Batangas Provincial Gov’t employees may need to return bonuses received last Dec 2014


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Officials and employees of the Batangas Provincial Government may have to return the 14th month pay they received in December 2014.

This, after the Commission on Audit (COA) recommended the refund of around PHP45.3 million in year-end bonuses distributed to around 2,200 employees of the provincial government.

“We recommend that the Head of the Provincial Government cause the immediate refund of PHP45,352 ,843.82 representing the amount paid to all officials and employees of the Provincial Government considering that the said disbursement of funds is irregular due to absence of any laws, rules and regulations entitling government officials and employees to receive such benefit,” the COA report said.

In its 2014 annual audit report, COA said the disbursement of an additional year-end bonus is irregular and contrary to COA Circular No. 2013-003 ensuring that “payments of allowances, incentives and other benefits to all officials and employees of National Government Agencies, Local Government Units and Government Owned and Controlled Corporations and subsidiaries shall be based on and conform strictly with laws, rules and regulations granting authorizing such payments.”

Only the following benefits, bonuses and incentives are allowed under the Salary Standardization Law:

-Personnel Economic Relief Allowance (PERA)
-Representation Allowance and Transportation Allowance (RATA)
-Extraordinary and Miscellaneous Expenses (EME)
-Productivity Incentive Benefit (PIB)
-Uniform/Clothing allowance
-Loyalty cash award
-Travelling allowances for domestic travels
-Travelling allowances for foreign travels
-Costume or uniform, and other expenses related to cultural and athletic activities
-Magna carta benefits for public health workers
-Magna carta benefis for science and technology
-Special counsel allowance
-Hazard duty pay
-Honorarium
-Collective Negotiation Agreement (CNA), and
-Mid-year and year-end bonus and cash gift

The benefit was granted under the Sangguniang Panlalawigan resolution in December 3, 2014.

The provincial government reiterated the legality of the additional year-end bonus.

According to Batangas Provincial Administrator Atty. Joel Montealco, the grant was based on the Local Government Code, which allows a local government unit or Sangguniang Panlalawigan to determine the allowances, incentives and bonuses given to the employees.

“Implemented ito ng ating ordinance. Ang source of fund nito ay galing sa (personal) savings na separate na namin ito para hindi ma-prejudice ang public services. (This was implemented through an ordinance. The fund separately came from (personal) savings so it would not be prejudicial to public services) ” Montealco said.

The provincial government filed an appeal at the COA last July 15, asking the agency to reverse its ruling and consider the legality of the bonuses.

If the COA decides to implement the full refund of the bonus, Batangas Provincial Governor Vilma-Santos Recto said the provincial government will return the money.

Gov. Recto assured, “I think we can settle it in a week or in a month.”

But the provincial administrator said the employees would have to return the bonus.

Under the controversial bonus package, elected and appointive regular employees who get a P15,000 and above pay received the amount equivalent to their one month salary, while those who receives less than P15,000 pay a month got P15,000 year-end bonus.

Meanwhile, casual employees received P10,000 each, while employees who were working for less than four months at that time were given pro-rated amounts.

“Ibabalik ito ng mga empleyado…aware naman sila dito sa ganitong posisyon. (The employees will return the money. They are aware of the current circumstances),” Montealco clarified. —with a report from Ernie Manio, ABS-CBN News Southern Tagalog

This article has been re-published with permission from ABS-CBNnews.com.




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