Water execs get fat bonuses

MANILA -- Officials of the Metropolitan Waterworks and Sewerage System (MWSS) are receiving fat bonuses over and above their regular monthly salaries despite the corporation's financial losses, the Senate finance committee learned Tuesday.

At the resumption of the ongoing probe on salaries and benefits in government-owned and controlled corporations (GOCCs), MWSS officer-in-charge Macra Cruz said that MWSS directors have been receiving 25 months worth of bonuses totaling P5.4 billion in 2009 and P3.5 billion in 2008.

Post your reaction to the Manila hostage crisis

These bonuses include mid-year bonus, year-end performance, clothing allowance, GOCC incentive, privatization bonus, efficiency bonus, scholarship, educational and Christmas package, among others.

Cruz also said MWSS board members receive another P14,000 per diem every board meeting, P50,000 discretionary fund, and other extraordinary miscellaneous funds.

Sen. Franklin Drilon, committee chair, questioned board chairman Oscar Garcia for the P5 million he had received for attending 47 meetings last year. The senator said the agency seemed to be holding a meeting once a week, sometimes even twice a day.

But Garcia only explained that even if they attend meetings twice a day, the P14,000 per diem was only for a single meeting.

It was learned that MWSS incurred P399 million and P3.5 billion losses in 2009 and 2008, respectively. But, Cruz said these were due to fluctuation on the foreign currency.

Senator Ralph Recto, committee co-chair, said it is not right for MWSS to be giving such a huge amount of money to their officials when the agency is losing money.

GOCCs are required to remit to the National Government 50 percent of their annual net incomes. According to Recto, MWSS only remitted P483 million to the National Government from 1998 to 2009.

In the same hearing, Drilon mentioned that the chairman of the Local Water Utilities Administration (LWUA) received P2.5 million in 2009 for miscellaneous expenses. Such amount was simply liquidated by issuing a certification that it was disbursed and accounted for, he said.

The 2.5 million covered additional benefits, representation allowances, birthday cash gift, incentive bonus, hospitalization, and other medical benefits.

Recto said LWUA has not remitted P263 million to the national coffers.

Drilon called on Ombudsman Merceditas Gutierrez to investigate the GOCC officials. “The Ombudsman on its own can act on these, they can even ask for a refund of the amount.”

He said the Senate would craft legislation to prevent similar abuses by GOCC officials.

The excessive perks of GOCCs officials were made public when President Benigno Aquino III mentioned it in his first State of the Nation Address last July.

He said MWSS employees are receiving more than P30,000 in monthly salaries on top of additional benefits. He added that members of the Board of Trustees received P2.5 million annually aside from car benefits and other loans. (AH/Sunnex)