Saturday, August 18, 2007 DLPC, Philam Asset ink Mandatory Savings Program By Carlo P. Mallo
ONE of the conditions set by the management of the Davao Light and Power Company (DLPC) for it to grant the requested increase in the retirement pay of its employees is for them to take part in a Mandatory Savings Program.
Joselito Ortiz, vice president for Human Relations Development of DLPC, and Karen Roa, president and CEO of Philam Asset Management Inc., sealed the deal Thursday that places the rank and file employees of DLPC under the Mandatory Savings Program.
Ortiz said it is a program wherein part of the salary of the employees are being deposited and can only be withdrawn upon their retirement.
"It is one way of ensuring that apart from the retirement pay that the company will give them, they have their savings," Ortiz said.
Moreover, Roa said entering a Mandatory Savings Program is a win-win situation for everyone. "It provides us with the cash flow while it ensures that the employees have something to reap upon their retirement," she added.
The interest rate that the money would be growing is not dependent on a fixed interest rate. "The economic environment would dictate the rate of growth of their investments," Roa said.
Two hundred pesos is deducted from the monthly wages of the employees and is being handled and grown by Philam Asset Management Inc.
