GCG: Only insurance premiums in question-A A +A
Saturday, January 18, 2014
CITY OF SAN FERNANDO -- The Governance Commission for Government Owned and Controlled Corporations (GCG) said that the Commission on Audit (CoA) is only questioning the P1.212 million covering insurance premiums for medical coverage for 2012 to 2013 of the Clark International Airport Corporation (CIAC).
While the COA report for CIAC questions the medical insurance premiums, GCG chairman Cesar Villanueva said last Friday “the present composition of GCG has not approved any increase in compensation of any GOCC.”
“CIAC has appealed this audit observation with COA and based on their performance agreement with GCG, the CIAC board was bound to undertake concrete and time-bound action plans to address COA audit observations,” said Villanueva.
“GCG has not granted or authorized, much less recommended to the President, any increase in the rates of compensation, bonuses, allowances, and other benefits within the GOCC sector,” Villanueva added.
He also told Sun.Star Pampanga that the bulk of the COA report on unauthorized allowances, benefits and bonuses amounting to P2.313 billion granted to 30 GOCCs based on existing rates were only inherited by the GOCC governing boards.
Earlier, CIAC President and CEO Victor Jose Luciano said “all bonuses of CIAC are in compliance with the GCG.”
CIAC stressed that the P23.9 million in bonuses for executives and employees of the corporation in 2012 “are all aboveboard."
“CIAC followed all the auditing rules and regulations of the COA in their 2012 COA Report," the corporation said.
The Performance Based Bonus amounting to P4.1 million and Performance Enhancement Incentives worth P1.7 million are among the benefits which are both authorized by the GCG since 2012.
The 13th month pay is mandated under the Labor Code of the Philippines and the 14th month pay is part of the CIAC employment compensation package.Kristine Venet Q. Andal
Published in the Sun.Star Pampanga newspaper on January 19, 2014.