’t Workers’ Pensions

Senator Chiz Escudero is pushing for a bill granting monthly pensions to retired government workers upon reaching the age of 70.

Government pensioners are provided gratuity under Republic Act 1616. But the law, which was enacted in 1957, cannot sufficiently provide for the needs of the government retirees five years after the retirement age of 65, said Escudero.

He filed Senate Bill 2106, “An Act to Grant Monthly Pension to Government Retirees under RA 1616 Who Have Reached the Age of Seventy Years.”

“The proposal recognizes that majority of this class of retirees is living in abject poverty, and many of them have to depend on dole-outs from close relatives and friends. Aged government personnel who retired need monthly pension because at their late age their opportunities to earn are already almost nil,” Escudero pointed out.

“The lump sum they have received under RA 1616 was greatly eroded by the economic slump and high cost of living. Their economic difficulties are aggravated when the country suffered from devastating effects of natural calamities,” he added.

Under RA 1616, the gratuity is payable by the last employer. The employee is also entitled to a refund of his retirement premiums he paid to the GSIS, personal share with interest and government share without interest.

Under the proposal, the requirements to qualify are: 1) the retirees must be in government service on or before May 31, 1977; 2) has rendered at least 20 years of service regardless of age and employment status; and 3) his/her last three years of service prior to retirement must be continuous, except in cases of death, disability, abolition or phase out of position due to reorganization.

Escudero’s bill is included among the 19 consolidated bills in the Senate through SB 2854 under Committee Report No. 41 by the Government Corporations and Public Enter prises Committee in the Senate on May 31, 2011.

The consolidated bill is currently in the period of interpellation.

Two other bills of Escudero were consolidated in SB 2454. These are SB 2090, which pushes for the establishment of an education trust fund for the grantees of GSIS and SSS members, and SB 2093, which seeks to provide both teaching and non-teaching personnel of the education sector more representation in the GSIS policy-making body with the inclusion of the Department of Education Secretary. 

PNP Retirees’ Request

In the Philippines National Police group, some 58,000 police retirees are requesting for: 1. Adjustment of their retirement pension to CY 2011 level rates, similar to what is granted to AFP retiree pensioners; 2. Payment of retirees’ back earned pension differentials, which is now bloated to 21 billion pesos; and 3. Early implementation of retirees’ death, burial, and funeral expenses benefits authorized by law.  /MP